4 Services Offered by Wealth Planners
Wealth planning helps you develop strategies for managing, growing, and preserving your financial assets. A wealth planner uses their financial skills to guide you on how to build wealth, maintain it, and plan for its transfer to future generations. Here are four services you can get from wealth planners and their benefits:
Investment Management
Managing your investments involves using strategies to help you invest your money in ventures that can grow your wealth while limiting risk. A wealth planner helps you create a diversified investment portfolio that allocates funds across asset classes like stocks, bonds, and fixed income. Professional wealth advisors also guide you on alternative investment options like private credit, real estate, and hedge funds. They tailor your investment portfolio to your goals, risk tolerance, and time frames. Once your portfolio is in effect, your wealth manager monitors its performance. They will recommend adjustments based on market conditions and your financial goals.
Financial Planning
A wealth manager helps with budgeting and cash flow management by tracking your income, savings, and expenses. They’ll guide you on structuring your finances to care for your needs while working toward your financial goals. A wealth advisor could help establish a savings plan for future educational expenses if you have children. Wealth planners also help with emergency plan funding by creating a savings strategy. This allows you to set aside sufficient liquid assets to cover unexpected expenses, like medical emergencies or job loss.
Trust Services
A wealth manager helps you establish a trust, allowing you to protect your assets and clearly define your wishes on their distribution to your beneficiaries. Before establishing the trust, the planner discusses your wishes and guides you on a suitable trust plan. If you choose a traditional trust arrangement, your wealth manager can administer the trust, distribute funds, and invest trust funds. A directed trust gives your family more flexibility over the distribution of trust funds. The wealth management service acts as the administrative trustee and investment advisor in a directed trust arrangement. This helps them oversee record keeping, tax reporting, and accounts maintenance.
Tax Planning
Wealth management services work with tax strategy teams that help clients minimize their tax liabilities. This can help you retain more of your income and assets. Tax services you can get from a wealth manager include individual tax, trust tax, and estate tax planning. Tax planning teams help you prepare your tax returns and advise you on credits and deductions you can leverage to reduce payable taxes. Your financial advisor can also guide you using tax-advantaged accounts such as 401(k)s, IRAs, and Roth IRAs. This can help you maximize your retirement savings and reduce your tax burden.
Hire a Reliable Wealth Planner Today
Wealth planners work with you to create strategies that help you save, grow, and distribute your financial assets effectively. Working with one allows you to get tailored financial solutions, including tax preparation, portfolio management, and financial records maintenance. Such financial services allow you to make decisions that increase your chances of achieving your financial goals. Contact an experienced wealth planner today for more information on their financial services.