FPA Denver 2010, integrating life planning and cash flow management into a traditional financial planning practice.

1. Linking Cash Flow Management & Life Planning Your Most Important Client Conversation for 2010

2. Why Life Planning? Emotional Rational

5. No two people see “what’s going on” in the same way

6. We are highly influenced by othersJacqueline Kelm Appreciative Living

7. Ben Coombs’ Questions Where are you now? Where do you want to be? What are you willing to do to get there?

8. A Guided Process Exploring Values & Motivations Creating a Framework for Decision Making FinancialPlanning Facilitating a Goal Setting Process

9. Key to Effective Communication “Seek first to understand, then to be understood.” Stephen Covey 7 Habits of Highly Effective People

10. 3 key entry points Levels of Satisfaction

11. 3 key entry points 2. Life Transitions

12. 3 key entry points 3. Goal Setting

14. Linking the Conversations Life Conversations Financial Conversations Cash Flow

16. A Comparison of budgeting & cash flow…

17. This is your client’s Cash Flow Income into household Credit Card Cash ATM Master Checking Account “Mad Money” Credit Card Dining Insurance Medical Home Mortgage Entertainment Car Loan Utilities Groceries Shopping

18. A New Way to Talk about Cash Flow Imagine that your client has three “buckets” of money…

20. Control Bucket™– the money will be spent in the next 7 days

22. Cash Flow as a Bridge “By showing them a simple analysis of three numbers and a corresponding bar chart, for the first time in their lives, they really begin to understand their money. From the planner’s perspective, many things begin to emerge. Money scripts begin to pop out without probing. The figures themselves describe the client’s values and priorities. From something as basic as cash flow, we understand their money decisions better than we ever could have before.”

23. Cash Flow as a Bridge “By showing them a simple analysis of three numbers and a corresponding bar chart”

25. Husband works in the family business

26. Concerns expressed in handwritten questionnaire:

27. Living within means

28. Plan for retirement

29. Plan for education

31. Start a business

32. Retraining

33. Debt concerns

35. Buy a home

36. Relocate

37. Experience investment gain

38. Develop an estate plan

39. Increase charitable giving

41. Purchase a vacation home

43. Current income

44. The “extras” that I can buy

45. The amount of money I save on a regular basis

46. My feelings about my money life

50. Sold house in Q.C., renting until things are more clear

51. Paid off both cars, $0 on credit cards

52. Cash Reserve established

53. Learned to manage cash flow, systematically fund goals

54. Continually update First Step with changes

56. Husband part-owner in family business

57. Concerns expressed in handwritten questionnaire:

58. Are we on track for retirement

62. Retraining

63. Child entering adolescence

64. Increase charitable giving

66. My estate plan

67. Level of charitable giving

68. Financial issues cause stress in my relationships

70. Rasher – impulsive shopper

71. Dasher – busy avoider

72. Clasher - conflicting desires

73. Basher – money is bad

74. Asher – fearful, fretful

75. Casher – safe saver, organized

76. Stasher – growth investorThe Power In Your Money Personality by Susan Zimmerman, ChFC, LMFT

77. Case #2 – The Money Rascals The Power In Your Money Personality by Susan Zimmerman, ChFC, LMFT

79. Established safe amount for emergency fund

80. Identified amount for #1 goal = addition to their house

81. Identified monthly amount for education and retirement

82. Established amount for “Control Expenses”

83. Set up systematic funding for short & long term dynamic

85. Awareness

86. Both spouses needs and wants

87. Sense of freedom

89. No over spending

90. Eliminates credit card abuse

91. Promotes saving for future purchases

92. Creates a framework for daily decision making

93. Accurate and reliable numbers

95. Bills paid automatically

96. Savings transferred automatically

97. Sense of Freedom

98. Freedom to spend weekly money

99. No Advisor’s Judgment

100. Excitement and Motivation

102. The Two Books Mentioned

103. Thank You For Attending! Eric Kies The Planning Center 1701 River Drive, Ste. 300 Moline, IL. 61265 (309) 797-4030 eric@theplanningcenter.com Amy Mullen Money Quotient 17667 Noll Road NE Poulsbo, WA 98370 (360) 697-4561 amy@moneyquotient.org