Review all the information you have learned about Nick and Karen. Decide what goals you will need to solve for in your financial plan. Write each goal out as a S.M.A.R.T. goal. Remember, some goals they have specified are important to them, and others, you may be bringing to their attention. List the goals in priority order and explain your rationale to Nick and Karen. Add a summary at the bottom regarding their overall financial situation and weather you feel they are currently on track to meet their goals. If not, indicate whether you think their goals are attainable. Provide analysis to support your view. Kindly submit your presentation in .doc or .pdf format.

Summary notes from initial meeting with Nick and Karen Griffin:

Nick is 35 and Karen is 34, they met in college and have been together ever since. They were married 9 years ago and have 2 children Ben (8) and Penny (6). Nick is a mechanical engineer working for a small firm in the city. His salary is $85k plus $10k bonus that he generally expects to receive. Karen is a nurse, working in the local elementary school. She has a salary of $45k. She knows that she could be earning more money in a different setting, but likes being in the school where her kids are attending, plus they use her health insurance benefits for the family, and she likes the fact that she will get a pension if she stays long enough. Nick has a 401k at his company. They match up to 4% of his salary so thats what he contributes. Nicks take-home paycheck is $2,500 bi-weekly and Karens is $550 weekly.

They bought their house 4 years ago for $440,000. They took a loan for $350,000 (20% down payment). They have an interest rate of 3.5% for 30 years. Their total monthly mortgage payment is just under $3,000 including taxes and insurance.

Beside the mortgage, their big expenses are groceries at around $250 per week, gas at about $100 per week for both of them, two car payments totaling $650 per month and clothing at approximately $300 per month. Utility bills average $200 per month year round. Most of their other expenses they consider discretionary, but vary in importance. The kids are starting to get into various activities that cost about $100 per month. Nick and Karen both have gym memberships totaling $60 per month. Nick likes to play golf most weekends between April and October at about $80-$150 per weekend. They give $50 per week at church and they like to dine out about twice a month where they spend $150 including the cost of the babysitter. They do improvements and buy stuff for the house at about $4,000 per year. They like to take a vacation at least every other year where they spend at least $3,000. They estimate that they spend $400-500 per month on other miscellaneous items. In general they are a little ahead each month, with some better than others.

Their only debts are the mortgage plus the two cars which they just bought last year. They owe $8,000 on Nicks used sedan (5% interest) and Karen drives the new SUV with a balance of $24,000 (0% interest). They also have one credit card with a balance of $10,000 (14% interest) from some unexpected home expenses they incurred 2 years ago. They pay as much as they can on the card each month, but no less than $100. Nick still has about $6,000 (6% interest) left on his student loan but has not been making payments because of the government pause since COVID.

They have a joint savings account earning .05% at the bank with $15,000 in it. They keep about $6,000 in their checking account most of the time. Karen has a small investment account that her Mom set up before they got married with $25,000 in a mutual fund. It is not specifically earmarked for anything, and they are open to advice about what to do with it. Nick has an old 401k from his first job with $40,000. His current 401k has $85,000 in it (but it was just over $100,000 at the beginning of the year). Both his retirement accounts are invested in a 2050 Target-Date mutual fund.

Nick and Karen are both in generally good health with no immediate concerns (except Nick thinks he needs to lose 15 lbs.). Nick is the oldest of 3 children and his parents are both living (ages 58 and 60) and in decent health. There are no significant medical issues in his family that he is aware of. He has three living grandparents in their late 70s and early 80s. Karen has an older sister and both her parents