Mackenzie is a high earning second year associate at a corporate law firm. She has modest expenses outside of rent, a car loan and a student loan payment. With her strong income and prudent spending, Mackenzie is increasing her investable assets each month. Now, she wants to find out what to do next. She is the daughter of another Grandview client.
We completed a comprehensive review of Mackenzie’s finances. We created financial statements to assess her monthly income versus her expenses (known as an income statement) and evaluate her current net worth. We made sure Mackenzie “paid herself first,” meaning how much she was saving was not simply what was left over after expenses. Instead, savings would be put aside first, and the excess became the basis for her monthly spending plan.
We continue to be Mackenzie’s sounding board on all things career and financial. When she had a question about student loan options, we provided her with a resource to model her repayment plan. When she had a question about her taxes, we recommended an accountant. We look forward to providing those services and more as Mackenzie continues to advance in her career and in life.
We made sure Mackenzie was making the right decisions with her 401(k), putting the right amount aside and investing it properly. Additionally, we educated Mackenzie on the power of utilizing an HSA and reviewed other employer benefits.
We spoke with Mackenzie about her plans for homeownership. Together, we made a savings and investment plan so she would have a down payment available in two to three years, right when she’s ready to buy.
We reviewed Mackenzie’s student debt. With her new higher income, she was able to refinance at very favorable terms. Her new loan allows her to realize significant savings by paying it off more quickly and at a lower interest rate.
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Chief Operations Officer at a large national insurance company / Retired teacher
Brendan and Shelley have two children, Christian and Declan, ages 25 and 22. Both Christian and Declan have graduated from college and are approaching financial independence. Brendan wants to retire in the next five years, and he and Shelley want to know what their finances will look like in retirement. They have been fortunate in their life and careers, and now want to know how to translate that success into a comfortable and rewarding post-work lifestyle.
Have substantial retirement and non-retirement assets, including appreciated stock and stock options.
They haven’t done much work on how these assets will translate into income in retirement.
Grandview Partners has extensive experience in addressing the issues surrounding the transition from working life to retired life.
First, we did a deep dive into what their expenses, both necessary and aspirational, would be in retirement. Next, we took a close look at their investments and what income and returns they could anticipate from those assets. We used that information, along with expectations of income from Social Security and pensions, to create a financial plan to give them clarity on what their potential income would be retirement. Our planning helped them to set realistic charitable and legacy goals as well gave them comfort they would be able to live the retirement lifestyle they dreamed of.
Grandview created a portfolio strategy that achieves their priorities of income and preservation, while accounting for some growth to stay ahead of inflation. The strategy was designed to meet their retirement income needs, while staying within the parameters of their tolerance for risk.
We reviewed Brendan and Shelley’s existing estate plan. It was originally created when their children were young, and their assets were less substantial. We were able to offer guidance on how to properly establish an estate plan that meets their current needs, and worked together with them and their attorney to ensure the process was completed in conjunction with their financial plan.
Grandview was able to put a plan in place to reduce the tax exposure on Brendan’s appreciated stock. We also connected them with an accountant specializing in pre- and post-retirement tax planning and quarterbacked the development of a tax plan to ensure future distributions were done in the most tax-efficient way.
Brendan accumulated significant stock and options exposure to his employer over the years and had generated significant wealth from the position. However, now that he is retiring, he wanted greater diversification and more limited downside risk. Grandview designed and initiated an options strategy to hedge his risk and allow him to diversify his holdings in a tax efficient manner.
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Before retiring, Brian was a successful CFO at a multi-national manufacturing firm. Jan had a successful career in Occupational Therapy but retired early to stay home and be a “full-time” mom. Brian retired 3 years ago. Their kids are now full-grown, supporting themselves and starting families of their own.
Grandview completed a comprehensive review of Larry and Barbara’s assets and their legacy plan including insurance, will and trust and asset allocation, as part of their financial planning process.
We were able to mitigate a large taxable gain the couple was exposed to. Grandview used tactics such as “tax loss harvesting” among others to greatly reduce the tax burden associated with optimizing their investment portfolio.
In analyzing the couple’s insurance, we found that they had taken out several life insurance policies to cover potential estate taxes. However, these policies were no longer relevant since the estate tax exemption has been dramatically increased. We were able to use the value accumulated in these policies to cover their need for Long Term Care insurance without any tax consequences.
Brian and Jan had a detailed and complex estate plan in place. We reviewed the plan to ensure it was up to date with their current needs and desires. We also had the plan reviewed by one of the members of our advanced planning team. The attorney found that part of their plan had been obsoleted by the recently passed SECURE act and helped develop a new strategy for passing assets to their grandchildren.
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