It may be tempting to handle all of your finances on your own to save money, but that isn’t always the best choice. In fact, there are certain situations when it simply makes sense to hire a financial planner. After all, in those situations, without professional assistance, you could end up losing money or not planning properly for the future. To help you get a better idea of when it’s time to get help with your money, here are five situations when you need to go to a financial planner or adviser.
Setting up Retirement Plans
“While setting up retirement through your job may be simple — you put away money and the company matches part if it — there is actually much more to the process than this if you want the best results,” according to Yellow Brick Road Financial Advisors. There are times when you also need to consider a supplemental 401k. But, how do you know what money to put away, how to invest it, and how to ensure your golden years are funded? A financial planner will help you make the right decisions.
Estate Planning
No one really wants to think about when they pass on, but it’s something you do have to consider if you want control over what happens to your money. A financial professional will help you with estate planning, including setting beneficiaries on retirement accounts and life insurance policies, determining if you need a will, and determining how to distribute any wealth you have accumulated. Getting this help from a financial planner can help avoid stress and disagreement among your family when you are gone too.
Investing
These days, anyone can invest in stocks and bonds thanks to Internet services. However, that doesn’t mean you should try investing on your own. Instead, hiring a financial planner can be extremely helpful. To begin with, the professionals will better know how to invest and trade stocks for the best results. Additionally, financial professionals will also have access to better diversification strategies for top-notch results too.
Handling Life Events
Both marriage and divorce can lead to a plethora of financial problems, and those issues are often difficult to manage on your own. When you are getting married, a financial planner will help you and your new spouse blend funds without stress and arguments. If you are going through a divorce, then a financial professional will help you manage your money on your own.
Caring for the Elderly
If you find yourself the caregiver of an elderly parent, then you will be responsible for their finances as well. Elder care can be very costly and will definitely be stressful. Hiring a financial planner for your loved one’s money can avoid this stress, ensure the finances are being handled properly, and find ways to cover medical and other care expenses.
Sometimes, you may not require a financial planner, especially if your budget is straightforward and easy to manage. However, there are definite situations when one of these professionals will ensure you are handling your money in the best possible way.
