Our Approach

 

Personal and web-based planning and advice

We provide real-time, accurate and secure data aggregation to combine all of your account data into one log-in port and one plan. You can hold your investments at different institutions, and you can finally see them all together in one place!

 

Fee-only advice for informed, confident decisions

We offer a measured approach to fee-only investment management, financial planning and estate planning. 

Like many knowledgeable, experienced and ethical advisors, we have gone independent to help our clients as fee-only advisors. Because we are not affiliated with a broker-dealer, we enjoy providing personal counseling without commissions and conflicts of interest. In other words, we put you and your best interests first.

We are free to objectively examine your circumstances and make optimal investment recommendations without pressure to promote particular mutual funds, annuities or insurance policies.

 

Portfolio diversification

In retirement, the idea is to spend only the dividends generated by stocks and the interest from bonds and cash, never touching the principal. If you do spend principal, you'll know the smartest way to take it.

Stocks can yield dividends, which can provide you with increasing income for the rest of your life. Over the long term, the real return on stocks is about twice the return yielded by things like bonds, certificates of deposit (CDs) and money market accounts.

Fixed investments like bonds can provide steady returns and reduce volatility-- smooth out your investment returns when the stock market is down.

With the optimal mix of stocks, bonds, cash and real estate (your home), you can achieve returns that keep up with inflation and generate growth (capital gains) and income (interest and dividends). We balance your portfolio, so that you reap ideal returns over longer time frames while comfortably weathering short-term fluctuations.

We focus on identifying the right mix for you. Each personally crafted portfolio takes into consideration these factors:

  • Your (spending) goals
  • Your time frame 
  • Your investing experience and expectations 
  • Your risk tolerance (you must rest easy) 

 

No-load mutual funds and exchange-traded funds (ETFs)

We construct diversified portfolios comprised mainly of low-cost, indexed exchange traded funds (ETFs). These funds provide broad diversification among various categories of stocks, bonds and cash. It may be appropriate for some investors to hold a small allocation of hard assets, like gold.

These funds are comprised of a broad basket of securities. For example, an index or ETF tracking the Standard and Poor’s 500 Index holds a sampling of the 500 large-company American stocks. Since you own a basket-full, the performance of one company doesn't have a signifcant impact on your total returns. 

 

Liquidity

Liquidity is a cash reserve for emergencies, opportunities or monthly income. It is critical to liquidate the right investments at the right time, and it depends on how stocks, bonds or cash are performing in relation to the economic cycle.

It's important to own conservative bond indexes which can be rapidly sold, certificates of deposits (CDs) and cash is important for a couple of reasons.

  • If you need money now, you don’t want to sell your home or stocks when the market price is down.
  • You can take advantage of opportunities to buy stocks or real estate when the price is right.
Liquidity is an important part of investment portfolio construction, especially during job changes, retirement, funding college, emergencies, opportunites or divorce.
 
 

Protect your downside

At every stage in our lives, being wealthy means keeping a balance between the things that we can control and things we can’t.

I make sure that each of my working clients wakes up each day knowing this: "As long as I make a good effort, everything will be okay, even if my health declines or I lose my job."

Minimizing risk is an integral part of financial planning. Ask yourself this:

  • How stable is your job, and how dependable is the health, life and disability insurance that it provides?
  • How predictable is your health? 
  • How sustainable is your lifestyle if your situation changes?

We ask these questions and we may recommend that you embrace risks with appropriate levels of disability, long term care and life insurance.

We don't sell insurance, but we can help you evaluate appropriate and affordable options. Perhaps your current coverage is appropriate, or perhaps you might choose to avoid coverage. For example, you might or might not decide to purchase long-term care insurance after weighing the costs and potential benefits for your particular situation. 

The burden of fear is debilitating-- using the financial planning process to address your situation can provide a feeling of security. The power of security is rejuvenating. 

 

Minimize taxes

Some investments are taxed more favorably than others.

When you are retired and drawing money, which money you draw affects your tax burden. 

Some investments are taxable now, some are tax-deferred and some are tax-exempt. Having the right combination in your portfolio saves you money now and later. 

 

Adjust your portfolio

Part of investing is just keeping up with inflation. Based on your evolving situation and developing market conditions, we adjust your portfolio over time.

It is critical that you make adjustments for the *right* reasons– reasons guided by an ethical and experienced CFP who embraces sound investing principles.

Erlandson Wealth Management provides proactive and periodic adjustments.

 

Wealth conservation and charity

Do these concerns apply to you? Most people share most of these desires:

  • I want to ensure the financial security of myself and my spouse.
  • I want to plan ahead: I fear running out of money, becoming a burden or losing my dignity.
  • I want to maintain my lifestyle.
  • I would like to minimize taxes as I take money out of my IRA and other investments in retirement.
  • I would like to consider leaving a gift for the next generation or for a charity.
  • I want to transfer my hard-earned money, not lose it to taxes.

We ensure that these vehicles are in place for you to meet these desires:

  • Your beneficiary designations are current  
  • Your account ownerships are appropiate for estate planning.
  • Tax-saving vehicles like IRAs, life insurance, real estate and appreciated stocks are in place.

 

Get started: complimentary in-depth consultation, online planning lab

Are you ready to Get Started by exploring financial planning? You can experiment with an online financial planning lab, or simply take advantage of our complimentary, in-person consultation.

The meeting is a wonderful opportunity for you to ask questions in a relaxed setting. If we're a good fit, we can work together to create a plan. We are low-key: we never pressure you or sell to you.

We also invite you to call or email us regarding our services and any of your financial questions, any time.