There isn’t a specific time to begin planning your finances; different people have various perspectives on when to start saving or planning. However, early planning is often beneficial, as it allows for greater savings over time. Here are some signs that indicate it may be time to start planning your finances:
For Your Goals
If you aspire to start your own business in the future, it’s important to begin building capital early on. You may not know how much money you will need, and having a financial backup can be crucial during challenging times. Start saving from the beginning of your career to fulfill this goal.
Increase in Income
Many people struggle to save or invest due to responsibilities and liabilities, such as rent, groceries, and school expenses. However, if you receive a salary increase and find yourself with extra income, consider investing it wisely instead of letting it go to waste.
A Few Years Before Retirement
Even if you haven’t planned your finances throughout your life, it’s essential to start planning at least a few years before retirement. Without adequate financial support, retirement can become difficult. Aim to begin your financial planning at least five to six years before your retirement date.
After Retirement
Some individuals think about planning their finances only after receiving a lump sum upon retirement. If you approach this correctly, it can be a great opportunity. Our experts at Jay Brown Financial Advisor are always available to help you navigate this situation.
To determine what is best for you, it’s wise to consult with experts like Jay Brown.