An EY Partner charting the course leading up to their retirement faces eight critical and convoluted decisions. Each can have a significant impact on your net worth, legacy, income tax situation and more — and there is no un-do button.
The BEYOND Partner Retirement Navigator By Sanderson Wealth Management takes a phased approach to each of these decisions, bringing a unique blend of insight, ethos, and independence expertise born of The Firm itself, to provide expert guidance at every crossroad.
Let’s look at the decisions faced by an EY Partner looking toward retirement and how Sanderson helps you navigate.
PHASE 1 - Understanding - 5-7 Years Leading Up To Retirement
The first of two phases is the Beyond Wealth Accumulation phase, and this is a time for understanding between the Partner and the Sanderson team. Ideally, this comprises the five to seven years leading up to an EY Partner’s retirement. However, any length of pre-retirement time will be utilized by Sanderson and our EY Partner clients to set you up for your ideal balance of financial security and legacy planning.
Phase 1 encompasses Critical Decisions #1, 2, and 3.
Critical Decision #1: Should I look beyond simple index funds and engage an investment advisor for more sophisticated and risk-aligned alternatives—despite EY independence constraints?
The first—and perhaps most foundational—decision you face as you begin planning your retirement is whether to engage an investment advisor who understands the full complexity of your EY-specific financial landscape.
Throughout your career at EY, your focus has been on serving clients at the highest level, often leaving personal wealth strategy on the back burner. Now, as you shift toward planning your own future, the question becomes: Is your current approach to investing sophisticated enough to meet your long-term financial goals, especially under the unique constraints of EY independence?
Many EY Partners default to basic, passive index funds simply because they appear safe, familiar, and compliant. But in reality, these strategies may limit your financial growth potential and lack the flexibility to support your retirement and legacy objectives.
Choosing the right advisor—one who prioritizes **your interests, not the Firm’s—**is a pivotal first step. Whether you’re five to seven years away from retirement or closer to the finish line, this decision will shape how well-positioned you are to maximize opportunities, minimize risk, and maintain full independence compliance.
Factors to Consider:
A career at EY has given you unique exposure to the financial industry—but also unique constraints. As you approach retirement, you must ask yourself:
- Are traditional index funds enough to sustain my financial goals? Many EY Partners default to passive investments due to independence rules. But these strategies may lack diversification and tax efficiency, limiting long-term returns. Alternative strategies exist—if managed correctly.
- How will decisions about these plans impact my legacy and future liquidity? You need to assess whether to prioritize guaranteed income streams, lump-sum withdrawals, or asset preservation for future generations—all while factoring in risk tolerance and tax exposure.
- Could I benefit from sophisticated, risk-adjusted investment opportunities? EY independence constraints may seem like a roadblock to more dynamic investments, but there are fiduciary-driven solutions that align with your retirement goals while satisfying compliance requirements. The question is: do you have the right expertise guiding you?
- Should I rely on an advisor chosen by EY, or one who works solely in my best interest? The Firm has provided a list of "approved" advisors, but none of them are fiduciaries. These advisors may be more aligned with EY’s interests than yours. As an EY Partner, you have the right to choose an advisor who prioritizes your long-term security over firm-friendly strategies.
How Sanderson Navigates This Decision:
Sanderson Wealth Management has built The BEYOND Partner Retirement Navigator™ with EY-specific expertise, designed to address independence constraints while unlocking greater financial opportunities for Partners like you.
- Deep EY Independence Expertise: We have direct insight into EY's independence database and an understanding of Covered Person levels, ensuring compliance with Firm requirements while optimizing your portfolio.
- Bespoke Investment Strategies: Unlike firm-appointed advisors, we integrate non-traditional investments like private equity and hedge funds to enhance returns and manage volatility—without compromising EY independence standards.
- Quarterly Independence Checks: Your investments aren’t static. We proactively test your portfolios against EY’s evolving independence lists, ensuring your wealth strategy stays compliant without limiting your financial potential.`
- Fiduciary-First Approach: Unlike EY’s recommended advisors, Sanderson works solely for you and your family, not the Firm. Our only priority is helping you build a retirement strategy that optimizes your long-term financial security and legacy.
Critical Decision #2: How Do I Make the Most of My Bespoke EY Retirement Assets?
After deciding whether to engage an investment advisor, the next major consideration for an EY Partner is how to strategically leverage the wealth-building tools provided by the Firm. EY offers a variety of bespoke retirement plans and deferred income accounts, including the HR-10 and PDBRP. While these assets are powerful, they also come with significant complexity—and decisions about them carry long-lasting financial implications.
This is where Critical Decision #2 comes into play: How do I make the most of my EY-specific retirement assets, and how do they fit into my broader financial picture and legacy goals?
Many Partners focus on maximizing account balances without fully understanding how these assets interact with other elements of their wealth, including outside investments, tax obligations, family planning, and long-term legacy desires. Without careful, integrated analysis, it’s easy to overlook opportunities—or worse, misalign elections in ways that diminish future security or generational wealth.
Sanderson Wealth Management approaches these assets holistically, not in isolation. We examine every piece—inside and outside EY—to ensure your retirement strategy is fully optimized and harmonized with your life goals.
Factors to Consider:
- What is the role of my HR-10 Plan and PDBRP in my overall financial strategy? These bespoke EY retirement assets are valuable but complex. Each comes with a unique structure, payout option, and tax implication, requiring careful consideration of how to leverage them most effectively.
- How will decisions about these plans impact my legacy and future liquidity? You need to assess whether to prioritize guaranteed income streams, lump-sum withdrawals, or asset preservation for future generations—all while factoring in risk tolerance and tax exposure.
- How do my EY retirement assets integrate with my personal wealth and external investments? EY’s plans shouldn’t be viewed in isolation. It's essential to understand how these Firm-specific assets dovetail with your broader financial portfolio and how they can be optimized alongside outside holdings.
- What tax implications come with different elections? Improper alignment may lead to unnecessary tax drag, impacting both retirement cash flow and long-term wealth transfer strategies.
How Sanderson Navigates This Decision:
Sanderson Wealth Management helps EY Partners gain clarity and confidence regarding their bespoke retirement assets. We bring years of direct EY experience to bear, offering:
- Comprehensive Analysis of EY Retirement Plan Attributes: We meticulously evaluate every component of your EY retirement benefits—including HR-10, PDBRP, capital accounts, and deferred income opportunities—to help you understand how they fit into your overall wealth strategy.
- Integration with Your Broader Financial Picture: Unlike general advisors who may treat EY assets in isolation, we model how each election interacts with your personal balance sheet, spouse’s assets, inheritances, and upcoming life expenses.
- Accurate Forecasting Using Wealth Studios™: Our proprietary Wealth Studios platform allows us to forecast long-term growth potential and savings opportunities under different scenarios—giving you clear projections to evaluate various timelines, payout elections, and risk trade-offs.
- Personalized Roadmap Aligned to Legacy and Security Goals: Whether your focus is maximizing liquidity, minimizing taxes, or building a lasting family legacy, we design an individualized plan that aligns all aspects of your wealth, inside and outside EY, with your ultimate goals.
Critical Decision #3: How Much Financial Exposure to the Firm Am I Comfortable With?
After determining how to optimize your EY retirement assets, it’s time to evaluate your broader financial exposure to the Firm itself. As a senior EY Partner, a significant portion of your wealth has naturally accumulated within the Firm—through capital accounts, deferred income programs, pension plans, and other bespoke benefits.
This leads to Critical Decision #3: How much of your financial success—and risk—should remain tied to EY?
While loyalty to the Firm has served you well throughout your career, over-concentration in any single entity can expose you to unnecessary risk, especially during periods of industry disruption, Firm restructuring, or unexpected market shifts. Recent developments like AI-driven changes to professional services, or structural shifts such as a potential Project Everest 2.0, can have an outsized impact on your retirement outlook if too much of your wealth is dependent on EY.
This decision requires a thoughtful, unbiased assessment—not only of how much exposure you currently have, but whether adjustments are necessary to reduce risk and align with your long-term financial and legacy goals.
Factors to Consider:
- What percentage of my total wealth is currently tied to EY? Accumulated over years, your EY capital, deferred income, pension, and retirement assets may represent a disproportionate share of your portfolio.
- Am I comfortable with potential disruptions to the Firm’s business model or industry? Changes such as technological innovations, global economic shifts, and internal restructuring initiatives (e.g., Project Everest 2.0) can significantly affect your Firm-tied assets.
- Could diversification outside the Firm reduce unnecessary risk and improve financial flexibility? Diversifying beyond EY-specific holdings may help mitigate volatility, improve liquidity, and better support long-term wealth transfer goals.
- Do I have a clear understanding of how EY exposure fits into my full balance sheet? Many advisors overlook how interconnected your Firm benefits are with other investments, which can mask overexposure or unintended risk concentrations.
