David & Susan Mitchell

Business owners thinking about retiring and spending winters somewhere warmer

Who They Are

Client Profile

Our clients come in all shapes and sizes with varying income levels, unique challenges, and different goals. We offer customized planning for each client based on individual circumstances.

Financial Situation

  • Combined annual income: Variable, averaging $350,000 (heavily dependent on business performance)
  • Business value: Approximately $3.8 million (their largest asset)
  • Retirement savings: $1.2 million across SEP IRAs, traditional IRAs, and brokerage accounts
  • Home value: $950,000 (fully paid off)
  • Additional real estate: Commercial property where business operates worth $1.1 million
  • Emergency fund: $120,000
  • Outstanding debt: $450,000 business loan, $35,000 in equipment financing
  • Life insurance policies with combined death benefit of $2.5 million
  • They own several collector cars worth approximately $175,000

Retirement Goals

  • David is considering selling the business or transitioning leadership to their son within 3-5 years
  • Susan plans to retire when David does, but may continue handling some financial aspects
  • They want to travel extensively, particularly to Europe and Australia
  • David wants to pursue his hobby of classic car restoration
  • Susan is interested in volunteering with financial literacy programs
  • They want to spend winters in a warmer climate (considering purchasing property)
  • They hope to help their grandchildren (currently have two) with future education expenses
  • They want to establish a family foundation for charitable giving

Financial Concerns

  • Uncertain about the best strategy for business succession or sale
  • Worried about the tax implications of selling their business
  • Concerned about having too much of their net worth tied up in the business
  • Uncertain about how to structure retirement income after business sale/transition
  • Worried about healthcare costs before Medicare eligibility
  • Concerned about potential long-term care needs
  • Unsure about the most tax-efficient way to draw from retirement accounts
  • Worried about estate planning and minimizing estate taxes
  • Concerned about fair treatment of children in inheritance (only one works in the business)

Questions They Have

  • What’s the best strategy for transitioning or selling our business?
  • How can we minimize taxes if we sell the business?
  • How should we invest the proceeds from a business sale?
  • Are we on track to retire when planned while maintaining our current lifestyle?
  • Should we consider purchasing a winter home or would renting be more practical?
  • How can we ensure fair treatment of our children in our estate plan?
  • What’s the optimal time for each of us to claim Social Security?
  • How should we structure our investment portfolio for retirement?
  • Should we establish a trust for our grandchildren’s education?
  • What strategies should we consider for charitable giving?

Getting started is simple

No gimmicks, just clear and honest financial advice you can trust. We’re fee-only advisors—no hidden agendas or conflicts of interest. At Rockbridge, clarity comes first, so you’re always confident in your financial decisions.