Our Process
1. SET GOALS
Goal setting for short/mid/long term (family sync and discussion). Drive joy by working towards what matters!
Primary goal: Increase assets to the point that they are funding your income. While still enjoying the here and now (being intentional with spending).
2. Document the family p + L
Where does income come from (how much)? Where do expenses go (how much)? What accounts are used and why?
Analyze credit cards = usage, apr, benefits
Goal: profit > loss
3. Automate non-discretionary monthly spending
Relieves budgeting stress
Systematize saving for short/mid/long term goals
Pay down loans
What you have left, is all that you have for discretionary spending
4. Build assets
Start with a safety fund of between 3-6 months expenditures
Fund short/mid term goals through savings accounts
Always have a plan to CYA … shop property and casualty insurance
5. evaluate and invest for the long term
401ks at the office. SEPs, solo 401ks, ESOP - if you are self employeed
529s for the kids
Individual investment accounts: IRA, Roth IRA, Rollovers, brokerage, back door Roth
Always invest in yourself … its your most important asset
6. plan for life
The main goal is to work towards a situation, where you are making family decisions based on values, rather than chasing the almighty $$. When you are working towards a plan, it is the ultimate joy.
7. Plan for retirement
The definition of retirement is changing … it no longer means, you get the pension and gold watch.
Will you continue to work, but on a slower schedule?
Will you start to slow your schedule at 55? But work to 75?
Will you travel?
8. Taxes
Use tax efficient accounts to limit what you pay now, or in the future
Harvest tax losses as needed in taxable accounts
Run expenses through your LLC or S-corp
9. Estate planning
Start with a will that defines how you want things to play out
Set up a living will to make sure that your wishes are carried out should you not be able to chose.
Ensure all accounts have proper beneficiaries, in order to escape probate issues
10. adjust and evaluate continuously
Lives change super quickly … a new job opportunity, a new house, kids schools, health
Big purchases: house, car, vacation property, college
You need a partner, who understands your situation, to help you process and evaluate change
12 Month Sample Financial Calendar
We will work together, quarterly, throughout the year. I work in an agile manner, we will work through small parts of the process over the course of time. Taking the time to educate and understand the full situation. I won’t leave you with the burden of spending days trying to track down all important docs, immediately. We will collect and use as we push through the process. And if you have a question in the interim, just reach out via text, email, celly.
Month 1: January
Goal setting session for short/mid/long term
Collect statements from spending accounts: checking, saving, credit cards
Month 2: February
Document the Household’s Profit + Loss (P+L):
Your budgeting tools, good starting place
Bank accounts
Income for family
Credit card analysis including evaluation of fees and benefits of each card
Month 3: march
Account Analysis, includes consolidation plan
Rollover IRAs
Investment strategy
Buy first 1/3 of stocks
FNDE - exposure to emerging markets
VTI – exposure to overall US market
VNQ - exposure to REITs
Cash - for buying opportunities and safety
Month 4: APRIL
Insurance check up for property and casualty (P&C) on house and cars
Buy second 1/3 of stocks
Make sure taxes are taken care of
Month 5: MAY
Buy third 1/3 of stocks.
Review long term plans for kids college funding
Month 6: june
Mid year goal review and update
Month 7: july
Take a breath, go on vacation, don’t think about finances
Month 8: august
Kids go back to school, its crazy, other priorities
Month 9: September
Start to have conversation about will/living will/parents
Talk to your parents about their will and long term plans. What is their vision. Do you play a role?
Month 10: October
Its open enrollment season, sit down and evaluate options
Enroll for life and disability insurance
Make sure 401k is funded and adequately allocated in stocks. Don’t worry, I will help you select.
Chose proper health care coverage, HSAs, dependent care
Month 11: November
End of year goal reminder
Gather receipts for dependent care
Month 12: december
Evaluate family goals and prepare for next year
Begin to gather tax docs
Financial Process PDFs for Your Reference
We have PDFs available if you prefer to print this information out and read it later.