Please fill out the following information that is projecting retirement income and investment needs based off the wealth management client criteria.

WEALTH MANAGEMENT CLIENT

Bill and Tammy Jones are a 40 year old couple with two children ages 12 and 14.

• Their annual income is $350K (before tax)
• Annual expenses: Income taxes: $170K, Mortgage expense: $40K, Property taxes: $35K, car payments: $20K, 401K contributions: $17K, living expenses, food, etc: $38K
• They own a $900K home with a $500K mortgage.
• They want to find a bigger house in the $1.5M range.
• They have $20K in credit card debit @19%/year. They maintain 6 credit cards with a line of credit of $70K
• They have an unsecured personal loan of $10K @17%/year.
• They have a bank NOW account with $20K in deposits
• They have $50K in a 401K plan.
• They have saved $50K towards education.
• They have other savings of $200K invested in long term CDs
• They have $100K in term life insurance. They have a standard auto and HO1 homeowners insurance policy.
• They own an Audi A3 with a value of $45,000 and a car loan of $25,000 and a used car valued at $20K with no loan. They are considering leasing a BMW X5 at $700/month vs buying it.
• They also own an investment property valued at $800K with a $400K mortgage which produces rental income to offset all expenses and provide a $30K profit.
• Retirement dreams: They would like to retire by 60. They need help in planning their future and retirement options. They would like to travel extensively, spending $50K per year for the rest of their lives on travel. They envision a retirement where they can spend $100K per year on expenses other than travel for incidentals and live in a $4M home. They would like to fund their future grandchildrens education.
• Estate planning: They do not have a will nor have done any other estate planning.

projecting retirement income and investment needs. 20 320000 47% 150400 1. Estimated household expindetures in retirement (note 1) A. Approximate nuber of years to retirement. B current level of annual household expindetured C estimated household expses in retirement as a percentage of current expenses. D estimated, annual household expindetures in retirement (B x C) 2. Estimated income in retirement: E. social security, annual income F. Company/Employer pension plans, annual amounts. G. Other sources, annual amounts. H. total annual income (E+F+G) 1. Additional required income, or annual shortfall (D-H) 3. Inflation factor. J. Expected average annual rate of inclation over the perios to retirement. K. Inflation factor (in appendix A): Based on 20 years to retirement and an expected average annual rate of inflation (J) of X% L. Size of inflation adjusted annual shortfall (1 x K) 4. Funding the Shortfall. M. Anticipated return on assets held after retirement N. Amount of retirement funds required-size of nest egg(L/M) O. Expeted rate of return on investments Prior to retirement. P. Compnid interest factor (in appendix B): Based on 20 years to retirement and n expected rate or return on investments of 6% Q. Annual savings require to fund retirement nest egg. projecting retirement income and investment needs. 20 320000 47% 150400 1. Estimated household expindetures in retirement (note 1) A. Approximate nuber of years to retirement. B current level of annual household expindetured C estimated household expses in retirement as a percentage of current expenses. D estimated, annual household expindetures in retirement (B x C) 2. Estimated income in retirement: E. social security, annual income F. Company/Employer pension plans, annual amounts. G. Other sources, annual amounts. H. total annual income (E+F+G) 1. Additional required income, or annual shortfall (D-H) 3. Inflation factor. J. Expected average annual rate of inclation over the perios to retirement. K. Inflation factor (in appendix A): Based on 20 years to retirement and an expected average annual rate of inflation (J) of X% L. Size of inflation adjusted annual shortfall (1 x K) 4. Funding the Shortfall. M. Anticipated return on assets held after retirement N. Amount of retirement funds required-size of nest egg(L/M) O. Expeted rate of return on investments Prior to retirement. P. Compnid interest factor (in appendix B): Based on 20 years to retirement and n expected rate or return on investments of 6% Q. Annual savings require to fund retirement nest egg