Plumb Shortlisted for 2 Citywealth Magic Circle Awards

Plumb is pleased and proud to announce that we’ve been shortlisted for two Citywealth Magic Circle Awards:

  • Technology Innovators of the Year
  • UNHW Private Client Services of the Year

The Magic Circle Awards recognize the accomplishments of professionals and firms working with high-net-worth individuals and families. The awards are presented in London in front of an esteemed audience comprised of over 400 professionals representing over 140 diverse organizations.

Following a rigorous submission process, the submissions are assessed and judged by a panel of private wealth advisors. Online voting is also open to the public, and counts for 10% of the final award vote.

Our proprietary Bill Pay App is a big reason we have been included in this shortlist. To learn more about our services and Bill Pay App, please watch this brief overview video and reach out to schedule a personal demo.

Plumb delivers financial peace of mind by assisting high-net-worth individuals and family offices know where their money is going, so their trusted advisors can effectively manage it. We work in partnership with their team — including wealth, CPA, and other advisors — to provide the highest quality of data and financial reporting to establish a holistic view of their assets and financial holdings. We’d love to help answer any questions you may have. Feel free to schedule time to speak with Anneke Stender, our EVP, at your convenience.

Plumb Bill Pay App: Spotlight on the Dashboard

The Dashboard on the Plumb Bill Pay App is designed to provide a quick and easy overview of the bill pay essentials that matter most to you.

The Dashboard provides a snapshot of:

  • Pending and approved bills
  • Number of bills paid
  • Dollar amount of cash outflow
  • Monthly payment commitments
  • Balance snapshot that shows a balance of available funds in your main bill pay bank account

{For a sneak peak at the Dashboard of the Plumb Bill Pay App, please watch this brief video.}

At the top of the Dashboard, you can view:

  • Total number of bills pending approval and their related dollar amount
  • Total number of approved bills and their related dollar amount
  • Total number of bills Plumb has paid on your behalf
  • Total cash outflow

The calendar can be customized to view the timeframe you are interested in seeing.

The center section of the Dashboard is a graph that represents your monthly bill commitments. These commitments are your recurring or regular monthly payments. The graph depicts both your actual payments as well as your committed payments. You can see:

  • What has been paid
  • What is still left to be paid
  • The variance between what’s been paid and the commitments for that month

Want to see this in action? Watch this brief video about Commitments.

The dashboard also highlights a balance snapshot which provides a summary of bills pending approval as well as the available funds from your designated bank account.

If your balance is lower than the amount of your bills pending approval, there will be a notification with the amount of funding required.

To learn more about our services and Bill Pay App, please watch this brief overview video and reach out to schedule a personal demo.

Plumb delivers financial peace of mind by assisting high-net-worth individuals and family offices know where their money is going, so their trusted advisors can effectively manage it. We work in partnership with their team — including wealth, CPA, and other advisors — to provide the highest quality of data and financial reporting to establish a holistic view of their assets and financial holdings. We’d love to help answer any questions you may have. Feel free to schedule time to speak with Anneke Stender, our EVP, at your convenience.

Plumb Bill Pay App: Spotlight on the Commitments Module

So – what exactly are Commitments?

Commitments are your recurring bills – whether monthly, quarterly, annually, or some other frequency.

Not only can you – or a trusted advisor – view the projected cash outflow from these recurring bills on the app, but you can drill down to see the details of each bill, including the specific entity, due date, payment status, and amount due.

{For a sneak peak at the Commitments Module of the Plumb Bill Pay App, please watch this brief video.}

Examples of recurring bills are items like property-related expenses:

  • Utilities
  • Mortgage payments
  • Insurance
  • Property taxes
  • Landscaping
  • Maintenance for amenities like pools and tennis courts
  • Homeowners’ association (HOA) dues

There are also dependent expenses like tuition, and personal bills like cell phones, credit cards, country club or gym memberships, DMV renewals, updated car registrations, and estimated tax payments — to name a few.

In fact, because we know how important it is for you to see when these bills are due, and to verify that they’ve been paid, you have the option to create your own Hot List.

