PHILADELPHIA, PA, August 29, 2013 /24-7PressRelease/
-- Premium Private Wealth
stresses the importance of financial planning at any age. It is never too late or too early to properly manage finances. It is actually strongly encouraged to meet with an advisor at least once a year in order to ensure financial stability. However, there are many people who neglect these privileges and have seen detrimental effects to their finances. People entering retirement are especially susceptible to making poor financial decisions.
Forbes published an article
that highlights how important it is to financially plan a retirement. A majority of retirees are out of work and thus rely on some other form of income or savings. Unfortunately, they often fail to act responsibly and end up in financial turmoil because they made erroneous decisions. A financial planner is a vital tool to enhancing the retirement experience and preventing people from making costly mistakes.
Some of the past mistakes that have been made revolve around incorrectly planning an income stream. People have failed to manage their lifestyle according to how much money they are expecting over their retirement. This causes them to get involved with complicated matters that they cannot afford. The end result is a drastic change in lifestyle and comfort in order to accommodate new financial situations.
Premium Private Wealth strongly discourages taking out a new mortgage upon retirement. When entering retirement, it is wise to eliminate as much debt as possible. This includes finishing previous mortgages and completely paying off homes. Many retirees have ended up in financially awkward situations because they did not correctly anticipate how much a new mortgage would affect them.
Another mistake made by some retirees is giving away money to family members. Grandparents are especially prone to this practice as their grandchildren go on to college. Most children nowadays are relying on assistance from their parents and grandparents to pay tuition and room and board. It is important to teach these children how to be more independent so that their retired grandparents do not have to drain their savings.
Many people who have just entered retirement will also start their new lifestyle off with an extravagant event. They may purchase a new car or plan an expensive vacation. It is a huge mistake to spend an exorbitant amount on luxuries until after a year into retirement. By then, the retiree has become accustomed to their lifestyle and has a thorough understanding of their finances.
A Premium Private Wealth representative points out how health can be a factor to retirement troubles. "Most people fail to take into account their own person health. Nobody knows how their bodies will change over the next few months or years, especially when you're older. If you don't plan your finances around your health, your retirement can be severely impacted. Older retirees should consider long-term life insurance to protect their assets. Staying in a hospital or assisted living facility can cost an incredible amount of money."
Premium Private Wealth advises retirees to consult with a professional finance manager to properly plan for their futures.
Premium Private Wealth is a financial management company operating out of Brisbane, Australia. It specializes in helping people organize their finances and build strategies to create wealth. The staff at this firm are dedicated to upholding great customer service and maintaining frequent communication with their clients. Customers come to Premium Private Wealth in order to manage their financial futures so that they can retire with ease.