Wealth management services provide a great option for those looking for a professional to help them with their nest egg and future plans. Unlike other investment services, wealth management covers every aspect of your finances, from taxes to estate planning to philanthropic objectives and more. So, no matter where you are in your life, whether you are starting out, earning, or retiring, wealth management services can help meet different needs.
Investment Services vs. Wealth Management
While investment services and other asset management services focus on investing in assets or offering a product, wealth management is more comprehensive. Wealth managers do provide investment services but also consider their clients’ long-term goals and needs on a more in-depth basis. A wealth manager looks at a client from a total household perspective and provides investment and risk mitigation advise on all their assets, not just the ones invested with them. Examples of this could be if you own commercial and/or residential rental property, have company restricted/stock options, or have 401(k) plans.
Wealth Management for Those Just Starting Out
If you are a young professional, you might think that it’s too early for financial planning at the beginning of your career. But we’re here to tell you that this is the time to get started. A financial planner can help with financial goals you may have.
Savings: A financial planner can advise you on how much to save and prioritize your monthly expenses by analyzing your monthly cash flow.
Investing: There are many ways to invest today, some riskier than others. A good financial planner will educate you on investing in a well-diversified portfolio of traded funds looking for growth.
Retirement: What sort of retirement account should you have? What’s the difference between a 401K, Roth IRA, versus traditional contributions? Part of financial planning is to help you establish the best route to save for retirement.
Milestones: Retirement might seem like a long way away, so setting up milestones along the way can help keep you on track with your plan. These goals should be clear, attainable, and bring you peace of mind when you reach them.
We understand that your life plans can change significantly. For example, you might go back to school, get married, buy a house, or even lose your job. Having a flexible plan that can account for these changes and keep you on track toward your financial goals is key to peace of mind.
Unbiased advice: Relationships can be difficult. On average, more than 20% of all divorces are because of money issues. A wealth planner can help iron out conflicts surrounding your family’s financial decisions.Education: A wealth planner will educate you through the process of their financial decisions made on your behalf. The goal is not to just invest your money but to instead educate you on the why behind the decisions being made so that you are comfortable with where and how your money is working for you.
Wealth Management for Those in Their Earning Prime
Individuals in their earning prime are established in their careers and have accumulated a significant nest egg. They are at a stage in their life where they are looking to maximize their returns. Unlike younger age groups, this group may be looking to care for older parents, slowing down and refocusing on their health. Their financial goals are aimed at making sure they do not miss anything.
Savvy investors: Those in their earning prime know how to invest their money but have to manage more moving pieces. In situations like these, wealth management can give them back the time to spend with family members and do what they enjoy.
Various types of investments: It’s not just stocks that make good investments; this group also holds other assets such as real estate. These different types of investments benefit from the expertise of a wealth manager.
Continuity: If something happened to you, would your family be taken care of? Having a plan for unexpected events is the essence of continuity. It is thinking about what to do with your wealth should something happen. Wealth management ensures that the funds they have worked hard to save stay within their family.
Maximizing wealth: Those in their earning prime work smarter, not harder. And they want the same for their money. Wealth management services can help this group maximize its wealth and returns.
Wealth Management for Those in Retirement
Those who are in retirement are looking to enjoy life, spend time with kids and grandkids, and not stress about life. Since health could be a big concern in their lives, wealth management can help them keep their nest egg healthy and reduce investment risk.
Minimize, maximize, minimize: Retirees are looking to minimize their taxes, maximize their pensions and social security, and reduce volatility in their portfolios.
Planning for care: Since health may be a primary concern for this group, wealth management services can help them plan for long-term care so that a health crisis does not derail their plans.
Estate planning: Retirees want to make sure that their wealth or business is transferred in the most tax-efficient way. Some people may also want to set up a philanthropic foundation to continue their legacy. Wealth management services can do all this and more for those in retirement, leaving them more time to travel and enjoy life.
Continuity: As with those in their earning prime, retirees want to know that everything is set up for their family if something happens to them. A wealth management team can work with them to ensure continuity for their spouse and the next generation.
Is Wealth Management for You?
Some choose to manage their finances by themselves and learn independently; however, as someone’s financial situation becomes more complicated, they can choose to work with a wealth management professional. This expert can help them implement their plans, keep them accountable, and look for new opportunities on their behalf to ensure both short- and long-term financial goals are accomplished.
No matter what stage in life you are In, Oakwell is here to help. Talk to an Oakwell team member to learn how wealth management services can help you plan for the future.