Thursday, April 2

Financial Planning Beyond Investments and Retirement

When the topic of financial planning comes up, most people would associate it with planning for retirement or investing your money. But when you get free financial planning advice from the experts, you will come to realize that it is more than just that. Experts suggest shifting your focus on who you are and where you want to be rather than being fixated solely on money matters.
Financial planning is important not just for yourself, but for your family as well. It takes more than just money to be able to provide for and give care to your loved ones. Thinking about investing and retirement savings is important but free financial planning advice from experts will make you realize that every situation is different. This is what the experts meant when they say you should plan based on who you are. This includes your family and those will be directly impacted by your loss, whether due to natural cause or accidents.
Financial Planning Starts Earlier
Financial planning should be incorporated into every stage of your life. Therefore, this does not mean that only those who are nearing retirement should think about financial planning. For parents, even when your kids are still in the grade school right now, you need to start planning ahead for their financial future. The aim is to ensure that they are well taken care of and have access to financial support in case of accidental death from a parent, or both parents.
Meanwhile, people in their 20s are also recommended to start thinking about retirement savings. In fact, experts believe this is the best time to start. When you are in your 20s, you may have a career that is paying you a substantial amount of money. You need to stow away a part of that into your retirement savings or investments so that it will grow as the years pass. This will ensure that you have access to funds when you need them down the road, or as you get older.
This is where experts offering free financial planning advice have the most difficulty with though. When you are young and earning money for yourself, you do not think about retirement just yet. Your health is at its prime and you probably won’t even consider the state of your health when you reach 50s or 60s. But the reality is, you need to!
You need to determine your spending priorities even at this early stage in your life. It is important to look at that together with your lifestyle choices, too. Are you engaged in activities and vices that could risk your health when you reach your 50s? Make sure that you are spending a larger percentage of your money on sustainable investments that will enable you to reap benefits in 10, 20 years from now.
Long term planning is vital when it comes to your financial health. It is imperative to prepare for the basic needs such as your retirement and investments. But do not fail to consider other variables such as your health, lifestyle choices and your family’s needs when doing your financial planning.