Top 5 Reasons To Have A Financial Strategy
When approaching your wealth and your legacy, there are many different facets to pay attention to. Taxation and fees can chip away at your gains. Income can fluctuate with the market, or remain stagnant as inflation increases. Long-term investing can put income at risk, and too much focus on income can put future gains on the back burner. All of this does not even tackle some of the larger questions such as what you want your legacy to look like. Should you have insurance? Is a will enough?
Frankly, and we get it, it’s overwhelming.
That is why we believe, when it comes to your wealth, everyone deserves a strategy. Here are our top 5 reasons why:
- A Strategy Is A Roadmap
A good strategy is a roadmap that gives a clear picture of where you currently are regarding your goals and your means, and creates a linear, step-by-step path to your goals. You can always tell where you ae and how you are progression by referencing your roadmap.
- A Strategy Create One Singular Picture
Oftentimes, money can be messy. Accounts can be all over the place. Different funds have different purposes and timelines. Cashflow must be accounted for. A good financial strategy can give you a literal picture of your financial life and help it make sense.
- A Strategy Can Incorporate Short-Term and Long-Term Goals
No matter what stage of life you are in, there are always short-term and long-term goals. A strategy can help contextualize what each time segment is supposed to be doing and accomplishing. This helps keep each dollar working towards their specific job.
- A Strategy Can Be Shared With Your Heirs
If you have ever been in the position of needing to help clear up the finances of another, or be an executor of an estate, it is very confusing. It can be an emotional draining time and when finances are not consolidated into a written plan, it makes the task all the more difficult. A good strategy should be portable and understandable for those that you share it with. A financial strategy can be a terrific tool for deciding what assets are where, what their job is, and even what money was set aside for legacy planning.
- A Strategy Puts Your Mind at Ease
With the right strategy in place, our clients no longer have to worry about what funds are paying what, if the market is up or down in the short-term, or what interest rates are doing. Instead, with the roadmap in front of them, they are free to live their lives knowing that they are taken care of.
Not all strategies are created equal. If you do not have a strategy that accomplishes all of the above, we would invite you to look over the list and decide if you have a roadmap. Do you have a financial strategy that puts your mind at ease, or just computer projections. It’s important to answer that question. After all, your wealth deserves a strategy.