This questaon requires students to read through the case below and to prepare a formal personal financial plan for their client. Students ahould dabide their financial plan into the following sectiona: 1. Backsrotund 2. Client Goals s Objoctntes 3. Case Assumptions 4. Financral Managenent 5. Asset Management 6. Titx Plannang 7. Returemeat Planina 8. Eistate Plaruing Client Case Assignament-The Erowas If't Mondey aonming. Noverber 14,2022 . been hired by Ball and Betty Becwu to prepere coepriterine finuncial pin tor them. Thir HACKGROIND - Beil is age 65 and Bety us age 36. - Beth Bill and Blesty are bota rorkme Betry eamed a groar meime of 5100.000 lat yrar and is not motriated to ifart woriang fati tiese at thir point in hie lufe Hie it lippy juat to - Bcch Dill and Besty indicates that frry aze a good boulth f wirfs a life ispesterey to age. 907. - Ball Se Metty hase two childrer. eraduates nentyrar. Bobly peys fir hie onen bitiot mal bocla. CHIENT'S GOALS \& ORUECIIVFS 1. Beth Ball and Betty wibh to retire in aproumattly 2 years, when Bill is 65 years old (Deceraber 31,2025) 2. In retiremarnt, one of the claent' a goals it to essure that their tocal fimily income in equal to their setirement expenter Therefore, coc of fleit icy retirement goals is to ensure that they do not run out of monoy in ittireneat. However, the Brown's are not very nood at manuging their money and have never prequed a firmal bodget to monitor and control their spending- 3. Theally, the Browns woald hike to be dett-fee when they retire. There are additional notes about thin goal in the Retireanent Plosenge Section of this case. 4. Yoar clicat's want their ane tment portbolose to earn an average rate of refurn of 6% for: 2023-24. 5. Your clients also winh to enare that all apphicalhe tax planning income splitting strategies are inchaded in the fintociul phan and mplenlented as woon as the finnocial plas has been coenpleted. 6. Bull and Betty waat to enuure that ther dacalled grasdica will be tiken care of finaticially. when he reaches age 60 . any foture renandchildres. 8. Ball and Betty wait to enuare that fere ss meodety and tacefficient tramufcr of their atsets to their beneficiaries when tber det CASE ASSIMPTIONS - Rate of inturu in 6N (before tiri) co the arertinets acrosats - Your cliente are expectid to line to ape 90 . - Whes they retire in 2 yeark, your clientr and tis sell their primcipol renidencr (cirreatly - Your clientr will opply far, and begin to rochie, articable government penion payments wasen each of them ased are of 63 . - Batl will stat to cotlect OAS and CrP in 2yrirc ahrm he tricher age 65, Bill wil reccite $1,000 per month, in totel, ficen the govenment, itartay at age 65. per munth to ber Enjployer's Penaico Phe. Befy will be elipble to start receiving monthly acomen ficen be Eimploger Fienico Plas in 2 years. Shic expecti to recenve. 55,000 per moath foefive dodoctions) five ber Eipployer Peavion Flam whin the retires in 2 year: - Yeur calculations shoold ignore inillatize FIVANCIAL, MANAGEMENT SEMTION (Cail Flow Statemient \& Net Warth Statemeraf) Rart A.CASH FLOUSTATFMFNI Uee the folloraing information to complest the Cast Flow Statement below Inceme As diacussed above. Fxpernses - The Browns expect their total expenses fir 2022 to be $10,625 per month. - Included in their total expenses are the following - The Browns' budget for 2 triqs to Eisope, per year, for a total cost of $6,000 for the year for both of them. - In 2018, the Browns took up ualine as a bobby and they now rent a larne sailloar each summer. Smling has added a barge cost ( 57,900 in total elich jear) to the Brown's budget, in addition to the 2 trige to Europe miencicoed above. Additional mowity contr in Ootober 203 for the Blocen' ' are bisted frelow: REQUIRED: Ising the template below, coenplete the manthly Cahh Flosv Statement (fot the month of October) for the Browns. CIIFNT: The Resan DATF- OCTOBRR 2012 CURRENT