When planning their next vacation, many people spend a vast amount of time and energy choosing the destination, accommodations, activities, length of stay, transportation and how to keep the kids amused while the adults have some fun as well.
Yet, we have found so many spend little time really delving in to their personal financial roadmap.
Our approach to family diagnostics and financial life assessments is to combine real-life risks and challenges which can face each family unit and combine those with the financial picture and multiple sets of future possibilities. We never know what life will bring so running multiple sets of future scenarios allows our clients to create a plan for whatever life may deliver.
We review the total picture – up and down generations – to assess risk which could impede or possibly derail the family’s financial security. We create a risk matrix to provide a visual overview of issues the client should address. Short term and high risk items comprise the start of our action plan.
Our unique and proprietary approach is to evaluate worst case, moderate and best case scenarios and outline the risks which need to be addressed. The risk matrix hightlights risks we have determined exist in the client’s life along with a timeline and action steps. We work closley with our clients to implement action items in three month increments. We keep our clients focused on executing action steps.
The client agrees to a timeline and our team does its best to help the client execute and assess various solutions along the way. After implementing action items in the first 10-months we work with our clients, we then review updated expense worksheets and ru-run scenarios. We find this way we are now working with better data, the client has had time to digest the plan’s impact and execute many of the recommendations. In our final webinar, we decide on three scenarios and only then do we print the formal plan with future cash flow and net-worth scenarios.
At this time, we receive what has been accomplished and what new areas must be addressed. This approach allows the client to evaluate their progress and tailor the projections as life changes.