Turning to a financial advisor for financial advice as you journey through life’s pivotal moments is invaluable. Whether these milestones bring you closer to your personal dreams or family aspirations, they often signify a financial shift, making it essential to pause and review your financial roadmap.
From landing your first position in your dream career, to buying a home, through starting a family and reaching retirement, you can look forward to these events as an opportunity to check in with your financial situation and plans for the next adventure in life. When crossing a threshold, such as reaching your highest potential in work or adding a new child to your family, you may be anxious about balancing your potential with your future. Finding joy and security in your circumstances requires careful financial planning. What milestones indicate that you will benefit from developing your relationship with a financial advisor? How can you confidently meet your current needs and plans?
Why Financial Planning Matters
Financial planning is the benchmark of financial success. When you wisely use your assets and regularly evaluate your income, savings, investments, and expenditures, you become qualified to take charge of your financial future and create a legacy of wise financial decisions. Without a clear plan, your budget and ability to maintain a comfortable lifestyle through the changes you will move through during your lifetime may become a source of stress. With clear and thoughtful financial planning, you protect yourself and your family from the ambiguity of indecision and missed opportunities.
The Role of a Financial Advisor
The ability to make wise financial decisions can be challenging and is a skill that can be honed through sound advice. A financial advisor can assist you in evaluating your options at various points in your life to help you make the best use of your circumstances to save and pursue your financial goals.
A financial advisor does not seek to diminish your ability to choose how you use your assets but offers professional and experienced advice. Building a relationship with a financial advisor offers you a trusted resource to turn to as your financial situation changes, whether through a sudden increase in income or an unexpected expense becomes apparent.
Major Life Milestones that Indicate you need a Financial Advisor
Life’s big milestones aren’t just emotional landmarks; they often reshape our financial landscapes too. While we’re busy celebrating, it’s smart to pause and consider the money side of things. Here’s a look at some of these major moments and their potential impact on your wallet:
1. Buying a home or property
After purchasing a new home or other investment property, you want to have confidence in your budget by adding a mortgage or other expected expenses associated with property ownership. The best time to begin preparing for this milestone is well in advance, developing your budget and creating a saving cushion that takes the stress out of home ownership.
When looking for your dream property, consider your current rent or housing payments and the cost of living. Pay attention to what sort of governmental financial aid may be available to help you afford the home you want. Remember to plan for additional expenses when you own your home, such as insurance, new appliances and home systems maintenance.
2. Starting your retirement plan
Australian families have three primary income sources available to assist with retirement, and it can be challenging to determine which options should receive attention at various points in your life. Look into how your government-age pension, super, personal savings, and assets can provide a comfortable retirement.
Think about what you want out of your retirement. Ideally, you want your retirement to stretch on as long as possible without sacrificing the standard of living you have enjoyed throughout your lifetime. Including your specific hopes and expectations in your plan, such as travel budget or vacation expenses, will help you enjoy your golden years.
3. Investment opportunities
Whether you are presented with an opportunity to invest through a personal contact or decide it is time to put your savings to work, a financial advisor can help you choose the wisest use of your assets in an unbiased and helpful way.
Many people begin to look into investing when they already have a history of sound financial planning and have savings available to invest. This is an exciting milestone to reach, and you can feel proud. With proper planning, your investment can become a source of income that provides stability and confidence for years.
4. Beginning your family
Getting married and welcoming a child are among life’s most cherished milestones. They bring joy, unforgettable moments, and new responsibilities. With the excitement, there’s also the reality to consider: in Australia, raising a child can cost upwards of $400,000 throughout their lifetime. That’s a significant figure that underscores the importance of preparation.
While these events undoubtedly enrich our lives, it’s essential to approach them with a solid financial plan. Having this foresight ensures you can celebrate these moments and nurture your family’s growth without the burden of unexpected financial stress. Embracing both the joy and the responsibility paves the way for a fulfilling family journey.
5. Getting a promotion
The moment has finally arrived! You are called into your boss’s office and informed that you have been selected for a promotion. This advancement brings with it an increased salary and a more respected position. While receiving acknowledgement through a promotion at work can mean better compensation, it can also lead to anxiety about how best to use your assets. Take this opportunity to prioritise your savings and reassess your lifestyle when presented with an increase in expected income.
6. Receiving an inheritance
Losing a family member is never easy, and you may feel shocked and deeply sorrowed after learning that a loved one has died. Although the loss may not feel like a milestone, receiving an inheritance can allow you to change your life after a loss.
While processing the grief and other emotions associated with a loss, you will benefit from the assistance of a respectful and professional advisor when deciding how to make the best use of inheritance. Between investment opportunities and paying off debts, it can take time to determine what to prioritise. Use your inheritance stability and assistance during this difficult but important time.
Other unexpected changes in your financial situation
Other life events, such as divorce, pursuing higher education, or moving to another state or territory, may increase your financial pressure. Use a financial advisor’s expertise to help protect your assets and financial future even as you adjust to your new circumstances.
These typical life milestones allow you to reassess what is important and how best to protect your future ability to enjoy your income and assets. These milestones also indicate that you must build a financial plan to accommodate your current and new circumstances. This makes achieving a life milestone an excellent time to speak with a financial advisor.
How a Financial Advisor Offers Guidance
From your initial consultation with a reputable financial advisor, you will feel that your autonomy and ability to make wise decisions are respected. The fact that you are meeting with a financial advisor means that you understand the importance of financial planning. Your financial advisor will analyse the facts of your financial situation and offer practical advice on how to make the best of your circumstances while accounting for interest rates, property values, and likely financial futures.
When It’s Time to Seek Financial Advice
If you foresee an important lifetime milestone approaching, it may be an excellent time to take stock of your financial status and discuss your plans with a financial advisor. If you have reached a point in your career where you feel ready to begin building your retirement or investment portfolio, a financial advisor can offer savvy advice that can help protect your assets and offer the greatest possibility of an excellent yield. Speak with an experienced financial advisor today. Get in touch with Super Network.
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