Mapping Your Financial Future

Transcription

1 Mapping Your Financial Future Profiles Forecaster Fact Finder Name (please print) Name (please print) Analysis Date

2 Mapping Your Financial Future The best way to achieve financial freedom and peace of mind is to follow a disciplined process that involves identifying your goals, and implementing appropriate financial strategies. These six steps will help you map your financial future: 1. Discovery Identify and prioritize your financial goals 6. Periodic Review Review regularly to measure success and make adjustments 2. Data Gathering Collect facts and figures based on your current situation 5. Implement Choose a financial solution and implement 3. Analyze Input data, run calculations and identify shortfalls 4. Recommend Propose one or more solutions designed to satisfy your goals What concerns you the most? There are a number of different areas to consider when preparing for your future financial freedom. Let s start by identifying and prioritizing your financial goals. Indicate which of the following areas are important to you. Use #1 for the highest priority and #6 for the lowest (if applicable). # Needs in the Event of Death # College Funding # Retirement # Asset Allocation # Disability Income # Long-Term Care Examine the financial impact of death, including immediate cash needs and continuing income needs. Find out the cost of education and alternative funding methods. Assess how your current retirement strategy will meet your objective. Examine your current asset allocation strategy in relation to your risk tolerance. Assess the financial impact of a disability on your income. Evaluate the impact that long-term care costs can have on your financial situation. Advisor s Note: If any of the above areas are not of interest to the client and should not be included in the analysis, indicate with N/A.

3 3 Section 1 Personal Information Marital Status r Single r Married r Domestic Partner First Name Middle Name Last Name Date of Birth / / / / Address City State Phone Zip Employment Information Employer Occupation Phone Describe your current job. How long have you been working there? What are your career plans? Dependent Information Child s Name Date of Birth Do any of your dependents have special needs? Do you plan on having additional children? Are there others that financially depend on you (e.g., parents, grandchildren)? Do any of your family members live in this area?

4 4 Section 2 Survivor Needs The death of a wage earner can have a significant impact on household income. Financial experts recommend that every strategy include an analysis of needs in the event of a death. Survivor Income Needs In the event of death, what income (percent or dollar) should With children at home Without children at home be provided for your family s continuing income needs? % or % or What age should Survivor s Social Security Retirement benefits begin? Provide income for how long? years or r Lifetime In the event of death, should your children s education be funded? (If yes, also complete Section 3.) r Yes r No Current Life Insurance Complete the information below, or have your policies available. Name of Insured Insurance Benefit Insurance Company Annual Premium Type* *Insurance types include: Group, Term, Whole Life, Universal Life, and Other What do you want your life insurance to do for you? When did you buy your last policy? From whom? Does your family have any special interests or health conditions that could affect your insurance planning? Section 3 College Funding Many people want to help fund education costs for their children. The sooner you begin to develop a strategy for education savings, the more time your money will have to accumulate. Average College Cost Public College $16,140 Private College $36,993 Copyright 2010 The College Board. Trends in College Pricing. All rights reserved College Amount Percent Child s Name School Cost OR Needed Years to to Search * per Year Attend Provide * Include in college costs: Tuition (in-state); Tuition (out-of-state); Room only; Room & Board; Books & Supplies Current Savings Enter any savings already accumulated for your children s education. Total Saved to Date Monthly Savings Average Rate of Return % How important is it for you to help your children with education costs? Would you like them to go to the college of their choice? How do you feel about your college funding program?

