A comprehensive financial plan is your strategy for achieving your financial goals and objectives. It addresses all areas of your financial situation along with pertinent data relating to the development of the plan, including:
- Relevant personal and family data for everyone included in the financial plan.
- Goals and objectives.
- Identification of issues and problems in reaching those goals and objectives.
- Assumptions used in the plan including inflation, investment growth, and mortality rates.
- An Estate Asset and Liability Worksheet and Personal Financial Statement.
- Cash flow analysis, which shows sources and uses of funds over the years and indicated “net cash flow”
- Income tax planning to minimize taxes over the duration of the financial plan.
At Squam Lakes Financial Advisors, we typically complete a financial plan for new clients in three to five meetings. The plan ensures that all major financial areas are addressed. At the end of this process, our client receives a complete comprehensive financial plan, and that plan is reviewed in detail, including implementation steps.
During this process, we will review and make recommendations on these areas:
- 25-year cash flow projection, which includes income projections and tax estimates.
- Tax-efficient, long-term strategies for paying for children’s and grandchildren’s college education.
- Assist in preparing an investment policy statement.
- Identification of time horizon for investments.
- Recommendation of an asset allocation to match risk, time horizon, and other parameters.
- Recommendation for selecting a portfolio manager to implement investments (or communication with client’s current investment manager, if desired).
- Review employment-related benefits, qualified plan contributions, and other tax-deferral arrangements. Recommend ways to maximize benefits.
- Estimate Social Security benefits, and recommend Social Security start date and strategies.
- Consider healthcare and long-term care in retirement.
- Tax minimization and deferral strategies, including tax-free bonds and contributions to IRAs, qualified retirement plans, and college savings programs.
- Planning for Alternative Minimum Tax.
- Analyze current insurance policies with insurance professionals.
- Recommend types and amounts of coverage for property & casualty, health, major medical, excess liability, disability, life insurance, and long-term care coverage.
- Provide referrals to insurance professionals, as needed.
- Review of current wills, trusts, powers of attorney, and related documents. Recommendation of new or updated documents.
- Analyze beneficiary designations and proper titling of assets.
- Discuss desired gifting strategies.
Implementing recommendations from us is the responsibility of the client, unless the client selects the Comprehensive Financial Planning with Retainer package.
Squam Lakes Financial Advisors, LLC
Comprehensive Financial Planning
Serving NH, Vermont, Maine, and Massachusetts
31 Coxboro Road
Holderness, NH 03245