“I work very long hours in order to earn my income and, now that my school loans are paid off, I enjoy spending that income on my family and lifestyle. My main concern is achieving financial independence and security while still enjoying a great quality of life.”
- Steve, age 42, and Brandy, age 45
- Four children
Steve has enjoyed a gratifying career as a dentist for seven years and feels he will continue to grow his practice in the coming years. Brandy is a full-time mother and homemaker. Steve and Brandy have grown accustomed to the high income created by their successful dentistry practice and enjoy a great lifestyle.
They are finding it more difficult to manage their cash flow in a way that allows them to maintain their lifestyle while at the same time grow their balance sheet in an efficient way. From talking with other professionals in medical-related fields they have some idea of what is typical in the industry, but question if their business and personal financial moves are working for them. Given their growing income, they are also concerned that income taxes will become more burdensome as they attempt to fund their various life goals.
Steve and Brandy need to see their overall financial picture, and our team would provide a plan designed to improve their financial decision making process. With information they provided, a wealth plan would be created showing their cash inflows and outflows, both current and future. Also, a projected balance sheet would be prepared for each year-end from now until retirement and beyond, stretching out to full life expectancy. All of this would be done as a baseline — a representation of the path they were on at that moment.
A list of action items would then be prepared, outlining the steps recommended to improve their situation. Strategies would be established for funding their children’s college, ensuring the kids won’t incur the college debt their parents had to struggle with. Both life and disability insurance levels for Steve indicated he needed more coverage, and a recommendation would be made on benefit amounts and how to obtain low-cost insurance. An investment management program to wisely invest the monies that Steve and Brandy were saving for future needs would be an integral part of any solution.
Our work in assessing Steve and Brandy’s complete situation and acting upon opportunities to enhance it would free up Steve to focus on his patients and growing practice. Brandy would have renewed peace of mind knowing that she will be financially secure and have trusted advisors in place to serve her should anything ever happen to Steve.Disclaimer – These case studies are for illustrative purposes only. They are not based on a particular client’s circumstances and are not personal advice. As this information has been prepared without considering your objectives, financial situation or needs, you should consider its appropriateness to your circumstances. You should seek assistance from your financial adviser before acting on this information.
I have been dedicated to my company and career for many years and have a great income and benefits package to show for it. I want to be sure to make decisions about my entire package of compensation and benefits that will best serve me and my family.
I work very long hours in order to earn my income and, now that my school loans are paid off, I enjoy spending that income on my family and lifestyle. My main concern is achieving financial independence and security while still enjoying a great quality of life.