A Financial Well Check

January 15, 2023

Many set goals for a new year, such as eating healthier, reading one book a month, getting in better shape, … the list goes on and is specific and unique to everyone.

At Prato Capital, we see the start of every new year as a great time to review and update our client’s Financial Life Plan (FLP) if necessary. This month we will look specifically at some of the legal components of an FLP and how to always have easy access to these very important documents.

Estate Planning is Not Just for the Wealthy

Everyone knows they should have a will, but over half of the US adult population does not, according to a Gallup poll in 20211 . Another essential piece of estate planning includes advanced healthcare directives like a healthcare proxy and a living will. These documents are called “advance directives,” because these are the instructions given in advance of the time when healthcare may be necessary.

A quick review of what these estate planning documents are:

• Will: A legal document describing how you would like your assets and wealth distributed after your death. It can also designate who will care for your children. For some individuals, a trust may be more appropriate to avoid probate.
• Healthcare Proxy: A document where you designate another individual to make health care decisions on your behalf if you can no longer do so.
• Living Will: A written, legal document that contains your health care wishes about life-prolonging medical treatments, as well as your preferences for other medical decisions, such as pain management, end-of-life care, or organ donation.

These documents can and should be changed for any life changes to yourself or your beneficiaries, such as marriage, divorce, birth, or death, and these documents should be reviewed periodically to ensure they still represent your intentions.

Without these important documents, state laws will dictate who makes medical decisions for you and how your assets and wealth will be distributed.

Easy Access Everywhere You Are

Many of us store documents like a will, healthcare proxy, and living will in a safe deposit box at the bank or in a fireproof safe at home. But when these documents are needed, we are usually not at the bank or home.

The PCM Black Box app can electronically store and provide access to important documents like these when needed. With just a couple of clicks on your smartphone or electronic device, these documents are available. Anywhere there is access to the internet, these documents are now available to our clients.

In addition to having easy access to estate planning documents, you can store details about insurance policies, bank accounts, mortgage information, copies of your passport and other IDs, to name just a few. Any important document can be securely stored and be readily accessible anywhere with online access. In this app, our clients can also see their investment accounts and financial plan at Prato Capital.

The combination of having the right documents and having easy access to them when needed is invaluable. This is the feedback we are hearing from our clients about the Black Box app.

“An hour of planning can save you 10 hours of doing.” – Dale Carnegie

Gregory, Gabriella, Brian, Samer, and Chris

Prato Capital Management Where Integrity Meets Discipline