Busy Professionals
Ross (32) & Rachel (35)
Ross & Rachel feel overwhelmed when it comes to their financial plan. They don’t have the time or expertise to manage their finances while both working busy careers. Their goals are to maximize assets, protect their family’s future, and delegate financial tasks. They have never worked with a financial planner before and don’t fully understand the value one can provide.
Ross is an account executive at a technology company in Boston and Rachel is a Registered Nurse (RN) at the local hospital. Household income is $180,000.
Ross is the spender and Rachel the saver. They are expecting a second child soon and their cash flow is tightening. They’ve always saved the minimum for retirement through their employers but not much else. They both have excellent employee benefits but aren’t maximizing their use. They haven’t discussed their intentions for college planning.
Ross & Rachel decide to reach out to Assist FP by scheduling a free intro call.
Getting Started
During the call, we allowed Ross and Rachel to openly discuss their financial situation and future goals. After understanding their wants and needs, we explain to them how we are fiduciary, fee-only financial planners. We walked them through our ongoing financial planning process and how it might benefit them. They decided the value provided was worth the cost and signed up to work with Assist FP as their trusted financial planning team.
How did Assist FP help?
Assist FP further discussed Ross & Rachel’s goals and desired direction of their financial game plan.
Ross & Rachel uploaded their financial documents (see example document request) for Assist FP to review.
Assist FP reviewed their monthly income and expenses to identify any areas for improvement and confirmed they had established an emergency fund.
Assist FP performed a thorough analysis of each employee benefits package. Our review revealed that neither of them had disability insurance and minimal life insurance to protect the family. During open enrollment, we helped Ross & Rachel pick the proper insurance coverage and enroll in the Dependent Care FSA to save on childcare expenses.
Assist FP reviewed investment options for their employer retirement plan and created a proposed allocation.
Educated Ross on the stock option plan available to him through his employer and how he might take advantage of it.
Ross & Rachel opened a 529 plan for their first child, set up automatic funding, and selected an investment option per Assist FP’s recommendations. The same plan will be adopted for their second child.
Assist FP opened a Roth IRA and set up automatic contributions monthly to supplement their current retirement savings and increase future flexibility. Assist FP will manage these accounts and rebalance them according to the agreed-upon Investment Policy Statement.
Assist FP monitors and updates their financial plan on an ongoing basis and Ross & Rachel have delegated many of their financial tasks to Assist FP.
Assist FP coordinates the planning with Ross & Rachel’s accountant, estate planning attorney, and insurance agent.
Ross and Rachel now feel confident in their financial future. By delegating financial tasks to an objective third party, they have reduced financial arguments that resulted from their differences in financial beliefs. They also understand the importance of financial flexibility for young families to navigate the many life transitions they will encounter.