Phil M Jones has spoken in nearly 60 countries and worked with over 800 organizations. His podcast, Words with Friends, is in its fourth season, and he’s the bestselling author of Exactly What to Say and Exactly How to Sell, with over 1 million books sold.

Phil has crafted a fool-proof list of questions that convert by getting to the root of a prospect’s needs and gently prodding to reveal as much relevant information as possible so you can close more sales.

Listen as C2P’s Founder & CEO, Jason L Smith, sits down with Phil for an exclusive Rainmaker Multiplier On-Demand Podcast to share vital insights and specific questions advisors can use to close more sales.

Everyone’s looking for a witty one-liner, magic words, or an infallible script, but Phil is on a lifelong mission to help people close more sales with the words they choose when talking to clients.

Phil focuses his work on three categories revolving around growth—acquiring new clients, attracting clients to return more often, and convincing clients to spend more money.

Being a holistic financial planner isn’t about closing more sales in a traditional sense.

Instead, it’s about uncovering obstacles, empathizing with their needs, and making customized recommendations to relieve their pain points.

Close More Sales with Questions that Convert

Closing more sales often relies on knowing what to say and how to make it count. It’s being intentional with your word choices as well as the tone and timing of your delivery.

Preface simple questions with, “Help me understand…,” instead of, “Tell me about…,” and suddenly, you’re not the one doing the selling; they’re talking themselves into hiring you.

There’s no easier way to close more sales than that!

Help me understand why you believe that it might be a good fit for us to work together.

Questions like, “What is your experience…,” allow you to garner a lot of information quickly—asking, “…and what else?” allows the client to work out their greatest fears in real time.

…Further proving their need for a financial planner.

Emotions, especially when you’re talking about love and legacy planning, are key to triggering conversions and closing more sales.

It’s important that you make the prospect aware of the financial and emotional cost of not working with you. They should understand that this price can be far greater than your planning and service fees.

The results of not having an inheritance plan structured the right way could be catastrophic for their loved ones. Failing to manage taxes year-to-year can result in a major increase in lifetime taxes.

Everyone sees themselves as open-minded, so give them the opportunity to opt-in.

The following line of questioning is more likely to get to a yes than asking in a more direct way.

• How open-minded would you be…
  • to get together and talk this through properly?
  • to jump on a 20-minute call to see if this is a good fit?
  • to having a meaningful Discovery Call so we can get some real numbers and insights?
  • to me being your financial planner?

“Maybe” is the enemy of decision.

At this point in the sales process, you want to start nudging them toward a decision, one way or the other. Asking if there is any reason you are not a good fit allows you to discover if there are any lingering doubts.

Following up with, “Would it help if…,” enables you to address those doubts.

• Could you see any reason why I wouldn’t be a good fit at this stage?
• Would it help if…
  • we got together again to go deeper on this and see what a plan would look like?
  • I put this in a plan, so we have something well documented?
  • you had the benefit of being able to connect with us periodically so we can measure progress?
  • you had one fixed monthly payment?
  • somebody else took care of this for you?
  • you knew that you had my support long term as well as being able to figure this stuff out on your own?

At this stage in the journey, they either don’t think they need a financial planner or are unsure if you’re the right one for the job. This is where you will say something like:

You guys need to amongst yourselves to make sure that you’re on the same page and feel confident about our services, and I doubt you want me in the room for that.

If you’d like to sleep on it, we can schedule our next meeting, or I can pop out and give you a few minutes while I return some calls.

This way, even if they don’t decide today, you have a date set for a decision to be made. To learn more about how C2P can help you close more sales

Schedule a Free Consultation

Financial Professional Use Only

• The information provided in this presentation is not intended as investment advice or legal advice.
• The information provided is for informational and training purposes only.
• The information in this presentation was accurate as of the time of the material was created.

Tax laws and rulings can frequently change. Please discuss the client’s current situation with an accountant or tax advisor.

FOR IMMEDIATE RELEASE

CONTACT

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(702) 685-7450

C2P Enterprises Launches ‘A Woman’s Clarity’ Program, Invites Advisors to Special International Women’s Day Event

New program helps financial professionals engage female advisors, clients, and prospects through ongoing thought leadership and networking and a newly launched podcast series.