How Sanderson Navigates This Decision:
Sanderson Wealth Management helps EY Partners carefully quantify and manage their financial exposure to the Firm, balancing loyalty with long-term financial prudence. Our approach includes:
- Comprehensive Analysis of EY Retirement Plan Attributes: We meticulously evaluate every component of your EY retirement benefits—including HR-10, PDBRP, capital accounts, and deferred income opportunities—to help you understand how they fit into your overall wealth strategy.
- Integration with Your Broader Financial Picture: Unlike general advisors who may treat EY assets in isolation, we model how each election interacts with your personal balance sheet, spouse’s assets, inheritances, and upcoming life expenses.
- Accurate Forecasting Using Wealth Studios™: Our proprietary Wealth Studios platform allows us to forecast long-term growth potential and savings opportunities under different scenarios—giving you clear projections to evaluate various timelines, payout elections, and risk trade-offs.
- Personalized Roadmap Aligned to Legacy and Security Goals: Whether your focus is maximizing liquidity, minimizing taxes, or building a lasting family legacy, we design an individualized plan that aligns all aspects of your wealth, inside and outside EY, with your ultimate goals.
PHASE 2 – Analysis – 12 Months Leading Up To Retirement
Once the years of wealth accumulation and preparation are behind you, your focus shifts to the critical final stage before retirement. Phase 2 is the Acute Retirement Analysis phase. It typically encompasses the 12 months leading up to an EY Partner’s retirement, when the decisions you make carry immediate and lasting financial impact.
At this point, it’s no longer about long-term positioning—it’s about making definitive, often irreversible elections that affect your retirement income, liquidity, tax efficiency, and legacy.
Sanderson Wealth Management brings deep experience and EY-specific expertise to this phase, guiding you holistically through each decision so they work together seamlessly. Each of the five remaining Critical Decisions must be considered not in isolation, but as interconnected choices that shape your financial security and family legacy.
Phase 2 encompasses Critical Decisions #4 through #8.
Critical Decision #4: When Is the Right Time to Retire?
Once you’ve assessed your investment advisor, optimized your EY retirement assets, and evaluated your exposure to the Firm, you’ll face a pivotal crossroads: When is the right time to retire?
This decision often weighs heavily on EY Partners, not just financially but personally. The timing of your retirement affects income potential, stress levels, personal fulfillment, and long-term legacy planning. The choice isn’t as simple as reaching a particular age or milestone. Instead, it’s about determining the balance between continued earning potential, quality of life, and the security of your future financial goals.
Some EY Partners feel pressure to keep working, aiming to maximize deferred income or pension benefits. Others may prefer to retire sooner but worry about leaving earnings on the table. Without detailed financial modeling, it's difficult to know whether continuing to work longer provides true financial advantage—or whether earlier retirement could offer a better blend of security and personal fulfillment.
Factors to Consider:
- What are the financial trade-offs if I retire now vs. later? Waiting a few more years could increase income and pension benefits, but may not significantly change your overall financial outcome once taxes, stress, and lifestyle are factored in.
- How do my career goals align with my personal well-being? Are the demands of continued Partner-level responsibility sustainable—both mentally and physically—for another year or more?
- How will the timing of my retirement affect my family’s financial security and long-term legacy? Balancing immediate income needs with multi-generational wealth goals requires a clear understanding of how each retirement date impacts your cash flow, investments, and tax liabilities.
- What is the broader economic and industry outlook? EY’s business model, industry trends, and global market conditions could influence the optimal time to retire.
How Sanderson Navigates This Decision:
Sanderson Wealth Management provides EY Partners with detailed, data-driven guidance to navigate this crucial timing decision with confidence:
- Retirement Timing Projections: We model the financial impact of various retirement dates, incorporating factors such as earnings trends, deferred income accumulation, pension growth, and tax implications.
- Scenario Analysis Using Historical and Industry Data: Our analysis includes industry shifts, potential Firm changes, and economic conditions to project how external factors may influence your retirement plan.
- Holistic Evaluation of Lifestyle and Legacy Goals: Beyond numbers, we take the time to understand your personal aspirations, family priorities, and desired legacy—ensuring your retirement decision supports both your financial security and personal well-being.
- Customized Strategy Aligned to Your Unique Circumstances: Rather than applying a one-size-fits-all formula, we tailor your retirement timeline based on the full complexity of your EY-specific benefits, personal investments, and family financial picture.
Critical Decision #5: Should I Take the Annuity or Lump Sum Option for My PDBRP and Top Hat HR-10 Plan?
With your retirement date approaching, one of the most financially consequential decisions you will face is whether to take the annuity or lump sum option for your PDBRP and Top Hat HR-10 retirement plans.
