Podcast Summary: Deeper CPA Financial Planning Connections

Episode: Celebrating 30 Years in the Industry
Podcast: AICPA Personal Financial Planning (PFP)
Host(s): Lyle Benson (Host, Founder) with Chris Benson (Co-Host, Successor)
Date: January 28, 2025

Episode Overview

In this milestone 30th episode, Lyle Benson welcomes his son and successor Chris Benson for an in-depth conversation marking both the 30th anniversary of their CPA financial planning firm and three decades of evolution in the profession. The episode delves into the personal journeys of both father and son, explores dramatic changes in financial planning, discusses the nuances of delivering holistic wealth management, and considers the directions the CPA financial planning profession might take in the future.

Key Discussion Points & Insights

1. Chris Benson’s Path into Financial Planning

• Accidental Entry: Chris initially planned an engineering career but shifted to a general business degree and later accounting after discovering an aptitude for it ([01:27]).
  • “I thought I wanted to be an engineer. Never really gave any thought to financial planning, accounting, anything like that … and after less than a year of engineering classes, I decided that wasn’t for me.” – Chris ([01:30])
• Experience at Grant Thornton: Five years in tax, earning his master’s in tax, CPA, and PFS, before joining the family firm ([01:40]–[02:30]).

2. Transitioning from Big CPA Firms to a Small Practice

• Decision Factors: Chris weighed community, scale, and professional growth opportunities between Grant Thornton and the family firm ([03:00]).
  • “I also had some really strong connections there … it was hard for me to say goodbye to them.” – Chris ([03:18])
• Motivation: Desire for broader client impact and a more supportive environment for wealth management ([03:50]).

3. The Central Role of Tax in Holistic Financial Planning

• Tax as the Foundation: The tax return is the starting point for all client relationships; tax planning is foundational to ongoing advice ([04:56]–[07:06]).
  • “You can learn so much about a client just by looking at their tax return.” – Chris ([05:23])
  • “It makes sense for us to be the ones to prepare that tax return ... it’s really just a cyclical way to work with clients.” – Chris ([06:29])
• Year-Round Cycle: Tax preparation, in-year planning, and end-of-year projections integrate client service throughout the year.

4. Client Value: Planning and Tax Minimization over Investment Alpha

• Emphasis on Planning: The firm’s value is rooted in planning and tax work, not in “beating the market” ([08:02]).
  • “I don’t think many people in this day and age can really provide a huge benefit on the investment side ... but you can certainly save them a lot in taxes and costs.” – Chris ([07:36])
• Investment Management Approach: The firm avoids an AUM (Assets Under Management) fee model, favoring fixed or hourly fees tied to complexity and service ([08:47]–[11:01]).
  • “We think that most of our value is in the planning and in the tax work … we don’t think it makes sense to tie our fees to the value of a portfolio.” – Chris ([08:56])

5. Fee Models and Client Alignment

• Advantages of Fixed/Hourly Fees: Reduced conflicts of interest and greater appeal to diverse client types ([10:00]).
• Drawbacks: No automatic fee increases via market growth; requires regular conversations about pricing ([10:49]).
• Industry Shifts: Growing interest among planning firms in non-AUM models, though AUM remains entrenched ([11:30]).
  • “Why am I paying 1% of my total portfolio? It should be based on what you’re doing for me.” – Chris ([11:48])

6. Professional Landscape Changes (Last 15–30 Years)

• Financial Planning as a True Profession: Expansion of specialized university programs; more direct paths into planning without sales or audit/tax detours ([13:17]).
• Digitization & Technology: Transformation from paper-based files to electronic records, allowing greater client capacity and efficiency ([13:50]).
  • “When I started, … every tax document was in paper … And now everything is electronic … we can do more for our clients … It's been a massive benefit.” – Chris ([13:54])

