Integrity Marketing

Effects of Estate Tax Reform

2005 Practice Strategies Survey

REMINDER -- The survey will be active until Thursday morning, Sept. 1st

I will be compiling some of the comments from the survey and posting them here over the next few days. To get a FREE copy of the final report, you must register and participate in the survey online at:  http://www.estateplanningpartners.com/2005_Survey.htm

Also, please remember to forward this email to your colleagues and encourage them to participate as well.

Because we ran our last Practice Strategies Survey in 2001 (results published in Trusts & Estates magazine -- download the article at the bottom of the survey), one of the questions we asked attorneys was how federal estate tax reform has affected their estate planning practices over the past five years. Here is a sampling of some of their answers:

Q. How has federal estate tax reform affected your estate planning practice over the past five years?

More drafting of short trust amendments to conform to changes in State law caused by the federal changes.

Except to adjust some of the numbers and allocations when the exemption changes it has not affected our practice at all.

I think that it has lowered the average price that the person in the 1mm total asset range is willing to pay for estate planning documents

It has caused us to have more business, due to state decoupling and the impermanency of the federal law from administration to administration.

Last Three Days to Participate

2005 Practice Strategies Survey

Our 2005 Practice Strategies Survey is going very well. I am compiling some of the comments and will post them here later today.

REMINDER -- The survey will be active until Thursday morning, Sept. 1st -- when we will shut it down and begin tallying the results. PLEASE -- if you have not completed the survey yet, do so now. Your input is important, especially as we close-in on September and the possibility of another Congressional vote on the issue of permanent repeal of the federal estate tax.

Here is the link to the survey:

http://www.estateplanningpartners.com/2005_Survey.htm

There is nothing for you to buy, we are not selling anything. Everyone who completes the survey will receive a copy of the final report. Also, there are some great articles available to download at the bottom of the survey page, including the Trusts & Estates article summarizing our 2001 survey, and a Lawyers' Weekly article about practice diversification strategies.

Finally, please take a moment to forward this message to your colleagues -- or post it on any of the listserves to which you belong. We appreciate your assistance with this market research project, and your colleagues will appreciate the valuable information that results.

2005 Practice Strategies Survey

Senate Majority Leader Bill Frist wrote in the Aug. 11 Wall Street Journal that he will bring estate tax repeal to a vote when the Senate reconvenes in September.

"With the future uncertain for so many families and businesses, the need for Congress to act today is urgent. I had hoped to bring this critical issue to a vote before the Senate adjourned for the recess, but an anticipated filibuster slowed me from reaching this objective. Therefore, when the Senate returns the first week after Labor Day, I will ask my fellow senators to state their position on this issue, to make it known by casting a vote whether they favor or oppose the death tax. There will be no more hiding on the issue of permanent death-tax repeal."

How has estate tax reform impacted your estate planning practice? Would permanent repeal mean permanent change for you? What do your colleagues think? What are their plans?

If you have not taken the 2005 Estate Planning Practice Strategies Survey, please click through here and give us just about one minute of your time. Your input -- combined with that of your colleagues -- will help chart a course for success, no matter what happens with the federal estate tax. Everyone who participates will receive a free copy of the final results report.

We ran our first Estate Planning Practice Strategies Survey in 2001, asking attorneys about the anticipated impact of EGTRRA 2001. As an added incentive to participating in this year's survey, we've included a link to the COMPLETE 2001 SURVEY, TABULATED RESULTS AND COMPILED COMMENTS at the end of the questionnaire. We are certain you will find this an interesting read!

Click here to take the 2005 Estate Planning Practice Strategies Survey

2005 Practice Strategies Survey

2005 Estate Planning Practice Strategies Survey

We ran our first Estate Planning Practice Strategies Survey in January and February 2001, gauging attorneys' attitudes toward the prospect of estate tax reform circa EGTRRA 2001. Results of that survey were published in the April 2001 issue of Trusts & Estates magazine.

Another result of that survey was an article I wrote two years later for Lawyers' Weekly USA, after passage and initial implementation of EGTRRA.  The article highlights the importance of key diversification and management strategies for estate planning attorneys. 

Here is an excerpt:

What we find is that many firms are struggling with critical issues of survival. Their revenues are down, they feel pressure to reduce their fees, and their referrals have vanished. In stark contrast, other firms are not only surviving the changes but are flourishing. Their common themes: diversify carefully (in ways that make sense for your practice); manage the financial aspect of your practice closely; and focus your marketing efforts on client and referral relations.

