money management

Should Millennials Hire a Financial Planner?

hire a financial plannerIn simple words the answer is absolutely yes.  People of every age both old and young need financial guidance and therefore we should all hire a financial planner.  We may think we’re doing what’s best for our money, we may even think that no one knows what’s best for us better than us, but the truth is a little professional help never hurt nobody.

Here are six reasons why everyone – even millennials – should hire a financial planner:

You don’t need to be a millionaire

Young people often think that there’s no need to hire a financial planner because they don’t have any money.  That couldn’t be farther from the truth, actually the exact opposite is true.  If you want to have money in the bank someday then professional advice can help you get there.

If you don’t have a lot of savings, if you have a lot of student loans and are living paycheck to paycheck ask yourself if you always want your life to be that way.  The answer is probably no.  A financial planner can help change your financial habits, prioritize your goals and be on your way to becoming debt free.

You spend everything because YOLO

As a financial planner myself I absolutely hate the excuse of YOLO as a reason why millennials don’t save money.  There is no reason why you can’t have more than one financial goal.  You can spend, have fun and still save for retirement as well as pay off y our debt – if you want to.  Living in the moment doesn’t mean living paycheck to paycheck and whoever thinks that way really needs to hire a financial planner so they can set you on the right track.

Make a list of all your goals both short and long term, then prioritize that list and take it to the bank.  You won’t be able to cash it yet, but you will be able to start saving for your goals.

Everyone needs to plan for the future

If you’re young you may not even be thinking about the future, but the truth is if you want to buy a car, buy a house, pay for a wedding, start a business, have children or travel the world someday you need to plan for it.  Those life events don’t just happen overnight and all of them require money – at least to do it successfully.

Talking with a professional can help set timelines and allocate savings towards your goals.  Buying a house and starting a business are both really big financial commitments and a financial planner can walk you through the necessary steps to get them done.

Start saving for retirement

If you want to stop working someday, even if that day is 30 years away you still need to start saving for it.  The government funding available isn’t enough to live off of, not happily anyways.  If you want to have a financially sound retirement then you need to plan for it.

The sooner you start saving and investing the less invasive it will be on your monthly budget.  You can save less over a longer period of time, if you only started saving in your 40s you would be playing catch up and therefore need to make larger contributions.  Talk to a financial planner about your retirement savings options such as a 401k or IRA.

Learn to stay calm during market fluctuations

Popular financial website Nerd Wallet says that millennials have a harder time adjusting to changes in the value of their savings and a financial planner can help set their minds at ease.

“Younger investors have come of age during terrible market conditions. Two extreme market drops since 2000 have not left them with much confidence or a desire to save. Many have stayed out of the market or been overly risk averse, despite the fact that time is their best asset.”

Let a financial planner help pay off your debt

If you’re drowning in credit card debt or student loans a financial planner can help show you the light at the end of the dark debt tunnel.  Maybe you’re overspending, but setting a monthly budget can help free up money to allocate towards paying off your debt.

Let a professional analyze your current situation and help pay off your debt sooner.  Just think of all the other things you could be doing with your money – other than paying back debt and being charged for interest.  That alone should be motivation enough to hire a financial planner.



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