If you’ve finally decided to start planning for your financial future, you likely have a number of questions. For instance, at what age will you be able to retire? How much should you save every month? How much savings is enough? You need to discuss these things with a financial planner. You and your planner can sit down and devise a plan to help you begin saving for your future. The following are a few tips you should take into consideration.
Be honest about your current financial situation. If you owe tens of thousands of dollars in student loans, or thousands of dollars in credit card bills, then you should inform your Financial Advisor about this. Without this information your advisor can’t fully assess your financial situation, or develop an investment plan for your future.
If you are in debt, discussing your debt with your financial advisor could be a great benefit to you. Paying off your debt is one of the first things you should focus on. Some people spend years paying off debt that could’ve been cleared in a matter of months. Your advisor can orchestrate a plan to set aside a portion of your monthly income to put towards your debt to pay it off quickly.
While on the subject of financial advisors, it’s important that you consult with the right one. With so many acronyms like CFA, TEP, CPA, and so on, it can be difficult to find the right professional with the right credentials. Focus on speaking with a certified financial planner (CFP) or a registered financial planner (RFP). These are the trained financial professionals who can talk to you about things like debt relief, bankruptcy, Individual Retirement Accounts, wealth management, and much more.
Getting your current financial situation in order is important for your financial future. Again, tackle any debt you might have first. Never withhold any vital financial information from your advisor that could be useful for your situation. Remember to only speak with certified or registered financial planners who sincerely want to help you. Helpful financial planners would rather help you save and strategies than sell you expensive products. After working with an advisor your financial future should look a lot brighter.