Take the guesswork out of your financial future and get a financial plan with purpose
Brook and Alex are a power couple with almost two decades of experience in their thriving careers, and they've got some savings to show for it. But now, their incomes are climbing faster than ever with exciting new compensation components such as incentive stock options and deferred compensation plans, but their beautiful children are taking up more time. They are at a crossroads about their future.
It's time to rethink their financial game plan. They've been great at stashing away money in 401Ks, but now they're wondering, "Are we doing this right? Are those exciting new compensation components being fully utilized?”
They're thinking big – maybe one of them taking a career break or working part-time to cherish those precious years left with their children, or perhaps one of them even launching a business for more flexibility. They're in a sweet spot financially, comfortable living on one income, but they've got some serious questions: Can we fund our children's college education, retire on our terms, and travel the world, yet still enjoy life without compromise?
Sure, they’ve aced their company retirement plans and own a lovely home, but there's a stack of cash in savings just sitting there, and they're unsure about the best investment moves to make next.
As Brook and Alex explore this exciting new chapter, they're looking for a financial expert—someone to guide them, make smart choices for their family's future, so they can focus on what matters: building a family and acing their careers. They're ready for some expert help to navigate these decisions with confidence.
Brook and Alex needed a financial expert familiar with helping professionals in their situation. Eager to be hands-on in planning their evolving financial journey, they sought a partnership that would empower them to make well-informed decisions for their growing family. They wanted the assurance of professional guidance to confidently navigate their choices, ensuring they’re equipped for their family’s future.
Brook and Alex put a financial plan in place that helped them in several ways:
Cash Flow Planning: Utilizing bottom-up budgeting, we ensured every dollar was working towards their goals, from daily expenses to long-term investments.
Incentive Stock Options (ISO) Analysis: Performed a detailed forecast for exercising the ISOs to minimize taxes and maximize the realized compensation to Brook & Alex.
Deferred compensation: Educated Brook & Alex on the potential benefits of a deferred comp plan but also about the risks associated with a Rabbi Trust. Jointly we decided on the appropriate amount to place in the plan.
Tax Strategy: Through meticulous tax planning and preparation, we maximized their savings, aligning them with their investment strategies.
Early Retirement Analysis: By carefully evaluating their finances, we presented various scenarios for early retirement. Initially, they considered retiring at 55, but after understanding the trade-offs, they decided 58 was more feasible and comfortable for them.
Education and Retirement Planning: We set up a robust plan for their children’s education while ensuring their retirement goals are on track, striking a balance between immediate needs and future aspirations.
Insurance and Risk Management Analysis: Increased their life insurance with affordable term coverage to ensure their children are provided for.
Estate Planning: Connected with an estate lawyer to help them create a will and other estate planning documents to ensure their children are left in good hands.
Employee Benefits Optimization: We delved into their employee benefits, ensuring they were making the most of these opportunities, from health insurance to retirement matching.
Portfolio Analysis and Rebalancing: Consolidating and analyzing their various accounts, we provided tailored portfolio recommendations to align with their risk tolerance using a mix low-cost index funds. By using low-cost funds, we were able to significantly reduce fees without sacrificing returns.
During this 30-minute introductory call, we aim to assess if Purpose Built is the right fit for you. We'll discuss your financial goals at a high level and also answer your questions to determine if our services can address your needs.
Once you’ve decided to move forward, we'll request crucial documents such as your financial statements and the prior year's tax return. These documents are essential for a comprehensive financial analysis.
At the initial meeting, we’ll refine your financial goals, including college expenses, retirement plans, long-term care considerations, and other savings objectives. We'll also discuss investment preferences and risk tolerance to tailor your plan to your unique situation.