50 Points

1. Describe initial meeting, summarize data to conclude lifecycle approach: 5 points

2. Quality of Engagement letter: 5 points

3. Financial Statements using ratio analysis to each benchmark: 5 Points

4. Analysis of Different Approaches: 5 Points Two Step, Three Panel Cash Flow Tax Strategic Present Value

5. Retirement and Educational Funding: 5 Points

Expected ages, Expected replacement rations, Expected cost and length, Social Security, Level of pre retirement, Inflation expectations ,Unique circumstances, Asset protection (insurances) ,Type of modeling used (Monte-Carlo or deterministic), Competing needs for pre and post retirement income

6. Investment Planning: 5 Points Risk profile and investment experiences of client, IPS for client, Present and recommended asset allocation, Time horizon (retirement, college), Rebalancing ,Recommended changes to specific investments , Sharpe Ration on individual investments and overall portfolio, UGMA vs. 529 recommendations, Annual Savings needed, Return Assumptions, Asset allocation for each child, Future cost of education assumption

7. Income Taxes: 5 Points Current tax situation and expected tax in future and impact on client, Marginal versus effective (present and future), Social Security, Qualified plan, Dividends and interest, Muni bonds vs taxable bonds, Capital gains, Kiddie tax

8. Estate Planning: 5 Points: Recommendation on how assets should be titled, Specific legal documents needed, Life insurance ownership and why, Power of attorney, Gifting strategies, Special situation planning, Beneficiary designations (primary vs. contingent), Charitable recommendations,

9. Presentation to client using current and projected statements and ratios: 5 Points

10. Closing engagement letter: 5 points

Clients financials: Liab. 1050 in credit card debt 14% APR

Liab. Mortgage-136295

Value of Home- 185000 28 yrs left at 3.5%

She has 10000 in a 401k

He has 14000 in a 401k

Checking and Savings Balance 6000

Wifes car value $6000

Husbands car value $8000

25000 In other personal property

Student Loans Brad has 68724

Student Loans Allison 39271

Cash Flow

Expenses for Entertainment

WIFI Cable 100/month

Annual of 5000 for Vacation/Travel

Annual of 4000 for clothing

100 for cell/month

200 for gas/month

800 for groceries/month

Utilities- 300/month

Daycare 1000/month

Homeowners-200/month

Property Tax- 4000/year

She is putting away 300/month

He is putting away 500/month

Car Insurance-150/month

Health Insurance -300/month

Financial Goals:

Retire at 65

Send daughter or children to college

Have another child

Buy a new home*

Grad school

Not in good shape in terms of income and savings

10-12% in terms of saving a year