Posted on: 17th September 2019
Financial planning is essentially trying to map out the next 5, 10, 20, 30 years of your life to be able to create a secure and sustainable plan for the type of you want. Over the last couple of years, cash flow modelling software has become an increasingly integral part of the financial planning process allowing advisers and clients alike to map out and stress test their current and projected finances to see what the future looks like.
Cash flow modelling enables a conversation around a client’s goals and what may be required to reach those goals either in a required rate of return or amending their level of spending. The flexibility of the modelling software allows us to incorporate market crashes, education spending, one-off expenditures, that once-in-a-lifetime holiday and we have the ability to move these expenditures to different points in the modelling to see what effect this has on your retirement.
At , we use respected cash flow modelling firm Voyant to produce a cash flow for every client that we assess and make a recommendation on with regards to . The graph above shows both pre and post-retirement showing how a mix of investments and sustain the client until age 90.
We also report on the asset position of your current situation and our recommendation and how possibly transferring a , increasing your return or increasing your contributions can have an effect on your wealth and look at any potential IHT issues.
We believe that cash flow modelling is an integral part of the financial planning process and allows clients to see clearly what their future looks like based on a reasonable set of assumptions. Why not see what Haven IFA can do to secure your financial future and get in touch with one of our financial planners today.