The holidays can be tough financially. In fact, Americans will spend nearly $1,000 this year on holiday gifts alone. (1) Factor in travel and food and that’s a sizable chunk of your savings gone. Even though the markets have been soaring with record highs and many investors are enjoying significant gains, it’s never a good idea to get too comfortable, even during the most wonderful time of the year. It’s important to remember two things. First, markets can shift quickly, so it’s imperative to have safeguards in place to help protect your savings from inevitable future downturns. Second, as you near retirement, it’s time to reevaluate your strategy to make sure your financial plan is in line with your retirement goals.
If you haven’t addressed these two points, a financial second opinion could make a world of difference. Does this sound like you or anyone you know?
A Check-Up For Your Finances
You can think of a second opinion as a financial check-up, just like an annual physical or eye exam you’d get from your doctor. When we meet with your friend or family member, we’ll take the time to get to know them and become familiar with their unique financial situation. We’ll ask them to outline their financial goals and review their current plan, 401(k), investment portfolio, insurance policies, and more. This allows us to get on the same page and use our insight to build a customized, in-depth financial plan.
We’ll also answer any questions they may have about the market, strategies, or basic financial tips and principles. Then, we’ll combine all their concerns, ideas, and dreams with their current plan to see if everything lines up.
The Benefits of a Financial Check-Up
Once we have the big picture of their finances, we can work together to evaluate and adjust. If we think everything continues to be well suited to their long-term goals despite market turmoil or personal life changes, we’ll gladly tell them so and send them on their way.
If on the other hand, we think their plan no longer fits their goals or their portfolio is too risky, which can easily happen during periods of strong stock market returns, we’ll explain why without resorting to complicated jargon. And, if they’d like, we’ll recommend some alternatives. It may be that minor adjustments are needed based on their age, current economic woes, or a change in priorities and plans.
It never hurts to have a professional take a second look at their financial plan to ensure that it is up-to-date, still applicable to all aspects of their life, and is designed to achieve their long-term dreams. Regardless of the outcome of our second look, I hope they will have full confidence in us, their decisions, and their financial plan.
Do You Know Someone Who Needs This?
Did you know that finance-related resolutions are the third most popular New Year’s resolution, following self-improvement and weight loss? (2) As we celebrate the holidays and start a new year, millions of people will vow to get out of debt, save more, or accomplish a financial milestone, whether that’s purchasing a vacation home or retiring. We believe that the best way to accomplish your goals is to partner with a trusted professional who can create a financial plan tailored to your unique needs. The best gift you can give your family and friends this holiday season is an encouragement to take the first step towards a healthy financial future.
If your loved ones have any questions, or if you think you yourself would gain from a financial check-up, we are here to help! Give me a call at (717) 283-4186 or email me at email@example.com to schedule a “Get Acquainted” meeting.
David Niggel, CFP®, ChFC®, AIF® is the founder and president of Key Wealth Partners, LLC, an independent wealth management firm serving individuals, families, and business owners. Along with over a decade of financial services experience, he has advanced knowledge and training in providing holistic financial planning with fiduciary and ethical care, holding the CERTIFIED FINANCIAL PLANNER™, Chartered Financial Consultant®, and Accredited Investment Fiduciary® certifications. With hands-on entrepreneurial experience, he has the unique ability to help clients meet both their individual and business goals. Based in Lancaster, he serves clients through the York, Harrisburg, Hershey, and Central, Pennsylvania areas. Learn more by visiting www.keywealthpartners.com or connecting with David on LinkedIn.