Principal Releases Gap Analysis Tool

The Principal Financial Group introduced a planning analysis designed to assess widening business and personal financial gaps for business owners.

According to The Principal’s release, the Business Owner Gap Analysis, a free program, guides business owners in taking a critical look at long-term financial needs, including retirement. By working with their financial professional, financial gaps can be identified and prioritized.

Principal said gaps that most often emerge include:

  • retirement gap—a personal retirement income goal beyond what is currently filled by social security and a qualified retirement plan;
  • market gap—current amount of capital versus the amount needed to accomplish financial goals;
  • business value gap—difference between book value and fair market value of the business;
  • estate value gap – variance between what the owner planned to pass on to heirs and beneficiaries and what is actually available.

“The economy is trying for all of us, but especially business owners who feel like they’re up against a great divide when it comes to looking at the growing disparity between their financial goals and current position,” said Steve Parrish, national advanced solutions consultant for the Principal Financial Group, in the release.

More information is available at