David & Jennifer
42 & 43, Sydney
Parents Pre-retirement
Somewhat experieced
Set up for retirement
Their situation
Key outcomes
- Implemented an investment strategy that has a conservative increase in wealth over 15 years of approx. $1.5m, organised comprehensive insurance and facilitated an estate plan (Wills, Power of Attorney etc.)
- Modelled their current trajectory then numerous other investment scenarios that included combinations of shares, investment properties and increased contributions into superannuation
- Relieved financial stress which allowed David and Jennifer to both pursue passion projects and travel together
Understanding their situation
David and Jennifer owned and lived in their home with their two children and were looking to invest in property again. Before they went ahead with any property purchase, they wanted to organise a financial plan, which they had been thinking about for years. Many of their friends had either invested in shares or property, but they weren’t sure what the best option was for them personally.
“We spoke with the financial planner that our friends used but they weren’t committed to us at all. When we had our first meeting with Montara Wealth they took a much better approach and made us feel really comfortable. The team knew it was hard for someone who didn’t know the space, so they took the time to educate us first.”
“Our first meeting with Montara went really well. It didn’t cost anything and came with no obligation, and we could tell that they were approaching everything with the right attitude. Montara made us feel really comfortable so there was no need to speak with any other advisors”.
The Process
Due to David and Jennifer working busy hours and having to look after two kids, they didn’t have the time to do their own research on an investment strategy. As we got to know the couple, their financial position and their goals in detail, we were able to propose investment options and show them how they would work.
“We were more comfortable with investing in property but we didn’t know what the best option was for us. Sure, working with a financial planner was an extra outlay, but it was something we’d been putting off for far too long and it was important we received validation with the approach we were taking. Our goal from the get go was to just have a plan. We’d never looked at our super and worked out if it would be enough to retire on. I was on a good salary but was it enough?”
We also worked with David and Jennifer to understand their goals for their kids.
“Montara helped us understand the money we would need to put aside to fund private schools if we choose to send our kids there.”
Working with Montara
In working with David and Jennifer, we were able to map and model their current wealth trajectory and identify shortfalls in their future retirement income. Our team then modelled various investment scenarios that included combinations of investing in shares, investment properties and additional investment into superannuation.
“We’d never worked with a financial planner before and weren’t too educated in the space. What Montara did really well was not just tell us what we needed to do, it was the case of asking us what our goals were and then tailoring the financial strategy around that. We spoke about how we were already sensible spenders so we ended up not having to sacrifice anything to carry out an effective financial plan.”
David and Jennifer had always wanted to invest but by their own admission didn’t have the confidence to take action. By providing them with an understanding of how the decisions they made would impact their cash flow and future wealth position, they felt comfortable to move forward and begin implementing an investment strategy. Within a short period of time they ended up building a share portfolio, reorganising their superannuation strategy and purchasing two investment properties.
“This was a big reason why we went with Montara because we tended to procrastinate a lot, always wondering if we were making the right decision. It took us 5 years to purchase the house we lived in. Montara gave us the confidence that the right decisions were being made and that we didn’t need to go into every minor detail such as picking the right suburb for the investment because we trusted their advice. The whole process was stress free”.
“We were surprised at how quickly we bought both properties. We’d happily live in both properties we bought as they’re in beautiful suburbs close to the CBD and have all the amenities you need.”
Now that David and Jennifer are set up financially it has freed up some cash for them to work on their passion projects. Dave has a project car that he wants to finish off and they also want to continue their annual overseas trips. They will also look to make some renovations to their home and expand their property portfolio once their next property settles.
FIND OUT HOW WE CAN HELP“If you’re procrastinators like us then don’t put off working with a financial planner for too long. We could have spent heaps of money and time looking at properties and share portfolios but were relieved to have experts we could trust to do all of this for us. This meant that we were able to focus on what was important to us in life.”
