Financial Planning Services
Purpose Financial Planning LLC (PFP) is pleased to offer financial planning services on topics such as retirement planning, risk management, college savings, cash flow, debt management, work benefits, and estate and incapacity planning.
Financial planning is an evaluation of a client’s current and future financial state by using currently known variables to predict future cash flows, asset values and withdrawal plans. The key defining aspect of financial planning is that through the financial planning process, all questions, information and analysis will be considered as they affect and are affected by the entire financial and life situation of the client. Clients purchasing this service will receive a written or an electronic report, providing the client with a detailed financial plan if employ us for a complete financial plan designed to achieve his or her stated financial goals and objectives.
PFP offers a complete financial plan to all clients on a fixed fee basis. Fees for this service include a fixed fee as outlined below, with $500 due upon entering into the agreement. The remainder of the fixed fee is due upon completion. In the event of early termination, any prepaid, unearned fees will be refunded to the client, and no further fees will be charged. Until the requested documents to produce the plan has been provided to PFP no financial planning fee is earned. However, once the client provides the requested documents by PFP there will be no refund and the balance of the fees will be due after PFP has had time to do analysis and produce the plan to the client.
Complete Financial Plan = $950 or $1250.00
** The $950.00 fee is for clients willing to input their own financial information into the financial planning portal that is used and provided by PFP. Clients are still expected to provide their documents so that PFP can verify the information. The $1250.00 is for clients who prefer to provide their documents and have PFP input the information into the financial planning software
Financial Planning on a project basis = $500.00
PFP offers financial planning on a project basis to clients who would like to work with an adviser to address specific areas of concern within their financial situation. For Financial Planning on a project basis, half of the fee is due at the beginning of process and the remainder is due at the completion of the work.
In general, the financial plan or project will address any or all of the following areas of concern. The client and advisor will work together to select the specific areas to cover. These areas may include, but are not limited to, the following:
- Cash Flow and Debt Management: We will conduct a review of your income and expenses to determine your current surplus or deficit along with advice on prioritizing how any surplus should be used or how to reduce expenses if they exceed your income. Advice may also be provided on which debts to pay off first based on factors such as the interest rate of the debt and any income tax ramifications. We may also recommend what we believe to be an appropriate cash reserve that should be considered for emergencies and other financial goals, along with a review of accounts (such as money market funds) for such reserves, plus strategies to save desired amounts.
- Charitable Planning: For clients who wish to dedicate a portion of their financial resources to charitable giving, PFP will work with the client to develop tax-efficient giving strategies, such as donor advised funds or charitable trusts.
- College Savings: Includes projecting the amount that will be needed to achieve college or other post-secondary education funding goals, along with advice on ways for you to save the desired amount for college. When applicable we will review your financial picture as it relates to eligibility for financial aid and provide strategies and education on ways to save on the cost of college as well. We will also offer recommendtions on the best way to contribute to grandchildren (if appropriate).
- Employee Benefits Optimization: We will provide review and analysis as to whether you, as an employee, are taking the maximum advantage possible of your employee benefits. If you are a business owner, we will consider and/or recommend the various benefit programs that can be structured to meet both business and personal retirement goals.
- &Estate Planning: This usually includes an analysis of your exposure to estate taxes and your current estate plan, which may include whether you have a will, powers of attorney, trusts and other related documents. Our advice also typically includes ways for you to minimize or avoid future estate taxes by implementing appropriate estate planning strategies such as the use of applicable trusts.
- We always recommend that you consult with a qualified attorney when you initiate, update, or complete estate planning activities. We may provide you with contact information for attorneys who specialize in estate planning when you wish to hire an attorney for such purposes. From time-to-time, we will participate in meetings or phone calls between you and your attorney with your approval or request.
- Financial Goals: We will help clients identify financial goals and develop a plan to prioritize and reach them. We will identify what you plan to accomplish, what resources you will need to make it happen, how much time you will need to reach the goal, and how much you should budget for your goal.
- Insurance Review: Review of existing policies to ensure proper coverage for life, health, disability, long-term care, liability, home and automobile. A risk management review includes an analysis of your exposure to major risks that could have a significant adverse impact on your financial picture, such as premature death, disability, property and casualty losses, or the need for long‐term care planning. Advice may be provided on ways to minimize such risks and about weighing the costs of purchasing insurance versus the benefits of doing so and, likewise, the potential cost of not purchasing insurance (“self‐insuring”).
- Investment Analysis: This may involve developing an asset allocation strategy to meet clients’ financial goals and risk tolerance, providing information on investment strategies, reviewing employee stock options, as well as assisting you in establishing your own investment account at a selected broker/dealer or custodian. The strategies and types of investments we may recommend are further discussed in Item 8 of this brochure.
- Retirement Planning: Our retirement planning services typically include projections of your likelihood of achieving your financial goals, typically focusing on financial independence as the primary objective. For situations where projections show less than the desired results, we may make recommendations, including those that may impact the original projections by adjusting certain variables (e.g., working longer, saving more, spending less, taking more risk with investments).
- If you are near retirement or already retired, advice may be given on appropriate distribution strategies to minimize the likelihood of running out of money or having to adversely alter spending during your retirement years.
- Tax Planning Strategies: Advice may include ways to minimize current and future income taxes as a part of your overall financial planning picture. For example, we may make recommendations on which type of account(s) or specific investments should be owned based in part on their “tax efficiency,” with consideration that there is always a possibility of future changes to federal, state or local tax laws and rates that may impact your situation.
We recommend that you consult with a qualified tax professional before initiating any tax planning strategy, and we may provide you with contact information for accountants or attorneys who specialize in this area if you wish to hire someone for such purposes. We will participate in meetings or phone calls between you and your tax professional with your approval.