I encourage you to go online now and participate in our 2005 Estate Planning Practice Strategies Survey. Everyone who participates will receive a free copy of the final results report -- and will be adding value to this important research project.

Click Here for the Survey.

As an additional incentive, you can now download the full Lawyers' Weekly article, "Beyond Estate Planning -- Diversifying the Estate Planning Practice" at the end of the survey.

Also, please help us get the word out about this survey to your colleagues by forwarding this message, or posting it to your key listserv memberships. There is nothing to buy -- nothing to sell.  But you will be helping yourself and your colleagues meet the challenges of fundamental change in the field of trusts and estates.

Practice Strategies Survey

2005 Estate Planning Practice Strategies Survey

Please help us get the word out to estate planning attorneys about our 2005 Estate Planning Practice Strategies Survey. This is your chance to collaborate in a research project that will help you -- and your colleagues -- and your colleagues plot a course for success regardless the outcome of federal estate tax reform.

Click Here to Refer this Post to a Friend

If you haven't completed the survey yet yourself, please click here now. It will only take a few moments of your time -- and there is nothing to buy or sell! Everyone who completes the survey will receive a free copy of the final report.

We ran our first online Practice Strategies Survey in 2001, asking estate planning attorneys how they would view life in a world without federal estate taxes. We found that attorneys were cautiously optimistic about the future, realistic about the challenges, and determined to broaden their practice focus and marketing efforts to remain in the field. The results of that survey were published in the April 2001 issue of Trusts & Estates magazine.

2005 Practice Survey

2005 Estate Planning Practice Strategies Survey

How has EGTRRA 2001 affected the practice of estate planning? How would permanent repeal of the federal estate tax affect you? These and other questions are part of our 2005 Estate Planning Practice Strategies Survey, available here online. If you practice in the field of trusts and estates, please click through and give us your answers. Everyone who participates in the survey will receive a free copy of the final report in September.

We ran our first online Practice Strategies Survey in 2001, asking estate planning attorneys how they would view life in a world without federal estate taxes. We found that attorneys were cautiously optimistic about the future, realistic about the challenges, and determined to broaden their practice focus and marketing efforts to remain in the field. The results of that survey were published in the April 2001 issue of Trusts & Estates magazine.

(Read that article online here.)

Your participation in the 2005 survey is vital. The survey results will help you -- and your colleagues -- plot a course for success regardless the outcome of federal estate tax reform. Please take a few moments now to share your thoughts.

Click Here to complete the survey.

Estate Tax Reform

Everything Old is New Again

Well, there really is nothing new under sun. Just out of curiosity, I ran a keyword search on my hard drive to find our first references to the challenges and opportunities presented by estate tax reform (or repeal) for estate planning attorneys.

Interestingly, we first started raising this issue with our clients long before many of our competitors were even IN BUSINESS! It's a small world, now isn't it?

How many of you can remember back to the issues facing estate planners WAY back in the summer of 2000? Ha! ha! Makes me kind of laugh to remember the panic about Y2K ... to review articles like this one and realize -- when you keep doing the right things right, you are well-prepared to survive -- and thrive -- on the challenges that life (or football) throws your way.

Here are some excerpts from an article we published on July 17, 2000:

There is an old Chinese Curse that goes something like, "May you live in interesting times."
Well ... we certainly do! Last week the American Bar Association reversed its opinion on MDPs (Multi-Disciplinary Practices) and voted nearly 3 to 2 against allowing lawyers to partner with non-lawyers. They also voted to disband the MDP Committee ... with a typical head-in-the-sand mentality that theorizes, "if we ignore it, it will go away." Perhaps ...

Last week the Senate also passed legislation to repeal the estate tax! Though President Clinton promises a veto ... isn't this an INTERESTING time to be a trusts & estates attorney?

In times like these it's best to take a "running back mentality."

I like football analogies because, as one who never played the game, I find the philosophy of football an intriguing way to explain most of life -- replete with injuries, heroes, goats, spectators, coaches, and a few illegal bets on the side!

My youngest son plays football, and though the philosophy sometimes escapes him, he also can make the most profound observations. Michael has been chosen one of Missouri's Top Players by the state's sportswriters. Now, I'm not really sure what this means ... but for a dyslexic kid who can't tell left from right without writing it on his wristbands -- I think it's a pretty great accomplishment!

