Analyzing Your Data Against Your Goals
With your complete financial picture gathered in Step 1 and your goals defined in Step 2, Step 3 is where the analytical work begins. This is the engine of the planning process — where we stress-test your current trajectory and identify the gaps, risks, and opportunities that will shape your plan.
At Fee-Only Planning Hawaii, we use professional-grade financial planning software to model your financial future under a range of scenarios. We do not rely on simple spreadsheets or rules of thumb. Instead, we run Monte Carlo simulations, tax projections, and scenario analyses that account for the uncertainty and variability of real life.
What We Analyze
Our analysis covers retirement projections, tax planning opportunities, insurance adequacy, estate plan effectiveness, investment allocation, cash flow sustainability, and risk exposure. Each area is evaluated individually and then integrated into a holistic view of your financial health.
Scenario Testing
What happens if the market drops 40% in your first year of retirement? What if you live to 100? What if one spouse needs long-term care? We test your plan against adverse scenarios so you can see how resilient — or vulnerable — your current path really is.
Beyond Rules of Thumb
Generic advice like "save 15% of your income" or "keep 60% in stocks" ignores your specific situation. Our analysis is built on your actual numbers, your actual goals, and your actual tax situation — not industry averages.
Areas of Analysis in Step 3
We evaluate every dimension of your financial life to identify gaps, risks, and opportunities.
Retirement Projections
We model whether your current savings and spending trajectory will sustain your desired lifestyle through retirement under various market and longevity scenarios.
Tax Planning Opportunities
We identify strategies to reduce your lifetime tax burden — Roth conversions, asset location, charitable giving, income timing, and Hawaii-specific considerations.
Insurance Adequacy
We evaluate whether your life, disability, property, and long-term care coverage is sufficient — or excessive — for your actual needs.
Estate Plan Effectiveness
We review your estate documents, beneficiary designations, and asset titling for consistency, completeness, and alignment with your wishes.
Investment Review
We assess your current portfolio for cost efficiency, diversification, asset location, and alignment with your risk tolerance and time horizon.
Cash Flow & Debt Analysis
We evaluate your income, spending, savings rate, and debt structure to ensure your cash flow supports your goals efficiently.
How Step 3 Works
Data Integration
We input all gathered information into our professional planning software to build your comprehensive financial model.
Baseline Projection
We model your current trajectory — what happens if you change nothing — to establish a baseline.
Gap Analysis
We compare your projected outcomes against your stated goals to identify shortfalls and surpluses.
Scenario Testing
We stress-test your plan against adverse events — market crashes, early death, disability, longevity — to assess resilience.
Opportunity Identification
We identify specific strategies that could improve your outcomes across tax, investment, insurance, and estate planning.
Analysis Review Checklist
Key questions our analysis will answer:
Am I on track to retire when and how I want?
Am I paying more taxes than necessary?
Is my investment portfolio properly diversified and cost-efficient?
Do I have the right types and amounts of insurance coverage?
Are my estate documents current and consistent with my wishes?
How vulnerable is my plan to market downturns or health events?
Am I making the most of my employee benefits?
Are there opportunities I am currently missing?
Frequently Asked Questions
Get answers to common questions about Step 3 of our planning process.
Related Planning Steps
Our 7-step process ensures nothing is overlooked. Explore the other steps.