FINANCIAL PLANNING / Part One

Our financial planning services offer a concise approach to coordinating all aspects of your financial life into one consolidated plan, so that all financial activities can be viewed in the context of your specific, personal goals. We begin with a six-step planning process.

OUR SIX STEP PROCESS
First, we take inventory by helping you collect all relevant data regarding your assets and liabilities, and your income and expenses. Next, we identify your goals and objectives, both short and long term. We then analyze the strengths and weaknesses in your current situation and help you set priorities. Following these steps, we identify possible strategies that may help you reach your stated goals. When appropriate we may produce a written plan of action. Finally, we assist you in the implementation of the plan and schedule periodic reviews and updates

THE CERTIFIED FINANCIAL PLANNER™ PRACTITIONER
To become a CERTIFIED FINANCIAL PLANNER™ practitioner, an individual has to demonstrate competency in the six areas vital to comprehensive financial planning (discussed further under The Comprehensive Financial Plan) by successfully completing a series of examinations and maintaining 30 hours of continuing education biannually. CFP™ practitioners recognize the need to coordinate with other financial advisors with whom you may already have established relationships such as your attorney, accountant, general agent or pension administrator (see chart below). The practitioner may also recommend consultation with other outside advisors and specialists in areas where additional expertise is necessary.

DATA GATHERING
Financial planning begins with the collection of personal financial data (shown in the chart below). Although this may feel like an ominous task for you, it is quite necessary to the process. We start with a Financial Planning Questionnaire to help you organize the information. We may also ask you to provide originals or copies of your insurance policies, income tax returns, retirement plan statements, brokerage statements, wills and/or trusts. Your documents will be returned upon the completion of the written plan and all information is kept strictly confidential.

PLANNING CONSIDERATIONS
After all data is gathered, we may ask you to complete a series of questions in an attempt to obtain a perspective on your knowledge and/or interest in your financial affairs, your understanding of the economy and the financial world, your concerns or fears, as well as your specific goals and objectives. We can then begin to discuss the strengths, weaknesses, possible options, opportunities and barriers of your financial situation and the benefits to you, if desired or merited, of a written focus plan or comprehensive plan.

Continue reading about financial planning and ongoing financial plan monitoring.