MONIHLY CASH LOW STATFMFNT (Reseavei - Fypensei) LOR THF MONIH OF OCTOHFR LOAz Part B NIT WORTHSSATFMENT Use the following information 19 confylete the Wes Worth Statement belos: ASBETS On Octaber 3, 2022, the Bromar's Atron inifelet? - Princal naidecce-This anset as in both Prey"s and bill s same. The house in curreaty valued at 5850,000 (pucchased 12 yearn apo for 5700.000 ) Jaier Benk, Accownt The Becown't hare a joint byek account (thiat is in both of their. names) totalling $18,000 in caih. This accocet poys an intereit rate of ofi ce cath. There is no mamed besificiurr on this kecivet thares of Iests did not perform well in 2001 . Teils isces not pery thidesdr to ite sharebolden. Bdi in the named benificury ce then actout account was opeoid by Bletty in 2005 mhere ube tranfernst over the monyy ficm her Bill is the nuesed bearfitiary on this acooent redeenable GIC talued at 5145,000 at the hes. That GEC as wery safe and cunts intere t at a rate of 1.596 per year. This GIC anatire in 2 moethe. Bull expects the intrrent rates on GICs to increase nach yrar for the neet 4 yeies Bul's great uncle paoped anay. Ball's anrle lett le a 10-yeir corperale bend, with a The cutreat internat falt on new bondio =2.21% LAEIUITES Than Simish's have 2 acitanding Wabilinien an at Octaber 31, 2029. - Line of Condit (secarod agarnet the house $110,000 (at 125 anterest Jyear) REQUICDD PART BI - Regariling their mientrocet incounts, Brthy a ahs you to receninend envestment PART C - It there a need te crate a famity keifret? Why? PART D-Debe manegenent. What delr nande to be pais edr inmediately? Why? What debt necda to be paid off by retir ranctal dete? Sitroternt Net Werth Statement Fer Ball aad Betfy Brown Date of Statement: Octeber 31, 2022 investruentr: i. Cash in the Molan Bask Arooveat ii. Beth ROSPR iil. Bety's Lockes in RRSP iv. The Inietly eannt Nos Roslematle GSE 8. Bil's Corporate Bond (soe below) b) Bilat Inveatment (bend) Inheritance The Beownt are considering selling the biced the Bit wher ard fruan his usele. They want to use the ansitiry to giny off soene of thres lane of crefit (deter. The Brewn's wowld like you fo thll throer 1. The earrmi yifid en che bonds edvive thant whocher no kng ar nell the boed and c) Spounal KRSER d) The Brovn Growdchildren Brian Brewn Brian us recuained to attend apeciel edocition charses and will mogt blely never be able to work fall time. The Bnown's would blee you te oylain the Bent stratige fer naving money for Brian se ahaf t) The Brown't Future Grandehild fathere, posr-secondary nhacetien. REQTIRED: collige fuition. TAX PA ANYTVE rroy REQUIRED: Rerpond to the Brwwa' ' querin belew in thin section of the financiat plan: a) Salt of Princinal Recidence mar binal tax rate as 40%. c) Oren. Ophirt Tax Drficornd Accantify BIIRUMHNT FLANYTOG Relogrouad In fermatien - In retirement, the Btown' 1 foal is tos, tyether, lurie a cah flew of 572000 per yeat Cocfore expouser and befoer troer). - Hill expett to earn 512,000 in ereas iacien ger year at the atat of bis retirmenif. This insonve will mainly cont from Cre and o.ts - Dethy expects to earn 980,000 per yra hom ther fiayioyers Phace Plant. their inceese in retieeneat. The Bopurar athed to ane the natra moocy thom the sitle of their priocipal retidesce to: Pay off ail outstanding derle cwater whow flem tretre REQEIRED: a. The Brown's wosld like you to prepare a Phyinted Caeh Flow Shalewient for their sources of iscome, for boith RdI and Brity, in thei first yeir of tretement (2024). Where the income amouets ire inena, you a wult include then in your propetad same comimantr abowt ithits finenciel nwet. coornict: Client quertions to be answ erod The Bisern's both here will. Floweser, they hive bern tild thus flyy also neve Power of Attorneyz. Betty atks you to explain nfry both w thi and Puorr of Attorarys are seeded. Fiease expilatin the differeaces betaiern them- Pintie forvide explesanions for yur ancwer. This