5 5 Section 4 Retirement Many people underestimate the amount of money they will need to enjoy a comfortable retirement. Begin saving as soon as possible to ensure you will have enough to maintain a comfortable lifestyle during retirement. At what age do you plan to retire? At what age will you begin to collect Social Security? Indicate your retirement need as either a percent of current income or a dollar amount for up to three phases. r Percentage of current income (e.g., 80%) r Monthly need (in today s dollars) % Phase 1 starts at _retirement $ Phase 2 starts at age $ Phase 2 starts at age $ Does your employer offer a retirement plan? Are you contributing the maximum? Section 5 Earnings and Assets Enter your annual employment income in this section. Include income received from employers as well as self-employment income. All other sources of income should be entered in the Other Income Sources section. For assets and liabilities, include your residence, personal property, real estate, and business. Do not include any retirement or investment assets that will be used to meet your retirement or survivor needs. Earnings Annual Employment Income $ Do you contribute to Social Security? r Yes r No r Yes r No Do you have a cash flow strategy? What changes could be made to your current budget? What percentage of your income should be saved? Assets and Liabilities Personal Residence r Rent Monthly Rent r Own Mortgage Amount Approximate Market Value of Home Mortgage Details lender Current Liability Monthly Payment Interest Rate % Total Liabilities (Credit Cards and Personal Loans) Other Liabilities Details Name Amount Monthly Payment Final Payment Date Interest Rate $ % $ % $ % continued...

6 6 Section 5 Earnings and Assets (continued) Additional Asset and Liabilities Details Type* Name Market Value Current Liability *Types include: Personal Property, Real Estate, and Business What is the best investment you ve made? What is the worst investment you ve made? How do you feel about your investments? Section 6 Savings and Investments Please provide information regarding retirement plans you may have. Include IRAs, Roth IRAs, SEP IRAs, SIMPLE IRAs, 401(k)s (including any employer match), 403(b)s, Profit Sharing Plans, 457 plans, variable annuities, etc. Retirement Funds For this section enter either total amounts or details. Total Amount Total Monthly Savings Average Rate of Return % Retirement Fund Details Owner Account Asset Amount Rate of Monthly Company Savings Name Name Return Savings Match Increase Bank Accounts and Investments For this section enter either total amounts or details. Total Amount Total Monthly Savings Average Rate of Return % Bank Accounts and Investment Details Owner Account Asset Amount Rate of Monthly Savings Name Name Return Savings Increase

7 7 Section 7 Other Income and Expenses Other Income Enter other income sources that you currently receive or expect to receive in the future. Be sure to include alimony, child support, defined benefit pension plans, fixed annuities, part-time income during retirement, expected inheritance, etc. Type 1 Name Recepient Amount 2 Value Present or Future Annual Increase Begin When? End When? Income Applies to 1 Other Income, Social Security, or Lump-Sum 2 All amounts are monthly amounts except a Lump Sum, which is a single payment. Expenses Enter the living expenses to be listed in the cash flow reports. If monthly savings and liabilities have been included in Sections 5 and 6, then do not include those expenses here. Expense Name Monthly Amount Annual Amount Do you have a cash flow strategy? What changes could be made to your current budget?

8 8 Section 8 Disability Income Disability Income Needs Annual Employment Income Income Replacement Objective % of above % of above Current Long-Term Disability Insurance Monthly Benefit Name of Insurance Monthly Group or Annual Waiting Benefit Insured Company Benefit Personal Premium Period 1 Period 2 1 Waiting Period options: 1 month, 2 months, 3 months, 6 months, or 12 months. 2 Benefit Period options 3 months, 6 months, 1 year, 2 years, 3 years, 4 years, 5 years, to age 65, or Lifetime. What does your current disability plan provide? How do you feel about your current plan? Section 9 Long-Term Care Long-term care expenses can have a tremendous impact on a family s financial security. Having sufficient insurance coverage can help assure there is enough money for adequate care. Estimated monthly long-term care costs (in today s dollars): Estimated Long-Term Care Coverage Name of Insurance Daily Annual Elimination Benefit Period Insured Company Benefit Premium Period (Days) (Years) Has anyone in your family experienced a long-term care need? Do you need to replace your income if you are unable to work? Will you be caring for elderly parents in the future? (Financial Commitment) To help successfully accomplish your financial goals, how much would you feel comfortable saving every month? $ or % of monthly income. Notes Declaration I declare that I have reviewed the information collected in this data sheet and that it is correct to the best of my knowledge. Printed Name Signature Date Printed Name Signature Date