Capstar Plan

CLIENT HOME
REPORTS:
SUMMARY: CLIENT GOALS DEF. POSITIONS OFF. POSITIONS RECOMMENDATIONS CUR. FIN. POS. BALANCE SHEET CASHFLOW DEF. ANALYSIS CASH RESERVE LIFE INSURANCE DISABILITY INS. LTC INSURANCE OFF. ANALYSIS GOAL PLANNING WK - ED SAVINGS WK - ST GOALS WK - RET CONTRIB. WK - RET DISTRIB.
CapPlan 1.0
ESTATE PLANNING BASIC DATA CURRENT FLOW ALTERNATE FLOW
HOME CLIENT INFO BAL SHEET CASHFLOW GOAL PLAN DEF. BENE'S ESTATE & LTC
PRINT ALL REPORTS SELECT ALL REPORTS DESELECT REPORTS
CLIENT BACKGROUND INFORMATION

CLIENT INFORMATION:
HOME CLIENT INFO BAL SHEET CASHFLOW GOAL PLAN DEF. BENE'S ESTATE & LTC
CapPlan 1.0
OTHER INFORMATION: Anniversary Date: Client Notes:
John and Mary are very active in their church. They want to leave a good donation to the church but are not sure what amount and from where it should be funded from. // John is heavily involved with KofC and Mary volunteers at St. Vincent De Paul one a month.John and Mary are very active in their church.
SPOUSE INFORMATION: First Name: Middle Initial: Last Name: Birthdate: SSN: Home Information: Address 1 Address 2 City Phone: Fax: Email Address: Work Information: Title: Company: Address 1 Address 2 City State Zip Code Phone: Fax: Email Address: Best place to contact client: Home Mary J. Smith 10/15/64 987-65-4321
First Name: Middle Initial: Last Name: Birthdate: SSN: Home Information: Address 1 Address 2 City, State Zip Phone: Fax: Email Address: Work Information: Title: Company: Address 1 Address 2 City State Zip Code Phone: Fax: Email Address:
John Q. Smith 4/23/62 123-45-6789
06/24/84
123 Berkeley Heights Scottsdale, AZ 85260 (480) 555-1234 jsmith@yahoo.com
123 Berkeley Heights Scottsdale, AZ 85260 (480) 555-1234 mjsmith@hotmail.com
President/CEO Smith Industries, Inc. 4321 S. Industrial Dr. Phoenix AZ 00008-5014 (602) 555-9876 (602) 555-7645
OTHER INFORMATION: Current Age Planned Retirement Age Life Expectancy REPORT NAME: IAR NAME: IAR TITLE: PLAN PREP DATE:
John 45.0 65.0 85.0
Mary 42.5 65.0 90.0
John and Mary Smith David C. Paddison, MBA Managing Partner 3/25/2007
Best place to contact client:
Work
ASSETS & LIABILITIES

ASSETS: Cash & Equivalents:
Bank: CLIENT INFO BAL SHEET CASHFLOW TOTAL BANK ACCOUNTS: GOAL PLAN DEF. BENE'S ESTATE & LTC $18,598.00 Value: $10,000.00 $3,000.00 $2,425.00 $15,425.00 Value: $43,318.50 $7,576.50 Other Liabilities Discover Card Visa Card Loan - Escalade TOTAL RETIREMENT ACCOUNTS: $50,895.00 Value: $73,450.00 $15,430.00 Home Equity LOC $25k LOC @ 9.5% Student Loan Boat Loan - BofA Ann Prem $2,500 $700 5.0% 5yr (48m remain) 30yr 7.5% (30y remain) 10-yr (2012) Description BofA - Checking BofA - Savings BofA - Chk (Mary) BofA CD (5.45%) Acct #: 12345678 98765432 13579876 748592 Value: $5,675.00 $9,345.00 $1,232.00 $2,346.00 Pesonal Property Personal Property 2001 Mercedes 2005 Escalade 2001 Bayliner Boat Description: Miscellaneous Auto Auto 21' Ski Boat
CapPlan 1.0
Description: Primary Residence Rental Home Value: $665,000.00 $335,000.00 Value: $10,000.00 $13,000.00 $35,000.00 $12,000.00 $1,070,000.00
HOME
ASSETS (Cont'd): Real-Estate & Personal Property

Real Estate 123 Berkeley Heights 1456 E. Crocus
Taxable Investments (from Morningstar reports):

Description Educational Savings Short-Term Goal Savings Fidelity Account Acct #: 9876 1234 6543 Ann Saving $0 $0 $150
TOTAL REAL ESTATE & PERSONAL ASSETS:
LIABILITIES:
Mortgages Description 6.5% 30-yr Fixed 7.5% 30-yr Fixed Payment $2,200.00 $1,115.00 Payment $350.00 $175.00 $675.00 $550.00 $271.00 $75.00 TOTAL LIABILITIES: Balance: $435,000.00 $235,000.00 Balance: $7,000.00 $3,500.00 $34,000.00 $65,000.00 $10,000.00 Availability $7,000.00 $796,500.00 $18,000.00 Mortgage - Berkeley Mortgage - Crocus
TOTAL TAXABLE INVESTMENTS:
Retirement Accounts (from Morningstar reports):

Description J.SMITH (401k) M.SMITH (IRA) Acct #: 87234 45345 Ann Saving $1,500 $400
Cash Value Life Policies

Asset: J.SMITH - NWML $1M M.SMITH - NWML $200k Acct #: 67359 45345
TOTAL OTHER ASSETS:
$88,880.00
ESTIMATED NET WORTH:
$447,298.00
PERSONAL CASH BUDGET