This personalized selection can be reviewed independently or alongside all your commitments. Bills designated on your “Hot List” are easily identified with a star, ensuring they never slip through the cracks of your financial management.

To learn more about our services and Bill Pay App, please watch this brief overview video and reach out to schedule a personal demo.

Plumb delivers financial peace of mind by assisting high-net-worth individuals and family offices know where their money is going, so their trusted advisors can effectively manage it. We work in partnership with their team — including wealth, CPA, and other advisors — to provide the highest quality of data and financial reporting to establish a holistic view of their assets and financial holdings. We’d love to help answer any questions you may have. Feel free to schedule time to speak with Anneke Stender, our EVP, at your convenience.

 

 

Plumb Bill Pay App: Overview

Plumb is thrilled to introduce our Bill Pay App.

We understand the unique needs of our high-net-worth and ultra-high-net-worth clients and their financial management teams.

Watch this brief overview video to see our app in action.

We created this app to solve the challenges we know our clients and their advisors face:

  • No more logging in and out of different accounts or tools.
    • Multi-entity payments are organized, tracked, and paid from one easy-to-use interface.
  • No more uncertainty about what needs approval and payment, and what’s already been approved and paid.
    • Upcoming due dates, items requiring approval, and recently paid bills are clearly outlined and organized on the app. Even better? You can create a “Hot List” to more easily track the bills that are most important to you.
  • No more inconvenient approval processes.
    • With one click clients can approve – or reject – their bills. They can also customize their auto-approval amount, making the bill pay approval process even more seamless.
  • No more concern over balances and outstanding bill amounts.
    • You’ll see a 6-month projection of your estimated cash flow based on your commitments. If you owe more than what is available in your balance, you’ll see an alert right on the dashboard.
  • No more missed phone calls or emails.
    • Send direct messages quickly and efficiently to your Plumb team from within the app.

The Plumb Bill Pay App provides an effective and highly secure method for bill payment. The privacy and security of our clients is of paramount importance, and our app was built with state-of-the-art, bank-level security.

This proprietary app delivers an intuitive interface that offers anytime, anywhere access to bill pay and cash outflow statuses.

For a sneak-peak at some of the app features, please watch these brief videos:

We’d love to discuss how you can benefit from this app. Please reach out today for a consultation and a demo.

Plumb delivers financial peace of mind by assisting high-net-worth individuals and family offices know where their money is going, so their trusted advisors can effectively manage it. We work in partnership with their team — including wealth, CPA, and other advisors — to provide the highest quality of data and financial reporting to establish a holistic view of their assets and financial holdings. We’d love to help answer any questions you may have. Feel free to schedule time to speak with Anneke Stender, our EVP, at your convenience.

When to Build Your Own Family Office and When to Outsource

We often field questions about when it makes sense to create a Family Office and when these tasks can be outsourced instead.

Who Is Asking?

Many of our clients are retired CEOs who utilized their corporate financial team to help manage their personal finances. When those financial professionals are no longer available, these clients are often left concerned and uncertain about how to manage their personal finances moving forward. They are curious about the pros and cons of building their own family office.

Another common issue we see is when family members don’t agree on strategies related to wealth management and preservation, especially upon the passing of a parent or other family member. Oftentimes this results in friction and fighting, which can be exacerbated in times of stress or sadness.

Our Expert Advice.

Our first recommendation is to have a succession plan in place, so in the event of the retirement of a trusted employee, or the death of a family member, the individual or family has an agreed upon plan.

If this planning has not taken place, and the family is struggling with how to manage their bill pay and accounting needs, rather than jumping straight into building a family office, we suggest dipping their toe in the waters.

By this we mean, work first with an outsourced bill pay and accounting service provider. This will help get everything in order, and perhaps more importantly, will ensure that all bills are paid, accounts are reconciled, and documentation is retained.

Once the dust has settled, if the family still feels they prefer to build and manage their own family office, they can now do so with accurate records and a better understanding of their financial state.

