Case studies

Edith and Jonathan have a substantial estate and they wanted to provide financial assistance to their adult children. They did not know how much they could afford to gift now, or in the future, whilst ensuring that their potential care costs would still be covered without having to sell the family home. 

How we helped 

We firstly started with Edith and Jonathan’s finances and established what their own financial needs might be in the future. This involved discussing what levels of care there are and where they would like to live if they needed nursing care. We used specific care costs in our projections. We established the level of gifting that Edith and Jonathan could afford to make, and we prepared a plan of action for this. It involved a significant sum upfront. Their children were involved from the beginning and we worked with the family collectively so Edith and Jonathan’s wishes were known. 

Ongoing support 

We meet regularly with Edith and Jonathan and their three children to review their financial plan and their potential changing needs. Edith is preferring to be less involved with day to day financial decisions and will be activating the lasting power of attorney we suggested she had written. 

Frances received an outright inheritance from her father and wanted to ensure that this lasted her own lifetime.

How we helped

We prepared an expenditure budget using Frances’ bank statements and credit card statements so that we could realistically forecast her needs going forward. We applied known changes to the budget and created scenarios to see how it changed if Frances moved to a more expensive home etc. This is called cash flow modelling.

Ongoing support

Frances now has very clear goals about how she wants her financial future to look and is making informed choices about property moves and about gifting to her own children. As her goals and circumstances change, we update her financial planning and her cash flow projections.

Frederick and Rebecca were the nominated trustees of a large life insurance trust. The settlor has died, leaving children that need financial assistance. Frederick and Rebecca know that they want to make a regular payment to the guardians, but they do not know how to deal with other financial needs of the beneficiaries. 

How we helped 

We established the lifestyle that the beneficiaries were used to and guided the trustees about funding this and the likely requirements from the trust fund. We forecasted how long the trust fund might last and what large distributions could be made in the future, for property purchases etc. The trust needed to be registered and so we introduced an experienced private client lawyer to do this and to complete the annual trust returns. 

Our ongoing support 

The current financial requirements of the trust are well within the means of the size of the fund and so we meet with the trustees annually whilst maintaining contact with them between meetings, ahead of the trust tax return completion for example. 

Matthew and Pippa are in their mid-50s, both working full time in demanding roles and are looking forward to retirement. They would like to retire as soon as possible but they do not know if their financial arrangements are sufficient, without adjusting their lifestyle

How we helped

We established that in order for Matthew and Pippa to maintain their lifestyle, they would need to work for a little longer into their early 60s. If they retired at their current ages, their arrangements are unlikely to last and they would need to downsize their home or make other sacrifices.

Ongoing support

With specific age-related retirement goals now firmly in their minds, Matthew and Pippa are finding that they are enjoying work more and we meet with them six monthly to tweak their financial plan and ensure they are on track.

Lawrence and Karen have a love for travel and exploring. Their children are independent and have left home, and Karen and Lawrence want to take a two-year break from their jobs to travel.

How we helped

We established the travel budget for the two years, reviewed the options for potentially letting their home and discussed what their financial position would look like when they are back and for how long they could afford not to work. We discussed the longer-term implications and showed Karen and Lawrence that taking two years out (plus six months to secure new employment) would not have a detrimental impact on their plans for retirement and providing financial assistance to their children.

Ongoing support

We are keeping in touch with Karen and Lawrence whilst they are away and look forward to picking up their financial planning with them when they are back.

Gemma and Mark are expecting their third child and they wanted to know if they could afford to privately educate all three children.

How we helped

Having worked with Mark and Gemma for a few years, we already knew the ins and outs of their finances and their financial planning was working well for them. When we included their new arrival into their plan, we incorporated the fees for their ideal schools and the average fee indexation rates which are usually quite a bit higher than inflation.

Ongoing support

Gemma and Mark welcomed another boy to their family and their intention is that he will attend the same school as his brothers. We adjust their financial plan as they look further into the future, such as funding university and house deposits, and support them through all these decisions about their children and their own financial security.

Sarah is a senior executive and is facing redundancy. She wants to find alternative work but would also like a less demanding role, with less overseas travel, and be able to spend more time with her family. 

How we helped 

As part of the financial audit stage, we analysed the family expenditure and established, with Sarah, any expenditure that might change in the immediate and near future. We established that Sarah could afford to be out of work for 12 months, without it having a detrimental impact on the future financial security for the family, giving her time to find a new position that met her work-related objectives.   

Ongoing support 

We have regular contact with Sarah between our six-monthly meetings, liaising about outstanding matters and she sends updates to us as they occur, meaning that we can keep her financial audit and planning up to date.   

Timothy has accumulated significant wealth at a relatively early age and wanted guidance on the efficiency of his arrangements. 

How we helped

As we worked through Timothy’s audit and put together his financial plan, we showed Timothy that he no longer needs to work, he is financially independent. As we completed his initial review and then provided advice suitable for his situation, he felt relief that he didn’t need to worry about where everything was because it was all in his audit. 

Ongoing support

We continually update Timothy’s audit, keeping a rigorous record of where all his financial arrangements are held and updating everything as needed. We remind Timothy about upcoming renewal dates etc.