INCOME
HOME CLIENT INFO Employment 1 BAL SHEET CASHFLOW GOAL PLAN DEF. BENE'S ESTATE & LTC Employment 2 Other Other
CapPlan 1.0
DEBT & SAVINGS
EXPENSES
John
Description Smith Industries Annual Income $195,000.00
Personal
Description Rent Home Insurance Property Tax Home Maintenance Utilities (gas, electric, telephone) Groceries Description Annual Income Child Support / Alimony Day Care Health Insurance Unreimbursed Medical Life Insurance Fitness Gas Description Annual Income Auto Insurance Auto Maintenance Cable Subscriptions & Dues Gifts/Donations 1456 Crocus $18,000.00 Entertainment (dining, movies) Rental Property (total) Other Other $45,000.00 $17,500.00 Other Other Monthly Expense $0.00 $30.00 $100.00 $150.00 $300.00 $750.00 $0.00 $0.00 $600.00 $600.00 $300.00 $120.00 $500.00 $150.00 $50.00 $150.00 $50.00 $200.00 $500.00 $500.00
Debt Payments
Description Mortgage - Berkeley Mortgage - Crocus Discover Card Visa Card Loan - Escalade Student Loan Boat Loan - BofA Home Equity LOC Monthly Payment $2,200.00 $1,115.00 $350.00 $175.00 $675.00 $550.00 $271.00 $75.00
Mary
Employment 1 Employment 2 Other Other
TOTAL MONTHLY PAYMENTS:
$5,411.00
Other
Social Sec. Pension Diability Interest Rental Other Other Federal & State Tax (Annually) SS/Medicare Tax (or SET)
Savings
Retirement: J.SMITH (401k) M.SMITH (IRA) Monthly Savings $1,500.00 $400.00 $0.00 $0.00 Other: Educational Savings Short-Term Goal Savings Fidelity Account Monthly Savings $0.00 $0.00 $150.00 $0.00
TOTAL MONTHLY SAVINGS: $5,050.00 Total Monthly Income: Total Monthly Expenditures: CASH EXCESS(SHORTFALL):
$2,050.00 $12,541.67 $12,511.00 $30.67
TOTAL ANNUAL INCOME:
$150,500.00
TOTAL MONTHLY EXPENSES:
GOAL PLANNING
EDUCATIONAL GOALS
HOME CLIENT INFO BAL SHEET CASHFLOW Expected inflation rate for Educational Costs: GOAL PLAN 5.5% Expected return on college savings: 8.0% Student's Name John Smith, Jr. Jane Smith Age 8.0 7.0 Start Age 17.0 17.0 Current Tuition $4,500 $4,500 Room & Board $2,500 $2,500 Other $500 $500 Years 5.0 5.0 College Funds $5,000 $5,000 Annual Savings $0 $0 No No
CapPlan 1.0
PROJECTED 529 Plan? EXCESS(SHORTFALL) ($46,420.23) ($48,723.47)
SHORT-TERM GOALS
DEF. BENE'S ESTATE & LTC Goal Description Family Disney Cruise Europe Vacation 2nd RE Rental Start RE Business House Boat Estimated Cost $15,000 $12,000 $30,000 $20,000 $50,000 2.5%
Years to save 3.0 5.0 7.0 12.0 20.0
Current Funds $1,000 $0 $2,000 $0 $0
Annual Savings $0 $0 $0 $0 $0
PROJECTED EXCESS(SHORTFALL) ($14,893.65) ($13,576.90) ($32,232.92) ($26,897.78) ($81,930.82) 8.0%
Expected inflation rate for short-term goals:
Expected return on savings:
RETIREMENT GOALS
Total Current Annual Income Total Current Taxes Effective Tax Rate Total Take Home Pay Total Current Expenses /mo Total Current Debt Pmts /mo Total Current Savings /mo $213,000 $62,500 29.3% $150,500 $5,050 $5,411 $2,050 Expected Retirement Tax Bracket Monthly Retirement Expenses (85%) Monthly Retirement Debt Pmts (65%) Monthly Retirement Savings (25%) Monthly Survivor Expenses (60%) Expected Real Estate Inflation (5%) 29.3% $4,293 $3,517 $513 65.0% 5.0% Expected Rate of Inflation PRE-Retirement Rate of Return (10%) POST-Retirement Rate of Return (5%) ANNUITY Rate of Returns (7%) ANNUITY (% of Premium) 2.5% 10.0% 5.0% 6.0% 40.0%
DEFINED BENEFIT COVERAGE

Home & Auto
HOME CLIENT INFO BAL SHEET CASHFLOW GOAL PLAN DEF. BENE'S ESTATE & LTC Covered Asset(s) Home - Berkeley Landlord - Crocus Autos & Boat Carrier MetLife MetLife MetLife Policy # 4567 8765 8563 & 2345 Coverage Limit Replacement Value Replacement Value Replacement Value Annual Deductible $1,000.00 $1,000.00 $500.00 Annual Premium $600.00 $300.00 $1,400.00
CapPlan 1.0
Social Security Benefits
John Smith
Death Benefit (/mo) Disability Benefit (/mo) Retire Benefit (/mo) SS Retirement Age $450.00 $250.00 $750.00 65
Life Insurance:
Beneficiary Mary Smith Mary Smith
John
Carrier Smith Industries NWML Policy # ER Policy - 1yr salary 87459 Policy Type TRM UNV Term Life Universal Life TOTAL Policy # 62537 Policy Type UNV Universal Life Death Benefit $195,000.00 $1,000,000.00 $1,195,000.00 Death Benefit $200,000.00 Annual Premium $0.00 $2,500.00 $2,500.00 Annual Premium $700.00 Death Benefit (/mo) Disability Benefit (/mo) Retire Benefit (/mo) SS Retirement Age
Mary Smith
$225.00 $150.00 $435.00 65
Life Insurance:
Beneficiary John Smith
Mary
Carrier NWML
Pension Benefits
John Smith
Death Benefit (/mo) $0.00 $0.00 $0.00 $0.00 Disability Benefit (/mo) Retire Benefit (/mo) Lump Sum Amount
Disability Insurance:
Description John Smith John Smith Carrier NWML
John
Policy # 9876 ER Policy
TOTAL Death Benefit $0.00 $0.00 TOTAL
$200,000.00 Monthly Benefit $1,500.00 $7,750.00 $9,250.00
$700.00 Annual Premium $540.00 $0.00 $540.00
Smith Industries
Mary Smith
Death Benefit (/mo) Disability Benefit (/mo) $0.00 $0.00 $0.00 $0.00
Disability Insurance:
Description Carrier
Mary
Policy # Death Benefit Monthly Benefit Annual Premium
Retire Benefit (/mo) Lump Sum Amount
TOTAL
$0.00
$0.00
ESTATE PLANNING & LTC

