Inputs
Portfolio
Bucket Allocation 100%
Asset Class Allocation 100%
Tax Rates
📋 Quick Profiles
Bucket Snapshot
Current After-Tax Wealth
$0
As placed today
Optimal After-Tax Wealth
$0
If repositioned per rules
Location Improvement
$0
Lifetime after-tax gain
Current Placement
Asset class × Tax bucket ($)
Optimal Placement ★
Per CFP investment-planning rules
Location Mismatch Flags
Projected After-Tax Wealth
Current vs. optimal location over horizon
Power of Zero — Bucket Mix
Target: ≤ $400K per spouse in tax-deferred
The Asset Location Insight:
- Allocation ≠ Location. Two investors with identical 60/40 portfolios can end up with very different after-tax wealth depending on which dollars are in which tax bucket.
- Tax-inefficient assets belong in shelters. Bonds, REITs, and high-turnover funds throw off ordinary-income distributions — shield them in tax-deferred or tax-free accounts.
- Tax-efficient indexes go taxable. Low-turnover index funds qualify for long-term cap gains and step-up basis at death — wasted in a shelter.
- Highest-growth assets belong in Roth. Small caps, emerging markets, and aggressive growth grow tax-free forever in a Roth/LIRP — maximum compound tax savings.
- Power of Zero "$400K rule": When tax-deferred balances exceed ~$400K per spouse, RMDs in retirement push Social Security into the taxable zone. Excess should be Roth-converted before age 73.