Monitoring short-term cash flow and debt management to achieve financial well-being goals.
What is a Financial Well-Being Goal?
A Financial Well-Being Goal refers to a target or objective set by a client to achieve overall financial health and security. This goal encompasses various financial aspects such as income, savings, investments, debt management, and retirement planning. It is aimed at improving the client’s long-term financial stability and quality of life. Based on your clients financial information, they will be given a score of either: Needs improvement, Fair, Good, and Great.
Navigating to the Financial Well-Being Goal
The Financial Well-being goal cannot be accessed from the Client Data Overview Page. We need to manually add it from the goals section (described in the next section).
Adding the Goal
The Financial Well being Goal doesn't appear on the screen right away and needs to be selected from the "+" Add Goals option. Click on the Planning tab on the Dashboard. Navigate to the '+' sign located in the goals section. Choose Financial Well-being option from the list. Click on the Financial Well-being tab to start planning
Features and Functionality
The Financial Well-Being Goal in Conquest helps ensure that a client’s financial plan is aligned with their overall life goals, providing a comprehensive view of their financial future and helping planners create strategies to achieve those objectives.
The initial step in establishing a Financial Well-Being goal is to select the preferred planning approach.
In Conquest, the Financial Well-Being Goal is a broad, customizable objective designed to assess and improve a client's overall financial health. To set this goal effectively, the following key information is typically entered: Target Amount, Goal Timeline, Income and Expense Assumptions, Savings and Investment Assumptions, Debt Reduction Plan, Emergency Fund Goal, Net Worth Growth, etc.
Entering these and other data points helps Conquest create a detailed and personalized financial plan. The software uses these inputs to track progress towards the Financial Well-being Goal, ensuring that the client remains on track to achieve their long and short-term financial objectives. The Strategies section in the image below shows some example of Financial Well-being Goals.
The financial well-being of a plan is rated as Needs improvement, Fair, Good, or Great, based on several key factors. These factors include the client’s net worth, cash flow, liquidity, reliance on debt, and their ability to manage debt.
To help users understand how their financial well-being score is determined, we’ve provided an Insights panel that details the factors contributing to the score. Each factor is represented by an icon and includes a recommendation.
Icons:
- Red Exclamation: A warning that immediate action is needed to improve the situation.
- Yellow Exclamation: A caution that suggests improvement is needed, though the consequences are less urgent than the red warning.
- Green Checkmark: The situation is in good shape, but there may still be room for improvement.
- Green Checkmark Badge: The situation is excellent, with no further improvements needed.
- Grey Information Circle: Informative feedback that may be helpful but doesn’t impact your overall score.
This system provides clear guidance, helping users take actionable steps to improve their financial well-being.