Too often, clients seek the counsel of a financial planner without really understanding what it means to create a comprehensive plan. Many consumers confuse comprehensive financial planning with only investment management, tax planning or estate planning when, in reality, a truly coordinated plan will address each of these issues…and more!
The consultants at Olsen Investment Management offer financial planning services through LPL Financial. The process typically includes some, or all, of the following steps:
- Clearly identify and quantify goals and objectives – both short and long term. Be as specific as possible. At Olsen Investment Management we have more than 75 years of combined experience in meeting face to face with clients and assisting them through the conversation and asking the difficult questions which are necessary to define their true financial fears and dreams.
- Review and evaluate current assets and liabilities . Examine the tax structure of assets and determine their appropriateness in the portfolio. Review past performance and build a carefully constructed, individualized asset allocation model for each client.
- Review and evaluate insurance needs and existing coverage . The types of coverage to consider include property & casualty, life, disability and long term care insurance. Complete a needs analysis to help determine the appropriate amount of each coverage and then analyze the various types of coverage available to consumers today to ensure an appropriate fit.
- Review estate planning concerns and work jointly with client’s attorney to implement an estate plan that ensures a smooth transition of family assets.
- Develop a written plan and implement strategy with clients as outlined above.
- Carefully monitor and update plan as needed. This is a vital step in the process; too often, plans are initially implemented and never reviewed. Clients must recognize that many events will impact your plan over the years (weddings, college, retirement, job changes, tax changes, etc…) and it is important to meet with your planner at least annually to make certain that your plan stays on track.
* Asset allocation does not ensure a profit or protect against a loss