Cleveland – March 2, 2023 – C2P Enterprises, a holding company comprised of four distinct brands, each designed to simplify financial planning for advisors and their clients, announces the launch of their latest innovative program for financial advisors, A Woman’s Clarity. Dedicated to helping financial professionals increase their footprint and successfully engage with more female advisors, clients, and prospects, program participants will gain knowledge through ongoing thought leadership and networking, including a newly launched podcast series, live events, blogs, and more. Subscribe to the A Woman’s Clarity podcast!

To coincide with the program launch, the first special event for A Woman’s Clarity will be held on International Women’s Day, Wednesday, March 8, at 11:00 a.m. EST. The 45-minute session will feature an open discussion format with free-flowing dialogue among panelists and Q&A from the audience. Guests include Carol Ochoa, President of Your Secure Retirement, Deb Cundiff from Hammer Financial Group, and Julie Manning, RICP®, from Keystone Financial Planning. Registration is free and open to anyone in the finance industry.

“With this supportive, empowering, and educational exchange of ideas, we are working to close the loop and help ease the transition into retirement so that more women have the financial confidence and clarity they deserve in every stage of life,” said Kirsten Schlumbohm Vice President of Insurance Sales at C2P and program host of A Woman’s Clarity. “Although this is a female-focused endeavor, A Woman’s Clarity is not exclusive to women. You can expect topics that are specific to the unique needs and pain points women face, but we encourage as much support and input from our positive male allies as possible.”

A Woman’s Clarity aims to help both women and men in the financial services industry reach their full potential by interacting with like-minded, strong, and motivated holistic advisors. Contributors to the program include female leaders from C2P’s network of partners and advisor base who have a shared passion for bringing expertise, tips, and advice to other leaders, professionals, and practitioners in the finance industry. The program’s ultimate mission is to empower women to take charge of their own economic future and educate other financial professionals about the unique challenges facing female clientele. In the podcast’s inaugural episode, Mary Sterk, CFP®, Sterk Financial Services, and Karin Alvarado, CFS, CPFA, New Aspect Financial Services, join Schlumbohm to discuss their professional journeys, including mentorship and building a business in a male-dominated industry.

ABOUT KIRSTEN SCHLUMBOHM

Kirsten Schlumbohm is the Vice President of Insurance Sales at C2P Enterprises. She has over 15 years of industry experience, in which she has served as an insurance and annuity wholesaler, sales trainer and leader, and financial advisor. In addition to her life and health insurance licenses, she holds her Series 66 and a degree from Iowa State University. Kirsten is committed to empowering people and helping them reach the retirement finish line. She believes in optimizing processes to build strategies out of silos and encourage tighter collaboration.

ABOUT C2P ENTERPRISES
C2P Enterprises, a holding company comprised of four distinct brands, each in their respective capacity, is designed to simplify financial planning for advisors and the clients they serve. United by the vision to provide planning and financial products and solutions in the best interest of the client, each company offers education, training, resources and tools to meet a client’s unique financial situation, along with access to an array of investment and insurance vehicles to help accomplish their goals. Each organization is committed to fiduciary best interest practices and raising industry standards for a higher quality of holistic financial planning services to families nation and worldwide.

Investment advisory services are provided by C2P Capital Advisory Group, LLC d/b/a Prosperity Capital Advisors, LLC (“PCA”) an investment adviser federally registered with the Securities and Exchange Commission (SEC). 

What is Strategic Asset Allocation?

The bucketing approach to strategic asset allocation began with a Harry Markowitz paper in the Journal of Finance in 1952. It outlined how investors could allocate assets for the highest return with a given level of risk. This would later earn Markowitz a Nobel Memorial Prize in Economic Sciences and redefine how financial advisors optimized investments for their clients.

We’ve come a long way since Markowitz’s early work. Strategic asset allocation has proven to be more valuable than ever. There are plenty of sophisticated measures to craft strategic asset allocation plans, you can illustrate how the client should dispense uncorrelated assets into three segments: liquid funds, conservative investments, and growth assets. Or as we like to call them—the Now, Soon, and Later Buckets.

Many financial advisors rely on complex charts, graphs, and statistical analyses, making it challenging for clients to understand their investment strategy. One of the most effective ways to simplify asset allocation for clients is through The Bucket Plan. 

The end goal is for the client to fully understand the process and feel confident as they move forward with your recommendations.

