Discuss scenarios and solutions.
We understand the importance of clearly communicating the roles of financial advisors in the planning process. As the plan is being prepared, we don’t want to overwhelm any client but especially our women clients. How do we accomplish this clarity? We empower our clients with the knowledge they want to make informed decisions.
For example, we’ll walk you through several social security distribution strategies. Further, we’ll explain the reasoning behind the retirement plan options and when working with partners, connect with both equally.
One topic that is common as we work with high-net-worth women is ESG investing. Also known as socially responsible investments that align with their values. We help review current ESG positions and add any other aspects of socially responsible investing. These are topics that come up as we’re having these discussions during this second step.
Accurately model and estimate what retirement could cost.
Once the vision is established it’s time to create the plan and review the cost. Is the plan within reach? A common pain point we see is our clients initially not knowing what will be needed in retirement. It’s important to find a middle ground between what the goals are and what they can afford. Several scenarios must be taken into account.
I was working with a female client last year who was concerned about being a single parent and sole provider. She was concerned about having a long-term health issue and being able to continue to provide for her child. That caused us to include a scenario in the plan to cover such an event. We eventually had 3 different retirement scenarios in place for her and she was confident she can handle whatever retirement brings.
Consider taxes in this holistic approach.
Just with any retirement plan, taxes must be part of the optimization strategy. We help our women clients see the big picture of successful tax planning strategies. At Patriot Advisory, we include tax-efficient planning in all our strategies.