The Financial Planning Association® defines Financial Planning as an ongoing process involving taking stock of all existing resources, creating a plan to utilize them, and systematically implementing the plan to achieve short- and long-term goals. They stress the plan has to be monitored and reviewed periodically so any necessary adjustments can be made, to assure it continues to move you toward your financial goals.
The Financial Planners Standards Council defines 6 steps in the Financial Planning Process:
- Establish the client/planner engagement
- Gather client data and determine your goals and expectations
- Clarify your present financial status and identify any problem areas and opportunities
- Develop and present the financial plan
- Implement your financial plan
- Monitor the financial plan
Initial Meeting
The purpose of the first meeting has several goals, including:
+ Allowing client and planner to interview each other and determine the potential for a comfortable working relationship
+ Understand your current financial situation
+ Get to know your financial concerns, life goals, and objectives
+ Provide you with a price quote for the services you request
Plan Creation
Once we know your current financial situation and objectives, we develop specific recommendations to achieve your goals.
Depending on the complexity of your situation and the scope of the engagement, the plan may contain some or all of the following:
- Net Worth Statement
- Income/Expense Statement
- Debt Reduction Plan
- Tax Reduction Strategies
- Investment Policy Statement
- Portfolio Analysis & Asset Allocation Plan
- College Funding Plan
- Insurance Needs Analysis
- Retirement Planning
- Long-Term Care Needs Assessment
- Charitable Giving Plan
- Estate Plan Recommendations
- Business Succession Planning
Plan Presentation Meeting
We will have one or more meetings to present and discuss the recommendations and create a schedule for implementation, to include specifying responsibilities for each step.
Plan Monitoring
Clients are provided with a review at least annually to assess plan progress, incorporate any changes in circumstances, and refine the scope of the engagement, if necessary.
Penn Cove Financial uses Right Capital for planning. You will be provided a link to login to your portal. I highly recommend you use 2 Factor Authentication (2FA). In Right Capital, you can see your plan, and we can also securely share documents.
For clients who need to open an investment account, Penn Cove Financial, LLC uses Altruist/Shareholders Service Group as custodian.