Financial plans look at a client's whole financial situation and build out a road map to reach their goals.

Creating a Financial Plan Each plan should include these basic elements to help it reach its full potential:

Cash flow analysis: To reach a goal, know your starting place. This entails analysing a client's monthly income.

Net worth analysis: Good financial planning includes a net worth statement. It lists a client's assets and liabilities.

Strategy goals: Most idealise retirement. Over time, humans shift from pure economic to behavioural economic decision-making, which might look illogical and cause loss aversion.

Hypothetical risk simulations: A sound financial plan mitigates recognised risks.

Assumptions used:  The financial strategy must document all risk scenario assumptions.

Tax analysis: Risk mitigation: