Toddtheformeraccountant
Recycles dryer sheets
So I sent this email to a local CFP advertised through one of the reputable FIRE related writers out there (I won't name names):
"Hello there, saw you through the xxxxx web site.
I'm planning on retiring early next year (at 54). I'm a CPA fluent in
finance, having been in corporate finance for the last 30 years
or so, and I've been avidly following the FI/RE community and theory out
there of Kitces, Wade Pfau, et all and have learned a ton from doing so.
I've prepared my own model and also used various monte carlo and
historical projections...so I'm 99% sure I'm in great shape. I kind of
follow the boglehead way...indexing with a few ETF's, 50/50
equities/fixed income allocation. About $8.5M net worth (of which $2.3M
is in 401K/IRA's/HSA/DAF), about $9.7M including home (fully paid for).
Probably $150K/year in living expenses (excluding taxes) for my wife and
I upon retirement. Last kid going off to college this year, other two
already finished college.
I don't think I'd be interested in a comprehensive ongoing level of
service or portfolio management, just the ability to consult on a fee
basis as necessary, starting first by talking through our financial plan
I have developed/built, for an hour or two and see if there are any
holes or aspects or optimizations I have not considered from a financial
estimation, asset allocation, tax, and estate planning standpoint.
No worries if you don't do that kind of limited level of services....if
you do, how would I go about that, if that's not something you do, could
you recommend someone?"
And I got this response:
"Dear Mr. xxxx,
Sounds as though you have accumulated considerable financial assets. Are you fully funded, we do not know. Are you protected against all risks in retirement, we do not know. The field of longevity income planning is a very specialized field. You need to really understand that you are in the process of decline in four major areas, financially, physically, cognitively and socially. Are you prepared?
We have included a white paper for you to read so you can begin your research as you can try to do it on your own. We only work on a monthly retainer and we do not refer because most financial planners do not give advice and definitely are not strategic. Good Luck on your search."
So basically, these guys aren't interested unless they can get a regular source of revenue from me. Not criticizing, if that's their business model and it works for them, more power to 'em. Smart guys apparently.
The white paper they sent was pretty basic, and nothing I didn't know already.
I know the obvious action step is to check with other CFP's...but I'm wondering..which of you have gone ahead and gotten a consultation, and seen any real value from it? What kind of CFP/Planner did you go to? Anybody else in the LA area and have a person to recommend?
Thank you.
"Hello there, saw you through the xxxxx web site.
I'm planning on retiring early next year (at 54). I'm a CPA fluent in
finance, having been in corporate finance for the last 30 years
or so, and I've been avidly following the FI/RE community and theory out
there of Kitces, Wade Pfau, et all and have learned a ton from doing so.
I've prepared my own model and also used various monte carlo and
historical projections...so I'm 99% sure I'm in great shape. I kind of
follow the boglehead way...indexing with a few ETF's, 50/50
equities/fixed income allocation. About $8.5M net worth (of which $2.3M
is in 401K/IRA's/HSA/DAF), about $9.7M including home (fully paid for).
Probably $150K/year in living expenses (excluding taxes) for my wife and
I upon retirement. Last kid going off to college this year, other two
already finished college.
I don't think I'd be interested in a comprehensive ongoing level of
service or portfolio management, just the ability to consult on a fee
basis as necessary, starting first by talking through our financial plan
I have developed/built, for an hour or two and see if there are any
holes or aspects or optimizations I have not considered from a financial
estimation, asset allocation, tax, and estate planning standpoint.
No worries if you don't do that kind of limited level of services....if
you do, how would I go about that, if that's not something you do, could
you recommend someone?"
And I got this response:
"Dear Mr. xxxx,
Sounds as though you have accumulated considerable financial assets. Are you fully funded, we do not know. Are you protected against all risks in retirement, we do not know. The field of longevity income planning is a very specialized field. You need to really understand that you are in the process of decline in four major areas, financially, physically, cognitively and socially. Are you prepared?
We have included a white paper for you to read so you can begin your research as you can try to do it on your own. We only work on a monthly retainer and we do not refer because most financial planners do not give advice and definitely are not strategic. Good Luck on your search."
So basically, these guys aren't interested unless they can get a regular source of revenue from me. Not criticizing, if that's their business model and it works for them, more power to 'em. Smart guys apparently.
The white paper they sent was pretty basic, and nothing I didn't know already.
I know the obvious action step is to check with other CFP's...but I'm wondering..which of you have gone ahead and gotten a consultation, and seen any real value from it? What kind of CFP/Planner did you go to? Anybody else in the LA area and have a person to recommend?
Thank you.