Plenty of people say, "What does wealth management mean for me?". It is important to know just what wealth management is and isn't so that you can determine if you would benefit from it. I mean, who feels like paying for something they do not need? Wealth management is a full approach to finances focused on making the most from your funds. Wealth management includes financial services such as tax planning, estate planning, and many other financial services. Usually, wealth management is catered to the kind of individuals who ask, "How might I find even more value out of my savings?" You can contact an independent financial advisor to decide if you would benefit from their financial services.

Choosing Lump Sum Payment Puts You in Control

As many wealth management clients reach retirement age, this important question often arises: Should I take my pension in a single payout, or in regular payments? There are bound to be exceptions, but typically, you will earn more on your savings by taking your pension in a single payout and re-investing it in another account. Here's the reasons why:

  • An emergency: If you have chosen to get monthly payments, you've no option to change to a single payout or "get an advance". Extra liquidity in an emergency is a valuable factor for many, and is certainly an important part of planning your future.
  • The underlying investments: When you have an employer-based pension plan, you usually are not aware of the underlying investments. Many times, the underlying investments do not fit with your personal risk tolerance. By taking a single payout and re-investing in a better retirement plan, you are able to earn more from your investment and, more importantly, really be in control.
  • Taxes: Although there might be some tax deductions that you miss by opting for the lump sum payment, re-investment into an IRA yields more tax advantages than taking monthly payments.

An independent financial advisor can advise you on this financial decisions.

You can learn more about wealth management firms Kenner LA with only one click. Talk to an independent financial advisor for financial services. Get the most that you can for your money you have made.