Financial Practices Self-Assessment: “How Effectively Am I Investing My Time, Energy and Money?” This assessment is designed for people who are very committed to taking the best possible care of their financial future. There is no “scale” to pass or fail — different people hold themselves to different standards of care when it comes to taking care of their money. In general, the higher the parenthetical score after the question, the more opportunity to improve how effectively you manage the financial topic being evaluated. Assessment Questions 1. Approximately what does my current standard of living cost me each year? I know the answer and it is ________________ (round to nearest $10,000). [1 point] (complete below)I don't know the answer, but I have a financial advisor who does. [2 points]I am not sure if anyone knows. [4 points] My cost of living 2. Approximately how much will my cost of living change when I stop working full time? I know the answer and it is ______________.  (complete below)I don't know the answer, but I have a financial advisor who does. I haven't thought about that.  My cost of living after working full time 3. Approximately how much financial help do I hope to provide to others (e.g., children, grandchildren, employees, charities)? My primary focus needs to be on my own financial needs at this time. I am clear about how much I money I plan to give to others during and after my life. I want to help other people with my money, but have not created any goals.  4. Approximately how much do I need to save each year, and what average return on investment (ROI) do I need to achieve in order to maintain my standard of living without having to work later into my 60s than I want to? I know the answers: ___________ savings/year and _______% ROI/year.  (complete below)I don’t know, but I have a financial advisor who does. I am not sure if anyone knows.  Savings/year %ROI/year 5. My thinking about my career and/or business is informed by an independent assessment of how my current earnings/profits could be affected by changes in technology, government policy, demographics, and marketplace competition. Yes, and I am doing the following as a result:  (complete below)Yes, and I don’t think any action is necessary. I have not really thought about this.  My thinking about my career 6. At least once during the past 12 months, I have discussed my total financial situation with the following: A spouse, child, or friend and a financial advisor A spouse, child, or friend only A financial advisor only Nobody  7. My primary financial advisor has evaluated the following aspects of my financial situation (check all that apply). I don't have a financial advisor.  Add one point  for each unchecked box: Retirement planningTaxesEstate and legacy planningCareer/business planningInvestment managementRisk management (insurance)Debt management 8. My financial advisor gets paid via (check all that apply): Flat fee Hourly billing Asset based fee Commissions I don’t know  9. Taking all my liquid and illiquid assets into account, what is my approximate percentage mix of stocks, bonds, real estate, and cash? I know the answer and it is ____________________.  (complete below)I don’t know, but I have a financial advisor who does. I’m not sure if anyone knows.  My approximate percentage is 10. Taking all my liquid assets (stocks, bonds, cash) into account, how often and how much, do I anticipate that the total value of my assets will decline in value over the course of a calendar year? I know the answer: portfolios invested in a diversified mix of investments similar to mine have historically declined in value 1 out of every ____ calendar years, and have dropped by as much as _____ % in a single calendar year.  (complete below)I don’t know the answer, but I have a financial advisor who does. I’m not sure if anyone knows.  Calendar years % in a single calendar year 11. Taking all my assets into account, I am certain that my investments have what experts consider to be an appropriately diversified mix of stock asset classes (large/mid/small, value/growth, U.S./international) and bond asset classes (US/corporate/foreign, long/short duration, inflation/interest rate adjustable). Yes, I am certain, and I have a rough idea of what that mix is. Yes, I am certain, and my advisor knows what that mix is. No, I am not certain if I am adequately diversified.  12. How did my liquid assets perform last year? I know how my investments performed compared to the market generally. I know how my investments performed absolutely, but not compared to market. I do not know how my investments performed.  13. I am aware that under current law, many people will pay higher taxes on stock growth in their tax-deferred IRAs and 401(k)s than on the same stock growth in taxable accounts and Roth IRAs. Yes, and I am using this opportunity to save taxes. Yes, but I have not re-allocated stocks between tax-deferred and taxable accounts. No, I was not aware of this opportunity.  Summary 14. When I add up the parenthetical numbers next to the answers I selected, the value is: A perfect score is 13 A respectable score is 25 The more the score exceeds 25, the greater the opportunity for some new kind of action 15. As I reflect on my family’s and my present and future financial situation, I have the following mood: Prudence: I believe I am doing everything I can to provide for my family’s and my financial success, but I am always open to opportunities to do better.Committed: I know there are strategies to strengthen my family’s and my financial future that I have not implemented, but I am ready to do them.Resigned, despairing, or angry. 16. Given my answers above: I am satisfied with how I am managing my current financial situation, and don’t plan to do anything else at this time.I am satisfied with how I am managing my current financial situation, but plan to do the following to improve my situation:I am dissatisfied with how I am managing my current financial situation, and plan to do the following about my dissatisfaction: 17. As I reflect on my answers to the above questions and my assessment score, I would like to stay in touch with McKinley Carter Wealth Services in the following manner: Please share with me financial industry-related articles and essays that you typically share with your clients. Please share with me quarterly financial updates and general corporate information about McKinley Carter Wealth Services.Please have an advisor call me to further discuss my financial situation. Thanks, but I am not requesting any further communications with McKinley Carter at this time.