Peter Newman, CFALighten the Burden of Financial Decisions
Updated: Jun 14
I recently had a conversation with a new client. He is the primary breadwinner and has been making most of the financial decisions for his family in recent years. We compared notes on growing up with parents who were boom and bust in their finances. We discussed the burdens of having to live up to societal expectations of the man being the breadwinner and sole decision maker regarding finances. It felt comforting to know that other men feel similar levels of pressure and stress to provide for their families. Of course, a small amount of stress or expectation pressure can be motivating. A significant amount of stress can be paralyzing and cause indecision or lead to poor decision making.
This high income professional’s concerns are similar to those I’ve heard from others:
Should I pay off student loans or prioritize saving for retirement?
Am I saving enough to retire on the timeline I desire for my family?
Is there enough cash or life insurance if something were to happen to me?
What type of life insurance do I really need?
My spouse and I have 7 different retirement accounts, can we get these more organized?
Are my investments pulling enough weight for the risks I’m taking?
As our conversation evolved, it became clear that this very smart individual was certainly capable of dealing with these issues. However, to do so, he would probably need to spend weekends creating excel spreadsheets with different scenario models and reading financial planning books. This would take precious time away from his children and wife. And, even though he could come up with a good decision after hundreds of hours of research, he, like most of the families I work with, would rather outsource that work to an expert. And, receive an opinion that the decision being made is the best one, or the most optimal decision, given his family’s resources and unique circumstances.
The benefits of having a relationship with a trusted financial advisor include:
When your company offers to repurchase stock, your advisor can give you a recommendation in a day or two in time to meet the tender decision timeline. And, they can advise about the tax consequences.
If your company changes the 401k lineup, your advisor can sort through gobs of fund materials and tell you which ones to pick, thereby saving you an entire Saturday afternoon.
If you have a question about whether to allocate cash flow to paying off student loans or saving for retirement, your advisor can let you know the pros and cons of each option.
If you and your spouse are not in agreement on a major financial decision, your trusted advisor can help you reach a compromise.
Even though he could come up with a good decision after hundreds of hours of research, he, like most of the families I work with, would rather outsource that work to an expert.
You can sleep at night knowing that a coach for your personal finances is a phone call or email away. That way, you can turn off the noise of the markets, headlines, and watercooler chat and get back to doing what you love.
Final thought.
Do you have written financial goals? Is stress causing you to re-think your investment strategy? Are there significant changes happening in your life?
Peak Wealth Planning meets with clients in Champaign and Chicago, Illinois, as well as in Colorado near Denver, Winter Park, and Fraser.
If you have a net worth over $2 million and need help from a wealth manager, the Peak Wealth Planning team can assist you.
Peak Wealth Planning specializes in helping high-net worth individuals and families plan for the future.
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About the Author
Peter Newman is a Chartered Financial Advisor (CFA) and president of Peak Wealth Planning. He works with individuals nationwide that have accumulated wealth through company stock, ESOP shares, real estate, or running a business. Peter applies his unique background to help clients achieve their specific goals and enjoy peace of mind.
Peak Wealth Planning provides concierge services to meet your wealth management needs. Services include: financial planning, investment management, esop diversification, retirement income, insurance, and estate planning advice. Peak Wealth Planning is a fee-based financial advisor based in Champaign, Illinois, and Fraser, Colorado.