ESTATE PLANNING
HOME CLIENT INFO BAL SHEET CASHFLOW GOAL PLAN DEF. BENE'S ESTATE & LTC Are any of the following in place? 1) Will 2) Revocable Living Trust 3) Marital Trust Provisions 4) Credit Shelter Trust Provisions 5) QTIP Trust Provisions 6) Generation Skip Trust Provisions 7) Irrevocable Life Insurance Trust 8) Durable General POA 9) Durable Health Care POA 10) Living Will 11) Previous Taxable Gifts ($) 12) Previous Gift Taxes Paid ($)
CapPlan 1.0
John
Yes No No No No No No No No No $0.00 $0.00
Mary
Yes No No No No No No No No No $0.00 $0.00
If yes, describe:
John & Mary have a rudimentary will, has not been updated in at least 8 years.
If a living trust exists, what percentage of the estate is in the trust:
0.0%
Estate Planning Assumptions:

Administrative & probate expenses (as % of estate assets): Estimated Final Expenses ($) Amount you would like to leave as an estate: 4.0% $7,500 $100,000
LONG-TERM CARE (LTC) PLANNING

Assumptions for LTC Planning 1) Estimated daily care cost 2) Estimated annual care cost 3) Estimated years of care 4) Assumed Medical Inflation:
John If yes, describe:

Current LTC Policy In Place? Policy Term (months) Coverage (per day) Deductible (# of days) Inflation-Indexed? No
Mary
No
John
$150.00 $54,750.00 3.0 6.0%
Mary
$150.00 $54,750.00 3.0 6.0%
A personalized financial proposal for
John and Mary Smith

