Question

Which phase of the financial life cycle includes ‘income tax reduction’? A. wealth accumulation phase B. asset relocation and restructuring phase C. basic wealth management phase D. estate planning phase

Answer 1

People should focus on income tax reduction during the basic wealth management phase of the financial life cycle along with cash management and debit management.

Answer 2

Answer: C. basic wealth management phase

Explanation: Basic wealth management phase is a component in the financial life cycle phase that entails cash management, risk management, tax management, credit and debt management. Others phases involved in the levels of financial cycles includes wealth distribution and management.