Hopefully, your financial advisor will be in regular contact via email, video, article or phone when they have important information to share with you. But when should you contact your advisor?
There are many life events that may prompt them to consult.
1. Change job status.
There are several reasons to consult an advisor when changing jobs. Determining whether a retirement plan should roll over is top of the list. You may also need to review your new company’s benefits package, including insurance (health/life/disability), 401(k) plans, tax withholding, and more.
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A new job can also come with more or less costs associated with commuting, mileage, etc., all of which can affect your financial planning. lose one’s job You need a plan for health insurance, cash flow, etc.
2. Children preparing to go to college.
Ideally, mock exams should be conducted two years before your child starts college. Fafsa (opens in new tab) To know where you stand with regards to financial assistance. FAFSA is now reviewing his two-year-old tax returns, which may reduce expected family contributions (EFCs), so proactive planning is advised . This will reduce your university co-payment.
3. Change of marital status.
marriage or divorce Clearly, it can have a dramatic impact on financial planning. Splitting alimony, child support, pensions, or retirement plans can all make a big difference to your future situation.
Marriages, especially second marriages, require additional planning, especially if assets are intended to remain in their respective families.
4. Death or care of a parent.
Aging parents’ wealth plans can mean the difference between maintaining an inheritance or potentially costing money. I’ve seen people have to postpone retirement because of the costs involved. proper planning help mitigate these costs.
5. Planning for retirement.
The prospect of retirement is certainly tempting, but there are many decisions to be made. preparation for retirement itself.
Health insurance, social security claims, pension options, retirement plan distribution, and more all need to be considered before you quit your job.
6. Birth of a child.
A new baby brings a lot of joy, but it also requires a lot of time. Things to consider are: 529 college savings plans Review life insurance and overall estate planning. Important decisions need to be made, such as who will be the guardian of your child if something happens to you.
7. Changes in health.
Changes in health may require adjustments to financial plans. Revisions to life expectancy assumptions or increases in spending tend to be the most common changes.
8. Major purchases.
Ideally, you should contact your advisor Previous make big purchases. Advisors can help you decide whether to use the most tax-efficient assets or whether financing is right for you. And what impact will this new purchase have on the viability of the plan?
Good communication between client and advisor is critical to both the quality of the relationship and the accuracy of the plan itself.
Securities offered through FINRA/SIPC member Kestra Investment Services, LLC (Kestra IS). Investment advisory services provided through Kestra Advisory Services, LLC (Kestra AS), an affiliate of Kestra IS. Reich Asset Management, LLC is not affiliated with Kestra IS or Kestra AS. The opinions expressed in this commentary are those of the author and do not necessarily reflect those of his Kestra Investment Services, LLC or Kestra Advisory Services, LLC. It is for general information purposes only and is not intended to provide specific investment advice or recommendations to any individual. We recommend that you consult a financial professional, attorney, or tax advisor for your individual situation.To view the Form CRS, please visit https://bit.ly/KF-Disclosures (opens in new tab).