If you could be far more confident about your future, while sacrificing little or none of today’s lifestyle, why would you wait? Beacon Wealthcare exists to ensure you will accomplish or exceed every goal you value, while enjoying more of life today. No one knows the future, yet many invest and take risks as though they did. By recognizing and planning for what we cannot know, we address the single greatest risk you face in investing – market uncertainty. We help you plan for an unknowable future.

Other aspects of the investment process are knowable and controllable. Through a daily disciplined process, we protect your wealth by minimizing taxes, expenses, and under-performing the market.

Better Planning – Better Life

We strive to understand all of your important goals, aspirations, and priorities and to help you develop a plan that reflects them. But that is only the beginning. Life and circumstances will change and so should your plan if it is to remain if it is to remain relevant and useful. We encourage communication about these issues and frequency of meetings tailored to your needs.

We test your plan frequently using probability or “Monte Carlo” analysis, which virtually lives your plan through a thousand actual and simulated market conditions to continually ensure that you will confidently meet and exceed your important goals to live the best life possible.

Planning Helps Avoid Costly Mistakes

When investing our life’s savings, emotions become poor advisors. They can easily trick us when the going gets tough or exciting. Studies show that most of us fall prey to our emotions at these extremes, often causing expensive mistakes. Dalbar Inc.’s latest annual study reveals that investors in publicly traded stock mutual funds lagged the S&P 500 Index by 4.7% as investors traded in and out guided largely by emotions or ‘convictions’ about the future.

Our clients have plans representing their goals and priorities as well as the steps they will take when market opportunities or threats significantly impact their plan. Our disciplined and objective process of efficient investing combined with ongoing statistical testing provides our clients with authentic confidence, helping them to avoid costly behavioral mistakes.

Discover, Prioritize, and Optimize Your Goals

With a small investment of time, you can design a future closer to if not better than your dreams. We can help you develop and refine a plan that defines you important life’s goals and priorities, both for today and tomorrow. Our unique process helps you think of goals in ideal and acceptable terms, rather than fixed amounts or schedules. Further, by prioritizing your goals, we can objectively ensure that you will accomplish as many important ones at their ideal levels as possible.

Here’s how it works. Say for instance that to accomplish your important goals, you would prefer to add to your investments rather than work longer or increase your risk level. It is likely that at some point, following let’s say a long string of good market returns, our testing reveals that your plan confidently meets or exceeds all of your goals at their ideal levels (except savings). When this exception occurs, we will call to inform you that sending those additional contributions that were above your ideal levels of saving are no longer necessary to ensure your plan’s confidence. We will encourage you to go ahead and spend that money on more of the things you enjoy doing today. If you no longer think of the savings as sacrifice of today’s lifestyle, we’ll encourage you to add a goal or increase the ideal level of an existing goal.

A Recommended Goal Package

Once you agree your plan adequately represents your important goals and priorities, your recommended plan becomes the guiding document for how we invest your money, how you will save and spend, and ultimately, the ideal timing and sizes of your important goals. It also helps us prioritize our advice when we discover opportunities or threats relative to your plan.

Regular Meetings

Life changes, and so do your dreams, goals, and circumstances. Unless we understand these shifts and discuss their impact on your plan, we are left to steer an outdated course, missing opportunities and threats along the way. Life-improving discoveries are made around our planning table that, quite frankly, could go unrealized otherwise.

Ongoing Testing of Your Plan’s Confidence

Between meetings we continually test your plan, using probability analysis known as Monte Carlo, to ensure adequate confidence of meeting or exceeding all of your important goals. When your plan becomes over- or under-funded due to market or goal changes, we will contact you with new advice to get back on course. You will find that our advice honors your priorities to the letter, because we listened.

Better Management – More Wealth

Efficiency is everything. Reduce your car’s drag and leaks, and it will take you further on fewer resources. Reduce the drag on your investments (taxes, expenses, and under-performance) and you will do more of the things you want in life and for longer.

We control costly leaks and drags in the investment process that most, quite frankly, ignore. Our discipline results in improved returns and greater savings – both translating into more wealth.

Market Returns

The capital markets (stocks and bonds) provide excellent returns for lifetime wealth accumulation. We offer efficient portfolios, comprised of Exchange Traded Funds (ETFs) that are designed to efficiently capture these returns.

Index Investing

Picking investment winners and losers, or active investing, is fraught with pitfalls. A recent study demonstrated that index investing outperformed active investing over a 15-year period 83% of the time and by 1.25%. A Vanguard study over a similar time frame showed that only 6% of 1,540 funds studied, outperformed and avoided three consecutive years of underperformance.

Volatility Reduction

We believe owning companies through common stocks provides excellent growth and inflation protection. But stocks alone can be volatile and throw you off-course, shaking your confidence enough to abandon them altogether. So we level the ride with shock-absorbing high grade government bonds. We also include a broadly diversified international stock ETF to offset the declining spending power of the US dollar.

Exchange Traded Funds:

ETFs are like mutual funds in one way alone: They provide a convenient way to own a large and diverse basket of stocks or bonds. In all other respects ETFs are superior to mutual funds. They are cheaper – between .25% to 2% cheaper, provide more liquidity – trading throughout the day on exchanges, offer complete transparency of what you own – holdings on their websites whereas mutual funds report infrequently, and ETFs do not under-perform the indexes to which they are benchmarked – most actively-managed mutual funds do. Here’s an example of one of our holdings – VTI.

Optimal Allocation

Our portfolios are elegantly simple, yet brilliantly designed to optimally balance risk and return in each of our model portfolios. An 8-year Morningstar® study of the  ETFs we use in our Balanced” Portfolio (60% stock/40% bond) surpassed an industry-standard 60% S&P 500 / 40% Barclay’s Aggregate Bond Fund by 0.50% .


Rebalancing maintains the prescribed allocations of asset classes within the portfolio. Common practice is to rebalance all your accounts to the same model, but this method exposes your taxable accounts to needless gains taxes. Our household approach considers all of your accounts as ONE portfolio, allowing us to minimize the trades required to rebalance, reducing commission costs. And by focusing the sales that would otherwise be taxable into your qualified accounts, like IRAs, 401Ks, and Roths, we can often eliminate gains that might occur in the rebalancing process.

Grow Tax-Friendly Buckets

401K and IRAs are not tax-friendly spending buckets in retirement. Concentrating the growth potential of stocks in your taxable and Roth accounts allows for more tax-beneficial spending during your retirement years. Bonds are vital to your portfolio, but they grow more slowly. To the extent possible, we focus them in your IRA and 401Ks to protect interest from taxes and to maximize growth assets in more tax-friendly buckets.

Tax Loss Harvesting

When markets decline some positions in your portfolio may suffer temporary losses. These losses represent opportunities to reduce your taxes, if managed properly. If your circumstances indicate, we will ‘harvest’ losses that may occur for use later in reducing other gains and/or  ordinary income. When an ETF position is sold at a loss, we immediately replace it with a similar index ETF to maintain your exposure to the asset class (domestic, international, or bond). When tax requirements are met, we will subsequently replace the substitution with our preferred ETF.