The Five Pillars of Wealth Management

Randall J. Richard
Thursday, January 23rd, 2020
Posted in: Business Transition Blueprint, Education Funding, Estate Protection, Financial Planning, Income Source, Retirement Security
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The Five Pillars of Wealth Management

Over the course of the past quarter century, the team at Richard Brothers Financial Advisors has developed and refined a unique approach to wealth management, ultimately identifying five areas of critical importance to our clients’   financial success. We call these areas our “Five Pillars of Wealth Management,” and we provide clear, “whole picture” guidance on each, with periodic reviews to remain focused on defined objectives.

Our Five Pillars of Wealth Management include:

Pillar One: Estate Protection

While estate planning is often guided by a trusted attorney, estate protection involves an in-depth assessment of your whole financial picture — and the development of detailed strategies for protecting your wealth and your family’s well being today, and for generations to come.

Guided by your wealth advisor, sound estate planning starts with the development of detailed plans on family wealth transfer, tax mitigation for estate and gift transfers, and charitable giving. During this process, you’ll achieve a clear grasp of the steps necessary to protect your estate — including details like establishing trust accounts, coordinating important documents, calculating and reporting net worth and securing adequate insurance protection. Once these essentials are in place, you’ll be well on your way to achieving the benefits of meaningful asset protection — and peace of mind.

Pillar Two: Retirement Security

Detailed, individualized, reality-based retirement planning considers a range of critical variables — and charts a clear course toward measurable retirement goals. Working with your wealth advisor, you’ll define your ideal future — and use that vision to build lifestyle goal-based retirement projections.

The retirement security process begins with a comprehensive asset evaluation that gathers key details about your financial life to establish a “whole picture” of your current wealth. Your wealth advisor will assist you in evaluating your income sources, current retirement accounts, and other investment holdings. Working with that background, you’ll then collaborate to ensure the thoughtful, capable management of your employer-sponsored plans, deferred compensation, company stock, pension, individual retirement accounts and social security income, relying on your trusted advisor’s experience and expertise for both tax planning and retirement timing. While the process requires dedication, the results will help to ensure that your financial strength and security will continue to grow.

Pillar Three: Education Funding

Despite trends showing steady growth in the cost of post-secondary education, careful planning can eliminate the last-minute scramble for financial resources — and eliminate the onerous burden of excessive student debt.

With the guidance of your wealth advisor, your education funding efforts should begin with the development of a simple, straightforward roadmap to define and attain the ideal education financing arrangements for each of your children — and grandchildren. The process should include a thoughtful calculation of your anticipated education costs, followed by a savings vehicle analysis that articulates where you’re going — and how you’ll achieve your savings objectives. As a final step, you and your advisor should perform a personal financial resources evaluation, and evaluate any available education financing sources to develop clear, detailed payment coordination plans.

Pillar Four: Business Transition

Sound succession planning is vital to preserve the value of your business, to ensure its prospects under new family management — or to maximize its market appeal to prospective buyers.

Working with your wealth advisor, your business transition evaluation should begin with information gathering and a thoughtful analysis of your objectives to chart a clear, efficient course of action. You and our wealth advisor should then perform a comprehensive corporate insurance review and a thorough business valuation, and should include plans to identify and coordinate professional support that will help you to align your goals with your succession plans.

Over the course of nearly three decades, the Richard Brothers team has helped dozens of clients to navigate the complexities of their unique business transitions, allowing clients to move with confidence inspired by sound personal finances.

Pillar Five: Income Source

At various points in life, your liquidity needs may vary. Finding the best source is unique from retirement planning, because the need for cash is often unexpected, and can take place at any time.

In order to create a clear picture of your cash flow potential, you and your wealth advisor should begin with an in-depth review of income sources, a thorough expense assessment, and a survey of cash flow needs. Together, you’ll review lifetime earning projections — including mortgage calculations and optimized Social Security benefits — and work to plot advantageous financing solutions. The process should then culminate in a thorough, lifestyle-based income and expense assessment to ensure ready access to necessary cash — while preserving the long-term performance of your investment portfolio.

 

For more than 25 years, the dedicated team at Richard Brothers Financial Advisors has provided a growing roster of distinguished clients with comprehensive financial planning and tailored investment advice. We’ve built our business one client at a time, earning new relationships on the strength of the advice we’ve provided — and on our demonstrated commitment to integrity, transparency, flexibility and simplicity.