123 Berkeley Heights Scottsdale, AZ 85260
Prepared by: David C. Paddison, MBA Managing Partner Capstone Financial Advisors 11210 N. 75th Street Scottsdale, AZ 85260 Voice: 480.907.3
March 25, 2007
Contents
A personal financial proposal for John and Mary Smith March 25, 2007
prepared by: David C. Paddison, MBA Voice: 480.907.3
Financial Plan Summary Current Financial Position Defensive Analysis Offensive Analysis Estate Planning
3 8 11 16 22
Disclosure:
In an effort to aid you in learning, understanding, and formulating a personal basis for decision making, this 'Personalized Financial Plan' is offered to help enhance your knowledge of various topics and communicate some of the intricacies of the financial world. The plan represents a framework to clarify and structure your financial matters. This plan is based upon confidential information you provided regarding your present resources and objectives. While illustrations within this plan can be a valuable aid in the examination of your finances, it does not represent the culmination of your planning efforts. Financial planning is an ongoing process. This hypothetical illustration of mathematical principles is custom made to model some potential situations and transitions you may face in your financial future. Hypothetical assumptions used in this illustration are specifically chosen to communicate and demonstrate your current financial position and highlight for discussion with your advisor the complex future interacting effects of combined incomes, expenses, savings, asset growth, taxes, retirement benefits, and insurance. This document is not an advertisement or solicitation for any specific investment, investment strategy, or service. No recommendations or projections of specific investments or investment strategies are made or implied. Any illustrations of asset growth contained herein are strictly used to demonstrate mathematical concepts and relationships while presenting a balanced and complete picture of certain financial principles. Growth assumptions are applied to generalized accounts based upon differing tax treatment. Illustrations, charts and tables do not predict or project actual future investment performance, or imply that any past performance will recur. This plan does not provide tax or legal advice, but may illustrate some tax rules or effects and mention potential legal options for educational purposes. Information contained herein is not a substitute for consultation with a competent legal professional or tax advisor and should only be used in conjunction with his or her advice. The results shown in this illustration are not guarantees of, or projections of future performance. Results shown are for illustrative purposes only. This presentation contains forward-looking statements and there can be no guarantees that the views and opinions expressed will come to pass. Historical data shown represents past performance and does not imply or guarantee comparable future results. Information and statistical data contained herein have been obtained from sources believed to be reliable but in no way are guaranteed as to accuracy or completeness. Your actual future investment returns, tax levels and inflation are unknown. This illustration uses representative assumptions in a financial planning calculation model to generate a report for education and discussion purposes. Calculations and assumptions within this report may not reflect all potential fees, charges, and expenses that might be incurred over the time frame covered by these illustrations which, if included, would result in lower investment returns and less favorable illustration results. Do not rely upon the results of this report to predict actual future investment performance, market conditions, tax effects or inflation rates.
Financial Plan Summary
March 25, 2007
Summary
Client Goals
Short-Term Goals (within 1-10 years) This is where you would write your brief analysis about the client's defensive postions and strategies in order to set the stage for the recommendations.
Long-Term Goals (10+ years) This is where you would write your brief analysis about the client's defensive postions and strategies in order to set the stage for the recommendations.
Other Goals (personal, charities, etc.) This is where you would write your brief analysis about the client's defensive postions and strategies in order to set the stage for the recommendations.
Summary
Defensive Positions
Strengths a. First strength b. Second Strength c. Third Strength a. First Weakness b. Second Weakness c. Third Weakness Weaknesses
a. First opportunity b. Second opportunity c. Third opportunity
a. First threat b. Second threat c. Third threat
Opportunities
Threats
Analysis & Commentary: This is where you would write your brief analysis about the client's defensive postions and strategies in order to set the stage for the recommendations.
Summary
Offensive Positions
Strengths a. First strength b. Second Strength c. Third Strength a. First Weakness b. Second Weakness c. Third Weakness Weaknesses
a. First opportunity b. Second opportunity c. Third opportunity
a. First threat b. Second threat c. Third threat
Opportunities
Threats
Analysis & Commentary: This is where you would write your brief analysis about the client's defensive postions and strategies in order to set the stage for the recommendations.
Summary
Recommendations
Defensive Recommendations: This is where you would write your brief analysis about the client's defensive postions and strategies in order to set the stage for the recommendations.
Offensive Recommendations: This is where you would write your brief analysis about the client's defensive postions and strategies in order to set the stage for the recommendations.
Other Recommendations: This is where you would write your brief analysis about the client's defensive postions and strategies in order to set the stage for the recommendations.
Current Financial Position
March 25, 2007
Current Financial Position
Assets
Cash & Equivalents BofA - Checking BofA - Savings BofA - Chk (Mary) BofA CD (5.45%) $5,675 $9,345 $1,232 $2,346 $0 $18,598 Taxable Investments Educational Savings Short-Term Goal Savings Fidelity Account $10,000 $3,000 $2,425 $0 $15,425 Retirement Accounts J.SMITH (401k) M.SMITH (IRA) $43,319 $7,577 $0 $0 $50,895 Cash Value Life Policies J.SMITH - NWML $1M M.SMITH - NWML $200k $73,450 $15,430 $0 $0 $88,880 Real Estate & Personal Property 123 Berkeley Heights 1456 E. Crocus Personal Property 2001 Mercedes 2005 Escalade 2001 Bayliner Boat $665,000 $335,000 $0 $10,000 $13,000 $35,000 $12,000 $1,070,000 TOTAL ASSETS: $1,243,798
Liabilities
Debt & Other Liabilities Mortgage - Berkeley Mortgage - Crocus Discover Card Visa Card Loan - Escalade Student Loan Boat Loan - BofA Home Equity LOC TOTAL LIABILITIES $435,000 $235,000 $0 $7,000 $3,500 $34,000 $65,000 $10,000 $0 $7,000 $796,500
TOTAL NEW WORTH:
$447,298
Comments:
Here is where you make specific comments about what you see going on in the clients financials.
Income, Expense and Cashflow
Income (annually)
John Smith Industries $195,000 $0 $0 $0 Mary $0 $0 $0 $0 Other $0 $0 $0 $0 1456 Crocus $18,000 $0 $0 GROSS INCOME $213,000
Expenses (monthly)
Personal Expense Rent Home Insurance Property Tax Home Maintenance Utilities (gas, electric, telephone) Groceries Child Support / Alimony Day Care Health Insurance Unreimbursed Medical Life Insurance Fitness Gas Auto Insurance Auto Maintenance Cable Subscriptions & Dues Gifts/Donations Entertainment (dining, movies) Rental Property (total) Other $0 $30 $100 $150 $300 $750 $0 $0 $600 $600 $300 $120 $500 $150 $50 $150 $50 $200 $500 $500 $0 $0 $0 $0 $5,050
Income Taxes Federal & State Tax (Annually) SS/Medicare Tax (or SET) TOTAL INCOME TAXES $45,000 $17,500 $62,500
Other Other Other TOTAL EXPENSES Debt Payments & Savings
TOTAL ANNUAL TAKE-HOME PAY EFFECTIVE INCOME TAX RATE TOTAL MONTHLY CASH INFLOWS
$150,500 29.3% $12,542
Debt Payments Savings TOTAL DEBT PAYMENTS & SAVINGS TOTAL MONTHLY CASH OUTFLOWS CASH EXCESS(SHORTFALL)
$5,411 $2,050 $7,461 $12,511 $31
Comments:
Defensive Analysis
March 25, 2007
Defensive Analysis
Cash Reserve Analysis

Current Monthly Expenses Current Monthly Debt Payments TOTAL 6-MONTHS EXPENSES Sources of Reserve Cash Cash & Liquid Assets Home Equity LOC Other Semi-Liquid Assets Retirement Assets TOTAL SOURCES OF CASH $34,023 $18,000 $88,880 $50,895 $191,798
Retirement Assets 27% Cash & Liquid Assets 18% Home Equity LOC 9%
$5,050 $5,411 $10,461 $62,766 Liquidity of Personal Assets
Other Semi-Liquid Assets 46%
LEVEL ONE RISK LEVEL TWO RISK LEVEL THREE RISK OVERALL RISK Definitions:
Level One Level Two Level Three Overall
108.4% 165.8% 82.9% 305.6%
Low Low Low Low
Risk that a 90-day cash emergency would greatly impact your liquid assets Risk that a 90-day cash emergency would greatly impact your retirement assets Risk that a 180-day emergency would greatly impact your retirement assets Risk that a 180-day cash emergency would be a catastrophic event
Comments:
Defensive Analysis
Life Insurance Analysis

