Client Reporting Software & Diagnosis System
Most financial coaches do not give clients any reports or full assessments of their finances. Giving your clients detailed personal finance reports helps you stand out above the average financial coach and highlights your competencies as a true financial coaching professional.
Providing clients with the option to receive a personal finance report that highlights 31 key indicators of their financial wellness is a valuable component of the coaching program. Reporting can help both you and your clients better understand their current financial situations, diagnose areas that may be holding them back, and prioritize the most pressing steps they should take.
Reporting is more than just added value for the client; it also gives them clear details on their current financial situation and allows them to visually see their overall financial profile. Coaches use this profile to help clients set goals, and being able to see their progress motivates them toward achieving results.
Reporting not only helps your clients, but also has benefit for the coach. It adds another revenue opportunity, enables you to accurately track client progress, and helps you more easily identify the root causes of problems.
Sample: 7 Out of 31 Total Financial Wellness Indicators
| Component | What is this assessment? | Why do we assess this? |
|---|---|---|
| Savings Rate Ratio | Measures your client’s savings rate in comparison to income. | Results help determine whether clients are saving money on a regular basis and the percentage they are saving monthly. |
| Debt Service Ratio | Calculates the percentage of client’s total monthly income spent paying for all debts and related obligations, including housing, credit cards, loans, judgments, child support, etc. | Understanding how much debt affects your clients’ monthly budgets helps you address how you approach prioritization of their financial plans. |
| Liquid Savings Ratio | The amount of money your client has in accounts they can easily and quickly access. | Results help clients understand their near-term security situations and their ability to start working toward long-term goals. |
| Budgeting Preparedness Ratio | Estimates amount of money needed for planned or anticipated future expenses, and when the funds will be needed. | A top reason people get into debt or off-track from their financial goals is because they do not plan for upcoming expenses. Assessing this ratio helps clients proactively plan for future needs. |
| Account Provider Assessment | Compares the rates and terms of account providers with the marketplace. | Overpayment for financial accounts and services can add up. Addressing this area can improve savings rate. |
| Insurance Coverage Assessment | Examines the types of insurance in place, coverage areas that may be missing, and coverage amounts. | This assessment helps examine risk areas and consider solutions to mitigate any potential risk. |
| Investment Preparedness Assessment | Assesses the financial team members, financial systems, savings and risk capital, debt load, and other factors to be considered before investing. | This assessment helps people define what they should have in place before investing, to help them prepare for and mitigate investment risk. |
NFEC’s Coaching Program Overview
*Use of the Coaching Software is optional; but all graduates receive full access to the software.
