Complex Financial Planning Process
Step One: Preliminary Planning Meeting Part One
During the Meeting
- Review Financial Planning Questions
- Review SEC Advisory Disclosure Information
- Review Data You Provided Us
- Review Preliminary Planning Reports:
- Personal Financial Statement
- Cash Flow Analysis
- Tax Analysis
- Answer Questions
- Make Recommendations
Client
- Provides preliminary data one week before meeting (see financial planning checklist)
- Brings written questions to be answered during the meeting
- Signs financial planning contract
- Acknowledges receipt of documentation required by the Securities and Exchange Commission (SEC)
Step Two: Preliminary Planning Meeting Part Two
Troy Smith
- Reviews notes from first meeting with client
- Answers any additional questions
- Reviews sample financial plan
- Reviews monthly financial planning reports
- Reviews pros and cons of flat and hourly fees
- Sets date for data gathering meeting
- Provides checklist for additional data if needed
Client
- Reads notes that were dictated by financial planner after the first meeting, transcribed, and mailed to client
- Decides how to go forward with financial planning – hourly or flat fee
Step Three: Data Gathering Meeting
Troy Smith
- Gathers objective data
- Gathers subjective data and financial planning goals
- Assess investment temperament and risk tolerance
- Prepares reports and analyses
- Writes financial plan containing 13 sections, including recommendations
- Delivers financial plan
- Schedules financial plan presentation meeting
Client
- Commits to the time needed to thoroughly gather all relevant financial data and goals
Step Four: Financial Plan Presentation Meeting
Troy Smith
- Reviews financial plan analyses and recommendations
- Explains how to best utilize the client’s resources to help clients pursue their goals
- Reviews recommended implementation schedule
- Assists client in the implementation process
Client
- Decides on an action plan to implement recommendations contained in the written financial plan
Step Five: Implementation Meeting
Troy Smith
- Assists and educates client during one or more implementation meeting(s): Investment, Charitable Planning, and/or Estate Planning
- Works together and meets with client’s other professional advisers as needed, e.g. the client’s estate attorney and other professional advisors
- Provides monthly financial planning reports: Portfolio, Estate, Rebalancing, Retirement Income, Personal Financial Statements, Tax-Projection Reports, Goals, Asset Allocation, and Cash Flow Reports
Client
- Asks questions and seeks to understand what is implemented
- Seeks to understand the features, benefits, risks and costs of recommended strategies, investments and insuranceProvides financial planner updates on income, expenses, assets, liabilities, goals, and objectives
Step Six: Ongoing Tracking and Financial Plan Updates
Troy Smith
- Provides monthly financial planning reports: Portfolio, Estate, Rebalancing, Retirement Income, Personal Financial Statements, Tax-Advantaged Planning, Goals, Asset Allocation, and Cash Flow Reports
- Provides ongoing advice and recommendations in the areas covered by the scope of the engagement
- Reports and advice given for quarterly flat fee, with no hourly fees. Clients can choose to go back to hourly, as needed, fee arrangement at any time
- Coordinates financial planning with other professional advisors, including client’s CPA
- Conducts annual review meetings as requested by client
Client
- Provides financial planner updates on income, expenses, assets, liabilities, goals, and objectives
