Build a comprehensive financial plan

A A comprehensive financial plan can ease a client’s mind and reduce anxiety about their short and long term finances. Studies show that people feel more secure when they have a documented holistic financial plan like The Bucket Plan® to fall back on.

The solution to any individual’s economic puzzle is holistic financial planning. The wealth professional can develop a one-of-a-kind proposition to maximize the wealth, health and happiness of their clients while minimizing potential tax pitfalls and managing market gaps.

A comprehensive financial plan is a thorough review of the client’s current financial situation. The Wealth Professional develops a strategy that will enable the client to live the life they want based on their goals and abilities. It plans and adapts to events that occur in the client’s life.

Whether you follow cash flow-based financial planning or another method, your goal is to create a holistic financial plan that sets the client up for current and future success.

Cash flow-based financial planning takes a client’s current financial situation and uses forecasts and forecasts to determine their cash flow plans for the present and the future. Cash flow-based financial planning gives you more freedom to explore holistic financial planning solutions that you might not otherwise have considered.

A complete financial plan includes these elements

The Bucket Plan Process is different from other financial advisor strategies because it is based on internal and external factors, including market changes, job loss, birth of a child, death of a spouse, change of marital status, etc. It considers how a client’s investment goals will continue to evolve and strives to ensure the best outcome at each phase of the client’s life: Now, Soonand Later.

The Now Bucket is for cash. This is where sufficient funds are set aside for a year’s income, an emergency fund, and enough money for anticipated expenses.

The Soon Bucket is the most conservative capital designed for the first ten years or so of retirement, plus an inflation hedge. It should be much less volatile but invested to outpace inflation without subjecting it to stock market fluctuations.

The subsequent compartment corresponds to the funds designated for the long-term growth of the client.

What is included in this plan?

  • Assets
  • Cash flow analysis
  • University planning
  • Debt assessment
  • End of life preparation
  • Expenses
  • Family estate planner
  • Revenue
  • Health Insurance
  • Pension plan
  • Risk assessment
  • Social Security
  • Tax planning
  • Goals
  • Insurance
    • Auto
    • Disability
    • Health
    • House
    • Life
    • Long-term care
  • Investments

A complete financial plan is easy to adjust

For the client, a good comprehensive financial plan should be as simple as an annual physical exam. The patient (client) meets with their doctor (financial advisor) for a checkup where they discuss any new problems that have arisen recently.

A doctor may make adjustments to the patient’s prescription dosage, suggest new products, or perform additional tests. Likewise, the financial advisor will modify the financial plan to meet the new needs of the client, suggest new products or perform market simulations to optimize success.

At C2P Enterprises, we follow the Bucket Plan methodology for our comprehensive financial plans.

The Bucket Plan® Best Interest Process is an asset allocation system that wealth professionals use to develop holistic financial plans based on cash flows that their clients will understand. It has been defined, refined and tested by our model offices. It includes a set of proven, easy-to-reproduce processes for your business, regardless of size or scale.

After completing The Bucket Plan live training, you will transform your business with simplified financial planning and increased close rate. Download our FREE Bucket Plan eBook, OR schedule a 20 minute call to learn more!

Originally posted on C2P Enterprises.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.