By John Sastry, J.D., CFP® & Andy Holmes, AWMA®

We believe that one cannot effectively serve in a money management capacity without understanding the client’s full financial picture. While we have historically provided financial plans on an “as needed basis”, we expanded our capabilities by hiring a full time financial planner who focuses solely on providing financial plans for our clients. Already, we have had the pleasure of serving over one hundred (100) clients in this capacity.

To us, financial planning is not an event. It is an exercise that helps capture a consolidated, global review of your financial situation that leads to the creation of a living document. This living document is meant to be reviewed and revisited periodically to make adjustments as necessary; thereby ensuring financial success.

The more common financial planning areas with which we have worked with families include:

  • Retirement Planning: Do we have enough money to retire?
  • Estate Planning: How can we leave a legacy?
  • Longevity Risks: How can we remain in our own home as we age and, if/when incapacitated, obtain assistance?
  • Insurance & Annuity Reviews: How do these products work and when, if ever, are they appropriate?

We have also had multiple cases involving clients who own their own businesses. The most common question we get from business owners is, “How can I exit my business in a tax-efficient manner?”

As a business owner, selling your business can be fairly complex. In 2019, we encountered numerous business owners who have decided to sell their business to a competitor.

A recent case involved a business owner in the Kansas City area who was selling his businesses through an asset sale. First, we assisted the business owner with identifying experienced tax professionals to accurately value his business. Then, as part of the sale, we identified potential tax-savings strategies with the client and their tax representatives, including Installment Sales and Charitable Trusts. This approach involved Central Trust coordinating and collaborating with tax and legal professionals to develop the desired outcome.

After the sale was consummated, we assisted the former owner in designing a custom investment portfolio. The purpose of this portfolio was to supplement the income lost from the sale of the business while also protecting the proceeds for his retirement and to leave a legacy for his family. In tandem with the financial planning process, we leveraged our expertise in investment management and estate planning to create a comprehensive plan for our client that addresses his entire wealth needs. Armed with a blueprint for financial success, our client now knows where he stands, where he desires to be financially, and has a blueprint to attain the same.

To our clients who have utilized our Financial Planning Services, thank you. Also, thank you for taking time to complete our client surveys, which we have utilized to evaluate our effectiveness and improve upon our process. To those who have not yet utilized our new Financial Planning Services and are interested in learning more, please contact your Relationship Manager or Portfolio Manager to express an interest. They will in turn evaluate your needs and refer your case to the Financial Planning Department.