The Financial Plan

The financial plan is the epicenter from which the other aspects of the plan emerge. The data flowing out of the financial plan is what drives the recommendations in the other disciplines of financial planning, such as investments, insurance, education, and wealth transfer.

The financial plan is uniquely fluid since it contains the data that leads to our decisions in other areas and the implementation that is woven back into the plan. It is ever-evolving and completely customizable to the specific needs, goals, and life of each client.

As appropriate for each client, the financial plan includes many of the following:

  • Balance sheet tracking the detail of all assets and liabilities
  • Cash flow statement detailing income and expenses, both currently and over time
  • Summary of all investment accounts, including the account objectives and projected returns
  • Financial independence probability using Monte Carlo projections based on detailed client-specific data
  • Summary of goal-specific accounts, such as education or retirement accounts
  • Projected ability of these goal-specific accounts to meet their objectives and suggested modifications if necessary
  • Tax projection capability based on existing rates or assumed rate changes, along with projected required minimum distributions from qualified accounts
  • Survivor needs and disability projections based on current insurance, as well as recommendations if the projected needs are not met
  • Estate tax projections and recommendations for estate strategies to reduce taxes and efficiently transfer assets