This decision is irreversible—there is no option to adjust once you’ve made your election—so understanding the long-term ramifications is critical. The choice you make can significantly affect your net worth, liquidity, tax exposure, and how you structure your retirement income and legacy.
The annuity may offer the stability of guaranteed lifetime payments, but often comes with less flexibility and potential for long-term growth. The lump sum provides control, immediate liquidity, and legacy opportunities—but shifts the responsibility for managing and investing that wealth squarely onto you.
This decision requires more than basic comparisons—it demands deep scenario analysis tailored to your specific financial picture, risk tolerance, and legacy objectives.
Factors to Consider:
- Which option better aligns with my risk tolerance and income needs? The annuity guarantees a steady stream of income but may offer lower growth potential. A lump sum, meanwhile, can provide more control and opportunity, but exposes you to market risk.
- How do taxes impact each option? Annuity payments are subject to income tax annually, while a lump sum rollover into an IRA allows for more control over withdrawals and tax timing.
- What’s the best fit for my long-term wealth preservation and legacy goals? Do you prefer lifetime security, or do you want flexibility to potentially grow and transfer wealth to future generations?
- How does this decision interact with my broader financial portfolio and EY-specific benefits? These elections can’t be evaluated in isolation—they affect everything from required minimum distributions to estate tax planning.
How Sanderson Navigates This Decision:
At Sanderson Wealth Management, we bring deep expertise to guide EY Partners through this pivotal choice, ensuring all variables are accounted for:
- Comparative Analysis of Annuity vs. Lump Sum Options: We break down the specific PDBRP and Top Hat HR-10 plan details, providing a side-by-side evaluation of both options' long-term financial impacts.
- Scenario Modeling Tailored to Your Financial Goals: Using proprietary tools, we run detailed projections under various market conditions, tax environments, and withdrawal strategies to demonstrate how each option performs over time.
- Tax-Efficient Rollover & Withdrawal Strategies: If you choose the lump sum, we advise on rolling it into an IRA and implementing tax-optimized strategies for withdrawals to preserve wealth and minimize tax drag.
- Liquidity, Stability & Legacy Considerations: We align our recommendations with your desired balance between guaranteed income, financial flexibility, and wealth transfer goals—ensuring you choose the path that best supports your retirement and your family’s future.
Critical Decision #6: Leave HR-10 on Deposit with the Firm or Roll It Over to an IRA?
As you finalize the key decisions for your retirement, you’ll face another significant election: Should you leave your HR-10 plan assets on deposit with the Firm, or roll them over to an IRA?
This decision is about more than account logistics—it can have a profound impact on your liquidity, tax planning flexibility, and long-term wealth preservation.
Leaving the HR-10 on deposit may feel familiar and convenient, but it may limit your ability to tailor your retirement strategy, diversify your investments, or fully leverage tax advantages. On the other hand, rolling it over to an IRA offers greater control, but requires careful coordination with EY independence requirements and your broader portfolio.
Getting this decision right is critical for optimizing your income strategy and legacy planning.
Factors to Consider:
- Does keeping my HR-10 on deposit limit my flexibility? While keeping assets within the Firm may seem straightforward, it can restrict your investment options, reduce tax planning opportunities, and limit customization.
- Would rolling over to an IRA offer greater control and tax efficiency? An IRA rollover opens up a broader universe of investment strategies, as well as opportunities for tax-optimized withdrawals and legacy planning.
- How will this decision affect my liquidity, independence compliance, and long-term financial plan? EY’s independence rules still apply post-retirement, so rollover strategies need to be executed carefully to avoid compliance pitfalls.
- What are the estate and wealth transfer implications of each option? How your HR-10 assets are positioned may influence future Required Minimum Distributions (RMDs), tax liabilities, and inheritance plans.These elections can’t be evaluated in isolation—they affect everything from required minimum distributions to estate tax planning.
How Sanderson Navigates This Decision:
Sanderson Wealth Management specializes in helping EY Partners navigate this pivotal choice with precision and foresight:
- Independent, Detailed Analysis of Benefits & Risks: We weigh the advantages and disadvantages of leaving your HR-10 with the Firm versus rolling over to an IRA, providing clear, customized recommendations.
- Tax-Efficient Rollover Strategies: If an IRA rollover is right for you, we design strategies that maximize tax efficiency, including careful asset location planning and withdrawal sequencing.
- EY Independence Compliance Expertise: We ensure your rollover and subsequent investment decisions fully comply with EY’s independence guidelines, preventing conflicts or compliance issues.
