Check the background of investment professionals associated with this site on FINRA's BrokerCheck.
Though financial planning may provide both present and future independence, unfortunately, only 30% of U.S. households have a long-term financial plan. But what is involved in financial planning? And who may benefit from these services? Learn more about what financial planning entails and just a few of the benefits it may provide.
What Does Financial Planning Include?
Today's financial planning services can be as narrow or as broad as you like. Financial planning may help you assess whether you are on track to work toward your goals, guide you toward various ways to save on taxes potentially (both now and in the future), and have appropriate insurance against risk. You may seek out advice from a financial advisor to help you decide on an investment asset allocation or create a 20-year plan for your financial future.
Some of the questions you may want to ask a financial advisor include:
- How much will I need to save for retirement and when can I retire?
- Do I have enough life insurance? Disability insurance?
- What can I do to reduce my tax rate now?
- What can I do to reduce my tax rate in retirement?
- Can I afford to upgrade my house? My car?
- How can I pay for my child's college education?
- What should I consider when planning my estate?
The answers to these questions may vary based on your age, income, stage of life, and even your hobbies. But no matter your situation, a financial advisor can recommend steps to consider.
Benefits of a Financial Plan
A financial plan comes with a few discrete benefits.
First, it helps offload some of the tough mental labor of managing your long-term financial needs. Keeping up with tax changes and helping plan for investment fund allocations may seem like a full-time job. By working with a financial advisor, you may gain confidence and perhaps have more time to focus on your career, family, and hobbies.
Next, it can help you set concrete goals. Often, it may be tough to set goals on your own beyond "save more" or "cut expenses." A financial advisor may evaluate your finances to determine some realistic goals and a timeframe within which to work toward them.
Finally, having a financial plan may be a motivating force. Knowing that you have a financial advisor monitoring your progress and transactions may help you avoid the temptation to overspend and help you work just a bit harder to pursue your goals.
All in all, having a financial plan may provide benefits at just about every stage of life.
Talk to a Financial Advisor
Financial advisors with BECU Investment Services are here to help. Our team will take the time to get to know you, understand your goals and plan and implement a financial strategy that's appropriate for you. Set up a complimentary consultation or call 206-439-5720.
Securities and advisory services are offered through LPL Financial (LPL), a registered investment advisor and broker-dealer (member FINRA/SIPC). Insurance products are offered through LPL or its licensed affiliates. BECU and BECU Investment Services are not registered as a broker-dealer or investment advisor. Registered representatives of LPL offer products and services using BECU Investment Services, and may also be employees of BECU. These products and services are being offered through LPL or its affiliates, which are separate entities from, and not affiliates of, BECU or BECU Investment Services. Securities and insurance offered through LPL or its affiliates are:
Your Credit Union (“Financial Institution”) provides referrals to financial professionals of LPL Financial LLC (“LPL”) pursuant to an agreement that allows LPL to pay the Financial Institution for these referrals. This creates an incentive for the Financial Institution to make these referrals, resulting in a conflict of interest. The Financial Institution is not a current client of LPL for brokerage or advisory services.
Please read the LPL Financial Relationship Disclosure for more detailed information.
The LPL Financial registered representatives associated with this website may discuss and/or transact business only with residents of the states in which they are properly registered or licensed. No offers may be made or accepted from any resident of any other state.
The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual security. To determine which investment(s) may be appropriate for you, consult your financial professional prior to investing.
Socially Responsible Investing (SRI) / Environmental Social Governance (ESG) investing has certain risks based on the fact that the criteria excludes securities of certain issuers for non-financial reasons and, therefore, investors may forgo some market opportunities and the universe of investments available will be smaller.
All information is believed to be from reliable sources; however LPL Financial makes no representation as to its completeness or accuracy.