3
financial planning process, all questions, information, and analysis will be considered as
they affect and are affected by the entire financial and life situation of the client. Clients
purchasing this service will receive a written or an electronic report, providing the client
with a detailed financial plan designed to achieve his or her stated financial goals and
objectives.
In general, the financial plan will address any or all of the following areas of concern. The
client and advisor will work together to select the specific areas to cover. These areas may
include, but are not limited to, the following:
• Business Planning: We provide consulting services for clients who currently
operate their own business, are considering starting a business, or are planning for
an exit from their current business. Under this type of engagement, we work with
you to assess your current situation, identify your objectives, and develop a plan
aimed at achieving your goals.
• Cash Flow and Debt Management: We will conduct a review of your income and
expenses to determine your current surplus or deficit along with advice on
prioritizing how any surplus should be used or how to reduce expenses if they
exceed your income. Advice may also be provided on which debts to pay off first
based on factors such as the interest rate of the debt and any income tax
ramifications. We may also recommend what we believe to be an appropriate cash
reserve that should be considered for emergencies and other financial goals, along
with a review of accounts (such as money market funds) for such reserves, plus
strategies to save desired amounts.
• College Savings: Includes projecting the amount that will be needed to achieve
college or other post-secondary education funding goals, along with advice on
ways for you to save the desired amount. Recommendations as to savings
strategies are included, and, if needed, we will review your financial picture as it
relates to eligibility for financial aid or the best way to contribute to grandchildren
(if appropriate).
• Employee Benefits Optimization: We will provide review and analysis as to
whether you, as an employee, are taking the maximum advantage possible of your
employee benefits. If you are a business owner, we will consider and/or
recommend the various benefit programs that can be structured to meet both
business and personal retirement goals.
• Estate Planning: This usually includes an analysis of your exposure to estate taxes
and your current estate plan, which may include whether you have a will, powers
of attorney, trusts, and other related documents. Our advice also typically includes
ways for you to minimize or avoid future estate taxes by implementing
appropriate estate planning strategies such as the use of applicable trusts. We
always recommend that you consult with a qualified attorney when you initiate,
update, or complete estate planning activities. We may provide you with contact
information for attorneys who specialize in estate planning when you wish to hire
an attorney for such purposes. From time-to-time, we will participate in meetings
or phone calls between you and your attorney with your approval or request.
• Financial Goals: We will help clients identify financial goals and develop a plan
to reach them. We will identify what you plan to accomplish, what resources you
will need to make it happen, how much time you will need to reach the goal, and
how much you should budget for your goal.
• Insurance: Review of existing policies to ensure proper coverage for life, health,
disability, long-term care, liability, home, and automobile.
• Investment Analysis: This may involve developing an asset allocation strategy to
meet clients’ financial goals and risk tolerance, providing information on
investment vehicles and strategies, reviewing employee stock options, as well as
assisting you in establishing your own investment account at a selected
broker/dealer or custodian. The strategies and types of investments we may
recommend are further discussed in Item 8 of this brochure.
• Retirement Planning: Our retirement planning services typically include
projections of your likelihood of achieving your financial goals, typically focusing
on financial independence as the primary objective. For situations where
projections show less than the desired results, we may make recommendations,
including those that may impact the original projections by adjusting certain
variables (e.g., working longer, saving more, spending less, taking more risk with
investments).
If you are near retirement or already retired, advice may be given on appropriate
distribution strategies to minimize the likelihood of running out of money or
having to adversely alter spending during your retirement years.
• Risk Management: A risk management review includes an analysis of your
exposure to major risks that could have a significant adverse impact on your
financial picture, such as premature death, disability, property and casualty losses,
or the need for long-term care planning. Advice may be provided on ways to
minimize such risks and about weighing the costs of purchasing insurance versus
the benefits of doing so and, likewise, the potential cost of not purchasing
insurance (“self-insuring”).
• Tax Planning Strategies: Advice may include ways to minimize current and
future income taxes as a part of your overall financial planning picture. For
example, we may make recommendations on which type of account(s) or specific
investments should be owned based in part on their “tax efficiency,” with
consideration that there is always a possibility of future changes to federal, state
or local tax laws and rates that may impact your situation.
We recommend that you consult with a qualified tax professional before initiating
any tax planning strategy, and we may provide you with contact information for
accountants or attorneys who specialize in this area if you wish to hire someone
for such purposes. We will participate in meetings or phone calls between you and
your tax professional with your approval.