We’ve also pulled together this checklist to help understand the benefits and challenges of building your own family office versus working with an outsourced family office service provider.

When to Build Your Own Family Office

ο  Customization: Building your own Family Office provides an opportunity for more personalization that is tailored to your family’s specific needs.

ο  Complex Family Structure: A diverse or intricate family structure might benefit from a dedicated office that can handle the unique needs and nuances of various family members.

ο  Family Legacy and Education: A family office can double as a hub for family governance and provide financial education for younger generations.

ο  Sufficient Resources: Building a family office requires significant capital to cover the overhead, staff salaries, technology, and infrastructure. If your family has the resources, this option might be suitable.

When to Outsource Family Office Responsibilities

ο  Cost Efficiency: Outsourcing can be cost-effective, especially for families that don’t have the substantial assets to justify the high fixed costs of an in-house office.

ο  Access to Expertise: Multi-family offices and other outsourced service providers often have teams with specialized knowledge across various areas and can provide expert advice without the need to hire a full-time in-house team.

ο  Avoiding Administrative Burden: Operating a family office can be administratively intense. Outsourcing can alleviate the operational complexities, from HR issues to IT infrastructure.

ο  Flexibility: Outsourcing can offer more flexibility, allowing the family to switch providers or adjust services as needs change.

ο  Risk Management: Established multi-family offices or outsourced providers often have more robust risk management systems and protocols in place, which can be expensive and time-consuming for a single-family office to replicate.

ο  Start Small: For families just beginning to explore the world of family offices, outsourcing can serve as a stepping stone. They can test the waters before committing to creating their own.

Plumb delivers financial peace of mind by assisting high-net-worth individuals and family offices know where their money is going, so their trusted advisors can effectively manage it. We work in partnership with their team — including wealth, CPA, and other advisors — to provide the highest quality of data and financial reporting to establish a holistic view of their assets and financial holdings. We’d love to help answer any questions you may have. Feel free to schedule time to speak with Anneke Stender, our EVP, at your convenience.

 

 

16 Questions You Should Ask Your Outsourced Bill Pay Provider – and Our Answers

  1. How does your Bill Pay process work?

From initial client set-up to ongoing high-touch support, we have this process down to a science.

  1. We ask the client or their designee to complete a new client questionnaire.
  2. Upon receipt of this questionnaire, we prepare a comprehensive solution-oriented proposal.
  3. Once the proposal is agreed upon and the contract is signed, we begin our seamless Onboarding process. We request a current vendor list and coordinate view only account access, where applicable. We prepare a billing tracker with all of the monthly, quarterly and annual bill pay commitments. Lastly we set-up the client/designee with access to our bill pay app and customize the invoice approval process.
  4. Once everything is set up, we begin the bill payment work which includes cash flow monitoring and comprehensive reporting. This reporting may include expense tracking, cost analysis/ variance explanations, budgeting, and forecasting.
  5. At the end of the year, we provide a Year End Summary Report and 1099/1096 filings to ensure that your CPA receives all the necessary details to incorporate the information into the annual tax filings.

If you have any specific questions, please read more about our process here.

  1. How do you keep client confidentiality?

We have full confidence in the established protocols we have implemented to safeguard the confidentiality of our clients.

We proactively protect classified data in several ways:

  • We have a customized cloud network built on unique specifications, backed on a singular data center that keeps all data stored and safe from localized data loss. This data center is certified PCI 3.0 compliant, HIPAA compliant, and SSAE-16 Type II compliant.
  • We maintain state-of-the-art bank-level security and an in-house IT department that provides constant monitoring and oversight.
  • We maintain rigorous oversight of internal client access.
  • We focus on a clear segregation of duties among our team.

We pride ourselves on our effective and all-important quality controls, security measures and confidentiality guardianship. Please let us know how we can assist you in your family office accounting or bill pay needs. We have more to share on this topic, so please see our blog posts about how we protect the confidentiality of our clients.

