Nearing Retirement Case Study

John and Maryanne are lifelong residents of a small Midwestern town, and have owned a local business for several years. For as long as they can remember, their focus has been two-fold: grow their business and raise their two children. Although they have diligently saved and invested during their lifetime, they are unsure of their ability to replace their income in retirement.

While they had worked with advisors in the past, John and Maryanne had not found an advisor that could coordinate and advise on their various issues. They wanted to sell their business and retire within the next five years, but weren't sure where to begin. 

The Solution

On the advice of their accountant, they scheduled an appointment to speak with a McKinley Carter advisor. In the first meeting, they discussed what they had done during their careers and for their family. They talked about how they would like to spend more time with their grandchildren and take the opportunity to travel in retirement. Although they understood the investment markets, and even enjoyed researching a financial planning idea on occasion, they did not plan on spending their days analyzing stocks and bonds in retirement.

Over the course of the meeting, it became evident that John and Maryanne were very successful at running their business, and had done well financially. However, it was also clear they had difficulty determining an overall strategy across their various accounts. Over the years, they had opened an investment account at their bank, an IRA through the son of John's college roommate, and a 401k plan for their business with yet another advisor. Although each relationship was successful, each were independent of the other and none of the accounts were coordinated; leading to excess investment costs, missed opportunities, and duplication of investments. 

The McKinley Carter advisor began working on developing a coordinated strategy for John and Maryanne to reach financial independence in the next five years. Through conversations with them, their attorney, and their accountant, a new direction was set in motion. By analyzing their total financial situation, many areas for improvement or adjustment were identified to either position their portfolio more favorably or reduce unnecessary costs. Furthermore, by organizing their personal finances, they were able to schedule time to focus on their business and its eventual sale.

John and Maryanne expressed great relief at having a McKinley Carter advisor coordinate the overall direction of their financial plan and work with their other professional advisors to ensure they were getting the most out of their investments. John and Maryanne can now focus on what they enjoy and rest comfortably knowing that they can be financially independent on their timetable.