Logo

What’s included in my plan?


Detailed Action Plan

Cash Flow Plan

Risk Management

Tax Minimization Strategy

Integrated Investment Plan

How do you put my plan together?

At Sensible Financial® Planning, we take a holistic and highly personalized approach to financial planning. Financial planning necessarily involves working with numbers; a financial plan you can actually use requires numbers that are relevant to your life.

financial planning

Share

We begin with a two-part kickoff meeting, either in person or by telephone (it may be inconvenient for you to come to our office). First, we ask about your life goals and discuss their financial implications. We identify the issues you want the plan to focus on – the reasons you came to us. Often, we suggest scenarios to illuminate the issues – we will use those in the plan we develop for you. Second, we review the information you have sent us about your financial resources (income and assets) and the calls on those resources (expenses and debts). After the meeting, we follow up with a request for the rest of the information we need.

financial planning

Analyze

Once we have all of the information we need, we organize it in our framework. We send you a set of assumptions summarizing the issues you want the plan to address, your financial information and the scenarios we will develop to illuminate your financial issues. Once you approve the assumptions, we develop a preliminary plan that estimates your sustainable living standard (the amount you can spend every year from now through the end of retirement) for each scenario. We determine how much you need to save each year, the risks to the plan, the likely growth of your assets, and the implications for your estate. We assess your current investment portfolio from the perspectives of likely return, risk and cost, and compare it to several alternatives on those dimensions. Then we meet with you to review the preliminary plan. We incorporate your views on the scenario and the asset allocation you prefer, and finalize the plan.

financial planning

Propose

We begin with the investment options in any 401(k), 403(b) or similar account(s). We select the most cost effective, then move on to accounts where your choices are not restricted. Consistent with your target asset allocation at the end of the previous step, we recommend a diversified and efficient set of investments to help you accomplish your plan. If you wish, we can also recommend sources for any indicated insurance.

Act

If you wish, you may retain Sensible Financial to support you as you implement the plan, and to manage your assets on an ongoing basis. In addition, we can refer you to insurance resources to address insurance requirements identified in your plan. We also have a list of tax and estate planning professionals who can assist you in those important areas.


What do you use to develop my plan?




ESPlanner: A Unique Approach to Financial Planning

ESPlanner focuses on the fundamental goal of saving and insurance –avoiding major disruptions in your family’s living standard through the years. Using advanced mathematical techniques, we calculate the saving you need to support a stable lifestyle throughout your life, and the life insurance required to preserve your household’s living standard in the face of risk.





What will this cost me?


We base our fee on the complexity of your financial situation. Factors in assessing complexity include:

• Client (and spouse or partner) age
• Family income
• Number of children
• Investable (liquid) assets and real assets (such as your home)
• Number of investment accounts
• Number of investment positions (securities held)
• Availability and accessibility of your financial information.

Our one-time fee for an integrated financial plan is usually between $3,500 and $6,000.

The fee can exceed $6,000 in cases of unusual complexity (e.g., for clients with many asset accounts, stock-related compensation, or multiple real properties).