Comprehensive Wealth Management
Comprehensive wealth management includes:
• Goal Planning
Evaluation of Money History
Evaluation of upcoming life and financial transitions
Written goal plan & timeline
Ongoing progress updates towards planning goals
• Tax
Personal Tax Preparation
Roth vs Traditional Calculations
Sole Prop vs S-Corp vs C-Corp Calculations
Tax monitoring and minimization
Roth Conversion Analysis
Business Tax Planning
End of Year Tax Planning & Projection
Lifetime Tax Projection & Scenario Analysis
Withholding analysis
• Cash Flow
Creation and Monitoring of Spending Plan
Categorization and Tracking of Spending; Personal Bookkeeping
Credit Review and Funding
Emergency Fund Analysis
• Debt Management
Ongoing Student Loan Optimization
Mortgage Refinancing Analysis
Buy vs Lease Car
• Investment
Risk Tolerance Assessment & Monitoring
Daily Rebalancing
Fund Selection & Due Diligence
Fee-Only & Fiduciary
Creation of Investment Policy Statement
Rollover & Investment Consolidation
Investment Behavior Management
Tax Efficient and ESG Portfolios
Liquidity
Savings & Distribution Plan
Cost Basis Determination & Tracking
Investment Education
Tax Loss Harvesting
Investment Reporting
Backdoor Roth IRA Processing
Concentrated Position Planning
Real Estate Investment Planning
Capital Gains Harvesting Business Planning
Cash Flow & Compensation Analysis
Large Asset Purchase Analysis
Retirement Plan Design
Corporate Structure Review
Succession Planning
QBI Deduction
• Risk Management
Property & Casualty Insurance Review
Life Insurance Review
Disability Insurance Review
Health Insurance Review
Long Term Care Funding
• Special Planning Circumstances
Special Needs Planning
Education Planning
Student Loan Planning
New Job or Career Change
Equity Compensation
• Employee Benefits
Health Insurance Plan Selection
HSA Planning
FSA Review
• Legacy Planning
Charitable Giving Optimization
& Planning
Estate and Inheritance Tax Minimization
Account Titling & Beneficiary Review
Review of Wills, Trusts, and Powers of Attorney Retirement Planning
Social Security Optimization
Medicare Planning
Penson Funding Analysis
Monte Carlo & Linear Projections
• Personal Financial Management
Coordination with Outside Professionals
Organization of All Financial Accounts & Data
Management of Digital Document Vault
Comprehensive Financial Education
Written Financial Plan & Ongoing Updates/Revisions
Written Financial Action Plan & Accountability
What-If Financial Planning Scenario Analysis
Ongoing, Proactive Responsibility for Finances
• Life Events
Buying A Home
Relocation
Terminal Illness Diagnosis or Death
Care for Loved Ones
Windfall
Birth of A Child
Wedding Planning
Divorce/Separation
Pension Consulting Services
WealthFD offers consulting services to pension or other employee benefit plans (including
but not limited to 401(k) plans). Specifically, WealthFD may serve as a limited scope
ERISA 3(21) fiduciary that can advise, help, and assist plan sponsors with their investment
decisions on a non-discretionary basis. As an investment adviser, WealthFD has a
fiduciary duty to act in the best interest of the client. The plan sponsor is still ultimately
responsible for the decisions made in their plan, though WealthFD can help the plan
sponsor delegate responsibilities by following a diligent process.
Fiduciary services include the following:
● Provide non-discretionary investment advice to the client about asset classes and
investment alternatives available for the Plan in accordance with the plan’s
investment policies and objectives. Client will make the final decision regarding
the initial selection, retention, removal, and addition of investment options.
WealthFD acknowledges that it is a fiduciary as defined in ERISA
section 3(21)(A)(ii).
● Assist the client in the development of an investment policy statement (“IPS”). The
IPS establishes the investment policies and objectives for the plan. Client shall have
the ultimate authority to establish such policies and objectives and to adopt and
amend the IPS.
● Provide non-discretionary investment advice to the plan sponsor with respect to
the selection of a qualified default investment alternative for participants who are
automatically enrolled in the plan or who have otherwise failed to make
investment elections. The client retains the sole responsibility to provide all notices
to the Plan participants required under ERISA Section 404(c)(5) and 404(A)-5.
● Assist in monitoring investment options by preparing periodic investment reports
that document investment performance, consistency of fund management and
conformance to the guidelines set forth in the IPS and make recommendations to
maintain, remove, or replace investment options.
