Almost everyone stresses over the daily obligations of financial planning, but many also neglect the significant life stages that require special attention and financial strategies. Here are 8 key life events that could benefit from professional financial planning and guidance.
1. Graduating from College
College graduation marks the first major transition into adulthood. The progression from school to career is a significant milestone and the perfect time to get financial advice.
Whether you, your child, or grandchild has graduated, this is also a great time to assess your financial needs such as college debt repayment, savings strategies, or insurance.
Luckily, most recent graduates have time on their side. With the decades ahead and the power of compound interest, it’s the perfect time to have a discussion with a financial advisor about the benefits of saving right now. The financial foundation built now will have a major impact on the rest of your financial life.
2. Marriage or Divorce
Professional financial guidance is extremely beneficial when getting married. Goals such as combining finances, handling credit issues or debt problems, and building a prosperous financial life with your spouse will be hard to establish without objective financial advice.
On the other end of the spectrum, divorcees should ensure the protection of their finances. If you’re entering divorce proceedings, important tasks like updating your will, changing your insurance policies, and protecting your investment accounts need to be handled with care and are best managed by a financial advisor.
3. Adding a Member to Your Household
he birth of a child is a miraculous event, but that new addition will bring you huge financial and lifestyle changes. You will need to create college funds. Wills and insurance policies need to be updated. You will need to manage a whole host of new expenses. Make sure that your new bundle of joy is off to the best start possible by seeking financial guidance from a registered investment advisor you trust.
4. Job and Income Changes
Whether you are starting a new job, changing careers, or accepting a well-deserved promotion, there are important financial considerations to address. During a job change, you’re better off with a financial planner who can help you minimize taxes by rolling over retirement accounts and making the most of your stock options.
A financial planning professional can provide you with expert advice and help you adjust your financial plan.
5. Buying and Selling Property
If you’re buying a home, consult an experienced financial firm that can help you review your situation in an effort to maximize your tax benefits, deal with capital gains exclusions and taxes, and find write-offs and deductions you might otherwise have missed.
Buying and selling property is complicated, and it’s not worth tackling on your own.
6. Illness or Hospitalization
An unexpected illness or hospitalization can strike you at any time, and when it does, your finances are soon to be impacted. If you find yourself hospitalized or stricken by a sudden illness, reaching out to receive trusted financial guidance could minimize the financial impact and help you recover more quickly.
A financial advisor will also help with long-term care options and disability insurance, estate planning, life insurance, and a host of other planning topics that will have an impact on your overall financial portfolio.
7. Inheriting Property
An inheritance can be complicated. If your inheritance comes in the form of a lump sum, seeking financial guidance can help you to minimize the tax bite and address outstanding debts. If you are inheriting a retirement account like a 401(k) or IRA, you’ll definitely benefit from assistance with rollover options and investment advice.
8. Retirement
Retirement may be the most important transition in your life. From maximizing and managing benefits to developing a distribution strategy, the right financial guidance can be an invaluable resource.
Takeaway
You want to feel financially well prepared and comfortable no matter what life throws your way. To establish, long-term financial security, it’s worth involving a financial advisor who can provide expert financial guidance and can take an honest look at your current financial situation and goals. Every day my expert team of registered investment advisors and I take the complexity out of financial planning for our clients. We keep it simple and personal, and would love to do the same for you.
For more information or a complimentary consultation contact the financial planning, wealth management and investment services team at Hudson Companies today.
