March 25, 2021

Natallia Smith
(TruWealth Advice)

Alison, Melbourne

Alison, aged 43 and with two dependent children, was going through a divorce settlement. Worried about the future, she wished to get her finances in order and develop a post-settlement plan to ensure she and her children were provided for. Added to this, Alison hoped to be able to continue living the lifestyle she and her children had enjoyed prior to the separation.

Having recently separated from her partner, Alison’s desires were two fold.

Security:

Gain stability and comfort by having a financial plan in place
Ability to build wealth post-settlement

Freedom, Flexibility and Independence:

Maintain her current lifestyle post-separation
Set herself up for retirement
Maximize her wealth to allow her become financially independent at age 65
Remain debt free and self-sufficient
Ensure existing insurances would provide appropriate cover, cost, and benefits
Review her superannuation funds and consider alternative investments to help reduce cost and match risk preferences

The team at TruWealth assessed Alison’s situation and helped her navigate the following Financial Advice Path

Stage 1:

Share portfolio consolidation
Financial settlement plan and advice
Cash flow analysis

Stage 2:

Financial Plan including investment advice
Superannuation review and advice
Taxation planning
Insurance review and advice

Stage 3:

Implementation
Retirement planning and projections

Stage 4:

Estate planning
Review progress and make any necessary changes

Working with Alison, we created the following financial outcomes to give her peace of mind and security as she moved into her new future:

Clear Plan for Settlement: Providing advice on which shareholdings to liquidate as part of the divorce settlement gave her a clear path forward post-financial settlement.

Better assets administration and reporting: Setting up good financial habits enabled Alison to manage her day-to-day money matters and build wealth for her future.

Stability: It was important to Alison to maintain the lifestyle she and her children enjoyed prior to separation. Providing long-term financial advice and reorganising her assets and investments allowed her to continue to build her career, spend time with her children, plan to send them to a private secondary school, complete landscaping work and factor in the opportunity for travel.

Independence: Alison was conscious of the need to set herself up for an independent retirement at age 65. Our plan aimed to maximise her wealth over the next 20 years, remain debt free and not be restrained by money throughout her life. Following the divorce, we provided long-term financial advice on superannuation, life insurance and wealth management to help her achieve these goals.