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Century Management
Comprehensive Financial Planning
Century Management
offers comprehensive fee-only financial planning services. These services
include the planning of investments, risk management, retirement, tax,
real estate, education, gifting, and estate planning.
Comprehensive financial
planning is a six-stage process:
1. Identify client's financial objectives and goals
2. Collect and analyze client data
3. Develop strategy for meeting financial goals
4. Present recommended comprehensive plan
5. Implement the financial plan
6. Monitor and evaluate the plan's recommendations
Occasionally clients
request guidance in just one or two of the components covered in the comprehensive
financial plan. In most circumstances, we are able to accommodate this
need.
Financial planning
and consulting fees are executed under a separate client agreement. Fees
for these services are quoted prior to engagement of services. See our
Financial Planning Agreement & Fee Schedule
for billing details.
Stage
1 - Identify Goals & Objectives
Client's goals are frequently vague or imprecise. We clarify the client's
objectives through the planning process and then establish quantifiable
goals so that we can measure the plan's progress and outcome.
Financial goals frequently
include some or all of the following:
a. Provide for adequate retirement by a specified age.
b. Achieve above average market returns with a low degree of risk
c. Provide for the education of children and grandchildren.
d. Purchase a primary residence or income property.
e. Provide for vacations and travel.
f. Provide for efficient and effective transfer of estate.
Stage
2 - Collect & Analyze Data
The client provides us with statements of assets, liabilities, cash flow,
security holdings, annual income, relevant insurance coverages, Social
Security retirement income estimates, employer sponsored retirement plans
and estate planning information such as wills and trusts.
The client informs
us of his or her risk tolerance and attitude toward financial responsibility
for others, as well as any conditions that have significant ramifications,
such as health problems. The dialogue also delves into the client's values
and expectations. You can view or download our Financial Planning Questionnaire
(in Adobe Acrobat PDF format) by clicking here.
Stage
3 - Develop Strategy for Meeting Goals
Century Management staff develops the plan. During this stage of the process,
little input is required from the client as we formulate a strategic plan
that will guide the client toward stated goals and objectives.
Stage
4- Present Recommended Plan
One of the most important stages in the financial planning process is
gaining the client's acceptance and understanding of the comprehensive
plan. The financial plan covers many detailed and complex topics; and
therefore, it is important to make sure the client understands how all
aspects of the financial plan relate to one another.
Reviewing the proposed
plan with the client gives us the opportunity to fine-tune the plan for
any changes that the client wants to make.
Stage
5 - Implement Financial Plan
The plan has been compiled, understood and agreed upon by the client.
Now we implement the plan, assisting the client by facilitating changes
in investment portfolios, insurance coverages, estate plans, or any other
necessary actions.
Clients sometimes
procrastinate in implementation and, therefore, do not take full advantage
of the strategies and recommendations presented in the comprehensive plan.
This is where Century Management can play a helpful role, guiding the
client through the necessary action steps in putting the plan to work.
Stage
6 - Monitor & Evaluate
We recommend that clients meet with us at least annually to review and
update their plan. Reviews normally concentrate on measuring the performance
of investments to see if the plan is on track. These reviews also present
an opportunity for the client to update Century Management on life changes
and situations that could impact the plan. A change in marital status,
birth of a child, job status, or receipt of an inheritance are just some
of the life changes that can affect the plan.
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