  1. Do your clients work with a team or an individual?

The quick answer is: both. When you work with Plumb, you have a team of experienced high-net-worth bill payment and accounting professionals at your fingertips. You will be assigned a primary contact for your day-to-day questions and needs, but that person works with an entire team of experts to help ensure not only the necessary quality controls, but also the high-touch support that is synonymous with Plumb.

  1. Do you pay client bills by check or wire?

We can pay bills by wire, ACH, or checks, and we follow the strictest of protocols to ensure that any and all payments are made securely. Please read our article with more details on this topic, including definitions of some important payment terms, here.

  1. How does the bank account set up work? Do we set up our own or under their name with a POA?

Bill pay account(s) are set up in the client’s name. The Plumb signers are then added to the account(s) as limited POAs to sign off on banking transactions, such as ACH, wires and checks.

  1. What type of reporting will they receive and frequency and can we see an example?

This depends on the scope of work. Plumb’s standard reporting package is  a monthly expense report with variance analysis.

  1. Can you help with collecting my K1s at the end of the year?

At Plumb, we can help you track and collect all of the various K-1s you are due to receive each year.  As K-1s are received, we reconcile them against the transactions in your books to ensure accuracy and work with the appropriate parties if corrections are needed.  We can then provide reconciled year-end financial statements to the CPA for finalizing tax returns. Still have questions? Please read our detailed recommendations here.

  1. What is your interaction with my CPA?

Plumb works in partnership with CPAs (as well as any other trusted advisors) to ensure all aspects of our client’s financial life work together cohesively, efficiently, and seamlessly. We act as a Controller-level point of contact between the CPA and client by delivering reliable, timely and organized reporting. We track 1099’s, K-1’s, charitable contributions, medical expenses, sales of stock and all other income, and we also handle the preliminary year-end tax work by preparing the Annual Tax Organizer. All this with the goal of being able to provide your CPA with the accurate and updated documentation they require. Please read this post about the ways in which we work with other financial advisors.

  1. Do I have to approve every invoice?

During the onboarding process we will review your goals for the management of your bill payment. We can set up your account so that you can approve certain bills, or bills over a certain amount, or even bills that are a certain percentage higher than what they typically are. Our client services are bespoke, and we can provide the assistance and support that works best for you and your lifestyle.

  1. What happens with all my bills? Do I forward them or do they come to you and how?

During the onboarding process, Plumb assists in getting delivery emails or physical addresses changed so that all invoices are coming directly to Plumb. During the onboarding/transition time, clients either forward bills to Plumb by email, send them weekly via overnight mail or upload them directly into the Bill Pay App. Generally, after 60-90 the majority of the bills are received directly by Plumb.

  1. Where is my account manager located and are they in my time zone?

Our Plumb team works remotely in the United States, across a few different time zones. If you prefer to have your main point of contact be someone in your time zone, we will make every effort to find you the best fit. However, we always tell our clients that our Plumb team is just that – a team of experts who are available to help answer questions and provide insights whether you are their direct client or not.

  1. Do you manage international accounts/handle my home in France? Or just US assets?

We have experience in handling bills related to assets outside of the US. Our recommendation is to be set up as a signer on the foreign bank account for ease of paying the bills oversees.

  1. Do you have a portal I log into to see the bills?

Absolutely. We have a proprietary bill pay app available on both web and mobile devices. Our app was designed with our HNWI clients – and their trusted advisors – in mind. It provides access and clarity to the bill payment process and makes approving bills, viewing bill payment status, and communicating with the Plumb team more accessible and easier than ever. Our intuitive and incredibly useful app is the logical evolution of our high-touch, high-tech service. If you’re interested in a demo, please reach out to Anneke to schedule time.

  1. Can advisors have view-only access to the information in the software/app?

Yes, that’s not a problem. During client onboarding we will review the details about who should have access to what, and who can issue approvals.

  1. Can my assistant or property manager approve certain invoices on my behalf?

Yes. You can select any trusted designee to approve certain invoices on your behalf. We can also set up your account so that invoices under or over certain dollar amounts are approved by different people.