Get your copy of the Bucket Plan book

Strategic Asset Allocation with The Bucket Plan®

The bucketing approach to retirement investing started to work its way into the financial lexicon in the 1980s. Financial planner, Harold Evensky, developed this strategy to combat the challenge of low-interest rates. The resulting investments didn’t provide enough income for retirees, forcing them to delay retirement, reduce their standard of living, or take too many risks with their capital.

The bucketing concept gained momentum during the 1990s and picked up steam with the dawn of the information age. By the time the recession hit in 2008, the Later Bucket had become a haven for investments to ride out the ups and downs of the market without affecting the immediate income that was being withdrawn from the Now Bucket and reloaded from the Soon Bucket.

Having long-term goals for the Later Bucket helps protect retirees from making rash decisions during market fluctuations and taking deductions on their investments by cashing in during a downturn.

Over time, we have adapted The Bucket Plan® to facilitate:

• Retirement income planning
• Provide a viable strategic asset allocation plan for clients in any demographic
• Provide peace of mind for your clients

Financial planning is a complex process, but The Bucket Plan Philosophy provides a simple, effective way for you to explain, and more importantly, for your clients to understand, the plan you developed for them.

The key to strategic asset allocation is positioning and protecting a mutually agreed-upon portion of your client’s assets to buy a time horizon that allows them to invest the remainder for long-term growth. This structure will provide a reliable income source throughout their retirement.

Breakdown of the Now, Soon, and Later Buckets

Now Bucket

A fully funded Now Bucket will give your client a sense of security. This prevents them from having to cash in investments when they need money, which leaves them vulnerable to losses when the market is down, unforeseen taxes, and unexpected penalties. Although there will be little return on these funds, it’s a small price to pay for your client’s peace of mind.

The Now Bucket is safe and liquid money the client can access whenever needed. The amount varies by individual. All parties involved should agree on the amount that makes them feel comfortable. There should be enough for everyday needs and emergencies, but not so much that they miss out on growth opportunities.

Soon Bucket

The Soon Bucket is for conservative investments or income for the first phase of retirement. It is set up for growth to offset inflation but invested conservatively to negate the effects of a major market correction.

It also serves as an inflationary hedge, giving your client an extra cushion as the cost of goods and services rises. For clients with a longer time horizon before retirement, it might serve as their opportunity bucket. If a good investment opportunity arises, but the stock market is down, they will still have the funds available.

There are three primary ways of structuring income from the Soon Bucket:

1.      The Bridge Approach

You fund reliable income for a specific period using the minimal assets required to construct the bridge.

• An example might be a 10-year bond or CD ladder
• A period-certain annuity
• An indexed annuity with penalty-free withdrawal provisions
• A conservative investment portfolio in which you will be consuming both principal and interest.

2.      Lifetime Income

You fund an annuity to provide lifetime guaranteed income. This can be done through a SPIA, DIA, FIA, or variable annuity.

If the annuity payment is going to begin within ten years, we would consider that a Soon Bucket asset. If deferral will be 10+ years, we would generally place that asset in the Later Bucket.

3.      Portfolio Yield

Some high net-worth clients are fortunate enough never to tap into principal for supplemental retirement income and can live off the dividends, interest, or yield produced by their investment portfolio.

Don’t miss! The Bucket Plan®: Protecting and Growing Your Assets for a Worry-Free Retirement – Audiobook

Later Bucket

The Later Bucket is dedicated to long-term investments and legacy planning, helping clients build wealth while ensuring financial security for their heirs. This bucket allows funds to remain invested longer, increasing the chances of higher returns over time.

Legacy planning is not just about leaving money to the children; it protects the surviving spouse. When one spouse dies, the household income usually goes down, while many expenses stay the same, and taxes often increase.

[Related Reading: How Asset-Based long-Term Care Helps Protect Dependents]

Implementing The Bucket Plan® in Your Financial Planning Strategy

The strategic asset allocation approach of The Bucket Plan® empowers financial professionals to create holistic financial plans that provide stability and growth opportunities for their clients.

By structuring assets into the Now, Soon, and Later Buckets, advisors can ensure clients have a reliable income stream throughout their retirement while optimizing their portfolio’s performance.