questaon requires students to read through the case below and to prepare a formal personal financial plan for their client. Students ahould dabide their financial plan into the following sectiona: 1. Backsrotund 2. Client Goals s Objoctntes 3. Case Assumptions 4. Financral Managenent 5. Asset Management 6. Titx Plannang 7. Returemeat Planina 8. Eistate Plaruing Client Case Assignament-The Erowas If't Mondey aonming. Noverber 14,2022 . been hired by Ball and Betty Becwu to prepere coepriterine finuncial pin tor them. Thir HACKGROIND - Beil is age 65 and Bety us age 36. - Beth Bill and Blesty are bota rorkme Betry eamed a groar meime of 5100.000 lat yrar and is not motriated to ifart woriang fati tiese at thir point in hie lufe Hie it lippy juat to - Bcch Dill and Besty indicates that frry aze a good boulth f wirfs a life ispesterey to age. 907. - Ball Se Metty hase two childrer. eraduates nentyrar. Bobly peys fir hie onen bitiot mal bocla. CHIENT'S GOALS \& ORUECIIVFS 1. Beth Ball and Betty wibh to retire in aproumattly 2 years, when Bill is 65 years old (Deceraber 31,2025) 2. In retiremarnt, one of the claent' a goals it to essure that their tocal fimily income in equal to their setirement expenter Therefore, coc of fleit icy retirement goals is to ensure that they do not run out of monoy in ittireneat. However, the Brown's are not very nood at manuging their money and have never prequed a firmal bodget to monitor and control their spending- 3. Theally, the Browns woald hike to be dett-fee when they retire. There are additional notes about thin goal in the Retireanent Plosenge Section of this case. 4. Yoar clicat's want their ane tment portbolose to earn an average rate of refurn of 6% for: 2023-24. 5. Your clients also winh to enare that all apphicalhe tax planning income splitting strategies are inchaded in the fintociul phan and mplenlented as woon as the finnocial plas has been coenpleted. 6. Bull and Betty waat to enuure that ther dacalled grasdica will be tiken care of finaticially. when he reaches age 60 . any foture renandchildres. 8. Ball and Betty wait to enuare that fere ss meodety and tacefficient tramufcr of their atsets to their beneficiaries when tber det CASE ASSIMPTIONS - Rate of inturu in 6N (before tiri) co the arertinets acrosats - Your cliente are expectid to line to ape 90 . - Whes they retire in 2 yeark, your clientr and tis sell their primcipol renidencr (cirreatly - Your clientr will opply far, and begin to rochie, articable government penion payments wasen each of them ased are of 63 . - Batl will stat to cotlect OAS and CrP in 2yrirc ahrm he tricher age 65, Bill wil reccite $1,000 per month, in totel, ficen the govenment, itartay at age 65. per munth to ber Enjployer's Penaico Phe. Befy will be elipble to start receiving monthly acomen ficen be Eimploger Fienico Plas in 2 years. Shic expecti to recenve. 55,000 per moath foefive dodoctions) five ber Eipployer Peavion Flam whin the retires in 2 year: - Yeur calculations shoold ignore inillatize FIVANCIAL, MANAGEMENT SEMTION (Cail Flow Statemient \& Net Warth Statemeraf) Rart A.CASH FLOUSTATFMFNI Uee the folloraing information to complest the Cast Flow Statement below Inceme As diacussed above. Fxpernses - The Browns expect their total expenses fir 2022 to be $10,625 per month. - Included in their total expenses are the following - The Browns' budget for 2 triqs to Eisope, per year, for a total cost of $6,000 for the year for both of them. - In 2018, the Browns took up ualine as a bobby and they now rent a larne sailloar each summer. Smling has added a barge cost ( 57,900 in total elich jear) to the Brown's budget, in addition to the 2 trige to Europe miencicoed above. Additional mowity contr in Ootober 203 for the Blocen' ' are bisted frelow: REQUIRED: Ising the template below, coenplete the manthly Cahh Flosv Statement (fot the month of October) for the Browns. CIIFNT: The Resan DATF- OCTOBRR 2012 