Back in August, I attended the Tour Championship at East Lake Golf Club in Atlanta. The course is beautiful and historic, but also notoriously tricky.
The greens are fast, sloped, and full of subtle breaks that don’t show up on TV. What looks like a straight three-foot putt is actually breaking two inches left.
I watched some of the best players in the world miss putts they should have made. Not because they lacked skill—they’re tour professionals. They missed because they aren’t as familiar with these specific greens.
That’s when it hit me: this is exactly what happens when high-income earners work with generalist financial advisors.
Every Green is Different
Here’s what separates a good putter from a great putter on tour: local knowledge.
The guys who play East Lake every year for the Tour Championship know things the TV broadcast never shows you. They know which greens are grainy. They know where the subtle tiers are. They know that certain putts break more than they look, and others break less.
They’ve walked those greens. They’ve studied them. They know the course.
Your financial situation is the same way.
On the surface, partnership income looks straightforward. You get distributions, you pay taxes, you invest what’s left. Simple, right?
Except it’s not. Because hidden beneath that surface are breaks you can’t see unless you really know what you’re looking for.
The Hidden Breaks in Complex Compensation
Let me give you an example of what I mean by “hidden breaks.”
I recently spoke with a potential client earning $750K a year who felt frustrated despite the high income.
Here’s what a generalist advisor missed—the subtle breaks that aren’t obvious unless you specialize in complex compensation:
Phantom income. $180K showed up on the tax forms, but only $110K hit the bank account. Standard tax withholding assumptions left them $35K short in April.
Illiquid assets. A $400K capital account (or unvested equity) was counted toward retirement projections. Great on paper. Useless for actual cash flow.
Multi-state tax exposure. Work in multiple states triggered filing requirements the advisor never asked about. Penalties: $8,500.
Poor timing. Large year-end income coupled with front-loaded retirement contributions in the first quarter when cash was tight. Result: selling non-qualified brokerage account positions and paying unnecessary capital gains.
These don’t show up on brokerage statements or standard financial plans. They’re the subtle breaks that only show up when you know what to look for.
Most Advisors are Reading the Wrong Green
Most financial advisors are trained for W-2 employees. Steady paychecks. Employer 401(k)s. Predictable withholding. Straightforward benefits.
But complex compensation is different. Irregular income. Equity that vests in chunks. Bonus structures with massive tax implications. Partnership distributions. Deferred compensation. Multi-state tax obligations.
When your advisor doesn’t specialize in these structures, they’re reading the wrong green. And a birdie quickly turns into a bogey.
The Grain, The Speed, The Break
At East Lake, the best caddies know three critical things about every green: the grain, the speed, and the break.
The grain is the direction the grass grows. It affects how the ball rolls, but you can’t always see it.
In financial planning, the grain is the hidden factors in your compensation—things that aren’t obvious from a pay stub. Vesting schedules. Bonus timing. Deferred compensation rules. Tax treatment differences between income types.
The speed is how fast the greens are running. Too aggressive on a fast green and you blow it past the hole.
In financial planning, speed is timing and conditions. When should you exercise options? When should you take a distribution? When should you accelerate or defer income? Get the timing wrong and you either leave opportunity on the table or trigger unnecessary taxes.
The break is the slope and contour—the most obvious factor, but still easy to misread.
In financial planning, the break is your tax situation. How much should you set aside? What strategies are available? What’s your effective rate versus marginal rate? Most people think they’re reading this correctly. Most are wrong.
If your advisor doesn’t know the grain, misjudges the speed, and misreads the break? You’re missing putts you should be making—and it’s costing you more than you realize.
Five Questions Every High-Earner Should Ask
If you’re working with a financial advisor right now, here are five questions that will tell you whether they have the specialized knowledge you need:
- How do you plan for my specific compensation structure and cash flow? (Not generic advice, but strategies tailored to your income timing and tax implications)
- How do you handle multi-state or complex tax situations? (Do they even know to ask about this?)
- What’s your strategy for my concentrated wealth or illiquid assets? (Not generic diversification advice, but specific to your situation)
- How do you coordinate between tax planning and investment strategy? (Are these integrated, or working in silos?)
- How will you help me build wealth beyond just earning a high income? (What’s the actual plan, with timelines and tax optimization?)
If your advisor can’t answer these questions with confidence—with specific strategies tailored to your unique situation—you may be working with someone who’s reading the wrong green.
What I Learned at East Lake
Watching the best players in the world compete at East Lake reminded me: talent matters, but local knowledge wins.
The most talented golfer can still lose if they don’t understand the course. The highest-earning professional can still struggle to build wealth without someone who understands their specific financial landscape.
You’ve earned your spot. You have the talent. You’re making great income.
But are you working with someone who knows your course? Someone who can read the subtle breaks, factor in the grain, adjust for the speed?
Because the difference between good financial planning and great financial planning isn’t about working harder or earning more. It’s about working with someone who knows how to read your green.
If you’re ready for specialized planning, schedule a consultation, because the difference between good outcomes and great ones often comes down to working with someone who actually knows how to read the green.
The opinions expressed herein are those of KFA Private Wealth Group and are subject to change without notice. KFA reserves the right to modify its current investment strategies and techniques based on changing market dynamics or client needs. The information provided is for educational and informational purposes only and should not be considered investment advice or an offer to sell any product. Past performance is no guarantee of future results. This contains forecasts, estimates, beliefs and/or similar information (“forward looking information”). Forward looking information is subject to inherent uncertainties and qualifications and is based on numerous assumptions, in each case whether or not identified herein. It is provided for informational purposes only and should not be considered a recommendation to buy or sell securities or a guarantee of future results. KFA is an independent investment adviser registered under the Investment Advisers Act of 1940, as amended. Registration does not imply a certain level of skill or training. More information about KFA, including our investment strategies, fees and objectives can be found in our ADV Part 2, which is available upon request.
