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FIN 350 Milestone Two Guidelines and Ru
ic
Overview: For Milestone Two, you will submit a draft of your retirement and tax plans for Jane and John Doe. You will analyze your clients’ retirement assets to
determine the viability of their cu
ent plans. Then you will make recommendations about potential retirement savings and investment vehicles for the clients,
ased on their cu
ent plans and goals.
Following your analysis of your clients’ retirement plans, determine the special tax situations related to their business, and make tax recommendations to help
them minimize their tax liability.
Prompt: Review the Final Project Case Study document and address the assigned critical elements regarding retirement planning and tax planning. You will act
as a financial planner and speak directly to the clients. Research and APA citations should be included to support your recommendations.
Specifically, the following critical elements must be addressed:
III. Retirement Planning: In this section of the financial plan, you will analyze your clients’ retirement assets to determine the viability of their cu
ent
plans. Then you will make recommendations about potential retirement savings and investment vehicles for the clients, based on their cu
ent plans
and goals.
A. Analyze the clients’ retirement assets and determine the viability of their plans. In your analysis, be sure to do the following:
1. Discuss the ability of the clients’ retirement assets to meet their needs during retirement. In this instance, assume Mr. Doe will retire at
age 66, Mrs. Doe will retire at age 62, and that they invest 50% of the net income annually in savings and that savings grows 5% yearly
through retirement. Support your discussion with relevant details.
2. Describe potential changes that may occur within the clients’ expenses as they age in retirement. Support your description with relevant
examples.
3. Discuss the impact of an unexpected, monthly healthcare cost of $10,000 on the required minimum after-tax return on the clients’
portfolio. Assume that one of the clients becomes unexpectedly incapacitated and that all other expenses remain constant.
4. Discuss the impact of a significant stock market decline on the clients’ savings and investments regarding retirement income. Support
your discussion with specific examples.
B. Based on your analysis of the clients’ retirement assets, discuss the advantages and disadvantages of potential retirement savings and
investment vehicles for the clients. Support your discussion with specific examples.
http:
snhu-media.snhu.edu/files/course_repository/undergraduate/fin/fin350/fin350_final_project_case_study.pdf
http:
snhu-media.snhu.edu/files/course_repository/undergraduate/fin/fin350/fin350_final_project_case_study.pdf
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IV. Tax Planning: In this section of the financial plan, you will analyze special tax situations related to the clients’ business and make tax
ecommendations to help them minimize their tax liability.
A. Analyze special tax situations relevant to the clients and determine which would be most effective at minimizing their tax liability. In your
analysis, be sure to do the following:
1. Discuss the advantages and disadvantages of the clients using the LLC legal structure as it relates to income taxes.
2. Compare the tax implications of potential retirement savings vehicles based on the clients’ financial statements.
3. Discuss the potential tax benefits for the clients of charitable contributions. Support your discussion with specific examples.
B. Describe common triggers of AMT and explain how the clients can avoid them.
Ru
ic
Guidelines for Submission: Submit assignment as a Word document with double spacing, 12-point Times New Roman font, and one-inch margins.
Critical Elements Proficient (100%) Needs Improvement (75%) Not Evident (0%) Value
Retirement Planning:
Clients’ Retirement Assets
Discusses the ability of the clients’
etirement assets to meet their needs
during retirement and supports
discussion with relevant details
Discusses the ability of the clients’
etirement assets to meet their needs
during retirement, but discussion is
cursory or contains inaccuracies, or
supporting details contain inaccuracies,
are i
elevant, or are nonexistent
Does not discuss the ability of the clients’
etirement assets to meet their needs
during retirement
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Retirement Planning:
Clients’ Expenses
Describes the potential changes that
may occur within the clients’ expenses
as they age into retirement and
supports description with relevant
examples
Describes changes that may occur
within the clients’ expenses as they age
into retirement, but description is
cursory or contains inaccuracies, or
supporting examples contains
inaccuracies, are i
elevant, or are
nonexistent
Does not describe changes that may occur
within the clients’ expenses as they age
into retirement
10
Retirement Planning:
Unexpected Healthcare
Cost
Discusses the impact of an unexpected,
monthly healthcare cost of $10,000 on
the required minimum after-tax return
on the clients’ portfolio
Discusses the impact of an unexpected,
monthly healthcare cost of $10,000 on
the required minimum after-tax return
on the clients’ portfolio, but discussion
is cursory or contains inaccuracies
Does not discuss the impact of an
unexpected, monthly healthcare cost of
$10,000 on the required minimum after-
tax return on the clients’ portfolio
10
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Critical Elements Proficient (100%) Needs Improvement (75%) Not Evident (0%) Value
Retirement Planning: Stock
Market Decline
Discusses the impact of a significant
stock market decline on the clients’
savings and investments regarding
etirement income and supports
discussion with specific examples
Discusses the impact of a stock market
decline on the clients’ savings and
investments regarding retirement
income, but discussion is cursory or
contains inaccuracies, or supporting
examples contain inaccuracies, are
i
elevant, or are nonexistent
Does not discuss the impact of a
significant stock market decline on the
clients’ savings and investments regarding
etirement income
10
Retirement Planning:
Advantages and
Disadvantages
Discusses the advantages and
disadvantages of potential retirement
savings and investment vehicles for the
clients based on the analysis of their
etirement assets and supports
discussion with specific examples
Discusses the advantages and
disadvantages of potential retirement
savings and investment vehicles for the
clients, but discussion is cursory,
contains inaccuracies, or is not based
upon the retirement assets analysis, or
supporting examples contain
inaccuracies, are i
elevant, or are
nonexistent
Does not discuss the advantages and
disadvantages of potential retirement
savings and investment vehicles for the
clients
10
Tax Planning: Advantages
and Disadvantages
Discusses the advantages and
disadvantages of the clients using the
LLC legal structure as it relates to
income taxes
Discusses the advantages and
disadvantages of the clients using the
LLC legal structure, but discussion is
cursory, contains inaccuracies, or is not
clearly related to income taxes
Does not discuss the advantages and
disadvantages of the clients using the LLC
legal structure
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Tax Planning: Tax
Implications
Compares the tax implications of
potential retirement savings vehicles
ased on the clients’ financial
statements
Compares the tax implications of
potential retirement savings vehicles
ased on the clients’ financial
statements, but comparison is cursory
or contains inaccuracies
Does not compare the tax implications of
potential retirement savings vehicles
ased on the clients’ financial statements
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Tax Planning: Potential Tax
Benefits
Discusses the potential tax benefits for
the clients of charitable contributions
and supports discussion with specific
examples
Discusses the potential tax benefits for
the clients of charitable contributions,
ut discussion is cursory or contains
inaccuracies, or supporting examples
contain inaccuracies, are i
elevant, or
are nonexistent
Does not discuss the potential tax benefits
for the clients of charitable contributions
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Tax Planning: Common
Triggers of AMT
Describes common triggers of AMT,
explaining how the clients can avoid
them
Describes triggers of AMT, explaining
how the clients can avoid them, but
description or explanation is cursory or
contains inaccuracies
Does not describe triggers of AMT,
explaining how the clients can avoid them
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Critical Elements Proficient (100%) Needs Improvement (75%) Not Evident (0%) Value
Articulation of Response Submission has no major e
ors related
to citations, grammar, spelling, syntax,
or organization
Submission has major e
ors related to
citations, grammar, spelling, syntax, or
organization that negatively impact
eadability and articulation of main
ideas
Submission has critical e
ors related to
citations, grammar, spelling, syntax, or
organization that prevent understanding
of ideas
6
Total 100%