The most positive life events – a home, wedding, new job or vacation hideaway – require you to implement a financial plan. But if you’re struggling with your current budget and not sure how to put it into motion, you may need to seek the assistance from a financial advisor. The following are happy life events that will enliven you to implement a financial plan.
The Chance to Purchase a Vacation Hideaway
A summer vacation rental is an opportune time for you to escape mom duties and relax. But what if you’re given the opportunity to own the retreat you’ve visited annually and with a price you just can’t say no to? Although you may only house the vacation home several weeks out of the year, you can still have it pay for itself by renting it out the remaining weeks. Since this can be a challenging long-term commitment to understand, your financial planner and real estate agent can prove handy when determining fair costs for the rental and securing the funds to make it happen.
Planning Your Dream Wedding
More and more couples are choosing to marry later in life. When you’re ready to tie the knot, you want to have the funds to host your dream wedding. Today’s nuptials cost between $20,000 and $32,000, and that amount doesn’t usually include the honeymoon vacation. The venue and wedding attire are normal expenses. But couples may also want to find ways to stand out from the other weddings and do things to make their day special. Thoughtful gestures that go above and beyond can include pampering those in attendance with personalized gift bags for hotel guests. Other thoughtful remembrances to include are mementos for the bridesmaids and groomsmen or wedding table gifts such as a wine opener inscribed with your name and date. To ensure you have sufficient funds, put additional income into a wedding savings account.
Ready to Start a Family
The arrival of a baby is a happy life event. But children can be costly, so you need to be prepared. In between securing baby furniture and picking out names, research ways to save for your child’s expenses down the road. There are accounts where you can begin to save for college. You may also want to think about additional life insurance to protect your family.
You Graduated College
Graduating from college is an amazing feat. Although you may be faced with your share of college debt once you’ve graduated, there are ways to pay down student loans faster. Keep your eyes open to programs where you can secure a lower interest rate on your current loan. Other ways to pay down your debt includes cutting back on frivolous expenses and finding ways to earn additional income. When you’ve made your last loan payment, use the same amount of money and put towards savings.
You’ve Finally Got the Raise You Deserve
Over the years, you’ve probably received a small yearly raise. Going for that big promotion may also have worked in your favor, and you’re now making the money you deserve. Before you go splurging on gifts for yourself, you want to put together a plan for your boosted in income. Speak with the experts to decide on the right amount of money you should be saving for your future. Some of the money can also be used to raise your retirement savings. Who knows, with the right planning, you may be able to retire at an early age.
You Want to Relocate
Deciding to move to a different state can be just as challenging as relocating to another country as the cost of living may be more costly than what you’re used to. The tax rates can also change dramatically. Before you put your plan into motion, you want to determine your costs associated with the move. You also want to assess the amount of money you’ll need to reside in the new location. Don’t forget to factor in moving expenses too. If it’s for a job, it can be easy to determine your expenses with your new salary. But if you’re moving sans the job, you want to have money to cover your costs until you find employment.
Time to Retire
Retirement is a key moment in life. When you set the plan in motion by saving in your 20s and 30s, you may enjoy an early retirement. If you’re ill-prepared in your 40s and 50s, there’s still time to consult with the experts to determine how much you’ll need to save. To help in your pursuits, reflect on how you’d like to spend your time when work no longer occupies your mind such as traveling.
Putting money aside may be the last thing you’re thinking about as a young adult. If you’re a busy mom, you may have your hands full juggling work, children and a spouse. But to ensure you enjoy every positive momentous occasion, the above tips may just push you to implement your own financial plan.