The comprehensive financial planning process is a structured approach to analyzing all
aspects of your financial situation, recommending changes, implementing them and monitoring
progress on an ongoing basis. This process is interactive and collaborative -- you will be asked
to collect a variety of information and documents and to review aspects of the plan as it is
developed.
This methodology has been proven effective over many years of use and attempting to shortcut
it tends to be self-defeating.
Step 1. Prior to the Initial Meeting
During the first contact, assuming there is mutual interest, we will set up an appointment
for an initial consultation. This will typically be about two weeks hence to allow time for
preparation. You will be asked to fill out a preliminary questionnaire, available
here or on our
Forms page and to collect as many of the following items as possible:
- Two recent pay stubs
- Recent bank, brokerage and mutual fund statements
- 401(k), 403(b) or other retirement plan statements
- Two most recent federal and state income tax returns
- Social Security statements
- Wills
- Trust documents
These should be brought to the first meeting.
Step 2. Initial Consultation
At our first face-to-face meeting we will review all of the materials you provide and answer any questions
you may have. You should be assured that all information is kept strictly private. But complete honesty and
openness is crucial. Once we have a good understanding of your financial situation we will be able to quote
you a fee. If you are in agreement and decide to continue the process, we will ask you to provide an initial
deposit of $500, at which point our work can begin. Of course, you are under no obligation.
Step 3. Development of the Plan
With this information in hand and a good understanding of your situation and goals, the development of the plan
can proceed in earnest. It will typically take a few weeks for us to digest and analyze the information. Often we find that
we need additional data, forms and statements. We will usually have at least one intermediate meeting to look at
preliminary aspects of the plan and review all of the data. At the final meeting we present and explain the plan to you.
Expect this to take about two hours.
So what is included in the plan? It's a very thorough look at all aspects of your financial situation with
recommendations for any changes that may be appropriate. We generally include the following areas, although
specifics will vary from person to person:
- Cash flow
- Savings and investments
- Insurance
- Taxes
- College savings planning
- Retirement planning
- Estate planning
Often at this point clients are overwhelmed, since it's a lot of information to digest. They want to
go home and think about all of the material covered before deciding on the next steps. That's fine
and normal. When you are ready we will move on to the next step.
Step 4. Plan Implementation and Monitoring
Implementing the plan will typically take many months and we will help you every step of the way.
The specific actions depend, of course, on your plan and which recommendations you choose to proceed with.
Some typical steps you may be working in this stage include
- Keeping closer track of your expenses and curtailing spending
- Paying off credit card debt or a home equity loan
- Shopping around for better insurance or changing deductibles
- Opening new brokerage or college savings accounts and transferring assets
- Seeing a lawyer about drafting or updating a will
The first two to four months are generally the busiest. Thereafter we meet in person
quarterly or so and stay in contact by phone more ofter as needed.