Decendent:
John
$12,542 -$208 -$5,411 $6,922 0.65 $4,500 $0 $450 $1,500 $1,950 $4,418
Decendent:
Mary
$12,542 -$58 -$5,411 $7,072 0.65 $4,597 $16,250 $225 $1,500 $17,975 None
Current Monthly Expenses LESS: Life insurance premium LESS: Debt payments EQUALS: Monthly Expenses Adjustment for decedent REQUIRED MONTHLY PROCEEDS: Monthly Income - Survivor Monthly SS Benefit - Survivor Monthly Income - Other TOTAL SURVIOR MONTHLY INCOME: REQUIRED SURVIVOR PRE-TAX CASH: INSURANCE REQUIREMENTS (PV): Required Monthly Survivor Needs: Required to Extinguish Debt: TOTAL CURRENT COVERAGE: COVERAGE SHORTAGE (EXCESS)
Current Monthly Expenses LESS: Life insurance premium LESS: Debt payments EQUALS: Monthly Expenses Adjustment for decedent REQUIRED MONTHLY PROCEEDS: Monthly Income - Survivor Monthly SS Benefit - Survivor Monthly Income - Other TOTAL SURVIOR MONTHLY INCOME: REQUIRED SURVIVOR PRE-TAX CASH: INSURANCE REQUIREMENTS (PV):
$1,226,778 $796,500 $1,195,000 $828,278
Required Monthly Survivor Needs: Required to Extinguish Debt: TOTAL RECOMMENDED INSURANCE: TOTAL CURRENT COVERAGE: COVERAGE SHORTAGE (EXCESS)
$0 $0 $0 $200,000 -$200,000
TOTAL RECOMMENDED INSURANCE: 2,023,278 $
Comments:
Defensive Analysis
Disability Insurance Analysis

Disabled:
John
$11,482 -$250 -$9,250 -$540 $1,442
Diabled:
Mary
$0 -$150 $0 $0 -$150
Current After-Tax Earnings LESS: Social Security Benefit LESS: LTD Insurance Benefits LESS: LTD Premium EQUALS SHORTFALL (EXCESS)
Current Monthly Income LESS: Social Security Benefit LESS: LTD Insurance Benefits LESS: LTD Premium EQUALS SHORTFALL (EXCESS)
COVERAGE RISK L1 CASH RESERVE RISK OVERALL DISABILITY RISK
Medium Low Medium
COVERAGE RISK L1 CASH RESERVE RISK OVERALL DISABILITY RISK
None Low Low
SUGGESTED EXTRA COVERAGE:
None
SUGGESTED EXTRA COVERAGE:
None
Comments:
Defensive Analysis
Long-Term Care Insurance Analysis

Insured:
John
$150 $54,750 6.0% 3.0 82.0 $2,364,129
Insured:
Mary
$150 $54,750 6.0% 3.0 87.0 $3,659,866
Current Daily Care Cost: Estimated Annual Care Cost: Expected Medical Inflation: Anticipated Years of Care: Anticipated Utilization Age: Future Assets at Risk for LTC
Current Daily Care Cost: Estimated Annual Care Cost: Expected Medical Inflation: Anticipated Years of Care: Anticipated Utilization Age: Future Assets at Risk for LTC
Required Monthly Savings Alternate LTC Insuarnce Premium
$861
Required Monthly Savings Alternate LTC Insuarnce Premium
$713
A good time to buy long-term care insurance is between ages 50 and 55, according to the American Health Care Association (AHCA), a federation of 50 state health organizations representing assisted living, nursing facility, long-term care, and subacute care providers. A policy that costs you $800 annually when you're 55 will cost you nearly twice as much if you wait to buy it when you're 65. There is an exception, however. You might want to purchase a long-term care policy before age 50 if your employer sponsors an attractive long-term care group plan at an affordable price.
When considering whether or not to purchase LTC insurance, you should take into consideration such factors as: 1) family history (does your family have a history of dementia, diabetes, or other dibilitating, late-onset disease), 2) retirement assets at risk, 3) overall financial condition vs. likelihood of LTC utliization.
Comments:
Offensive Analysis
March 25, 2007
Offensive Analysis
Goal Planning
EDUCATIONAL SAVINGS - Summary & Analysis
SHORT-TERM GOALS - Summary Analysis

RETIREMENT GOALS - Summary Analysis

Offensive Analysis
WORKSHEET - Educational Savings

Student 1 Year John Smith, Jr. Return Inflation 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 Monthly Savings $46,420 8.0% 5.5% $4,605 $4,605 $4,605 $4,605 $4,605 $4,605 $4,605 $4,605 $4,605 $48,723 Student 2 Jane Smith Return Inflation 8.0% 5.5% $4,294 $4,294 $4,294 $4,294 $4,294 $4,294 $4,294 $4,294 $4,294 $4,294 Return Inflation 8.0% 5.5% Return Inflation 8.0% 5.5% Return Inflation 8.0% 5.5% Student 3 Student 4 Student 5
$383.72
$357.81
TOTAL SAVINGS REQUIRED TO ACHIEVE EDUCATIONAL GOALS: TOTAL CURRENT MONTHLY SAVINGS FOR EDUCATION: SUGGESTED SAVINGS TO ACHIEVE EDUCATIONAL GOALS:
$741.53 $0.00 $741.53
Offensive Analysis
WORKSHEET - Short Term Goals

