Upon retirement age, most people would want to enjoy their sunset years in relative comfort, free to pursue the things that they have forgone during their professional lives.
But unless you are expecting a sizeable fortune from your mum or dad, you have to think ahead and prepare for your future. This entails a few important things: thinking, planning, saving, investing, making a few sacrifices and even hiring a financial planner. Simply put, you cannot use your hard-earned money today to splurge on non-essentials, only to face an uncertain future.
And unless you have been trained in financial planning, you will certainly need the help of the pros. But how exactly can these professionals help you reach your financial goals?
Financial planners offer a diverse array of services that can be tailored depending on the specific goals of their clients. However, these services can be broadly classified into three types.
Wealth accumulation
Building wealth entails adequate planning and the use of the right strategies which meets the needs and goals of an individual. And lots of patience.
A seasoned financial planner will often begin his services with an in-depth assessment of the needs and retirement plans of his clients. From there, this professional will put into place a structure that entails the acquisition of assets, the allocation of these and diversification.
A financial planner is strategic in approach. Instead of promising quick gains, he will map out an approach that will produce gains over time.
Decreasing liabilities
You cannot enjoy true financial freedom if you are saddled with debt. With the help of a financial planning expert, you can overcome debt, escape the debt cycle and build a portfolio of assets.
A financial planner is trained to help clients get out of a financial mire by teaching clients how to eliminate debt, pointing out areas where clients can save and helping reduce tax liabilities.
Asset protection
Accumulating assets like your home, cash, car and investments can be quite difficult. As such, you'd want to protect these so that you and your family can enjoy the benefits of acquiring these. In order to do so, you will need ample cover for the assets. Your financial planner can recommend the right type of insurance that you can benefit most from.
A trusted professional to guide you
Financial planning entails the investment of time, effort and even money. Furthermore, it can be quite difficult to navigate this field and just one mistake can reverse the progress you have made and lead you to financial ruin. As such, it would be beneficial to enlist a trusted companion to guide you in your journey toward financial freedom.