With the overwhelming amount of financial information available at your fingertips, managing your money either on your own or with the help of online resources is both common and convenient. Then again, as your financial picture grows increasingly more complex, receiving the guidance and opinion of an experienced financial professional may be just what you need to attain the progress you’re hoping for.
Here are a few situations where consulting with a financial advisor could be beneficial:
Did you recently get married, have a baby, get divorced or have a close family member pass away? These situations, along with many more, all have their own personal and emotional implications—but you may not realize the potential multitude of financial implications tied to them until the time comes. Depending on your scenario, you may not want to spend time navigating your way through financial depths in the midst of the changes happening around you. As a newlywed, you may not be thinking about updating your beneficiaries; as a new parent, starting a college funding account for your child might not be top of mind. A financial advisor can help get you on solid footing during this time and put together a strategy.
If you are a recent college graduate or young professional, you may not see an immediate need to call in a professional for advice on your financial picture. However, as your wealth grows and your portfolio becomes more developed, a financial advisor may be able to provide valuable input and help you prioritize. Perhaps you are unsure whether to focus on purchasing your first home over paying down debts or how much you should be contributing towards your retirement planning accounts as a young professional. It may be helpful to have another opinion advise you on when to save, spend or invest—or even to just reassure you that you are on the right track.
While you may not be able to look into a crystal ball and predict the future, you can prepare for several scenarios. A financial advisor can help you, along with other experienced professionals, compose an appropriate estate plan or help educate you about tools such as life insurance or disability insurance. If you are currently the primary money manager in your family, your advisor can also work with you to gradually bring in children and/or other beneficiaries to explain the breakdown of your portfolio and how you manage your assets. Thinking ahead now could make all the difference down the road.
Managing your own financial situation requires not only expertise and an interest in staying up to date with current trends and events—it also requires time. If you find that your progress has come to a stalemate or you can no longer allocate the amount of time required to make an informed decision, talking to a financial advisor may be the right decision for you. Another indication that may signify it’s time to seek guidance is if you find yourself becoming too emotionally influenced during volatile markets or when an investment does not pan out as expected. By consulting with a professional, you may be able to reduce the risk of making important decisions solely motivated by emotion.
There is no harm in wanting to know whether or not you’re doing the right thing. Just as you would go to the doctor for a check-up or the dentist for your regular cleaning, making an appointment with a professional to take a look at your financial picture could make sense for you. If a visit with a financial advisor can identify ways for you to put more towards savings or help you distinguish more achievable and timely goals, it may well be worth your time!
Whatever your reasoning for meeting with a financial advisor, do your research to ensure the relationship is a good fit. With offices located across the country, there’s likely to be a North Star advisor in your area—find one here.
Written by North Star Resource Group.