Take a moment to reflect on a memorable/meaningful accomplishment in your life. Chances are, somewhere between the idea and the actual accomplishment, you made a conscious decision to do specific things to get your desired results. This is the simplicity and power of planning. Deciding what you want and mapping out specific strategies is what planning is all about.
When it comes to wealth management issues, sometimes the decision-making process and strategy implementation aren't always so simple. You need a group of professionals to analyze your situation, evaluate various scenarios, bring creative solutions to the table, and ultimately give you specific recommendations.
At SevenWealth, we recognize that there are different phases of wealth building:
Phase 1: Starting Out – Lean Years
Phase 2: Breaking Through – Disposable Income
Phase 3: Financial Independence – Significant Wealth
Just as there are different phases, there are multiple puzzle pieces to wealth management. Rather than approaching this in a piecemeal fashion, SevenWealth believes that a comprehensive approach is the best approach. We recognize that some of the key areas below will be more important to you than others, and thus require greater emphasis, but we also know that each area will eventually have an impact in your life and therefore needs to be addressed.
Basic Comprehensive Financial Planning: Key Areas
Current Financial Position: Net worth, cash flow, cash reserve, debt reduction plan
Risk Management: Protecting income, assets, loved ones (survivor needs), and from lawsuit
Investment Planning: Identify accumulation goals (education, second home, etc.), time frame, and risk tolerance; project value of goal; determine investment required; design investment strategy and asset allocation; rebalance portfolio; assess goal status annually and adjust goals
Tax Planning: Minimize taxes; evaluate pretax employee benefit options; maximize tax deductions (itemized deductions, charitable giving), tax-efficient investing, tax projects, and safe harbor withholding
Retirement Planning: Determine retirement goal, define retirement lifestyle, evaluate current assets earmarked for retirement, evaluate future sources of income, project retirement values, determine appropriate asset allocation for risk tolerance, evaluate various scenarios, assess retirement target annually, recommend adjustments to retirement strategy annually, manage distribution of assets in a tax-efficient manner
Employee Benefits: Review stock options, group retirement plans, core benefits, voluntary benefits, executive benefits, and golden handcuffs
Estate Planning: Ensure that assets are passed to loved ones; review/summarize plan of action for wills, trusts, beneficiaries, guardians, executors, trustees, advance directives, and powers of attorney
Wealth Management: Advanced Planning
Wealth Enhancement: Emphasis on enhancing investment returns consistent with risk tolerance while minimizing the tax impact on those returns
Wealth Protection: Emphasis on protecting wealth against potential creditors, litigants, children's spouses, and potential ex-spouses, as well as protecting against catastrophic loss
Wealth Transfer: Emphasis on facilitating the most tax-efficient way to pass assets to succeeding generations and doing it in a way that meets your wishes
Charitable Gifting: Emphasis on fulfilling charitable goals