  1. How do I know if more money needs to be funded in the bill pay account and how does that process work?

This can happen in a couple of different ways. The first is that your Plumb team member will let you know if your bank balance is underfunded based on the number and dollar amount of bills in queue to be paid. The second is that our bill pay app will show a bank balance snapshot on the dashboard of available funds. If upcoming obligations exceed the balance, a warning message with the shortfall amount will be displayed.

Plumb Bill Pay & Family Office Accounting is a high-touch technology bill pay and family office accounting service provider dedicated to serving the needs of high-net-worth and ultra-high-net-worth clients. Plumb ensures that your client’s bills are paid on time and works in partnership with you to deliver the highest quality data and financial reporting. In addition to our bill pay services, we also provide comprehensive Family Office Accounting support.

Let’s talk about we can help you, so you can devote more time to enjoying life.

3 Keys to Trust Accounting and Reporting

Managing the accounting of trusts can be complex. There are a variety of ways in which trusts can be established, and the rules and regulations of trust accounting vary by state. To simplify, trust accounting is essentially the tracking and bookkeeping of cash in various accounts. Anneke Stender, the EVP of Plumb Bill Pay and Family Office Accounting, likens it to one big bank reconciliation.

  1. Background on the Basics of Trust Accounts

An account in trust (or trust account) refers to any type of financial account that is opened by an individual and managed by a designated trustee for the benefit of a third party per agreed-upon terms.

Trust assets are generally either “principal” or “income” where the principal is the assets owned by the trust, and the income is what is earned by those assets. Assets in a trust can be anything from cash, stocks, bonds, privately held companies to real estate holdings.

  1. Trust Accounting Main Concerns

It is imperative that the allocation of income versus principal is both accurate and accurately reported to maintain the integrity of the trust. The beneficiaries of the trust need to know what funds were allocated and to whom. This helps to ensure that the beneficiaries receive their fair share of the allocation, and it also reduces the risk of disputes.

To further eliminate the likelihood of arguments or disagreements over trust allocations, many trust reports will be filed by an attorney with the court.

One other challenge of Trust Accounts is that not all of them are protected from creditors. Typically, an irrevocable trust protects assets from creditors whereas a revocable living trust does not. However, the protection of an irrevocable trust varies depending on the state. It is highly recommended that you reach out to an attorney who is experienced in this field with specific questions about protections.

  1. Benefits of Trust Accounts

There are tremendous benefits to setting up Trust Accounts, and these tend to outweigh any of the downside. Among these benefits are:

  • Asset protection
  • Better control of those assets
  • An equitable division of assets among family members/beneficiaries

Another notable benefit of trust accounts is the avoidance of probate. When assets are held in trust, beneficiaries typically bypass the probate process in the event of the account holder’s death. Additionally, trusts provide a means to reduce or even eliminate substantial estate taxes. By transferring assets into trusts, individuals can effectively decrease their overall taxable estate.

Maintaining a trust is relatively straightforward for both beneficiaries and other involved parties, especially with a knowledgeable team that understands state regulations and the trust’s objectives.

As expert accountants for high-net-worth individuals and families, Plumb has decades of experience preparing the accounting for trusts. This includes:

  • Managing the books on a monthly, quarterly, and annual basis.
  • Working with the trustee in processing payments to vendors and beneficiaries.
  • Allocating income and principal funds.
  • Providing necessary reports for the attorneys, CPAs, trust beneficiaries or the court.
  • Preparation of annual court accountings

There is specialized accounting that is required for trusts, and the rules and regulations vary by state, so it is important to understand the specific requirements of your state.

For those unfamiliar with the specific accounting requirements of trusts, consulting with expert accountants and attorneys who specialize in this area is strongly advised. They can help manage the books, make accurate allocations, and provide the necessary reporting – essentially making the complex straightforward. Whether you are a beneficiary, a trustee, or someone considering setting up a trust, arming yourself with knowledge and a proficient team can help you optimize the advantages that trusts offer.

