Case Studies

• Recently-divorced father of 2 sons, ages 17 and 13
• 50/50 joint custody of sons
• Maintenance payments owed to ex-wife for next 5 years
• Investable assets: $1.2mm
• Annual Income:   $350-$450K
• Job/Income Stability:  Moderately High

• Previous advisor didn’t understand the gravity of the next 5 years of Martin’s post-divorce life. Was singularly focused on Martin’s positive retirement prospects, recent portfolio growth and bullish outlook on the markets.  Would not engage in much conversation around the deep concerns that were on Martin’s mind:
• Ongoing maintenance obligations
• Education funding needs
• Employment and income changes and their effect on Martin’s financial plan

• Martin and I totally rebuilt his finances from the ground up.    We did a deep dive in to his spending to identify true burn rate.    We identified the assets that would fund his maintenance payments in the event of income reduction or job loss.
• During onboarding, we scheduled 4 review meetings over the next 12 months to review our new plan, new life developments, etc.

360-degree evaluation of Martin’s finances

• True spend rate pre-divorce
• Anticipated spend rate post-divorce
• Income analysis
• Tax return review
• Estate plan

Contingency plan for maintenance payments in the event of income reduction or job loss
4 review meetings in first 12 months to keep up with fluid dynamics of new life

This is a hypothetical situation based on real life examples. Names and circumstances have been changed. The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual. To determine which investments or strategies may be appropriate for you, consult your advisor prior to investing.