Challenge
Several years ago, a client’s 43-year-old husband died in a car accident. Our client had an excellent life insurance policy and quality assets. But she and her two children needed a financial plan to live with as much financial independence as possible. They had little idea how to do so.
SOLUTION
Aurora used our sophisticated cash flow tool to help her understand, define, and manage her budget. We recommended that she fully fund her children’s school expenses. For her cash flow needs, we recommended that she withdraw 4% of her investment portfolio annually to cover her expenses.
RESULTS
Our client has retired and lives comfortably on her 4% annual withdrawal. In fact, over time, the value of her portfolio has grown faster than inflation, so the dollar amount she withdrew grew. Her children have graduated college and begun successful careers—with no college loan debt.
Every client has a unique story. Your plan and results may differ.