The Financial Planning Process
As a CERTIFIED FINANCIAL PLANNER® professional, I follow the financial planning process when advising my clients. I believe in this process and find that my clients have a deeper understanding of their goals and objectives and how to reach them when following the process.
Specifically the process involves six steps:
1. Establish The Client-Planner Working Arrangement.
2. Gather Client Data:Determine Goals and Objectives
- I will explain the elements related to the overall financial planning process that are relevant to you and explain the services I will provide.
- Will clarify your responsibilities as a client and my responsibilities as your advisor.
3. Clarify Your Present Financial Status: Identify Any Problem Areas And Opportunities
- I will obtain information about your financial resources and obligations.
- Together we will define your financial goals, needs, and priorities.
- Will also investigate your values, preferences, financial outlook, and desired results as they relate to your goals, needs, and priorities.
4. Develop And Present Your Financial Plan
- I Will analyze your information to assess your current financial situation.(cash flow, net worth, etc)
- Identify any problem areas or opportunities with respect to the following: Risk Management, Capital Needs, Investments, Taxation, Retirement Planning, Employee Benefits, Estate Planning, and any Special Needs.
5. Implement The Financial Plan
- The plan will be tailored to meet your goals, objectives, values, and risk tolerance while providing projections and recommendations.
- Present the plan to you and develop an appropriate review schedule.
Implement the recommendations discussed. This may involve coordinating contact with other professionals such as accountants, lawyers, and insurance specialists.
6. Monitor Your Financial Plan
I will periodically contact you to review the progress of your plan and to make adjustments to the recommendations required to help you achieve your goals. Examples include a review after a tax law changes or if your life circumstances change.