Michael has a few philosophies about being a star running back. They go something like this:

• Please give me the ball.
• If you give me the ball, I will make something happen.
• When I have the ball, I will slip in behind the biggest guy on the line, find a hole and run for the goal line. As God is my witness, I promise I will do this every time and never consider doing anything else.
• When I have the ball, I will protect it with my life. I will cradle it close to my body and they will have to rip my arms off to cause a fumble.
• When I have the ball, my team has their best chance of winning.

If business is like a football game (and believe me, it is!), then it's time to take a running back mentality. Apply these simple philosophies to your everyday business life:

• Please Give Me The Ball
  There are lots of opponents on the field, and they change with regularity. Today those opponents may include our own bar associations, and the specter of estate tax repeal. It's natural to have opponents. The most important thing is to realize that you "have the ball," which means simply that you have control. So many people never even touch the ball, let alone carry it. As long as you "have the ball" -- you are in a position to score!
  
• Make Something Happen
  Take control of your destiny. What are you going to do if they repeal the estate tax? What are you going to do about pressure to reduce your fees? Remember, you have the ball. It's up to you to make something happen in your own practice!
• Find a Hole, Run For The Goal Line -- And Never Stop!
  Just as there is no room for the timid in football, the same is true in business. Sometimes it seems that the opposing line is impenetrable. But it never is. There is ALWAYS a gap somewhere. Sometimes you have to slip behind a big guy who will make a gap open up for you. But, only those people who eyes are fixed on the goal line, who never even consider running for the sidelines -- they are the only ones who find those gaps and slip through them with consistency.  Do you think estate tax repeal is an impenetrable line? Wrong. Those with vision will find the gaps, they will RUN through them, and they will score.
• Protect the Ball With Your Life
  What are you doing today to protect the future of your practice? Are you tracking, analyzing and reporting data? Are you working your contacts? Are you investing in people, technology, and marketing? If not, expect someone to rip your arms off and cause a fumble.
• You Have The Best Chance of Winning When You Have The Ball
  Some people fear the responsibility of carrying the ball. Those people need to find a cushy position in a large firm. Entrepreneurs truly believe that they represent their single best chance of success. Don't shy away from the challenge. Accept it. Rejoice in it. And realize that your team is well-positioned to win because ... you have the ball.

Another thing you can learn from football -- watch how the players train in the off-season. All the determination in the world means nothing if you can't perform to the best of your ability on game day. So it is in business as well. Take time to get strong in the fundamentals.

Be strong in the fundamentals.  And remember this, in business -- as in football -- they charge full-price even for the pre-season games!

Estate Tax Reform

We've noticed quite a bit of interest recently among estate planning attorneys about how to thrive in estate planning after estate tax reform -- or repeal. We are particularly interested in this topic, since we have been teaching attorneys how to capitalize on the opportunities -- and challenges -- of estate tax reform since the early days of the Clinton Administration!

In fact, we ran a national survey (results published in Trusts & Estates magazine) on this topic back in January 2001, and hosted a practice development work on the Challenges of the New Paradigm in Estate Planning in May of 2001. Thankfully, we have been working with our clients to prepare them to thrive before -- and after -- estate tax reform for almost half a decade!

Here is what we wrote in March of 2001:

What major challenges do attorneys see for their trusts & estates practice in the wake of a federal estate tax repeal? This was the theme of our online survey conducted last month at our website. We received more than 200 free-form responses to the question, "Please explain your major concerns (regarding repeal of the federal estate tax)." After analyzing the responses, we have categorized them into four major areas of concern.

The four major areas of concern include: Motivation, Revenue, Focus and Education. 48 percent of those commenting listed a lack of motivation for clients to move forward with their planning as a major concern for their practice; 26 percent of the comments included references to concerns about reduced revenue; 20 percent said their main concern was a need to change the focus of their practice; and 13 percent said education would be a major challenge -- client education as well as their own personal education.

Each of these four areas of concern is really an issue of effective practice management, including:

• Marketing
• Public Relations and
• Business Planning.

We must work at conveying the appropriate messages consistently. We must shift the focus away from the "easy issues" of federal estate tax planning and implement a more relational style within the trusts and estates practice. Then, we must convey that message to clients, prospective clients, referral sources, and the media.

Accomplishing this will require a tremendous marketing and public relations effort. By marketing and public relations, I do not mean an advertising or hard-selling effort, but a relationship-building, educational effort.

