From planning for retirement to paying off your college loans, managing your finances can be more difficult than many people realize when first enter the adult world. But your finances are very important from the time you open your first bank account to the end of your life, even after you enter retirement. For many people, consulting with a financial planner or financial advisor to help you to begin planning for retirement can be an immensely helpful thing, and is something that should not be overlooked in your financial journey.
But life is expensive, and it can be difficult to save up all the money that you’ll need for later on. There’s no denying this. From rent or mortgage payments to the daily essentials of life like toilet paper and groceries, money goes far easier than it comes – especially if you have a kid (or kids, plural). By the time that they reach their retirement years, more than sixty five percent of all seniors (sixty seven percent, to be more exact) have become totally reliant on Social Security as their primary source of income. While social security payments are certainly helpful, at just over one thousand and four hundred dollars a month, they are not always enough to comfortably sustain a person.
After all, you are likely to develop any number of chronic conditions as you age, particularly with people living longer than ever before (by the age of sixty five, the average relatively healthy person has a lifespan that is still more than eighteen years). In fact, by the time that you are considered elderly, at least seventy percent of your peers are dealing with more than one chronic condition. And while many of these conditions are certainly manageable, it’s important to note that the presence of a chronic condition or disorder can raise your insurance premiums – as well as your overall medical costs, as you will need to seek treatment on a much more frequent basis, such as more regular doctor’s appointments, medication, and physical therapy.
Because of this, planning for retirement with the help of financial planners is key, but too few people view it as important to do in the here and now. They think that they’ve got time, but it can be surprising how quickly large chunks of time can actually pass. And currently, only around thirty percent of working adults feel that they have enough money set aside to adequately deal with any medical emergencies or problems that they might face after they enter their retirement years. And among those who have already reached their retirement years, more than twenty percent (twenty two percent, to be exact) feel that not saving enough for retirement was one of their worst financial mistakes, if not THE worst financial mistake, that they had ever made over the course of their working lives. Planning for retirement is important even if you are not bringing in a lot of money, and working with a financial planner to set up an investment plan can make setting money aside and planning for retirement possible for just about anyone.
Aside from planning for retirement, you should also set aside as much money as you can to plan for any emergencies that might strike in the present day. After all, as much as we might like to, we can’t prevent each and every emergency situation that comes are way. But far too few people are adequately prepared to do so, with the majority of all adults in the United States – two thirds of them – saying that it would be very difficult for them to come up with one thousand dollars on short notice, even in an urgent situation. On top of this, less than half of all American adults (forty six percent, to be more exact) say that they have what is often referred to as a rainy day fund, something that can come back to bite them should something tragic or life altering happen in their lives.
From planning for retirement to setting up a rainy day fund, a financial planner can help.