● Meet with client on a periodic basis to discuss the reports and the investment
recommendations.
Non-fiduciary services include the following:
● Assist in the education of plan participants about general investment information
and the investment alternatives available to them under the plan. Client
understands WealthFD’s assistance in education of the plan participants shall be
consistent with and within the scope of the Department of Labor’s definition of
investment education (Department of Labor Interpretive Bulletin 96-1). As such,
WealthFD is not providing fiduciary advice as defined by ERISA 3(21)(A)(ii) to the
plan participants.
● Assist in the group enrollment meetings designed to increase retirement plan
participation among the employees and investment and financial understanding
by the employees.
● Provide educational and financial planning tools for participant use. Participants
are responsible for the proper input of any information and should review any
ideas or strategies with their CPA, attorney, financial planner, or other trusted
advisor before making any financial decisions.
The above services may be provided by WealthFD or WealthFD may arrange for the plan’s
other providers to offer these services as agreed upon between the adviser and client.
WealthFD has no responsibility to provide services related to employer securities, real
estate (except for real estate funds or publicly traded REITS), stock brokerage accounts or
mutual fund windows, participant loans, non-publicly traded partnership interests, or
other non-publicly traded, hard-to-value, or illiquid securities or properties. These
excluded assets will not be included in calculation of fees paid to WealthFD.
Selection of Other Advisers – Betterment for Dentists
WealthFD may direct clients to third-party investment advisers, specifically Betterment.
Before selecting other advisers for clients, WealthFD will verify that all recommended
C. Client Tailored Services and Client Imposed Restrictions
D. Wrap Fee Programs
E. Assets Under Management
advisers are properly licensed, notice filed, or exempt in the states where WealthFD is
recommending the adviser to clients.
Services Limited to Specific Types of Investments
WealthFD generally limits its investment advice to mutual funds, fixed income securities,
equities and ETFs. WealthFD may use other securities as well to help diversify a portfolio
when applicable.
WealthFD offers the same suite of services to all of its clients. However, specific client
investment strategies and their implementation are dependent upon the client Investment
Policy Statement which outlines each client’s current situation (income, tax levels, and risk
tolerance levels). Clients may impose restrictions in investing in certain securities or types
of securities in accordance with their values or beliefs. However, if the restrictions prevent
WealthFD from properly servicing the client account, or if the restrictions would require
WealthFD to deviate from its standard suite of services, WealthFD reserves the right to
end the relationship.
A wrap fee program is an investment program where the investor pays one stated fee that
includes management fees, transaction costs, and certain other administrative fees.
WealthFD does not participate in wrap fee programs.
WealthFD has the following assets under management:
Discretionary Amounts: Non-discretionary Amounts: Date Calculated:
$ 19,563,507 $0 December 2022
A. Fee Schedule
Portfolio Management Fees
Total Assets Under Management Annual Fees
$0 - $500,000 1.00%
$500,001 - $1,000,000 0.75%
$1,000,001 - $3,000,000 0.50%
$3,000,001 - $5,000,000 0.30%
$5,000,001 and above Negotiable
The advisory fee is calculated using the value of the assets in the account on the last
business day of the prior billing period. The advisory fee is a tiered fee and is calculated
by assessing the percentage rates using the predefined levels of assets as shown in the
above chart and resulting in a combined weighted fee. Advisory fee includes fees paid to
third party advisers, if any.
These fees may be negotiable and the final fee schedule will be memorialized in the client’s
advisory agreement. Clients may terminate the agreement without penalty for a full
refund of WealthFD's fees within five business days of signing the Investment Advisory
Contract. Thereafter, clients may terminate the Investment Advisory Contract generally
with 30 days' written notice.
Financial Planning Project Fees
Financial Planning will be offered on an hourly or fixed fee basis for clients who do not
require ongoing comprehensive wealth management services.
For fixed fee projects, the fixed fee will be agreed upon before the start of any work. The
fixed fee starts at $1,000 and can be negotiable. If a fixed fee program is chosen, half of the
fee is due at the beginning of the process and the remainder is due at completion of work,
however, WealthFD will not bill an amount above $500.00 more than 6 months in advance.
Financial Planning will also be offered on an hourly basis at a rate of $250 - $1,000 per
hour. The fee may be negotiable in certain cases and is due at the completion of the
engagement. In the event of early termination by the client, any fees for the hours already
worked will be due.