Going at it alone when it comes to your financial goals can be costly. You may not even realize just how costly it is until you’re reviewing your finances in the future and find out how little your money has been working. 

 choose to wing it with their finances and do not seek professional financial advice, even despite the fact financial illiteracy can cost Americans 

 If you’ve built a career and managed your money with the expectation it will pay off - you don’t want to be a part of that statistic.

 does exactly what their title suggests — they advise you on matters relating to your personal finances including investments, savings, budget, insurance, and tax strategies that not only saves you money now, but can set you up for financial success in the future.

Financial mistakes today can mean big consequences later. You may be in the midst of your career, raising your family and living your life. Managing your money in a complicated financial ecosystem is challenging and it may slide to the wayside in lieu of more pressing things.

 we take the stress out of planning for your financial future. You’ve worked hard for your money, so it’s imperative that your retirement dreams coincide with your overall financial plan. Do you know if you’ll have enough money to last?

Why Should You Work with a Financial Advisor?

While we would all like to take up the offer of a seasoned financial advisor, the cost can be prohibitive and even deterrent, especially early in your career. You’re not really thinking about retirement, but you are already making decisions (contributing to a 401k and/or pension) and investments (cars, houses) that can impact your financial health not only now, but far into the future.

A great example of financial decisions you tend to make at a young age happens frequently to college students. According to estimates, more than a third of college students have over 

, not to mention student loans. There’s nothing like debt to ensure you never meet your financial goals.

No one needs to work with a financial advisor. One can go at it alone and learn the ropes of personal finance and 

 by understanding how debt, compound interest, and too-good-to-be-true investments truly work. But when it’s not your focus, it’s easy to make missteps.

4 Things an Advisor Should Be Doing for You

Whether you are on the verge of retirement or wanting to get the most out of retirement, it’s difficult to know where you are or if you are heading in the right direction without proper goals. Your goals will rise out of your personal values and must be specific and achievable. A financial advisor will help you define those goals and build a plan that’s right for you. 

Financial advisors are not just for those planning for approaching retirement; it’s also for those who want to manage their money well in general. If you’re a college student hoping to dodge the credit card schemes we mentioned, or if you’re mid-career and want professional eyes on your contributions and investments, it’s never too early to get financial advice.

A good financial advisor keeps up to date with evolving trends, laws and developments. When you’re considering working with a financial advisor and trying to find out if they’re a good fit for your needs, you should come out of your first meeting or call with some ideas about how they’ll help you specifically. If you mention college loan debt and a growing family, make sure they recognize that when talking about options. If you have a more immediate goal like buying a new laptop, you should have an idea about how they’ll help you with that as well.

2. Organizing all of your necessary documents

There are numerous documents necessary for a complete financial plan. Everything from a will to 401(k) documentation should all be in one place for secure storage and easy access. 

Does your financial plan consist of a stack of papers that feels like it needs someone from NASA to understand? A financial professional can help with that. Financial advisors can provide advice and assistance on many levels - but make sure, especially when you’re going over important documents, that they’re equipped to handle everything you need them to. 

3. Providing a clear financial assessment

Do you know where you stand financially? Working with a financial advisor can help you understand where you currently stand, what steps need to be taken, and if your financial plan matches your values. 

It may seem like a strange thing to consider when you’re putting together a financial plan, but when your personal values and financial action plan don’t align, you may find yourself behind or completely absent from your goals. 

 are what you hold most important in your everyday life. Many people say their families are most important, or their faith, for instance, and they’re doing okay because they’ve got a 401k and health insurance; they may even own a house and a couple of cars - but are they financially okay? 

A good financial advisor may show that despite your progress on some goals, you may not have a will in place. Why is that a problem? Without a 

 in place, there may be no back-up plan or road to financial recovery for your family if you or another immediate family member dies unexpectedly. A good financial advisor will help you keep these values top of mind and construct an overall plan that protects you and your biggest priorities.

4. Supporting you to live and retire with confidence

Don’t do it alone. You need someone who can provide guidance and support. Changes in the market and life can affect the outcome of your financial plan. 

people over age 55 represented 25% of the American workforce.

the older population has been more susceptible to the virus

 and the younger population has remained in the workforce. If you were over 55 and counting on additional income years, this could be a problem that affects your plan.

Even without COVID-19, many retirees may find it difficult to live comfortably solely on Social Security benefits alone - especially when the annual cost-of-living increase (or COLA) 

 Financial advisors are well-aware of this issue for retirees and should be working constantly to help develop additional income streams before you get to the point of needing it.

It may not be the answer you want to hear, but the real question is: how can you afford not to have a financial advisor?

Most financial advisors charge based on how much money they manage for you, a fee structure called AUM, or Assets Under Management. Percentages will vary from firm to firm, so don’t hesitate to be up-front in an initial meeting. If you’re new in your career and working with an annual income of $30,000, for instance, you could be looking at $300 in fees. If you’re at a higher level, investing $100,000, for instance, you could be paying $1000.

Another way financial advisors charge is with a flat rate, or retainer. This can be a flat fee per plan, per hour or per year and can range from 

two to seven thousand dollars, annually. 

If either of those don’t sound like a good fit - there are other routes. It’s not uncommon to find financial advisors 

Where Do I Start Looking for a Financial Advisor?

Fullerton Financial Planning understands how important your financial future is to you and your family.

 When Steve and Stephanie started the firm in 2007, community was an integral part of their business foundation. They value building relationships with clients - getting to know you, your family, your goals, and your dreams. That’s where a real financial plan starts.

Don’t leave your financial future to chance because you don’t think you can afford it, or you’ve been doing okay winging it with investing. It only takes one market downturn or unexpected life event to separate a novice from a veteran. If you want to buy a house, a car, take a vacation or build a nest egg, see what a financial advisor can do for you.

 is here to help you create a personalized plan for your financial goals. 

Schedule a call with Fullerton Financial Planning

 today to discover how we can help you manage your finances so you can pursue your goals. 

 4 Reasons You Should Be Working with a Financial Advisor Right Now 

Recent research has found that millions of Americans who lost their jobs during the early months of the pandemic have decided to call it quits and retire early.   

Before COVID-19 came along, people over age 55 represented 25% of the American workforce. There were more workers over age 55 than under age 30. In the course of just a few months, that ratio reversed. While older Americans have proved more susceptible to the ravages of this virus, younger people are willing to stay in the workforce. Even if they’ve had hours reduced or been laid off, they are seeking and plan to resume work in the future.

That future is not so rosy for more mature workers. We don’t know what 

the normal, onsite work environment will be like a year from now. If the public is still social distancing, that means people are still at risk — and those age 55 and older may not want to take chances with their health. After all, they’ve been saving for decades. They’re not about to miss the

opportunity to enjoy retirement just to eke out a few more years of work in an environment fraught with health risks.

Unfortunately, not everyone is in a position to retire right now, at least not the way they originally planned. If you find yourself considering early retirement, do a little prep work to see how feasible it is and what you’re willing to do to make it work. To get started, consider these steps:

Think about the obvious sources of income, such as Social Security 

benefits, a pension, your retirement accounts and investments. However, also consider other potential sources, such as real estate, an inheritance or other income-generating investments.

If retiring early is still going to be very difficult, then the real solution is to pare back your lifestyle. You may want to consider downsizing to a smaller house or a condominium to reduce ongoing utility, tax, maintenance and insurance expenses. You might consider combining households with an adult child, using your assets to build on a mother-in-law suite to his or her house or add a granny flat in the backyard. While you may not be able to leave your child a large inheritance, this could help add to the real estate value of his or her home.

If you have plenty of assets now but worry about running out in the future, you may want to consider moving to a Life Plan community. This would enable you to consolidate expenses such as living, utilities, dining, household maintenance, health and long-term care all under one fee. This can help you estimate your lifetime expenses from the outset. Here’s a key principle to remember: Most people draw retirement income from a number of different sources. By diversifying your portfolio across fixed income sources, guaranteed income sources and long-term growth opportunities within your comfort level for risk, you may be able to retire early while still growing a nest egg for the latter stages of your retirement. Just as it’s a good idea to diversify your investments, it’s equally important to diversify your retirement income sources. This may help reduce your tax liability and the risk of your income sources drying up. Remember, retirement may last 20 years or more, so spend a lot of time upfront working with an advisor to develop your plan. This is all the more critical if you decide to retire early.

Brett Arends. MarketWatch. May 2, 2020. “COVD-19 crisis sparks ‘early retirement’ wave.” 

https://www.marketwatch.com/story/covid-19-crisissparks-earlyretirement-wave-2020-04-30?mod=home-page

 Income Ideas for Retiring Early 

More than 90% of America’s older adults prefer to “age in place” in their own homes rather than in a senior housing community or facility. 

 With today’s insight into how a deadly pandemic can affect nursing homes — as of September 6, COVID-19 has claimed nearly 55,000 nursing home residents’ lives — this preference may be prudent from a health care standpoint. 

However, aging at home also can be quite expensive. Much depends on the level and amount of care you require. And, as you can imagine, those levels are likely to increase as you get older. For some, it starts out as light housekeeping and running errands. That may progress into cooking meals and taking you to doctor appointments. Eventually, you may need someone to help you dress, groom and move around. A few hours a week could eventually change into 24-hour care, depending on your rate of health and/or mental decline.

According to the 2019 Genworth Cost of Care Survey, the average cost of an in-home caregiver is $22.50 per hour. 

 If you need someone for eight hours a day, that could run you about $5,400 a month. If you need 24-hour care because, for example, you need help walking to the bathroom in the middle of the night, that cost could quickly amount to $16,200 a month. Is that a potential cost you’ve factored into your retirement income plan?

For many, the answer is no. We tend to plan as well as possible and hope for the best. If you’d like to explore different insurance options to help pay for potential long-term care needs, we can help. Contact us for more information.

As you develop a plan for old age and staying at home, it’s important to embrace technology. Today, about 75% of people age 55- to 65-years old own smartphones, download and use apps, and many search online for health information. 

One of the silver linings of the pandemic is that more people have begun to embrace remote patient monitoring devices. Wearable technology enables certain vital signs to be constantly monitored and even emitted electronically to their physician’s office if they exceed normal levels. This allows some people who suffer from chronic illnesses or who are home-bound to monitor their own health instead of visiting doctors’ offices or requiring hospitalization. 

Another way to help combat the cost of 24-hour in-home care is to explore the growing availability of artificial intelligence-aided robots. While lacking the warmth of a human being, robots can research information, engage in conversation, play games and even make remote phone calls if their ward needs emergency care. 

If you’d rather have an actual body in the house to keep you company and provide for your needs, another way to help cut costs is to provide a rent-free room in exchange for care. This can start out as a simple arrangement in exchange for light housekeeping, cooking and chores. Later on, you may want to seek out a nursing student or other type of medical provider who can offer more substantive caregiving duties in exchange for a place to live.

Content prepared by Kara Stefan Communications.

 Tracy Arabian. Gloucester Daily Times. Sep. 2, 2020. “Help available for all wanting to age in place.” 

https://www.gloucestertimes.com/news/living/senior-lookout-help-available-for-all-wanting-to-age-in-place/article_a375bb79-166d-5ddb-954f-8b70c11735ff.html

 Centers for Medicare & Medicaid Services. Sept. 6, 2020. 

