Retiring comfortably isn't a given. To get to that point, you generally have to work hard, save well, and make savvy investment decisions that lead to the accumulation of wealth.
Plenty of people feel equipped to handle retirement planning on their own. And you might strongly feel the same.
But in a recent Nationwide survey of older Americans, 86% said that working with a financial professional has helped improve their retirement readiness. If you've been tackling your retirement planning solo, you may want to have a change of heart.
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The benefit of working with a professional
When you're saving and working toward an important goal like retirement, emotions can get in the way. You're apt to be emotionally invested in your own retirement because, well, it's your future on the line.
As such, you may be inclined to shy away from certain risks for fear of messing with your retirement goals. And you may be more inclined to act erratically during periods of stock market turbulence for fear of seeing your retirement plan balance plummet.
The upside of working with a financial advisor or professional is that you have an outside person guiding you along who's not only knowledgeable, but is also likely to be more levelheaded when the market goes wild. That person's help and insight could help you invest more effectively -- and build up enough of a nest egg to eventually meet your goals.
Financial advisors live and breathe investing day in, day out. On the other hand, investing is something you might have a limited amount of time to focus on. So why not outsource the task to a professional who's in a good position to handle the work?
Think of it this way. You may know how to use a lawn mower and keep your yard looking decent, so you may decide to cut and maintain your own grass instead of hiring help. But if you don't have a lot of time or patience for the job at hand, you might end up with uneven hedges and weeds. If you bring in a professional, your lawn might end up looking spectacular all season long.
A move worth considering
It's not always an easy thing to ask for help -- especially in the context of financial matters. But just as it can be a worthwhile investment to hire an accountant to do your taxes, getting help with retirement planning can be valuable.
As such, you may want to ask around for financial advisor recommendations. From there, interview different candidates and see where that takes you. You may find that hiring a financial professional not only sets you on a clearer path toward your goals, but helps alleviate some of the stress that comes with imagining how to pay for living expenses in the future.
Remember, there are different fee structures financial advisors impose. Don't hesitate to talk through your options to find a setup that works for you.