7. The Era of Educated Clients and the Role of AI

• Client Sophistication: Clients now arrive with pre-formed ideas from abundant online resources—sometimes useful, sometimes misguided ([15:07]).
• AI as an Augmenter: AI tools are seen as helpful (for research and ideation) but no substitute for human advisors, especially in moments of crisis ([15:54]–[18:09]).
  • “The calculator didn’t replace us … AI … will augment us, just as technology always has.” – Chris ([15:57])
  • “This is a money issue. … People are not going to easily trust an AI on.” – Chris ([16:42])

8. Day-to-Day Rewards and Ongoing Learning

• Most Fulfilling Activities: Direct client relationships, ongoing client conversations, and continuous learning/research ([18:45]).
  • “What I enjoy most … is client conversations and meetings with clients … just getting an update on where clients stand and what’s going on in their lives.” – Chris ([18:54])
• Love of Education: Ongoing professional education is a genuine passion, not just a regulatory requirement ([20:03]).

9. The Power of Professional Community

• Early Involvement: Chris’s engagement with the AICPA PFP conference catalyzed his interest; the network of CPA planners replaced the “large firm” support system ([21:19]–[22:30]).
• Study Groups: Peer mentorship and exchange of ideas support both firm and personal growth ([21:58]).
  • “I think it’s really helped me feel like I have a bigger firm … and just giving back to that community has been incredibly valuable too.” – Chris ([22:50])
• Impact on Hiring and Business Opportunities: Connections forged through the profession yield tangible business and recruiting benefits ([23:32]).

10. Evolving Practice Models and Succession

• Diversity of Models: From remote-only firms to PE-backed and regional powerhouses, there’s no “one way” to build a successful practice ([26:13]).
• Importance of Fit: The right business model should match both advisor strengths and client needs ([27:01]).
  • “If you want to work with young people, then the historical AUM model is probably not going to work … If you want to work with really high net worth clients, maybe AUM doesn’t make as much sense.” – Chris ([27:17])
• Variety Keeps it Engaging: The firm's diverse client base—from mass affluent to multi-family office—keeps the work interesting and allows for cross-pollination of planning strategies ([28:39]).

11. Looking Forward

• No Crystal Ball, But Optimism: Chris embraces the uncertainty and opportunities of the profession’s future, especially as technology continues to evolve ([29:05]).
  • “I’m excited to see what happens in the future. I don’t know what the future holds. … I’m excited to learn more and see how technology advances …” – Chris ([29:07])

Notable Quotes & Memorable Moments

• On the full-service tax approach:
  • “We start with a tax return, we review the tax return. It gives us a, a great base of knowledge about the client.” – Chris ([05:15])
• On fixed fees vs AUM and value:
  • “We do have hourly fees and we have fixed fees. And it’s not just one blanket model.” – Chris ([12:31])
• On technology’s transformation:
  • “We can do more for our clients and we can work for more clients now that we couldn’t have worked for 15 years ago.” – Chris ([14:12])
• On the irreplaceable role of a human advisor:
  • “They need somebody, not a robot, to tell them, stay the course.” – Chris ([17:12])
• On the profession’s sense of shared purpose:
  • “We lift each other up. And I think that’s been an amazing part of the process along the way.” – Lyle ([24:08])

Timestamps for Key Segments

• Chris’s Career Journey: [01:27]–[02:32]
• Transition from Big to Small Firm: [03:00]–[04:24]
• Tax as Backbone of Planning: [04:56]–[07:06]
• Firm’s Investment & Fee Philosophy: [08:02]–[12:49]
• Professional Landscape Evolution: [13:17]–[15:07]
• Clients, AI, and Practice Insight: [15:07]–[18:09]
• Personal Rewards & Learning: [18:45]–[20:40]
• Professional Community & Collaboration: [21:19]–[23:54]
• Practice Models and Succession: [24:34]–[29:05]
• Looking to the Future: [29:05]–[29:34]

Closing Thoughts

This episode offers both a heartfelt reflection on three decades of progress for one firm and a broad survey of the evolution of the CPA financial planning profession. Lyle and Chris Benson’s open dialogue is filled with practical wisdom on client service, career development, practice management, and the importance of community in a rapidly changing landscape.

To explore more resources and join the AICPA PFP community, visit aicpa.org/pfp.