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Team Cocco Financial Planning

The Four Financial Domains

IFR Module 212 -- Understanding the Complete Financial Picture

The Insurance and Financial Review organizes your entire financial life into four interconnected domains. Unlike a traditional balance sheet that only shows assets and liabilities, the IFR includes Protection and Cash Flow -- because those two domains drive everything else. Click each quadrant to explore.

Interactive Domain Map

Click any quadrant to see its sub-categories and details.

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Protection

Safeguarding what matters most

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Assets

What you own and are building

Living
Balance
Sheet
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Liabilities

What you owe and obligations

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Cash Flow

Money in, money out

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Protection Domain

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Property & Casualty

Physical asset and liability protection

  • Auto Insurance (liability, collision, comprehensive, UM/UIM)
  • Homeowner's Insurance (dwelling, personal property, liability)
  • Umbrella / Excess Liability Policy
  • Flood, Earthquake, and specialty coverage
  • Recreational vehicle, boat, and valuable items
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Disability & Health

Income protection and medical coverage

  • Short-Term Disability Income
  • Long-Term Disability Income
  • Health Insurance (Medical, Dental, Vision)
  • Long-Term Care Insurance
  • Critical Illness, Cancer, Accident policies
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Legal Documents

Estate planning and legal protections

  • Last Will & Testament
  • Revocable Living Trust
  • Durable Power of Attorney
  • Healthcare Directive / Living Will
  • Buy-Sell Agreement (business owners)
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Life Insurance

Family income and legacy protection

  • Term Life Insurance
  • Whole Life Insurance
  • Universal Life Insurance
  • Variable Universal Life
  • Group / Employer-provided Life
  • Survivor / Second-to-Die policies
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Assets Domain

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Personal Property

Tangible assets for personal use

  • Primary residence (equity)
  • Vehicles
  • Personal effects and valuables
  • Collectibles, jewelry, art
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Savings

Liquid and short-term reserves

  • Checking and savings accounts
  • Money market accounts
  • Certificates of deposit (CDs)
  • Emergency fund
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Investments

Non-retirement investment accounts

  • Brokerage accounts
  • Mutual funds
  • Stocks and bonds
  • 529 Education plans
  • Annuities (non-qualified)
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Retirement

Tax-advantaged retirement accounts

  • 401(k), 403(b), 457 plans
  • Traditional IRA
  • Roth IRA
  • SEP IRA, SIMPLE IRA
  • Pension / Defined Benefit plans
  • Social Security (projected)
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Real Estate

Investment and rental property

  • Rental properties
  • Commercial real estate
  • Land
  • REITs
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Business

Business ownership equity

  • Business equity / ownership stake
  • Intellectual property
  • Partnership interests
  • Franchise value
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Liabilities Domain

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Short-Term Liabilities

Consumer debt and revolving credit

  • Credit card balances
  • Auto loans
  • Personal loans
  • Student loans
  • Medical debt
  • Store financing / Buy now, pay later
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Taxes

Current and future tax obligations

  • Current-year tax liability
  • Deferred tax liability (401k/IRA growth)
  • Capital gains tax exposure
  • Property taxes
  • Potential estate taxes
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Mortgages

Real estate debt

  • Primary residence mortgage
  • Home equity line of credit (HELOC)
  • Investment property mortgages
  • Second home mortgage
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Business Debt

Business-related obligations

  • Business loans (SBA, commercial)
  • Equipment financing
  • Business line of credit
  • Commercial real estate loans
  • Accounts payable
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Cash Flow Domain

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Gross Income

All sources of income before deductions

  • Employment salary and wages
  • Business income / Self-employment
  • Bonus, commission, overtime
  • Investment income (dividends, interest)
  • Rental income
  • Social Security / Pension
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Protection Costs

Premiums and protection expenses

  • Health insurance premiums
  • Life insurance premiums
  • Auto and home insurance
  • Disability insurance
  • Umbrella policy
  • Long-term care premiums
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Asset Building

Savings and investment contributions

  • 401(k) / retirement plan contributions
  • IRA contributions
  • Brokerage account deposits
  • Emergency fund contributions
  • 529 / Education funding
  • Cash value life insurance premiums
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Liability Costs

Debt service and obligation payments

  • Mortgage payment (P&I)
  • Auto loan payments
  • Student loan payments
  • Credit card minimum payments
  • Business loan payments
  • Property taxes
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Net Discretionary Income

What remains after all commitments

  • Living expenses (food, utilities, transportation)
  • Discretionary spending (entertainment, dining)
  • Taxes (income, payroll, property)
  • Charitable giving
  • Remaining surplus or deficit

How the Domains Connect

Cash Flow
Protection
Assets
Liabilities
The Key Insight: Cash flow drives everything. It funds your protection, builds your assets, and services your liabilities. Protection safeguards your assets and cash flow from catastrophic loss. Assets generate additional cash flow and build net worth. The IFR ties all four together so changes in one domain are immediately visible across all others -- creating true financial coordination.