Achieving Financial Wellness with an Investment Counselor
Statistics show that financial uncertainty is on the rise. Two-thirds of Americans believe their financial planning needs improvement. Americans say having a financial advisor boosts confidence; however, according to a 2023 Planning & Progress Study, only 37 percent work with one.
Financial wellness has become more crucial than ever. Navigating the complexities of personal finance can be daunting. Investment counselors can help guide you toward achieving financial wellness and improving your financial literacy.
Understanding Financial Wellness
Financial wellness is not just about accumulating wealth; it’s about having a healthy relationship with your finances. It encompasses managing your income, budgeting effectively, saving for the future, and making informed investment decisions. Being financially well means you’re ready for emergencies, have a retirement plan, and can enjoy life without money worries.
The Role of an Investment Counselor
An investment counselor plays a pivotal role in your journey toward financial wellness. They are professionals who offer personalized advice tailored to your unique financial situation and goals. They use their knowledge to explain economic ideas like investing and managing risk so that you can make more intelligent choices.
David Lerner Associates prides itself on employing seasoned investment counselors dedicated to educating clients and helping them leverage the “sensible middle ground of investing.”
As David Neuwirth, Senior Vice President at David Lerner Associates, says, “Our goal is to empower clients through financial literacy. When clients understand their future needs and financial options, we think they can make better decisions for their financial stability and well-being.”
Why Does Financial Literacy Matter?
Financial literacy is the foundation of financial wellness.
- It means understanding basic financial principles like budgeting, saving, investing, and managing debt. Knowing these things helps you take control of your financial future.
- Being financially literate gives you the power to manage your money wisely. You can make intelligent decisions about saving for emergencies, planning for retirement, or investing. When you know how to handle your finances, you’re less likely to fall into debt and more likely to reach your financial goals.
- Without financial literacy, it’s easy to make expensive mistakes. For example, not understanding how credit works can lead to high-interest debt, and not knowing how to invest can mean missing out on growing your money. Financial literacy helps you understand the risks and benefits of different financial choices to avoid these pitfalls.
- It provides improved financial stability. Knowing how to budget helps you live within your means and avoid debt. Understanding interest rates and loan terms can help you get better deals, saving you money. Knowing the importance of an emergency fund can protect you from unexpected expenses.
- Long-term financial benefits – Financial literacy isn’t just about immediate financial security; it also helps with long-term planning. Understanding savings and investment options makes saving for big goals like retirement easier. Financially literate people can build diverse investment portfolios, growing their wealth over time while minimizing risks.
Positive Impact on Society
When more people are financially literate, society benefits too. People who make smart financial decisions are less likely to need government assistance, which reduces the burden on public resources. A financially literate population also helps create a stable and robust economy because people save and spend money wisely.
Lifelong Learning
Financial literacy is something you learn only once and remember. The financial world constantly changes with new products, technologies, and rules. Staying informed and learning about finances helps you keep up with these changes and maintain your financial health.
This knowledge allows you to:
- Create and stick to a budget
- Save and invest wisely
- Avoid unnecessary debt
- Plan for significant life events like buying a home or retirement
David Lerner Associates offers a range of resources and personalized consultations to help you enhance your financial literacy. Their investment counselors work with you to demystify financial jargon, explain investment strategies, and develop a comprehensive financial plan tailored to your needs.
How to Get Started on Your Path to Financial Wellness
Taking the first step toward financial wellness starts with acknowledging the importance of financial literacy.
Financial wellness is about making informed decisions and planning for the future. To get started, you can seek assistance from an investment counselor by scheduling a consultation. During this consultation, they can help you understand finance, identify your financial goals, and establish a solid foundation for your future.
Material contained in this article is provided for information purposes only and is not intended to be used in connection with the evaluation of any investments offered by David Lerner Associates, Inc. These materials are provided for general information and educational purposes based upon publicly available information from sources believed to be reliable—we cannot assure the accuracy or completeness of these materials. The information in these materials may change at any time and without notice.