Three Steps For Review Appointment Success

As you have progressed through your career, you have probably developed a great strategy to approach prospects, showcase your knowledge and explain the benefits of becoming your client. But how do you keep your clients engaged in your financial planning process year after year? 

 You usually have only one hour during an annual review to make sure your clients’ needs are met and to skillfully address any new priorities and opportunities they have to leverage your expertise. By following our clear process in every review appointment, you can move the needle within your business and lead efficient meetings. 

Step 1: Begin With Clients’ Questions

At the beginning of every review, ask your clients what questions, thoughts or concerns they have. Over time, your long-term clients will anticipate this first step and appreciate that their concerns are your top priority. I always begin the meeting by laying out the agenda and explaining that this step can take as long as the whole hour for some clients or just a few seconds for others.  

Only after we have finished reviewing their questions, thoughts and concerns will we move to Step 2. Clients quickly realize that to reach the next step — your recommendations — they need to succinctly address their concerns so they can learn what you are prepared to share.

Step 2: Provide Your Recommendations

Now that you have addressed your clients’ most pressing concerns, you can move on to your questions, thoughts, concerns and recommendations. Your clients know they have only an hour for the review. They want to get your input and recommendations so they can lean on the expertise that you continue to provide each year. If you have a lot of things to cover, this step can take up much of your meeting time. But you started the meeting by putting the client first. 

Step 3: Cover The Five Tenets Of Financial Planning

Provided that you have enough time, hit the third step, which is covering the five tenets of financial planning. The five tenets are set up by the Certified Financial Planner Board of Standards and include rate of return, retirement income planning, estate planning, tax planning and protection planning.

This portion of the conversation is an important reminder to establish your role as their most trusted advisor. It informs them that you care about the whole picture; it identifies which parts of the planning process are your responsibilities, and it clearly communicates the roles that your clients’ other professionals play in their overall financial plan. Recapping these five tenets each time ensures that no critical areas of your clients’ overall plan are being neglected. 

Rate Of Return And Retirement Income Planning

As a financial advisor, I own the first two categories of financial planning — rate of return and retirement income planning. I let the client know that these are my primary responsibilities, and that we work with other professionals who will be responsible for their roles in the overall financial plan. If you are strictly an insurance professional, you might not own these tenets, but it’s important to touch on them so that you show your clients you are aware of their entire picture. 

Estate And Tax Planning

Similarly, an attorney or accountant may own the next two tenets: estate planning and tax planning. Although I regularly collaborate with other professionals, I am clear about who carries the responsibility for these tenets. It’s important to make sure the client feels they remain completely taken care of and that someone is watching their whole picture.    

With estate planning, we make sure every client has a will, an advance directive, a durable power of attorney and other basic legal documents. These basic legal documents may vary by country. We also want to routinely check in on our clients’ tax planning and ensure that they are legally minimizing taxes throughout the entire financial planning process. 

Protection Planning

Protection planning breaks into three subcategories — health insurance; property and casualty insurance; and life, long-term care and long-term disability insurance. Although I do not handle health insurance, I refer clients to ensure they are adequately covered. Property and casualty or auto and home insurance is the next subcategory, and I work with their other professionals to be sure my clients have appropriate protection amounts in place. The final area that I review and take primary responsibility for is one vital to my role as their financial advisor: life insurance, long-term care insurance and long-term disability insurance. 

By going through the five tenets of financial planning, your clients will feel thoroughly reviewed and more confident in facing the year ahead. Even if you don’t own one of the tenets, your clients know you’re paying attention to the full picture and can delve deep into your respective specialties. By addressing client questions first, your own recommendations second, and the five tenets of financial planning last, every review appointment will keep your clients engaged in the process and committed to your relationship.

Timothy Daniel Clairmont, CFP, MSFS, is the founder and CEO of Clear Financial Partners, a holistic financial planning firm serving pre-retirees and retirees in the Pacific Northwest. He is a member of MDRT’s Top of the Table. He may be contacted at [email protected].