Goal 1 Year Family Disney Cruise Return Inflation 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 Monthly Savings $81,931 $26,898 $32,233 $13,577 $14,894 8.0% 2.5% $4,578 $4,578 $4,578 Goal 2 Europe Vacation Return Inflation 8.0% 2.5% $2,365 $2,365 $2,365 $2,365 $2,365 Goal 3 2nd RE Rental Return Inflation 8.0% 2.5% $3,785 $3,785 $3,785 $3,785 $3,785 $3,785 $3,785 Goal 4 Start RE Business Return Inflation 8.0% 2.5% $1,588 $1,588 $1,588 $1,588 $1,588 $1,588 $1,588 $1,588 $1,588 $1,588 $1,588 $1,588 Goal 5 House Boat Return Inflation 8.0% 2.5% $2,257 $2,257 $2,257 $2,257 $2,257 $2,257 $2,257 $2,257 $2,257 $2,257 $2,257 $2,257 $2,257 $2,257 $2,257 $2,257 $2,257 $2,257 $2,257 $2,257
$381.46
$197.11
$315.45
$132.29
$188.08
TOTAL SAVINGS REQUIRED TO ACHIEVE SHORT-TERM GOALS: TOTAL CURRENT MONTHLY SAVINGS FOR SHORT-TERM GOALS: SUGGESTED SAVINGS TO ACHIEVE SHORT-TERM GOALS:
$1,214.40 $0.00 $1,214.40
Offensive Analysis
WORKSHEET - Retirement Contributions

TAX-DEFFERED INVESTMENTS Return Contrib. Beginning 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039 2040 2041 2042 2043 2044 2045 2046 2047 2048 2049 Monthly Savings $22,800 $22,800 $22,800 $22,800 $22,800 $22,800 $22,800 $22,800 $22,800 $22,800 $22,800 $22,800 $22,800 $22,800 10.0% Balance $50,895 $80,099 $112,361 $148,001 $187,373 $230,868 $278,918 $331,999 $390,638 $455,418 $526,980 $606,037 $693,371 $789,851 $896,433 $1,800 $1,800 $1,800 $1,800 $1,800 $1,800 $1,800 $1,800 $1,800 $1,800 $1,800 $1,800 $1,800 $1,800 $1,800 $1,800 $1,800 $1,800 $1,800 $1,800 TAXABLE INVESTMENTS Return Contrib. 10.0% Balance $2,425 $4,564 $6,926 $9,537 $12,420 $15,605 $19,124 $23,012 $27,306 $32,050 $37,291 $43,081 $49,477 $56,543 $64,348 $72,971 $82,497 $93,021 $104,646 $117,488 $131,676 $23,040 $23,040 $23,040 $23,040 $23,040 $23,040 $23,040 $23,040 $23,040 $23,040 $23,040 $23,040 $23,040 $23,040 $23,040 $23,040 $23,040 LIFE INSURANCE AND ANNUITIES Return Contrib. 6.0% Balance $88,880 $118,046 $149,011 $181,886 $216,789 $253,844 $293,185 $334,952 $379,296 $426,374 $476,356 $529,421 $585,759 $645,572 $709,073 $776,492 $848,068 $924,060 $27,667 $27,667 $27,667 $27,667 $27,667 $27,667 $27,667 $27,667 $27,667 $27,667 $27,667 $27,667 $27,667 $27,667 $27,667 $27,667 $27,667 $27,667 $27,667 $27,667 REAL ESTATE HOLDINGS Return Contrib. 5.0% Balance $330,000 $357,667 $385,333 $413,000 $440,667 $468,333 $496,000 $523,667 $551,333 $579,000 $606,667 $634,333 $662,000 $689,667 $717,333 $745,000 $772,667 $800,333 $828,000 $855,667 $883,333 $75,307 $75,307 $75,307 $75,307 $75,307 Contrib. Balance $472,200 $560,376 $653,632 $752,424 $857,249 $968,651 TOTAL ASSETS FOR RETIREMENT
Year
$75,307 $1,087,227 $75,307 $1,213,630 $75,307 $1,348,573 $75,307 $1,492,842 $75,307 $1,647,295 $75,307 $1,812,872 $75,307 $1,990,607 $75,307 $2,181,632 $75,307 $2,387,188 $75,307 $2,608,639 $75,307 $2,847,480 $75,307 $3,105,354 $75,307 $3,384,063 $75,307 $3,685,587 $75,307 $4,012,102
$22,800 $1,014,176 $22,800 $1,144,248 $22,800 $1,287,940 $22,800 $1,446,679 $22,800 $1,622,040 $22,800 $1,815,763
$23,040 $1,004,738 $23,040 $1,090,392 $23,040 $1,181,329
$1,815,763
$131,676
$1,181,329
$883,333
$4,012,102
Offensive Analysis
WORKSHEET - Retirement Distributions

