3 Ways a Wealth Manager Can Help You Toward Retirement

In the years since the Great Recession, Americans want to be smart and confident about the money they have. They want to know that they will be taken care of financially for years to come, and that their money is safe and will be there when they need it. That is where wealth managers come in. Wealth managers can help Americans become more confident about their money and about the prospect of retiring at their desired age.

1. Assessing Risk

A wealth manager can help individuals figure out what level of risk they want to take on. Most people are shy about investments because they see the markets move up and down and they do not want to put their money at risk through market downturns. However, wealth managers are familiar with the movements of the market. They know that the stock market makes millions of people billions of dollars every year, and they also know which kinds of investments are appropriate for the various stages of an individual’s working years. This knowledge only comes from extensive education and experience that many regular people simply do not have.

2. Managing Goals

A wealth manager can also aid in setting goals and leading individuals to reach those unique, personal goals. One of the best ways to do this is to set a target retirement date or a list of things that a person wants to purchase. The wealth manager can then set up targets and goalposts for a person to achieve. In some cases, this may mean a job adjustment or a reduction in spending. A wealth manager can combine these lifestyle changes with significant investment plans that may change over time. When combined, this effort yields a plan for eventual success that a person can implement themselves.

3. Retaining Earned Wealth

Finally, a wealth manager can help an individual keep the gains they have made through a variety of investments. Wealth managers know the ins and outs of tax rates and structures. They know when an individual should invest in properties or take advantage of different government-created accounts like a Roth IRA. Wealth managers also know how individuals should set up estates or give gifts. A few hundred dollars could mean the difference between no taxes paid and a tax bill that runs in the thousands of dollars. Inopportune tax bills can cause just as much damage to a person’s wealth as market turmoil can.

Wealth managers are an indispensable part of many Americans’ retirement futures. They may be the difference between a person comfortably retiring or working into their 70s. Americans often believe they know everything there is to know about money. However, a wealth manager can point out the information that can save them years of hard work and headaches down the line. The experts at CNB can help — give us a call today for more information about financial planning.