“When people are sick they go to a doctor, when you have legal issues you go to a lawyer, and when you have money you should go to a wealth manager,” says Pat Picornell.
Planning for the financial future can be a daunting task. There are plenty of questions to answer, so it may seem easier to bury your head in the sand and avoid the topic completely. That is until a crisis takes place and avoidance suddenly becomes costly. Working with a wealth manager can provide you with confidence for your future.
Ed Hecker of UBS Sterling Wealth Management has almost 30 years of experience and warns that people may be waiting a little too long to begin the process. The ideal scenario starts with planning for the future as soon as you start working. Planning is the doorway to what’s possible. The first step is a conversation to understand your needs, developing a clear plan and adapting as circumstances change.
Plan early and Plan for More Retirement
“Am I saving enough to retire? Will my assets last through retirement?” These are both common questions that investors ask. With the right strategies you can have confidence that your needs will be met. The age at which you plan to retire dramatically changes what you’re planning for.
Think Beyond Investments
A small portion of a comprehensive plan is investing. Risk management planning should also be considered. “The first step really is the ‘discovery’ of people including families, their bucket list, retirement, greatest fears and go from there. It is not just financial investments; it is also alleviating fears,” vice president of Sterling Wealth Management, Pat Picornell said.
A plan for retirement and long term care can shift costs to other parties. “Our goal is both spouses live their life the way they want to and live it with dignity.”
Long Term Care
With life expectancy increasing and healthcare costs rising, it is understandable that the most common concern is focused on the potential impact that long-term care can have on finances. Retirement planning is important, but long-term care should be a key part of a comprehensive financial strategy.
Long-term care issues don’t just include nursing home arrangements but also include being able to afford healthcare, getting the support you need in the event of a major family health problem occurring or obtaining proper care for yourself or a loved one.
Prepare for Inflation
After spending a career accumulating assets, it’s important to determine if they will be sufficient to generate enough income for the lifestyle you want, keep pace with inflation, meet unforeseen healthcare costs and withstand the financial markets.
As gas and food costs go up, so will medical costs. In fact, the medical costs are estimated to increase three times as much and long term care at six times inflation.
It’s a Moving Target
Both Ed and Pat emphasize that a financial plan is not a one-time process that is finalized once and never thought about again. It should be a process that is reviewed annually. The first step a wealth manager should make is getting to know you — who you are, your tolerance for risk and your goals for the future. Second is to develop a course of action and the third is ongoing analysis. “It is a moving target,” Pat said. “With course corrections, we can grow, maintain and protect it.”
Sterling Wealth Management, UBS Financial Services
(321) 729-6770 | Ubs.com/team/sterling