CURRENT MONIHLY CASH LOW STATFMFNT (Reseavei - Fypensei) LOR THF MONIH OF OCTOHFR LOAz Part B NIT WORTHSSATFMENT Use the following information 19 confylete the Wes Worth Statement belos: ASBETS On Octaber 3, 2022, the Bromar's Atron inifelet? - Princal naidecce-This anset as in both Prey"s and bill s same. The house in curreaty valued at 5850,000 (pucchased 12 yearn apo for 5700.000 ) Jaier Benk, Accownt The Becown't hare a joint byek account (thiat is in both of their. names) totalling $18,000 in caih. This accocet poys an intereit rate of ofi ce cath. There is no mamed besificiurr on this kecivet thares of Iests did not perform well in 2001 . Teils isces not pery thidesdr to ite sharebolden. Bdi in the named benificury ce then actout account was opeoid by Bletty in 2005 mhere ube tranfernst over the monyy ficm her Bill is the nuesed bearfitiary on this acooent redeenable GIC talued at 5145,000 at the hes. That GEC as wery safe and cunts intere t at a rate of 1.596 per year. This GIC anatire in 2 moethe. Bull expects the intrrent rates on GICs to increase nach yrar for the neet 4 yeies Bul's great uncle paoped anay. Ball's anrle lett le a 10-yeir corperale bend, with a The cutreat internat falt on new bondio =2.21% LAEIUITES Than Simish's have 2 acitanding Wabilinien an at Octaber 31, 2029. - Line of Condit (secarod agarnet the house $110,000 (at 125 anterest Jyear) REQUICDD PART BI - Regariling their mientrocet incounts, Brthy a ahs you to receninend envestment PART C - It there a need te crate a famity keifret? Why? PART D-Debe manegenent. What delr nande to be pais edr inmediately? Why? What debt necda to be paid off by retir ranctal dete? Sitroternt Net Werth Statement Fer Ball aad Betfy Brown Date of Statement: Octeber 31, 2022 investruentr: i. Cash in the Molan Bask Arooveat ii. Beth ROSPR iil. Bety's Lockes in RRSP iv. The Inietly eannt Nos Roslematle GSE 8. Bil's Corporate Bond (soe below) b) Bilat Inveatment (bend) Inheritance The Beownt are considering selling the biced the Bit wher ard fruan his usele. They want to use the ansitiry to giny off soene of thres lane of crefit (deter. The Brewn's wowld like you fo thll throer 1. The earrmi yifid en che bonds edvive thant whocher no kng ar nell the boed and c) Spounal KRSER d) The Brovn Growdchildren Brian Brewn Brian us recuained to attend apeciel edocition charses and will mogt blely never be able to work fall time. The Bnown's would blee you te oylain the Bent stratige fer naving money for Brian se ahaf t) The Brown't Future Grandehild fathere, posr-secondary nhacetien. REQTIRED: collige fuition. TAX PA ANYTVE rroy REQUIRED: Rerpond to the Brwwa' ' querin belew in thin section of the financiat plan: a) Salt of Princinal Recidence mar binal tax rate as 40%. c) Oren. Ophirt Tax Drficornd Accantify BIIRUMHNT FLANYTOG Relogrouad In fermatien - In retirement, the Btown' 1 foal is tos, tyether, lurie a cah flew of 572000 per yeat Cocfore expouser and befoer troer). - Hill expett to earn 512,000 in ereas iacien ger year at the atat of bis retirmenif. This insonve will mainly cont from Cre and o.ts - Dethy expects to earn 980,000 per yra hom ther fiayioyers Phace Plant. their inceese in retieeneat. The Bopurar athed to ane the natra moocy thom the sitle of their priocipal retidesce to: Pay off ail outstanding derle cwater whow flem tretre REQEIRED: a. The Brown's wosld like you to prepare a Phyinted Caeh Flow Shalewient for their sources of iscome, for boith RdI and Brity, in thei first yeir of tretement (2024). Where the income amouets ire inena, you a wult include then in your propetad same comimantr abowt ithits finenciel nwet. coornict: Client quertions to be answ erod The Bisern's both here will. Floweser, they hive bern tild thus flyy also neve Power of Attorneyz. Betty atks you to explain nfry both w thi and Puorr of Attorarys are seeded. Fiease expilatin the differeaces betaiern them- Pintie forvide explesanions for yur ancwer