Financial Planning Methodology

Framework

1. Clarify the goal. Time horizon, dollar amount, priority, flexibility.
2. Inventory the inputs. Income, expenses, debts, assets, taxes, household.
3. Choose assumptions. Inflation, returns, contribution growth, tax treatment — clearly labeled and adjustable.
4. Model the base case. Deterministic projection using the user's inputs.
5. Stress-test. Sensitivity to returns, inflation, contribution gaps and time-horizon changes.
6. Translate to action. What changes if the projection misses by 10%, 25%, 50%?

Principles

• Defaults must be defensible and conservative.
• Every assumption a user can change is shown — none are hidden.
• Outputs are estimates, not guarantees. Ranges are preferred over single numbers when materially relevant.
• Tax, regulatory and product details are simplified for education; users should verify against current rules in their jurisdiction.

Out of scope

Our planning methodology does not produce a personalized financial plan, an investment policy statement, a tax return, an insurance recommendation or a legal document. See the Educational Purpose Statement.