The Road to Financial Security: Planning Your Future Today
Author: Montecito Capital Management, Offering Financial Advisor Services in Santa Barbara & Los Angeles
The Importance of Regular Financial Checkups
A regular checkup for our financial fitness is just as important as a checkup for our physical fitness. While many focus primarily on increased income, a comprehensive long-term plan that protects assets, grows wealth, and distributes wealth according to personal goals is needed for true financial fitness. Without such a plan, one risks overspending, insufficient savings, and, above all, an unsuitable development of one’s savings and income.
Financial Planning as a Continuous Process
“Money matters for all of life is more than one-time project, but rather an ongoing, dynamic process that helps you maintain confidence, whatever life may have in store.” These are the fastest possible implementation of recommendations, in-person and on-demand financial advice, and regular financial counseling. When it comes to investing and asset allocation, educational and review services and digital tools, they are also important.
A well-crafted plan helps you stay organized, confident and prepared, regardless of the changes that occur in your life, such as home purchases, family changes, career changes or retirement. It is a matter of drawing a map, connecting the present to the future, and adapting it to the evolution of your life. Planning is a continuous process.
Each element feeds into the other, enabling you to make informed decisions that are consistent with your values and priorities. A complete financial plan involves a number of aspects. It is usually made up of a few, such as: establishing aims, controlling budgets and cash-flow, handling debts, ensuring insurance and protection against risks, planning and executing on investments, preparing for taxes, preparing for retirement, preparing for estates, and conducting regular reviews and adjustments.
Working with a financial advisor may help you to achieve this. An advisor can offer his or her experience and expertise, helping you to find opportunities, avoid mistakes and adapt your plans as your circumstances change. So instead of having to face complex decisions alone, you can rely on a trusted partner who will guide you to long-term success and peace of mind.
Building a Foundation for Long-Term Financial Wellness
By taking positive steps like establishing clear goals for the long term, forming realistic budgets and having multiple sources of income, a family can secure a healthy financial retirement. Realistic financial planning for a long-term, comfortable retirement takes into consideration multiple sources of income like social security, the family’s pension, inheritances, retirement accounts, annuities, insurance values and other assets.
The Current State of Financial Fitness in America
The reality of financial fitness is that only 36 per cent of Americans have a written long-term financial plan, and that 60 per cent worry about money every single day of their lives. A comprehensive, disciplined approach to financial planning affords a degree of financial control, builds lasting stability across life stages, and ensures peace of mind, confidence and conviction that you’re on the right path to a secure financial future. With retirement scenario modelling we were able to explore all our vital questions, which helped us to visualize the trade-offs and adapt strategies.