Contact C2P Enterprises

Want to integrate The Bucket Plan® into your wealth management strategy? Get in touch and we’ll guide you on how this approach can enhance your holistic financial planning process.

Schedule a Free Call

Financial Professional Use Only

The information provided in this presentation is not intended as investment advice or legal advice. The information provided is for informational and training purposes only. The information in this presentation was accurate as of the time the material was created. Tax laws and rulings can frequently change. Please discuss the client’s current situation with an accountant or tax advisor.

The cash flow analysis is a bottom-up budgeting methodology that cuts through the clutter associated with the traditional budgeting process. It gets to the critical numbers you need to get started.

Nobody enjoys sitting down to put together an entire budget; they’re often inaccurate and time-consuming, providing little value to the client.

Still, you must be familiar with your client’s cash flow as you assemble their retirement plan. The cash flow analysis allows you to obtain vital information without an extensive budgeting exercise.

“This tool was built through years of going through budgeting exercises. I had a lot of pushback from clients. I mean that. They just hated it. They dragged their feet, canceled appointments, rescheduled… I remember the one woman saying, ‘That was the worst thing I’ve ever had to do.’ She literally said those words to me. Everyone hates a budget.”

—Dave Alison, CFP®, EA, BPC

How the Cash Flow Analysis Works

The process is simple. Start with what the client is living off now:

• How much are they spending?
• How much is in their bank account?

And the key here is net: net after tax, after all deductions, everything. As it evolves, you can add a section for new retirement sources to offset the client’s current income.

Then, either decrease expenses or document increased costs to discern a net number they’ll need to draw off liquid investible assets.

The cash flow analysis is invaluable. Maybe you’re helping clients through the accumulation years or determining what type of disposable savings they have. Or perhaps you’re preparing them for distribution to decide how much money they’ll need to draw from their liquid investible assets.

C2P Enterprise’s cash flow analysis has two levels:

• The Income Gap Assessment for pre-retirees and retirees
• The Budgeter for younger clients who may need more data analysis around their income and expenses

Cash Flow Analysis: The Income Gap Assessment

What if you had a quick and easy way of assessing whether your clients have an income gap or excess funds?

With the cash flow analysis, you can discuss the overall financial plan with your clients and determine ways to guarantee their income in retirement.

We created the Income Gap Assessment to help you cut down on your time spent with each client.

This single resource allows you to skip the long, drawn-out budgeting process in your meetings. You get right to the important stuff, saving you immeasurable time.

The Income Gap Assessment aims to determine the gap between the net income the client currently lives on and the fixed income sources they’ll have after they retire.

We based it on a consumption budgeting methodology. It provides an accurate amount that they’ll need to draw off their liquid investible assets once they retire.

This is especially valuable for clients less than a decade from retirement.

Complete four simple sections to determine their income gap.

1. Net Income After Taxes

The first section is where you log the client’s net income after taxes. This is the current amount deposited into checking from salary, wages and other sources of income pre-retirement.

You want to determine the difference between their annual bring-home salary and their yearly living expenses. It’s important to base this number on the net income deposited into the client’s checking account, not their gross pay.

Net pay already factors out tax withholding, retirement contributions and any employee benefits (like health insurance) that they’d pay through withholdings.

You’re looking for the net amount that the client has available to spend on an annual basis.

After you calculate the annual net income, ask the client to choose which of the following scenarios most closely applies to them:

1. Breaking even, consuming all their net income
2. Saving some money, consuming less than their net income
3. Losing money, going into debt

If the answer is no. 1 or no. 2, the Income Gap Assessment can determine what they should expect in retirement.

Simply ask the client this:

“If you could replace the same net income you’re spending now when you retire, would that meet your retirement goals?”

Their answer serves as a basis for the total income they’ll need in retirement.

If they choose no. 3 and are losing money every month, you may need to pivot to a detailed budget. It’ll help determine whether they’re the right fit for your firm.

2. Fixed Income in Retirement

The second section focuses on the client’s income after retirement.

Between Social Security and pensions, what will their fixed income look like when they aren’t earning a paycheck?

For Social Security optimization, clients may delay one or both of their benefits. This will leave a larger income gap for a short period.

When this occurs, consider conducting multiple Income Gap Assessments for different periods. This gives you an accurate picture of their cash flow analysis throughout retirement.

