Financial Planning Plus »

Sycamore Financial Planning’s expanded service offering, Financial Planning Plus, is designed to provide ongoing portfolio supervision and holistic financial planning advice for a flat annual fee. In this service offering, the client is provided a detailed action plan and Sycamore will implement the portfolio changes and assist the client in implementing the non-portfolio changes as needed.

The advice is comprehensive in nature, focusing on the following financial planning topics. All of these topics will be covered annually as needed by the client.

Financial Planning Topics

Investment Management

Create an individualized Investment Policy Statement (IPS) including asset allocation, contributions, and withdrawals
Design a low-cost, well-diversified, tax-efficient investment portfolio
Oversee the establishment of new accounts and related asset transfers
Implement the investment portfolio using mutual funds and ETFs
Review and rebalance the portfolio regularly

Cash Flow Planning

Prepare comprehensive cash flow projections
Advise on balancing near-term cash flow needs with long-term wealth accumulation strategies
Advise on income needs in retirement
Advise on debt usage and management as needed

Risk Protection

Assess life insurance needs compared with employer and private policy coverage
Assess disability insurance needs compared with employer and private policy coverage
Assess liability exposure and compare with current coverage

Review Meetings

Meet twice annually to review:

Cash flow needs
Portfolio performance
Tax milestones including RMDs and charitable distributions
Follow-up to prior meeting actions
New financial goals and how to fund those goals from your income sources and portfolio
Retirement plan contribution amounts and employer benefit enrollment

Taxes

Construct pro-forma tax estimates for planning purposes (does not include preparing your taxes)
Advise on managing taxes associated with investment portfolios and insurance products
Assist with charitable gift planning

Estate Planning

Assist with the review and design of an estate plan
Work with estate planning attorney(s) to implement an estate plan
Conduct annual beneficiary reviews for all asset accounts
Advise on the preparation of a Letter of Instruction and coordination of this document with your estate plan

Sycamore follows a standard financial planning process in the preparation of its Financial Planning Plus services, as outlined below.

Financial Planning Process

Our Process. Our process is flexible and is based on each individual or family’s needs and desires. Following is an outline of a typical planning engagement. However, we will discuss the best process for you in your initial consultation.

1. Initial Inquiry. Contact us to discuss our services. We will provide introductory material.

2. FREE Initial Consultation. If you are interested, we will meet with you free of charge. This meeting is an opportunity to exchange information about your needs and objectives, to further discuss which of our services are right for you, and to provide you an estimate of the cost of our services. In preparation for this meeting, you will need to complete our initial consultation and risk tolerance questionnaires available on the Forms page.

3. Data Gathering and Initial Preparation. We will provide a checklist of the items needed to work on your plan. After we receive the items on the checklist, we will follow up with any questions, schedule a Presentation Meeting, and begin to develop your financial plan.

4. Interactive Goal Setting. As we work on your financial plan, we may need to follow-up with you to clarify the information you have provided and to refine your goals and objectives.

5. Analysis and Plan Formulation. We will study various plan scenarios, conclude our research and analysis, and produce the final reports which will include: observations, assumptions, specific recommendations, and an action plan.

6. Presentation of Your Financial Plan. At the Presentation Meeting, we will provide our written recommendations and investment paperwork ready for your signature.

7. Acceptance of Plan & Implementation. After presenting our recommendations, we will start managing your investments including implementing the initial asset allocation and reviewing them at least once a quarter for any changes needed. In addition, we’ll be following up to help you complete insurance, estate planning, cash flow, and other tasks important to your financial plan. We also provide analytical support as you make financial decisions such as: accepting a new job, planning for a move, remodeling your home, exercising stock options, selecting from executive compensation options, funding college costs, etc.

8. Review Meetings. Following the initial planning process, we have two planned meetings per year to review progress toward your financial goals, discuss your investments, and update the plan. Additional meetings can be scheduled if the need arises, and phone calls and emails are welcome.

Sycamore meets with each client to assess their specific needs and prepares a quote for the cost of the Financial Planning Plus services. This fee will be billed quarterly in arrears.

Below are sample client profiles and associated annual fees. As you review these sample clients, please take note of the broad range of clients that we are able to help through our Financial Planning Plus services. Our fees aren’t based on just a percentage of assets! We don’t think that’s the fairest way to charge — after all, how much money you have is a very poor proxy for the amount of help you need!

Sample Clients & Fees

Below are a few hypothetical clients and an estimated cost based on our hourly rate and client complexity. Actual quotes will be based on individual circumstances. The best way to get an idea of the costs for your particular needs is to contact us to schedule an initial consultation.

Single Retiree

Client Profile: Single retiree living on a pension, social security, and $350,000 investment assets. We would manage her monthly distributions, keep her portfolio in balance, discuss any concerns that arise, and help her monitor the sustainability of her spending level based on changes in her situation and the investment markets.
Typical Quarterly Fee: $1,400

Family of Four

Client Profile: Couple in their 40s with 2 children; $500,000 investment assets in Roth IRAs, 401ks, 529 plans, and a rollover IRA. We would help them stay on track with saving for college and retirement. In addition to managing their monthly investment contributions and keeping their 401k in balance with their other investments, we would help them with decisions that come up throughout the year like how much to spend on a new vehicle and whether to add more life insurance when the opportunity becomes available through work.
Typical Quarterly Fee: $2,100

Couple Planning for Retirement

Client Profile: Couple in their 50s, $1.5 million investment assets, plan to retire in 7 years. We would help them track their status toward retirement goals and make periodic adjustments. We would also manage their investment assets tax-efficiently, including giving direction on how to allocate their company 401ks. In addition, we would coordinate with an insurance broker to help them get some lower cost term life insurance to replace policies getting increasingly expensive through work.
Typical Quarterly Fee: $2,600

Newly Retired

Client Profile: Couple in their 60s, getting ready to retire this year with $3.5 million investment assets. We would be advising on pension elections and Social Security withdraw decisions, along with positioning their investment assets for distribution. We would also be helping them take advantage of a lower tax bracket in the early years of retirement to reduce their taxes later after they start required minimum distributions from their IRAs.
Typical Quarterly Fee: $4,000

Fully Enjoying Retirement

Client Profile: Retiree in his 70s, $5 million in investment assets in both taxable and retirement accounts. We would manage retirement distributions while keeping the portfolio in balance. In addition, we would coordinate with his CPA and use tax-aware investment management. We would also be helping him implement the estate plan created with his attorney.
Typical Quarterly Fee: $5,900