Plumb Wins Two WealthTech Americas Awards – And Why This Matters

 

Plumb has been recognized at The Second Annual WealthBriefing WealthTech Americas Awards 2023 for two of our best-in-class – and best-in-industry – services:

  • Bill Pay
  • Payment Reconciliation Services

We’ve been extremely honored to have our services recognized across a variety of respected and established Family Office and Wealth Management publications and media firms. The acknowledgement of our superior services by the WealthBriefing Awards is especially meaningful as explained by ClearView Financial Media’s CEO, and Publisher of WealthBriefing, Stephen Harris:

“These awards were independently and expertly judged solely on the basis of entrants’ submissions and their response to a number of specific questions, which were answered by focusing on the client experience rather than purely quantitative performance metrics… These awards recognise the very best operators in  Americas’ wealth management, with ‘independence’, ‘integrity’ and ‘genuine insight’ the watchwords of the judging process – such that the awards truly reflect excellence in Americas’ wealth management.”

Why This Matters (or, Don’t Just Take Our Word For It)

Winning awards from established, longstanding publications like ClearView Financial Media is additional validation that we are who we say we are: the best service provider in the high-net-worth and family office bill payment space.

All submissions were reviewed by a panel of 15 independent family office and wealth management industry experts, and these wealth tech authorities have deemed that Plumb’s services and client support goes above and beyond what others in the field offer.

Here’s what they had to say about Plumb:

“It was the winner’s focus on providing clients with white glove, high touch service and emphasis on innovation that impressed, along with significant growth in department size, client size, and revenue. Plumb is a very worthy winner!”

What’s Next?

We are not ones to rest on our laurels. While we are grateful for the recognition, we are never satisfied with the status quo. We plan to continue to focus on our high-touch client service and continue to innovate in the bill pay field. Decades in, and we are as excited about our future as ever.

Plumb Wins Prestigious PAM Award

Plumb is honored to have won the prestigious and coveted Private Asset Management award for Best Partnership Accounting System.

We were also shortlisted for the Best General Ledger System,

Thank you to the team at the PAM Awards for recognizing our accomplishments and contribution to family office accounting and bill payment.

Congratulations to the winners of the other categories, and to all who were shortlisted.

Plumb Family Office Accounting & Bill Pay is a high-touch, hi-tech family office accounting and bill pay service provider whose solutions are custom designed to meet the needs of high-net-worth and ultra-high-net-worth clients and family offices.

With decades of experience in this distinctive and niche market, Plumb delivers financial peace of mind by assisting high-net-worth individuals and family offices know where their money is going, so their trusted advisors can effectively manage it. We work in partnership with their team — including wealth, CPA, and other advisors — to provide the highest quality of data and financial reporting to establish a holistic view of their assets and financial holdings. This gives them true control of their wealth and establishes the foundation for effectively implementing their financial strategies.

Let’s talk about how we can help you build trusted relationships with your clients.

Plumb Shortlisted for 2 More Awards

2022 was a great year for Plumb, and 2023 is certainly getting off on the right foot!

We’re thrilled to announce that we are shortlisted for 2 awards from The Family Wealth Report:

  • Property & Household
  • Leading Individual – for our very own EVP, Anneke Stender

We are also shortlisted for these 3 awards as we announced last month:

Thank you to The Family Wealth Report Awards for including us on your shortlist, and congratulations on 10 years of award-giving.

We wish the best of luck to our impressive list of co-shortlisted companies.

Stay tuned for the announcement of the winners.

Plumb Family Office Accounting & Bill Pay is a high-touch, hi-tech family office accounting and bill pay service provider whose solutions are custom designed to meet the needs of high-net-worth and ultra-high-net-worth clients and family offices.

With decades of experience in this distinctive and niche market, Plumb delivers financial peace of mind by assisting high-net-worth individuals and family offices know where their money is going, so their trusted advisors can effectively manage it. We work in partnership with their team — including wealth, CPA, and other advisors — to provide the highest quality of data and financial reporting to establish a holistic view of their assets and financial holdings. This gives them true control of their wealth and establishes the foundation for effectively implementing their financial strategies.

Let’s talk about how we can help you build trusted relationships with your clients.