Alternatively, do one Income Gap Assessment as if all fixed income sources are activated. Then, ascertain how much you should set aside to cover the delayed income.

3. Adjustments

List anything that might affect retirement income here. If the client expects to pay off their mortgage, that decreases their expenses.

Ask the client about potential increases from things like income taxes, health insurance premiums, travel expenses, medical needs and more.

The client may have to allow for additional income taxes in retirement. You can identify this by creating a tax pro forma of their withdrawal strategy.

With these three figures, you can derive the income gap that you need to take from liquid investable assets in retirement.

Once you complete the Income Gap Assessment, you can determine the client’s retirement income gap or surplus using the following formula:

Net Income Received in Retirement – Fixed Income + or – Adjustments = Total Income Gap

4. Income Gap or Surplus

Once you have this final number, you’ll know whether the client has an annual surplus or deficit for their retirement.

If there is an income surplus, they can expect excess cash when they retire.

Knowing this will allow you to help them get even more strategic with their plans, perhaps with additional life insurance, asset-based long-term care or tax-efficient managed accounts.

The Income Gap Assessment is a viable tool to determine what kind of situation your client may find themselves in when they retire.

This serves as a basis for their total income needed in retirement. It also creates an educational opportunity for you to show them the various ways you can guarantee their income once they retire.

If you expect the client to have an income gap, ask them the following question:

“How much of this income gap do you want guaranteed in your financial plan?”

The Cash Flow Analysis Budgeter

We designed The Budgeter for younger clients who are more than a decade away from retiring and still in the accumulation phase of the money cycle. It also works for retirees who need more detailed budgeting information in their cash flow analysis.

The result gives the client an idea of their monthly cash flow analysis.

Should they expect a surplus or deficit during their working years? This helps you determine approximately how much they have available to invest.

For a retiree, it shows the same monthly surplus or deficit they’ll have based on their income needs and fixed income sources.

The Budgeter also has four sections.

1. Income

This portion of the cash flow analysis lists everything that the client is bringing home net after tax. This includes salaries, bonuses, commissions, Social Security and pensions.

You then add in the pay frequency to annualize the income number.

2. Tax Adjustments

List any necessary tax adjustments here. You can base these on the client’s tax returns from previous years or current projections.

List refunds as a positive value on the sheet, and enter taxes owed as negative.

3. Expenses

The Budgeter looks at the client’s monthly expenses. While not a full budgeting exercise, this portion of the cash flow analysis tracks some expenses, like mortgage or rent, property tax, childcare or auto payments.

This allows you to get a more accurate portrayal of how they’re spending their money and helps them change their financial behaviors if needed.

4. Totaling

Once you total all these categories, you better understand the client’s monthly and yearly cash flow analysis.

Surplus

If the client has a surplus, you have an opportunity to create a systematic savings plan for retirement. It could lead to more sales opportunities.

Deficit

If the client has a deficit and spends more than they make, you may need to put a budget in place. That budget gets them on track to meet their goals.

Cash Flow Analysis: Key Takeaways

You accomplish several things by sitting down with clients and going through these exercises:

• They have peace of mind knowing they don’t have to change their lifestyle in retirement.
• You can quickly get to the number the client will need to draw from their liquid investable assets to meet their retirement needs.
• You uncover opportunities for additional client education and sales.

You’ll always have cases where you need to do a complete budget breakdown of the cash flow analysis.

However, using these tools is a simple way to arrive at a net consumable, spendable income, followed by an accurate net amount that they’ll need to draw from their assets in retirement.

Knowing these numbers assists you in designing a suitable plan for your client. And they’ll sleep better at night knowing you’re working proactively to help them achieve their retirement goals.

Contact C2P for More Guidance

Schedule a complimentary call with our Concierge Support Team, or contact us today. We’re happy to speak with you! You’ll learn more about simplifying your clients’ budgeting and holistic financial planning processes.

 

Financial Professional Use Only

• The information provided in this presentation is not intended as investment advice or legal advice.
• The information provided is for informational and training purposes only.
• The information in this presentation was accurate as of the time of the material was created.
• Tax laws and rulings can frequently change.
• Please discuss the client’s current situation with an accountant or tax advisor.

Are you on target to meet your business objectives in 2023? Have you even set those goals yet? Our clients often report a steady influx of prospects but claim they struggle to convert more leads into their sales pipeline.

