• A summary of the facts, including ages of the client, spouse, and dependents; educational background; income status of client and spouse; and two major concerns and goals.
• Summary of key items and findings from the personal budget, balance sheet, and cash flow statement.
• Recommendations and support for improving the financial situation
Without knowing the client or having information for yourself, I will provide a template for you to plug in the necessary figures:
Current Assets: Current Liabilities:
Cash on Hand Accounts Payable (short term)
Accounts Receivable (money owed short term) Accrued Expenses (what bills are outstanding and when to be paid)
Short term investments (CD's, T Bills, etc.) Short term loans (money owed to be paid within a year)
Other current assets (supplies, etc.)
Savings Accounts, Investment Accounts Other current liabilities (money borrowed from a friend or family member)
Long Term Assets: Long Term Liabilities:
Building (house or other property) Mortgage
Understanding where we are can allow us to determine the proper course of action for future financial decision making. This discussion provides a template and a road map for determining our own value, based upon listing assets, liabilities, net worth, and cash flow.