When my clients Mark and Sarah (not their real names) first came to me, they had what most people would consider a solid financial foundation.
A healthy income. A 401(k). Some investments. Life insurance through work.
But they also had a question I hear all the time:
“Are we saving enough? Or are we saving too much?”
They weren’t looking for someone to just pick funds or manage investments. They wanted clarity, confidence, and a plan that connected the dots between today’s spending, tomorrow’s security, and everything in between.
And what they discovered through the process is something I see often: Most people have no idea how much value a great financial advisor can truly add until they experience it for themselves.
So what does that value actually look like in practice? Let’s walk through each of the six financial planning steps I take alongside clients and the value each of those steps may bring.
As we embarked on building a synchronized plan, our starting point was gathering the full picture: income, savings, investments, benefits, insurance, and goals. This is such a crucial step in the process, so I asked a lot of follow-up questions to make sure I had everything right and that we were on the same page. If the inputs or goals are wrong, or there are nuances I didn’t understand, it would be like starting a cross-country trip with an outdated map.
From there, I built a detailed financial plan. The good news? They are on track for retirement. Even better? They could actually enjoy more of their money now without jeopardizing their future.
I showed them exactly how much they need to save each year to stay on track — no guesswork, no guilt-driven saving “just because.” Having that level of clarity gave them permission to spend intentionally, knowing they were still building toward their goals.
Next, we focused on what I call their financial fortress, ensuring they have enough accessible, liquid resources to handle life’s curveballs without derailing their long-term plan.
We started with a robust emergency fund: at least six months of living expenses, held in cash or cash equivalents (think of things like money market funds or high-yield savings accounts). That way, they can weather unexpected events like a job loss, medical emergency, or major home repair.
But building a fortress doesn’t stop at an emergency fund. Many high earners, like Mark and Sarah, have substantial money tied up in 401(k)s or retirement accounts. Because that money generally can’t be touched until your late 50s without incurring penalties, people like Mark and Sarah may still feel like they’re living paycheck to paycheck. They worry about needing to “save up” for a nice vacation, a home renovation, or other meaningful goals.
To address this, we created a plan for long-term investments outside of retirement accounts. These are intended to grow over time but remain accessible without penalty if needed. This gives them the confidence to enjoy life now, while staying on track for retirement and other long-term goals.
I also love opportunities to help clients take advantage of tax-advantaged strategies, like backdoor Roth IRAs. In Mark and Sarah’s case, we decided that before implementing a backdoor Roth, it made more sense to first build up a solid balance in their non-retirement accounts. That way, they have liquidity and flexibility to handle emergencies or other goals, while still positioning themselves for tax-efficient growth over the long term.
We also discussed setting up a Home Equity Line of Credit (HELOC) as an additional layer of security. A HELOC is essentially a line of credit secured by their home that they can access if needed. Think of it as an emergency backup. It’s not money you plan to spend regularly, but having it in place adds another safety net. The idea is simple: don’t draw on it unless absolutely necessary, but know it’s there so they never have to scramble if life throws a curveball.
By combining a strong emergency fund, liquid long-term investments, and a HELOC, Mark and Sarah have the flexibility to handle uncertainty, seize opportunities, and enjoy life today, all while staying on track with their long-term financial goals.
I also ran a full life insurance analysis and found some gaps that could leave the family financially vulnerable if something happened to Mark.
We’re now securing private term coverage to replace his future income, along with coverage for Sarah, who doesn’t currently earn income outside the home but contributes enormous value through childcare, household management, and everything in between. Protecting her role is just as essential to keeping the household stable.
Mark and Sarah have two young kids, and like many parents, they opened 529 college savings plans when the kids were born and set up monthly contributions that “felt about right” at the time.
Years later, those same contribution amounts had continued automatically, without much thought to whether they still align with their goals or current financial capacity.
As part of their planning, we’re creating a college savings strategy that’s intentional and realistic. Rather than guessing at what’s “enough,” we’re clarifying what they want to fund. For example, Mark and Sarah will cover 100% of the cost of an in-state public school, with their kids covering any additional costs if they choose a private or out-of-state option.
For some families, fully funding a private college is within reach. For others, it’s about setting a clear, sustainable target and having a plan to meet it. The key is aligning contributions with the goal, not with whatever amount happened to be chosen years ago.
When I reviewed Sarah’s IRA, I found that nearly 30% of it was sitting in cash, likely from dividends that hadn’t been reinvested or a contribution that never got invested at all. It’s a common drag on portfolio performance that many people don’t even realize is happening.
We corrected that, streamlined their accounts, and aligned everything — the 401(k), IRAs, and brokerage — around one cohesive strategy using low-cost index funds designed to support their goals and risk tolerance.
We also implemented smart tax-efficiency strategies, like holding bond funds in retirement accounts and equity funds in taxable accounts, with the goal of reducing their annual tax burden and enhancing long-term growth.
When I first meet with people, many think of financial planning as something they only need to do once. You receive a packet, binder, or PDF, and you’re on your way.
But financial planning is hardly a one-and-done process, especially because we tend to experience major life changes once every 12-18 months or so, on average. So a plan that’s more than a few years old is unlikely to reflect the current state of your life.
As Mark’s career evolves and bonuses or RSUs vest, we’ll continue adjusting — ensuring new income is allocated intentionally and that opportunities aren’t missed.
Whether it’s deciding how to use a bonus, evaluating a mortgage prepayment, or preparing for a major life change, they now have a trusted guide to call before making a move.
There’s one thing that I want to be especially clear about: Working with an advisor isn’t about chasing “hot” investments or finding secret tax tricks.
Instead, the value they may bring is about having someone who understands the full picture — your life, your goals, your risks, and your opportunities — and helps you make confident, informed decisions every step of the way.
For many people, that’s when the lightbulb goes on. They realize it’s about so much more than dollars and cents. It’s about peace of mind and having a guide on your journey, one who knows the map inside and out and is constantly updating it.
If you’ve ever wondered whether you’re doing enough (or maybe too much), it might be time to take a closer look. Sometimes, the biggest value of financial advice is simply knowing that you’re right where you need to be.
If you have questions about partnering with a financial advisor or you’d like to start the conversation, you can schedule time to sit down together.
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About the author
Carla Adams is a CERTIFIED FINANCIAL PLANNER® practitioner who specializes in helping women build strong financial plans around their equity compensation, including Restricted Stock Units (RSUs) and company stock options. With over 15 years of experience in financial services, Carla has in-depth knowledge and expertise geared toward helping clients with complex financial situations. She enjoys boiling down complicated scenarios through practical examples and down-to-earth conversations.