Is this starting to sound familiar?

You have held several meetings with the prospect to gather financial and personal information, establish their ambitions, and develop a retirement plan that’s right for them. Now it’s time to deliver. Will they be open to your suggestions? What can you do to make your pitches more successful and convert more leads?

Curious about what other wealth managers are doing to increase their lead conversion rates?

We asked some of our top advisors to share their best advice on lead conversion strategy. Here is how they convert more leads.

How do you convert more leads in the financial services industry?

Think of it like building a house. You’re the architect, and the clients are the homeowners.

You and your team have drafted up a blueprint, and now, it’s time to go through it with them. At the end of this meeting, they might decide this is their perfect dream home, and you move forward, or they may ask for an additional bathroom or more storage. That’s okay too! Today is all about presenting the plan, ensuring everyone is on the same page about the outcome, and making adjustments as needed.

Before the meeting, make sure that all your documents are prepped and ready to go. This includes the Family Estate Organizer, investment audits, Social Security analysis, and the holistic financial plan.

When you sit down with a potential client, don’t just lay the plan out in front of them. Go through the bucket plan process, including all the concepts and tools you used to build it; explain your decisions, including how and why you made them.

Encourage them to ask questions and take notes but reassure them that you’re not here to make decisions. They should go home to think it over first. Taking the pressure off at the top of the meeting will help them be more relaxed, engaged, and focused on your presentation.

Use positive, reassuring language and communication tools throughout the conversation. Try to frame your discussion around the future so the prospect can envision what it will be like after converting to a client. For example:

“We will continue identifying tax law changes and how we can save you money in the near and distant future.”

“We will meet this time next year to review your plan and proactively ensure that we meet your needs for the next 12 months.”

Convert More Leads with Concepts & Tools

Ensure they understand key concepts like the Money Cycle, Pyramid of Risk, Order of Money, and Sequence of Returns.

Refer to the Concerns and Priorities Worksheet to show them specific items you have included in their plan to eliminate their fears and optimize their goals. To understand where they want their finances to go in the future, you must first help them see where they stand now.

Use reporting to show where their investments are currently and inquire about which asset classes perform best over time. Since the previous 10 years have been an outlier in terms of historical performance, extend that time to 20 years. This will help you determine how their accounts would have performed in different market cycles. Document the maximum drawdown of their portfolio to illustrate how this can affect their retirement plan if they pull systematic income withdrawals from their investment portfolio.

Consult their Social Security analysis to highlight the dollar value you are creating for them by optimizing Social Security benefits. Refer to the Asset Transition Sheet, a simple roadmap that illustrates where the prospect’s money is, compared to how it will be allocated under the new plan.

The Income Gap Assessment is a viable tool to define your client’s situation once they retire. Will they have an income surplus with excess cash flow, or will they run a deficit? If needed, share their retirement projection to see how their income and account balances will look at key milestones like 5 and 10 years out.

Know When to Walk Away & Clients Will Come Running

Take care not to bombard them with too much information too fast. Suppose details like long-term care planning, life insurance, or Roth conversions were not listed as a primary concern or priority by the prospect. In that case, you may want to save those for a future meeting, even though they are invaluable to the overall financial plan.

After providing the prospective client with the plan deliverables, you may need to ease the tension in the room. Pay close attention to their behavior and non-verbal cues. Are they absorbing the information, or do they seem confused? Either way, reassure them that you don’t expect them to make any decisions today.

The data and information you just covered can often be overwhelming. Toward the end of the meeting, find time to excuse yourself from the room. Say you need to step out for a glass of water, offer to get them something, and walk out.

Leaving the room for a few minutes allows them to think and talk things over without you standing there staring them down. Give them a moment alone before you come back to answer any additional questions, discuss next steps, and hopefully, close the sale to convert more leads.

Learn how C2P Enterprises can help you convert more leads into satisfied clients who will provide referrals for their friends, family members, colleagues, and more! Schedule a complimentary consultation with one of our business development representatives today.

Financial Professional Use Only

The information provided in this presentation is not intended as investment advice or legal advice. The information provided is for informational and training purposes only. The information in this presentation was accurate as of the time of the material was created. Tax laws and rulings can frequently change. Please discuss the client’s current situation with an accountant or tax advisor.