Brian and Sara Thompson

Age: 46 and 47
Horizon Ridge Services: Retirement Planning, Asset Management, Insurance Planning

Brian and Sara Thompson are 46 and 47 years old, respectively.  The couple has a 16 year old son, Brandon, and an 11 year old daughter, Erica.  Both children were born healthy, however Erica was later diagnosed with autism.  Currently Sara stays at home with Erica as a full-time caregiver and teacher. Brandon is currently a junior in high school and plays baseball, with aspirations of playing in college.

Brian and Sara recently sought our help due to a health scare.  Brian, an IT executive with a stressful job, recently suffered a mild heart attack.  Suddenly, they had many questions:

  • Do they have enough life insurance?
  • If Brian dies or becomes disabled, how would Sara balance working with saving for retirement, Erica’s care and Brandon’s college? 
  • Are they on track with retirement savings? 
  • Have they saved enough for Brandon’s education?

Brian and Sara also did not have the appropriate estate documents in place to protect themselves and their children from “creditors and predators” that may come after the family’s assets.  Additionally, they have never looked into a Special Needs Trust to shelter the assets needed to take care of Erica in the event of their death.

Between daily living expenses, taking care of Erica, and saving for Brandon’s college they are not sure if they are saving enough for their retirement.  They realize Erica will most likely live with them for the rest of their lives and they need to plan for a retirement that involves her.  Additionally, they understand the responsibility of attending to Erica’s needs and are worried about passing those responsibilities on to Brandon. 

After our first meeting with Brian and Sara, several follow-up meetings were spent uncovering their concerns and designing a financial plan that addressed their retirement, education, and insurance needs.  We worked closely with their estate attorney to draft a Will, Revocable Trust, a Medical Directive, and Power of Attorneys for both of them.  During the meetings with the attorney we shared the Thompson’s concerns about protecting Erica’s inheritance with a Special Needs Trust in order to not exclude her from any government benefits. We also discussed what they wanted the relationship between Erica and Brandon to look like when they died.  So we structured an arrangement where Horizon Ridge Wealth Management will assist Brandon with the financial management of Erica’s inheritance.   

After the completion of the initial work, we believe the Thompsons felt their financial outlook was much clearer and they felt they were working towards their goals. 

This material is hypothetical in nature and not intended for use as investment advice.  It does not guarantee the attainment of your retirement goals.  Individual results may vary.  There is no assurance that any investment strategy will be successful.  Investing involves risk and investors may incur a profit or a loss.  Asset Allocation and diversification do not ensure a profit or protect against a loss.  Past performance is not indicative of future results.

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