The First Step Cash Management system enables clients to control their money, instead of allowing their money to control them.
According to the Federal Reserve, in 2003 43% of U.S. households spent more than they earned, and American consumers owed a grand total of $1.9 trillion. That debt equates to $18,654 per household—not including mortgages. As the state of the economy has become increasingly unstable, individual debt has continued to rise.
Difficulties managing money can cause severe stress, strain personal relationships, and place future security at risk. The First Step Cash Management system gives users power over their finances and the opportunity to live a life unencumbered by the negative effects of financial worry.
The First Step Cash Management system is web-based software licensed through Money Quotient that provides clients with a simple and user-friendly method for managing cash flow, reducing debt, and increasing savings.
The First Step Cash Management system flows cash into three accounts or “buckets.” Each of the three buckets holds a specific type of money and each type of money has a specific use or purpose. While the uses are all different, all three buckets are interrelated.
The Static Account™bucket holds money that has been spent or has been agreed to be spent at some point in the past. Static expenses include both long-term debt such as mortgage, home equity loans, student loans, and auto loans, and short-term debt such as credit cards, insurance, taxes, and utilities. The Control Account™bucket contains money that will be spent within the next seven days. Control expenditures include things such as groceries, entertainment, pet care, clothing, and personal maintenance. Lastly, the Dynamic Account™bucket stores money that will be spent in the future on things such as charitable giving, debt reduction, vacation, and gifts.
After licensing the First Step Management system, you are able to establish personal online accounts for your clients. The easy to use web account guides them through the process of entering their financial data into the appropriate buckets and then provides a detailed summary of their cash flow.
The in-depth self reflections stimulated by the M.Q. Financial Life Planning process create a bridge from life management to asset management. The revelations made while moving through the M.Q. tools will initiate broadened conversations that will help you to explore what money represents to your clients, define both the tangibles and intangibles that clients expect their assets to provide them, assist clients in the process of establishing financial objectives that facilitate their life goals, and allow you to move seamlessly into cash flow discussions.
The First Step Cash Management system will then help your clients to gain an even better understanding of their current financial situation, be aware of the resources they have available, and make plans for the future. In addition, the system will assist them in communicating the purpose money serves in their household. This discovery process will result in a financial plan that is true to your client’s values and goals, inspires action, and creates commitment.
Cost to license: One-time set-up fee of $400.00, plus a monthly payment of $50.00
Set-up of Administrator Account
An electronic User’s Manual
30-minute Orientation Phone Meeting
*After the Training Webinars have been completed, Licensees may retake any of the Training Webinars for free within the first year of their license.
100 Client Sub-Accounts*
*Additional Client Sub-Accounts can be purchased in packages of 25 for an additional $10.00 per month
Administrative Accounts can be customized with Licensee’s company logo and colors for a flat fee of $100.00*.
*Customization work that takes longer than 1 hour is subject to additional fees