Financial Plan for Drew Burns

April 11th, 2018

Age 21

Net Income: $19,280.00 (Reference exhibit A Income Statement on page 2).

Net Worth: $4,200.00 (Reference exhibit B Balance Sheet on page 3).

Monthly Savings: $1,606.67 (Reference exhibit A Income Statement on page 2).

Investor Profile: Growth (Reference exhibit C Investor Profile Questionnaire on page 4).

Credit Score: Plan to increase score by getting a credit card and working towards buying a car.

Tax Bracket: 25%

Emergency Savings: $5,000 CIT Online Savings Bank (Reference exhibit D Savings Comparison on Page
5).

Life Insurance: $500,000 20 Year Term Policy Mutual of Omaha (Reference exhibit E Life Insurance on
Page 6).

Savings Goals:

#1 Buy Car:
Goal Amount: $5,000.00
Savings Start Date: May 1st, 2018
Targeted End Date: May 1st, 2020
Time: 2 years
Monthly Investment: $210.00/month
#2 Buy House:
Goal Amount: $6,000.00
Savings Start Date: May 1st, 2018
Targeted End Date: May 1st, 2024
Time: 6 years
Monthly Investment: $85.00
Investment: MDXBX T. Rowe Price Maryland Tax-Free Bond Fund
Anticipated Annual Return: 4%
#3 Graduate Debt Free:
Goal Amount: About $3,000.00
Savings Start Date: April 1, 2018
Targeted End Date: February 1, 2019
Time: About 1 year
Monthly Investment: $300.00/month
 Income Statement
Drew Burns
1/21/2018

Income Monthly Annual

Job 1 1,800.00 21,600.00

Job 2 - -
Investment - -
Rental - -
Scholarships/Grants - -
Alimony - -
Child Support - -

Family 16.67 200

Total income 1,816.67 21,800.00

Expenses Monthly Annual

Taxes - -
Rent/Mortgage - -

Food 40.00 480.00

Electric - -
Gas (Utilities) - -
Phone - -
Cable - -
Internet - -

Clothing 20.00 240.00

Car Payment - -

Gas (car) 150.00 1,800.00

Insurance - -
Consumer Debt - -
Student Loans - -
Entertainment - -
Children’s Ed - -
Medical - -

Total Expenses 210.00 2,520.00

Net Worth 1,606.67 19,280.00

 Balance Sheet
Drew Burns
22-Jan-18

Assets
Home -

Car 1,900.00

Savings Accounts 2,300.00

Investments -
Retirement Accounts -
Furniture -

Total Assets 4,200.00

Liabilities
Mortgage -
HELOC -
Car Loan -
Credit Cards -
Consumer Debt -
Student Loans -
Other Debt -
Total Liabilities -

Net Assets 4,200.00

 Investor Profile Questionnaire

For each of the following groups of statements, select the statement that most closely reflects your financial
situation and investment philosophy (circle numbers).

A. 1. One can’t be too careful.

2. When in doubt, err on the side of caution.
3. Nothing ventured, nothing gained.

B. 1. Put safety first, stick with risk free investments.

2. Don’t put all your eggs in a few baskets, diversification is important.
3. Put most of your money in your best investment ideas.

C. 1. Receiving dependable income is more important than growth.

2. Income and growth are equally important.
3. Growth is more important than current income.

D. 1. I prefer conservative investments.

2. I like to have a mix of conservative and growth oriented investments.
3. I want growth and am willing to risk significant capital to achieve it.

E. A respected friend suggests the time is right to invest aggressively, you

1. Refuse to take more risk.
2. Invest a portion of your savings.
3. Invest all your savings.

F. You win a contest and can choose among three prizes, which do you select?
1. Receive $5000 today.
2. Receive $2000/year for 5 years.
3. Receive $25,000 10 years from now.

G. An emergency requires $10,000 unexpectedly, you

1. Have to liquidate all your investments.
2. Have to liquidate 25% of your investments.
3. Could handle it without liquidating any of your investments.

H. The stock market is dropping in value, you would sell your investments after
1. A 10% drop in value.
2. A 20% drop in value.
3. I would not sell in a down market.

Personal Finance
Investor Profile Questionnaire Score Card

Total Score: 18
8-10 Conservative
11-14 Income
15-17 Balanced
18-21 Growth
22-24 Aggressive
 Savings Comparison
Online Savings
Bank Interest Minimum Fees
Marcus 1.5 $1.00 None
CIT 1.55 $100.00 None
Ally 1.35 0 None
Barclays 1.5 0 None

Local Savings
Bank Interest Minimum Fees
Chase 0.01% $25.00 $5.00 < $300.00
Key Bank 0.01% $50.00 $4.00 < $300.00
Zions 0.06% $50.00 $3.00 < $200.00
Wells Fargo 0.01% $25.00 $5.00 < $300.00

Online CDs
Bank 1 Year 2 Years 3 Years 4 Years 5 Years
Marcus 1.8 1.9 2.0 2.1 2.5
CIT 1.32 1.4 1.3 1.5 1.7
Ally 1.75 2.0 1.85 2.0 2.25
Barclays 2.08 2.18 2.32 2.37 2.71

Local CDs
Bank 1 Year 2 Years 3 Years 4 Years 5 Years
Chase 0.02 0.15 0.4 0.5 0.6
Key Bank 0.75 (14 mo) 0.896 (27 mo) 1.05 (37 mo) 0.15 0.25
Zions 0.55 0.75 0.90 1.05 1.15
 LIFE INSURANCE

Insurance Co 10 year 20 year 30 year Universal Rating

AIG $13.76/mo $19.81/mo $31.49/mo $149.05/mo A
Protective $13.76/mo $19.78/mo $31.39/mo $172.54/mo A+
Mutual of $14.22/mo $20.78/mo $33.03/mo $148.25/mo A+
Omaha