The next tasks are to become more efficient in practice management, more sensitive to client needs, and more aware of price perception in order to maintain a level of profitability that is both rewarding and sustaining. We will have to adopt and implement systems throughout the practice that allow us to build and nurture relationships, handle invoicing and billing, create and, when necessary, even file documents in an efficient manner. By examining each aspect of the practice, we ensure value to clients and profitability to the firm.

We're glad to see that attorneys (and those who advise them) are looking critically at their practice development plans ... with an eye toward thriving both before and after tax reform. We like to think of it as bullet-proofing.  Stay tuned. There's more!

Client Relationships Rule #3

Communicate

There are three fundamental rules of Client Relationships. The first one is KNOW YOUR BUSINESS, the second is STOP SELLING.

Rule #3 is COMMUNICATE.

Every time you send a letter confirming a meeting or conversation, make a phone call, or send a newsletter, you are helping your client (or referral source) achieve Peace of Mind. You also are sending an implied message: "I appreciate you. I am thinking of you. I am concerned about your needs and dreams."

[Never forget that referral sources seek Peace of Mind, and that they have needs and dreams, too.]

When it comes to COMMUNICATING with clients, even the best of intentions frequently fall victim to the realities of business -- anything from a secretary's vacation to a court date, a missed filing, or a computer breakdown can derail your resolve to write a personal note, make a follow-up phone call, or schedule a friendly luncheon. The best way to avoid these pitfalls is to implement a COMMUNICATION PLAN. Don't rely on your personal communication skills (however wonderful your mom says they are!). A well-designed plan will continue to touch your clients with important messages -- building the trust and confidence necessary to fruitful relationships. If, one morning, you arrive at the office inspired and have the time -- go ahead and write that personal note.  But let it be the icing on your Client Communications Cake.

Here are a few tips to consider as part of your Client Communications Plan:

• Begin at the Beginning. Educate your clients about your "processes." If you are undertaking litigation, let your client know up-front how the process usually unfolds. Tell them the time frames, what to expect, and how frequently they will be billed. Also let them know how frequently they should expect to hear from you. If you have a client newsletter, website, or handbook, be sure to introduce it at the first meeting. Also, let your client know the best way to communicate with you. Should they fire off an email if they have a question? Or would it be better to make a phone call? Also -- will they be billed for emails and phone calls? Letting your clients know upfront will avoid misunderstandings -- and potential conflicts -- later.
• Manage Your Contact Manager. Customize your contact manager to capture the information you will need to organize relevant client communications. For instance, f you working with an estate planning client, set up a date field in your contact manager to capture the date the plan was signed. Now, you can easily select and sort those clients who should receive a reminder to review and update their planning documents. Other important fields might include: Business or industry code -- for future client workshops focusing on a specific industry; Gender -- you may want to target a mailing to women-only; Birth Date -- segmenting your client base by age is a great marketing tool; Marital Status -- there are many issues that affect singles or couples differently and could be the topic of a future workshop; Type of Client -- set up a coding system to quickly segment your estate planning clients from your real estate, personal injury, or family law clients. If you practice in a specific niche such as  estate planning, it may be helpful to establish codes for will-based clients, revocable living trust clients, tax-planning, non-tax, probate, trust administration, elder law, etc.
• Host Client Workshops. Client workshops are excellent ways to establish and nurture client relationships, and to build client referrals.  You don't have to spend weeks or months developing your workshops. Tap into professional resources for assistance. For instance, the Defense Research Institute (DRI) has a number of educational programs available for purchase at reasonable prices for those practicing in the area of insurance defense. We offer a complete workshop on CD, Estate Planning 101, that would be a great choice for a "family orientation" workshop. You can probably find quality presentation materials for less than the cost of one-billable-hour of your time.
• Devise a Protocol. Outline your Client Communication Plan, and train staff to follow it. Remember consistency and efficiency go hand-in-hand. If every client should receive a follow-up letter after a consultation, or an appointment confirmation phone call, be sure these processes are clearly outlined in your plan. Also -- set up a system for accountability. A simple checklist may work -- or hire a consultant to help you build accountability systems into your case management software. Remember, consistency is the key -- even the best PLAN will fail with poor execution.

Every firm, every lawyer, and every practice is unique. If you need help creating a CLIENT COMMUNICATIONS PLAN, please let us know. We have been h helping lawyers communicate better with their clients for more than ten years. We can help you, too! Toll-free: 1-877-850-7472.