Financial Planning Needs

Financial planning needs can be broken into 2 main categories;

1.) Risk Management and Asset Accumulation

Risk Management Needs or protection needs are financial issues you consider which could have a devastating Financial impact on the well-­‐being of you, your family or your business.

These would include the possibility of becoming disabled through accident or illness, the onset of a serious illness such as cancer, heart attack, stroke, or the premature death of you, your spouse or people who are key to your business.

These are all contingencies it is wise to be prepared for and should be considered as key parts of your overall financial plan. For instance, did you know that based on a savings rate of 5% of your income, 6 months of total disability can wipe out 10 years of savings if you have no other source of income?

Asset Accumulation Needs are those related to the achievement of various financial objectives relating to your “Financial Vision” of yourself. They include such things as saving to buy a first home, saving for the education of your children and saving for retirement, and fall into the categories of short, medium and long term financial objectives.

2.) Financial Needs Assessment

As discussed, in My Financial Planning Process I focus on one Financial need at a time with you. The reason for this is simple. Every Financial need area can have various parts to it that need to be considered and understood to arrive at a proper solution.

For instance, if you want to retire at age 60 with an income in today’s dollars of say $50,000 per year and you want that to increase with inflation and you want it to last until you are age 95, we will need to determine the capital amount required at age 60 to do that. To get to that figure we need to determine how much is required to be saved over the number of years you have left before age 60, taking into account your current amount already saved, plus government benefits such as CPP and OAS and any company pension plan you may have. And that is just one need area.

Securing your Family's Future

Following the advice of a trusted advisor is shown to be a significant factor in building wealth and achieving investment success. Our team can provide sound advice and a Personal Wealth Management Strategy™ to guide & assist you & your family at any stage of life.