 Rachel Hartman. US News & World Report. June 10, 2020. “Can You Afford In-Home Elderly Care?” 

https://money.usnews.com/money/retirement/aging/articles/can-you-afford-in-home-elderly-care

 Mallory Hackett. MobiHealthNews. Sept. 9, 2020. “An untapped market for digital health innovation exists among seniors hoping to age in place.” 

https://www.mobihealthnews.com/news/untapped-market-digital-health-innovation-exists-among-seniors-hoping-age-place

 Rich Griset. Chesterfield Observer. Sept. 2, 2020. “During the pandemic, local companies help seniors bridge the technology gap.” 

https://www.chesterfieldobserver.com/articles/during-the-pandemic-local-companies-help-seniors-bridge-the-technology-gap/

 Wolf Shlagman. HomeCare. Sept. 1, 2020. “The Potential of AI in Homecare.” 

https://www.homecaremag.com/september-2020/potential-ai-homecare

We are an independent firm helping individuals create retirement strategies using a variety of insurance products to custom suit their needs and objectives. This material is intended to provide general information to help you understand basic retirement income strategies and should not be construed as financial advice.

The information contained in this material is believed to be reliable, but accuracy and completeness cannot be guaranteed; it is not intended to be used as the sole basis for financial decisions. If you are unable to access any of the news articles and sources through the links provided in this text, please contact us to request a copy of the desired reference.

 Will You Be Able To Afford In-Home, Long-Term Care? 

If you have people in your life who rely on you, or loved ones you want to ensure are taken care of should anything happen to you, life insurance is a worthwhile investment. Some people might question the value of peace of mind. It’s true, you’ll see no benefit of a life insurance policy while you’re alive – but that’s not the point of these policies.

Life insurance is traditionally intended to provide financial security for the people you love in the event of your untimely passing. However, modern life insurance options offer a diverse array of features and benefits to further enhance the value of the product.

Like all insurance polices, life insurance represents a contract between you and the insurance company. As long as you make premium payments, the insurance company guarantees a death benefit that will be paid to your beneficiaries in the event you die. Death benefits can be used to cover funeral costs, outstanding debts, funds for the education of children or replace lost income.

There are two primary types of life insurance:

Protecting loved ones is fundamentally the primary goal of life insurance. There are, however, some ancillary purposes some retirement savers may appreciate, like charitable giving via life insurance. In broad terms, life insurance is ideal for:

Virtually every adult can potentially benefit from life insurance, even ones who don’t have dependents. A life insurance policy can help families defray the cost of unexpected end-of-life expenses or ensure parents, siblings or any other beneficiaries or charities you care about receive funds in the event of your passing. However, the clearest and most obvious answer is you should invest in life insurance as soon as there are people who will suffer financially in the event of your untimely death.

Parents and adult children caring for older parents should strongly consider purchasing adequate life insurance for income replacement, debt elimination purposes and end-of-life expenses. Some types of policies make more sense at certain times in your life. For example, young, healthy workers in their 20s and 30s can receive generous term life policies with extremely low premiums.

If you’re interested in permanent life insurance as a part of your retirement plan, the earlier you start the longer the cash value of the policy will grow. You should also reexamine your life insurance situation after major life milestones, like having a child, purchasing a home, starting a new business or getting married.

Do You Have Questions About Life Insurance and How It Can Complement Your Retirement Savings Plan?

The team at Fullerton Financial Planning have extensive experience advising retirees and retirement savers on a variety of investment and savings vehicles – including life insurance. If you have questions about policies or are interested to learn how permanent life insurance can be incorporated into your plan, call our 

Why You Should Consider Life Insurance and When You Should Get It

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We believe that knowledge is the key to making informed decisions about your financial future. Our blog is designed to provide you with a wealth of valuable insights, tips, and strategies on everything from financial planning and wealth management to taxes, estate planning, Social Security, and more. 

Whether you're preparing for retirement, navigating complex tax laws, or looking for ways to preserve your legacy, our blog serves as an invaluable resource. Each post is crafted by our team of financial professionals, ensuring you receive relevant, up-to-date information that addresses the real challenges retirees and pre-retirees face today.

Welcome to Our Financial Tips Blog

4 Reasons You Should Be Working with a Financial Advisor Right Now

Income Ideas for Retiring Early

Will You Be Able To Afford In-Home, Long-Term Care?

Why You Should Consider Life Insurance and When You Should Get It