Reasons to Speak to a Financial Advisor in Biloxi
Managing your own money has been a common theme for many citizens in Biloxi. Considering it’s not difficult for anyone to make a budget, pay taxes, or even invest money for retirement, thanks to many online financial planning tools like Quicken, TurboTax, and Betterment.
Despite that, there are still reasons to hire a Financial Advisor.
A financial advisor is a professional in their field who provides expert guidance in areas such as retirement, taxes, and investing. Anyone can call themselves a financial advisor, Advisors who use professional designations, such as certified financial planner and chartered financial consultant, indicate a higher level of competency.
A high-quality advisor will listen to your goals, analyze your finances and advise different strategies to minimize taxes, maximize savings or reduce debt rapidly. Many planners don’t charge the initial consultation. However, some advisors could charge a rate of $100 to $200 per hour to help you in creating a financial plan or discuss a specific financial topic.
Nevertheless, you don’t always need to work with a planner on an ongoing basis; these are six reasons when it makes sense to stop in for some financial advice.
1. Started Working at your Job
Whether your job pays $20,000 a year or $300,000 a year, starting your first job is a good reason to speak with a professional financial advisor in Biloxi. Not only can they offer guidance on how to best begin saving for retirement, but Financial Advisors also provide insight on how to maximize your employer’s benefits package.
2. When you get married or divorced
Another decent time to seek out professional financial advisors is whenever you get married or get divorced. Bringing in an impartial third party will be able to help minimize the losses in a divorce. It may ease the process for engaged couples to have conversations about merging assets and income in marriage.
One of the reasons people work with a financial planner is so that they don’t make emotional mistakes. For example, a spouse might feel devoted to a family home and insist on keeping it as part of a divorce settlement. In return, he or she may lose out on retirement savings that could prove to be much more valuable in the long run.
3. When Your Significant Other Pass Away
When your significant other passes away, it can bring in its own financial set of challenges. Imagine a surviving spouse who, after their loved one passing now has to take over household money management. They may have to live on a reduced income or need to determine the best way to manage assets such as the home, different properties, and the death benefit from a life insurance policy or investments. For some spouses, this could be the first time they have been in charge of household money management.
The surviving spouse gets pushed into a position of navigating complex financial decisions amid intense emotional grief. A trusted financial advisor can help you make sure costly mistakes aren’t made, like emptying tax-favored accounts before their maturity date or moving money into risky investments.
4. When you receive a substantial sum of cash
Getting a large sum of money from an inheritance, bonus, buyout, or big raise should be a boon to your financial health. Unfortunately, many people tend to waste the opportunity.
Most mistakes happen when people put their money to use in a hurry. Using a financial planner will empower you to make thoughtful money decisions to enhance your financial security.
5. When you need to take care of Your Parents or Family Members
Did you know that the average cost of a home health aide in 2017 was ranging from 45,000-50,000 annually. If you believe your parents or another elderly loved one will need to be taken care of, either in-home or in a nursing home, talking to a financial planner in Biloxi sooner rather than later to help, you prepare for this good-sized expense.
6. When you have children
When you are starting a family, to most families, this means major financial adjustments. This life event also signals the start of planning to buy a home for many couples. Wills and trusts can safeguard assets in the event of a death, while if you use 529 plans, they are college savings funds that come with tax incentives.
Most financial planners aren’t legal professionals. But, they can still offer suggestions on these topics since they deal with money management. What’s more, some may collaborate with estate attorneys for a smooth planning process.
Take Advantage of Your Finances Today
Many people think they can handle and take care of their money and savings by themselves. They might even believe that they do not make enough to call for a financial advisor. If you are one of the many people who have the same belief, you should know these six reasons to talk to a financial planner, regardless of your earnings