Prosperity SIG Notes for you

Although I am on the road, I was able to give this teleclass to a Special Interest Group (SIG) of financial Coaches on May 16th. I am putting the notes here from my class for all of you to in benefit.
Notes from Fern Alix LaRocca CFP® EA
Disclaimer- although I am a Registered Investment Advisor at no time during this talk will I be giving out advice. All that I will be discussing is informational and educational.
By 2020, 30% of the entire population will be retired, and 67% of United States assets will be controlled by pre-retirees and retirees. I believe that there will be many financial coaching opportunities to help people transition as they age. As coaches, we believe in people having a strong personal foundation. We should also believe that they have a strong financial foundation because this will be having this base will help them attract and retain more wealth and abundance in their lives.
The 7 Steps to Your Own Financial Plan!
The first step is like pouring the foundation for a house
Preserve what you have and what you acquire through……
Does anyone know what that would be?
1) Risk Management-
What would happen if your spouse’s income were not there?
What could you do to replace lost income?
How would you pay off debts?
Life Insurance, Medical & Dental Insurance, Property and Casualty, Disability Insurance, Long term Care.
2) Cash Flow Analysis- Determine discretionary income
Identify sources of discretionary income. You can only invest from what you save.
If wanted to save for the future what is the one thing you could do today?
How much would you need in cash in case of an emergency?
(Like the car breaking down, roof leaks,)
Typically 3-6 months salary- depending upon debt
3) Investment Planning-
Are you comfortable with the risk you are taking in your portfolio?
Power of compound interest
What could you do to maintain a diversified portfolio?
Bonds, Stocks, Mutual funds, etc. Real estate, rentals, vacation homes, land.
Own vs loan.
4) Retirement Planning-IRA, Roth-IRA, SEP, 401K, 403B, 457 and 412 retirement plans. Do you have a retirement plan that you are comfortable with?
Are you contributing the maximum to a retirement plan at work?
5) Education Planning- 529 Plans, UTMA
6) Income Tax Forecasting- Use of tax deferral, tax deductions and tax –free vehicles.
Concepts of tax deferral versus tax-free and tax deductions.
7) Estate Planning- Wills, trusts, powers of attorney for health care and financial care.
At www.wholeheartedway.com you can contact me for my 8- 1 hour coaching sessions, I cover these 7 steps in detail so that you will end up with your own personal financial plan.
Also Sign up for my free newsletter – at www.wholeheartedway.com
Also keep checking my website for free resources that you can use in your own practice to help your clients build a good financial foundation.
Send me resources to share, too.
Building your Financial House-
Risk Management- Preserve what you have and what you acquire through the use of insurance.
Cash Reserves- Have enough for emergency savings so you can invest for the long term
Identify sources of discretionary income. You can only invest from what you save.
Loaner Dollars, or Fixed income investments- CDs, treasury notes and bills, smart notes, etc.
Owner Dollars, or Equity investments- Mutual funds, stocks, etc. Invest for the long term. Understand the costs of investing and keep your assets diversified. Read the prospectus and understand the risks involved.
Use retirement plans and education plans to defer tax and build wealth. Always defer and deduct as much as possible. If you are in a high tax bracket, also make use of tax- free investments such as municipal bonds.
Identify risks, potential returns, liquidity, tax implications, and costs involved in all transactions.
Here is what others thought about the course:
“Excellent! You would be a fool not to take this course!”
-Anthony Hayes-Real Estate Agent
“It’s very beneficial for someone exploring how to invest.”
-Chris Gatto-Public Relations Specialist
“Helps give you a logical sequence of how to secure your financial future.”
-Tony Ramirez- IT consultant
“Great way to check out your previous understanding!”
-Thomas Cheng- Engineer
Attendees of the class will get 20% off the published coaching rates at www.wholeheartedway.com
My one on one Coaching sessions are valued at:
1 hour -$80/hr
3 hours-$220
6 hours-$440
The 7 Steps to your own Financial Plan- 10 hours, valued at $800- is only $600 just for Prosperity SIG members that sign up before June 1st.
(A deposit of 50% of the fee is due upfront)
Contact information:
Email: fern@wholeheartedway.com
415-819-3065 Phone
Website: www.wholeheartedway.com www.afdadvisors.com
Blog: www.dharmaofmoney.com