Anyone who understands the time value of money understands that when it comes to investing, earlier is better. And yes, anyone would encourage you to the fullest of their ability to invest as soon as you can. But how do we invest early? Whether it be your parents, mentors, educators, friends or someone else in your life, it’s easy to picture somebody telling you this:
“Get started early. Save some money. It’ll pay off in the long run.”
What does that really mean? Do I simply put money into a savings account? Do I put it into the typical blue chip stocks (if I know what “blue chip stock” means) and hope all turns out alright? And how much should I save? The underlying issue with all of this is simple: we know saving is good, but we have no idea how to get started saving.
Don’t you wish you could look back to age 18, contribute even 15% of the income you earned from your job babysitting, and see that one year’s worth of miniscule work turn into potentially 180 extra days of retirement? Unfortunately, many of us just aren’t that prepared. Acquiring this financial knowledge takes time, effort and often times money spent. Fortunately, the world is full of professionals in the field of personal finance who can help you address that problem.
A lot of people in the millennial generation are afraid of consulting an specialist, because this means money spent as well. Paying that extra 1%-2% of your account can add up, and that is a fact that any financial advisor understands. The reality check many people do not realize early on is that spending that small percentage for an advisor can help you properly prepare your account down the road. A financial planner is typically thought of outside the “early” demographic. But those who start a relationship with a trusted advisor early on in life consider themselves smart for doing so.
The next question is the “Why/How?” Why should a younger person spend that extra 1%-2% on a financial planner? What’s the purpose & why should you consider hiring an advisor rather than just saving on your own? A financial planner helps in the fields of tax, insurance, risk management, retirement planning, investment planning and even estate planning. And within all of those may be the most vital aspect of it all: Cash Flow Management. Whether you’re confident in your knowledge of these fields or the complete opposite, having a professional on your side allows you to ask questions at will & educate yourself in what you’d like to know. How much do I save? Where do I put my savings? And how do I plan for an unexpected life event? These are all just basic questions in the mix of your financial life. Finding a financial advisor will allow you to establish a new relationship with someone who has a desire to learn about you, your lifestyle and your goals. It is their job to teach you. Why? So that the planner can then assist you in the pursuit of your goal(s) to travel the world, retire early, raise a family, pass on your assets to generations following and start saving money with a purpose.
Whatever you see your life as someday, financial advisors are here to help you take action toward that vision. All too often people view financial advisors as an expense instead of a relationship or opportunity for growth. Consulting an advisor earlier allows you to invest your money in a method that’s carved for your own individual path. The only question left is you. Who are you? What do you want to be? What’s your purpose? And how can your current & future finances assist you in pursuing the life you’ve been yearning to live? If you found this intriguing, please contact our firm at 888.321.0808 for a complimentary discussion with any of our financial advisors about our wealth management services.