Year REQUIRED DISTRIB'S * Adjusted for Inflation John $231,599 $237,389 $243,324 $249,407 $255,642 $262,033 $268,584 $275,299 $282,181 $289,236 $296,467 $303,878 $311,475 $319,262 $327,244 $335,425 $343,810 $352,406 $361,216 $370,246 $246,677 $252,843 $259,165 $265,644 $272,285 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $9,000 $9,225 $10,148 $10,655 $11,294 $15,812 $15,812 $15,812 $15,812 $15,812 $15,812 $15,812 $15,812 $15,812 $15,812 $15,812 $15,812 $15,812 $15,812 $15,812 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Mary $5,220 $5,351 $5,484 $5,621 $5,762 $5,906 $6,054 $6,205 $6,360 $6,519 $6,682 $6,849 $7,020 $7,196 $7,376 $7,560 $7,749 $7,943 $8,141 $8,345 $8,554 $8,767 $8,987 $9,211 $9,442 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 SOCIAL SECURITY & PENSIONS TAX-PAID INVESTMENTS Return 5.0% Beg. Bal. $1,313,005 Dist $222,814 $227,692 $233,131 $238,586 $240,316 $116,056 $5,803 $290 $15 $1 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Balance $927,594 $746,281 $550,464 $339,401 $116,056 $5,803 $290 $15 $1 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $217,379 $1,095,626 TAX-DEFERRED INVESTMENTS Return 5.0% Beg. Bal. $1,815,763 Dist Balance $0 $1,815,763 $0 $1,906,551 $0 $2,001,879 $0 $2,101,973 $0 $2,207,071 $0 $2,317,425 $130,663 $2,302,633 $247,479 $2,170,286 $259,719 $2,019,081 $266,890 $1,853,145 $273,972 $1,671,830 $281,217 $1,474,204 $288,643 $1,259,271 $296,254 $1,025,980 $304,056 $312,053 $320,249 $204,573 $10,229 $511 $26 $1 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $773,223 $499,831 $204,573 $10,229 $511 $26 $1 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 REAL ESTATE HOLDINGS Return 5.0% Beg. Bal. $883,333 Dist. $0 $0 $0 Balance. $883,333 $927,500 $973,875 BALANCE OF ASSETS Beginning Balance $4,012,102 $3,794,723 $3,761,645 $3,722,035 $3,675,006 $3,620,170 $3,560,863 $3,492,187 $3,413,515 $3,324,181 $3,223,485 $3,110,687 $2,985,004 $2,845,611 $2,691,637 $2,522,163 $2,336,218 $2,132,779 $1,910,767 $1,669,043 $1,406,406 $1,238,603 $1,056,457 $859,102 $645,625 $415,063 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
2007 Beginning 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039 2040 2041 2042 2043 2044 2045 2046 2047 2048 2049 2050 2051 2052 2053 2054 2055 2056 2057 2058 2059 2060 2061 2062 2063 2064 2065 2066 2067 2068 2069
$0 $1,022,569 $0 $1,073,697 $0 $1,127,382 $0 $1,183,751 $0 $1,242,939 $0 $1,305,086 $0 $1,370,340 $0 $1,438,857 $0 $1,510,800 $0 $1,586,340 $0 $1,665,657 $0 $1,748,940 $0 $1,836,387 $0 $1,928,206 $124,078 $1,900,539 $327,034 $1,668,532 $345,578 $1,406,380 $238,097 $1,238,602 $244,075 $1,056,457 $250,178 $256,432 $262,843 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $859,102 $645,625 $415,063 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
TOTAL % of Total IDEAL RANGE DEPENDENCE:
$7,212,737
$287,499 4.0% 3-7% LOW
$178,304 $1,502,082 2.5% 3-7% LOW 20.8%
$3,196,537 44.3%
$2,048,315 28.4% 15-25% HIGH
Estate Planning
March 25, 2007
Estate Planning
Basic Data
John
Current age Age at death for this illustration Administrative & probate expenses Estimated final expenses Do you have a will in place? Is there a revocable living trust in effect? Marital Trust Provisions? Credit Shelter Trust Provisions? QTIP Trust Provisions? Generation Skip Trust Provisions? Irrevocable Life Insurance Trust? Is a Durable General POA in place? Is there a Durable Health Care POA in place? Is there a Living Will in place? Previous Taxable Gifts ($) Previous Gift Taxes Paid ($) 45 45 4.0% $7,500 Yes No No No No No No No No No $0 $0
Mary
42.5 42.5 4.0% $7,500 Yes No No No No No No No No No $0 $0
Current Estate
ASSETS Cash & Equivalents Taxable Investments Retirement Accounts Real Estate Personal Property TOTAL LIABILITIES Credit Cards Student Loans Other Loans Mortgages TOTAL NET WORTH ADJUSTMENTS Life Insurance in Estate Estate share of Joint property ESTATE NET WORTH $1,195,000 $187,396 $1,382,396 $200,000 $187,396 $387,396 $3,500 $65,000 $0 $0 $68,500 -$25,181 $0 $0 $0 $0 $0 $8,809 $7,000 $0 $51,000 $670,000 $728,000 $374,791 $10,500 $65,000 $51,000 $670,000 $796,500 $358,419 John $0 $0 $43,319 $0 $0 $43,319 Mary $1,232 $0 $7,577 $0 Joint $17,366 $15,425 $0 $70,000 Total $18,598 $15,425 $50,896 $70,000
$0 $1,000,000 $1,000,000 $8,809 $1,102,791 $1,154,919
Estate Planning
Current Situation - Flowchart

If Client predeceases spouse Client Client's Estate $1,382,396 At Client's Death The Marital Deduction allows unlimited assets to pass to a spouse without estate taxation Proceeds from life insurance on Client would transfer to beneficiaries. At Spouse's Death Spouse's own assets, plus the assets transferred from Client will be included in Spouse's taxable estate. Proceeds from life insurance on Spouse would be subject to estate tax. To Beneficiaries * $1,600,047 TOTAL COSTS & TAXES: $169,744 Spouse's Estate $1,689,695 Marital Transfer $1,302,300 Estate Assets ###
If Client predeceases spouse Spouse's Estate $387,396 At Spouse's Death The Marital Deduction allows unlimited assets to pass to a spouse without estate taxation Proceeds from life insurance on Spouse would transfer to beneficiaries. At Client's Death Client's own assets, plus the assets transferred from Spouse will be included in Client's taxable estate.
Spouse Estate Assets ###
Marital Transfer $349,840
Client's Estate $1,732,235
Proceeds from life insurance on Client would be subject to estate tax. To Beneficiaries * $1,638,146 TOTAL COSTS & TAXES: $131,645
Estate Planning
Alternate Situation - Flowchart

