Planning Your Financial Health after Bankruptcy
How a Phoenix Financial Advisor Can Help
No one wants to have to file for bankruptcy. No one wants to face that kind of financial crisis. But sometimes bad things happen, and sometimes good people find themselves making bad decisions. The unexpected loss of a job, a serious illness or injury, a divorce, or just the lure of easy credit can all cause otherwise responsible people to face the prospect of bankruptcy.
Should you have to file for bankruptcy, you should see it for what it is: A shot at a second chance. Working with a Phoenix financial advisor can guide you through a financial planning strategy that will put you on firm footing. Here are a few ways that a financial planner can help you:
Make a Solid Budget
Many people come under financial duress because they don’t have a budget to guide them or because they don’t stick to the budget. Your financial planner can help you create a comprehensive yet realistic budget that will pay all your monthly obligations while also leaving you a little left over for the unexpected.
If you do not have enough to cover your monthly expenses, creating a budget will uncover the problem. You can then work with your advisor in Phoenix to identify ways to reduce expenses or to increase income.
Develop a Savings Plan
You need savings to cover you in case of emergency. That way, if you need a new roof or you become seriously ill, you don’t have to fall back on credit or high-interest loans. However, few people actually save money, which partially accounts for our high dependency on credit as a society.
Your financial advisor will help you develop a savings plan, which may include a savings account or other interest-bearing accounts, such as a money market account.
Identify Worthwhile Credit Opportunities
You have to take out credit to build your credit-worthiness. However, most credit cards and other high-interest accounts hurt your finances more than they help them. Your financial advisor will help you identify worthwhile credit opportunities to rebuild your credit score without hurting your overall finances.
Set Up Retirement Accounts and Insurance
A retirement account is a type of savings account that offers some tax advantages and will help you protect your future. By setting up the appropriate retirement accounts, you will create some financial security for your future. You can also draw on those accounts if you experience another financial crisis before your retirement.
Your advisor can also help you set up the appropriate insurance accounts. For example, you may have gotten into financial trouble because you became seriously ill or injured. Your advisor can help you identify the best health insurance accounts to ensure that you are protected if you face a similar situation in the future. Your advisor can also help you set up policies for life, home, and automobile insurance.
Identify Investment Opportunities
Comprehensive financial planning should also include ways to increase your income. Your planner will help you identify low-risk investment opportunities that will grow your income over time.
Of course, you can also pursue high-risk opportunities, but these should be a small part of your portfolio to keep your overall risk low. Otherwise, you could find yourself in the same situation as you were before.
Sterling Investment Advisor has a successful track record for helping people in Phoenix and the surrounding area including Mesa, Chandler and Gilbert rebuild their lives after a bankruptcy filing. Our Mesa bankruptcy lawyers specialize in Arizona financial planning that creates steady growth over the long term. A financial advisor from our team will thoroughly review your finances and help you develop a plan that will minimize your risk while optimizing your gains. Call us today to learn how a financial advisor can help you get the second chance you deserve.
Guest Blog Published By:
Sterling Investment Advisor – Lance Vennard
2500 S Power Rd Suite 217
Mesa, Arizona 85209
Phone: (480) 729-8000