If retirement is on the horizon for you, you probably have quite a few questions when it comes to financial planning. While you'll need to have saved enough to live comfortably after you stop working, you may also want to leave a sizable inheritance to your family or give back to charitable organizations. A financial advisor can work with you to meet these objectives by helping you make strategic decisions with your money before and after you retire. Here are a few reasons to seek professional assistance. 

How a Financial Advisor Can Help You Meet Retirement Goals

1. Provide an Overall View of Your Finances

An advisor will assess your current finances, and then they will also look forward to retirement to help you calculate how much you'll need to cover your expected living costs. Not only does this involve establishing savings targets, but it can also guide your investing strategy. For instance, if you'd like to build up your nest egg quickly, a financial professional might advise you to invest in funds that traditionally offer high returns but carry more risk. If you have more time before you plan to retire, your financial advisor might recommend slower, steadier funds that involve less risk. 

2. Help You Understand Tax Issues

Minimizing your tax burden frees up more money during retirement, but it also benefits your heirs. To reduce how much of your savings goes to taxes, your advisor might recommend putting money into a tax-exempt retirement account, which requires taxes to be paid on your contributions while you're working. Then, money can be withdrawn tax-free during retirement so you have a better idea of how much you have available. 

3. Establish a Strategy to Protect Against Risk

Regardless of the types of investments you choose, protection against risk is an important part of any strategy. However, that doesn't mean you should change your investment portfolio at the first sign of trouble, as this can result in lost money in the long run. Instead, financial advisors counsel clients to diversify their investment portfolios as a way to protect themselves against risk. In this case, if one investment loses money, you will have others to supplement the loss and fund your retirement. 

If you're ready to start planning for retirement or finalizing your retirement plans, reach out to Anchor Wealth. Serving Spring Hill and throughout Tennessee since 2013, these financial advisors believe in helping clients make personalized, responsible decisions when it comes to their money. Along with helping you develop an investment strategy, they also provide risk management services, legacy planning, tax guidance, and more. Learn more about their services by visiting the website. You can also schedule a consultation today by calling (615) 357-8865.