Letter to Stakeholders, July 2025

Tuesday, July 8, 12:15 pm EST. The bill has passed and (new?) tariffs have been announced. Not only did the U.S. Senate pass their version of this year’s tax and spending bill by July 4^th, the POTUS was able to sign it into law by his self-imposed deadline last week. The July 9^th deadline for trade deals has been extended to August 1^st but not without announcements of tariffs on trade from multiple countries. This Administration continues to keep itself in the news, putting pressure on the bond rates we spoke of last month and the U.S. dollar (USD) creating record weakness. The short-term and long-term effects of volatile bond rates USD weakness are wide-ranging but your portfolio has been designed to ride those ups and downs towards your family’s goals regardless. Financially, you remain well positioned. 

Tax Law & U.S. Debt

The so-called “One Big Beautiful Bill” (OBBBA) signed into law last week kept most income tax rates the same but along with significant fiscal policy changes made some major and minor adjustments to tax law. The Committee for a Responsible Federal Budget did a wonderful job of articulating each line item of the bill, the CNBC network provided a handy chart for the tax changes and the Journal of Accountancy provided a line by line description of tax provisions and limitations. Over the coming days more specific information will come out but the Tax Foundation has still estimated a minimum 10-year deficit of $3 trillion. The federal government’s ability to borrow money at low rates may change as the national debt and deficit increase.  We monitor two rates in particular: the 10-year and 30-year bond rates. Sharp rises in those rates can trigger stock market reactions as they did last April. If that happens, we will do what we did then: maintain your portfolio’s positions until there is close to a 20% move. At that point, we rebalance the allocation to maintain your plan. 

Philanthropy

With the OBBBA’s cuts to healthcare access and the Supplemental Nutrition Assistance Program (SNAP), now is a good time to take a new look at charitable giving and perhaps work with partners to be more intentional. Although the President Ronald Reagan era Emergency Medical Treatment and Active Labor Act (EMTALA) requires acute (emergency care) medial assistance to all people regardless of ability to pay, potential healthcare reimbursement cuts to state budgets will limit the capacity of especially well-intended rural communities to provide care. So, what can any of us do? 

In April of 2023, your favorite Jason Howell Company employee Doug Tees earned the Chartered Advisor in Philanthropy (CAP) designation to better serve our client’s interests in charitable giving. This specialized education can help you wade through different giving strategies that reinforce your values while still delivering on your financial needs. Just email Doug to discuss what’s available: Doug@JasonHowell.com. 

More recently, I had the chance to interview Marshall Ginn, founder of Capital Philanthropy, a firm designed to collaborate with families to align giving with their values while educate donors on how to best work with nonprofits. Marshall has decades of experience in philanthropy and also happens to be an accomplished artist. To watch all (or some) of the interview, just click this link.  

History & Commitment to Giving

Our firm has enjoyed a consistent history of committing to philanthropy. Years ago, we made an ongoing commitment to donate 1% of our revenue to charitable causes supporting the environment through 1% for the Planet. Over the past few years, those donations have gone to Northern Virginia Food Rescue providing access to people with food insecurity while also reducing methane gas through reduction of food waste. Over the years we have interviewed leaders from both the Community Foundation for Northern Virginia and the Arlington Community Foundation (ACF).  Two weeks ago, I accepted the opportunity to serve as a member of ACF’s board of trustees beginning in their next term that begins this Fall. And as a result of my decades long contributions to my alma mater, George Mason University, I have also been asked to serve on the George Mason University Foundation’s board of trustees for a 10-year term. 

Both organizations will provide our firm with insight and opportunity. We will use the knowledge gained to continue our service to the community and your interests in philanthropy. 

Jason J. Howell, CFP®, CPWA®, CSRIC® 

President

Jason Howell Company is a family wealth management firm that strengthens the finances of families making the transition from first generation success to family wealth. We envision a world where wealthy families give, grow and govern themselves in ways that enrich their local communities. We do this by reducing the fear, isolation and guilt associated with financial success.

Jason J. Howell, CFP®, CPWA®, CSRIC® and Douglas W. Tees, MBA, CFP® CAP®, CBDA  have spent a lot of time in the Washington, DC area, and are aware that many people who are first generation wealth suffer from a kind of "financial imposter syndrome."  Successful entrepreneurs and family businesses are always looking over their shoulder; government contractors worry about the next contract; former Capitol Hill staffers privately wonder if they should "feel bad" for the money they now make. Imposter syndrome is common among people who work for the many corporate headquarters based in this area as well. These feelings get in the way of properly managing family wealth. We empower them to get organized, build a team of advisors and make decisions.

Our typical "first generation wealth" families include dual income parents who work, save and have just the right amount of fun. For long-time, family owned businesses we focus on much family preservation as we do wealth preservation. 

First generation wealth success stories and family business owners realize that they:

• Need to “do something” with the cash in their checking/savings
• Need to eventually diversify their portfolio away from the family business
• Need an investment strategy for “up” and “down” markets
• Need a plan to mitigate market, credit, inflation, and political risks
• Need to start tax planning instead of just tax paying
• Need to be sure they are choosing the right work benefits
• Need to reduce financial miscommunications between family members
• Need to separate business finances from personal finances
• Need to separate family wealth from individual wealth
• Need a plan to provide space for both family and individual philanthropy
• Need to plan for money while alive and for what happens after death