Whether you work as an individual financial advisor, a broker or a wealth manager, you help your clients through many different stages in their lives. Your oldest existing clients may have come to you at the start of their careers, seeking advice on saving money and how to make the most of their 401(k) and 403(b) plans. As their careers progressed and they started families, they may have sought guidance on setting up college funds for their children and making sure they had sufficient life insurance in place.
Now that those clients are nearing retirement, their focus has changed from saving to spending. Instead of accumulating a sizable nest egg, those pre-retirement clients are now worried about how to make their savings last a lifetime. Once again, they come to you for expert advice and guidance, this time on how to structure their withdrawals and ensuring their carefully built nest egg will be there when they need it most.
Life changes, and whether we notice it or not, our financial needs change with it. As a financial industry professional, you need to be ready for these changes and help your clients react to them. Dealing with major life stages, and guiding your clients through life as a young working professional, to the challenges of family life and finances and finally to life as a financially stable retiree, is an integral part of what you do.
Change happens to everyone, but that does not make it any less frightening. Whether your clients are switching jobs and rolling over their 401(k) funds or getting ready for the permanent vacation called retirement, they rely on you to provide the framework they need to move forward with confidence. Here are three steps you can use to prepare your clients as they move from one stage of life to the next.