- Alignment with Broader Wealth & Legacy Goals: We coordinate your HR-10 decision within the context of your complete financial picture—ensuring it supports your long-term liquidity, family wealth transfer objectives, and risk tolerance.
Critical Decision #7: What Joint & Survivor Election Should I Make for Annuitized Benefits?
One of the final, yet highly impactful decisions you’ll make before retirement involves your annuitized benefits: What Joint & Survivor (J&S) election should you choose?
This decision shapes not just your own income during retirement, but the financial security of your spouse or beneficiaries. It requires a careful balance between providing for loved ones and ensuring your retirement income remains sufficient for your needs.
Once selected, this election cannot be changed—making it critical to evaluate all possible scenarios, including longevity, tax implications, and family dynamics.
Factors to Consider:
- What level of income security do I want to provide my spouse or beneficiaries? Choosing a higher survivor benefit may reduce your immediate retirement income, but provide peace of mind for your family’s future.
- How will each election impact my cash flow and tax obligations over time? Different J&S elections affect not only payout amounts but also long-term tax exposure and estate planning.
- What are my and my spouse’s life expectancies, health considerations, and broader family circumstances? These personal factors play a crucial role in determining the most prudent election.
- How does this election align with my broader financial strategy and legacy goals? The J&S decision should fit seamlessly with your overall retirement plan, risk tolerance, and multi-generational wealth strategy.
How Sanderson Navigates This Decision:
Sanderson Wealth Management provides EY Partners with a thorough, data-backed approach to make this critical election confidently:
- Comprehensive J&S Election Guidance: We help you evaluate the full range of J&S options, ensuring the election you choose reflects your goals for both retirement income and family financial security.
- Risk & Financial Impact Assessments: We model various scenarios—including different life expectancies, inflation, and tax outcomes—to reveal how each election option may perform over time.
- Alignment with Cash Flow & Tax Strategies: Your J&S election is integrated into your broader financial plan, ensuring it supports your desired balance of retirement income stability and tax efficiency.
- Legacy & Wealth Transfer Considerations: We ensure that your choice supports not only immediate family needs but also long-term wealth transfer and estate planning objectives.
Critical Decision #8: Should I Take Advantage of Deferred Income Opportunities?
The final decision in your retirement journey revolves around whether you should participate in Deferred Income Opportunities. These programs, while offering potential tax advantages and savings benefits, require careful analysis to determine if they align with your financial goals and retirement cash flow needs.
Deferred income strategies can be powerful tools for reducing taxable income during your highest-earning years and enhancing financial flexibility in retirement. However, the timing, structure, and implications of participation must be considered holistically, taking into account your overall financial picture and future cash flow.
Factors to Consider:
- Do deferred income opportunities fit within my overall tax strategy? Properly structured, these plans can provide meaningful tax deferral benefits—but misalignment could limit flexibility or create unnecessary tax burdens in retirement.
- How will deferred income elections impact my retirement cash flow? Balancing the benefits of tax deferral with the need for predictable, accessible income is key.
- What are the liquidity and risk implications? While deferring income may reduce current tax liabilities, it can also reduce available liquidity pre-retirement.
- How does this integrate with my wealth transfer and legacy planning strategy? Deferred income must be factored into estate planning to avoid unintended consequences.
How Sanderson Navigates This Decision:
Sanderson Wealth Management helps EY Partners evaluate deferred income opportunities in the context of their complete financial picture:
- Assessment of Deferred Income Options: We analyze available deferred income programs, identifying those that complement your tax situation and long-term goals.
- Integration into Cash Flow Objectives: We model how deferred income elections affect your future cash flow, balancing tax efficiency with financial flexibility.
- Long-Term Tax Planning & Minimization: Your J&S election iOur tax-focused approach ensures deferred income is optimized to minimize liabilities across your retirement and estate plan.
- Alignment with Broader Legacy Goals: Deferred income elections are integrated into your multi-generational wealth strategy, ensuring they support not just your retirement, but your family's financial future.
In Conclusion
You’ve spent your career building success. Now, after navigating these 8 Critical Decisions, it’s time to ensure your retirement reflects the same level of precision, foresight, and care.
With the BEYOND Partner Retirement Navigator™ by Sanderson Wealth Management, every decision is made with your financial security, family legacy, and independence in mind—giving you the clarity and confidence to step into retirement knowing you’ve maximized every opportunity.
Your retirement should be as rewarding as the career that earned it.
Let’s chart your custom path forward. Call Justin Sanderson today at 716.566.2420 for a no-obligation, personalized consultation.