If Client predeceases Spouse Client's Estate $197,081 At Client's Death Credit Shelter Trust $165,767 Life Insurance Trust $1,195,000
The Living Trust creates a Credit Shelter Trust with up to $2.0mil. Any remaining assets would be placed in a Marital Trust for the Spouse's primary financial needs. The Spouse may also have access to the Credit Shelter Trust assets if needed. Proceeds from the life insurance policies on the Client owned by the Life Insurance Trust escape taxation in the estate and are passes to beneficiaries as specified by the trust document.
Assets ###
Marital/Trust Transfer $0
At Spouse's Death
Spouse's assets, the remaining assets held in the Marital Trust and Credit Shelter Trust would transfer to the specified beneficiaries. Proceeds from life insurance policies on Spouse owned by Life Insurance Trust escape taxation in the estate and are passes to beneficiaries as specified in the trust document.
Spouse's Estate $161,339 Life Insurance Trust $200,000
To Beneficiaries * $1,692,222 TOTAL COSTS & TAXES: If Spouse predeceases Client Spouse's Estate $161,339 At Spouse's Death Credit Shelter Trust $131,455 Life Insurance Trust $200,000
The Living Trust creates a Credit Shelter Trust with up to $2.0mil. Any remaining assets would be placed in a Marital Trust for the Client's primary financial needs. The Client may also have access to the Credit Shelter Trust assets if needed. Proceeds from the life insurance policies on the Spouse owned by the Life Insurance Trust escape taxation in the estate and are passes to beneficiaries as specified by the trust document.
$61,197
Assets ###
Marital/Trust Transfer $0
At Client's Death
Client's assets, the remaining assets held in the Marital Trust and Credit Shelter Trust would transfer to the specified beneficiaries. Proceeds from life insurance policies on Client owned by Life Insurance Trust escape taxation in the estate and are passes to beneficiaries as specified in the trust document.
Client's Estate $197,081 Life Insurance Trust $1,195,000
To Beneficiaries * $1,692,222 TOTAL COSTS & TAXES: $61,197
Work Home
John Mary Joint
TRM WHL UNV VCL EIU VAR
Yes No
Yes No
Yes No
T F

Capstar Plan

Загружено:

Сведения о документе

Оригинальное название

Авторское право

Доступные форматы

Поделиться этим документом

Поделиться или встроить документ

Параметры публикации

Этот документ был вам полезен?

Это неприемлемый материал?

Авторское право:

Доступные форматы

Capstar Plan

Загружено:

Авторское право:

Доступные форматы

CLIENT HOME

PRINT ALL REPORTS SELECT ALL REPORTS DESELECT REPORTS

CLIENT BACKGROUND INFORMATION

John Q. Smith 4/23/62 123-45-6789

123 Berkeley Heights Scottsdale, AZ 85260 (480) 555-1234 jsmith@yahoo.com

123 Berkeley Heights Scottsdale, AZ 85260 (480) 555-1234 mjsmith@hotmail.com

John 45.0 65.0 85.0

Mary 42.5 65.0 90.0

Best place to contact client:

ASSETS & LIABILITIES

ASSETS (Cont'd): Real-Estate & Personal Property

Taxable Investments (from Morningstar reports):

TOTAL REAL ESTATE & PERSONAL ASSETS:

TOTAL TAXABLE INVESTMENTS:

Retirement Accounts (from Morningstar reports):

Cash Value Life Policies

TOTAL OTHER ASSETS:

ESTIMATED NET WORTH:

PERSONAL CASH BUDGET

TOTAL MONTHLY PAYMENTS:

$2,050.00 $12,541.67 $12,511.00 $30.67

TOTAL ANNUAL INCOME:

TOTAL MONTHLY EXPENSES:

Years to save 3.0 5.0 7.0 12.0 20.0

Current Funds $1,000 $0 $2,000 $0 $0

PROJECTED EXCESS(SHORTFALL) ($14,893.65) ($13,576.90) ($32,232.92) ($26,897.78) ($81,930.82) 8.0%

Expected inflation rate for short-term goals:

Expected return on savings:

DEFINED BENEFIT COVERAGE

TOTAL Death Benefit $0.00 $0.00 TOTAL

$200,000.00 Monthly Benefit $1,500.00 $7,750.00 $9,250.00

$700.00 Annual Premium $540.00 $0.00 $540.00

Retire Benefit (/mo) Lump Sum Amount

ESTATE PLANNING & LTC

If a living trust exists, what percentage of the estate is in the trust:

Estate Planning Assumptions:

LONG-TERM CARE (LTC) PLANNING

John If yes, describe:

A personalized financial proposal for

John and Mary Smith

March 25, 2007

prepared by: David C. Paddison, MBA Voice: 480.907.3

Financial Plan Summary

March 25, 2007

prepared by: David C. Paddison, MBA Voice: 480.907.3

prepared by: David C. Paddison, MBA Voice: 480.907.3

a. First opportunity b. Second opportunity c. Third opportunity

a. First threat b. Second threat c. Third threat

prepared by: David C. Paddison, MBA Voice: 480.907.3

a. First opportunity b. Second opportunity c. Third opportunity

a. First threat b. Second threat c. Third threat

prepared by: David C. Paddison, MBA Voice: 480.907.3

Current Financial Position

March 25, 2007

Current Financial Position

prepared by: David C. Paddison, MBA Voice: 480.907.3

TOTAL NEW WORTH:

Income, Expense and Cashflow

prepared by: David C. Paddison, MBA Voice: 480.907.3

Other Other Other TOTAL EXPENSES Debt Payments & Savings

$150,500 29.3% $12,542

$5,411 $2,050 $7,461 $12,511 $31

March 25, 2007