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6 Key Priorities That Impact Financial Planning

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Everyone has unique financial goals, challenges and concerns that require revisiting as circumstances and needs evolve over the years, such as retirement income planning and wealth transfer considerations. Here are some of the top priorities facing Private Wealth Management clients today, and tips for working with your advisor to keep your financial planning on track.

1. Focusing on retirement

Since the mid-1990s, life expectancy for men and women has increased by 12 and 10 years, respectively, to 91 and 94—26 and 29 years beyond the typical retirement age.1 As this “third act” of life approaches, it’s important to consider converting assets into a regular income stream to support these years. The first step is determining goals for your post-retirement lifestyle—whether those are volunteering, traveling or working part-time. Then, while also accounting for unforeseen events (such as a healthcare emergency or investment loss), you and your advisor should consider adjusting your spending to support a fulfilling retirement that comes with peace of mind.

2. Reviewing investments

Risk tolerance will naturally evolve as your financial, professional and familial circumstances become more complex, and your investments need to follow suit. Make sure to schedule regular check-ins with your advisor to discuss portfolio diversification and alternative strategies that align with your goals.

Tip: The SummitView® online tool simplifies financial planning to help you focus on your long-term goals.

3. Protecting what you’ve worked hard to build

Investing is a defensive approach (preparing for a wide range of scenarios) as much as an offensive one. Unanticipated situations such as injury, illness or a need for long-term care may impact your wealth objectives unless you’ve made a plan with your advisor to put the appropriate insurance policies in place. And because business owners face an added element of risk, they have additional risk mitigation strategies to consider. Work with your advisor to put strategies in place to protect your business and other large assets.

4. Saving for a family member’s education

The average annual cost of tuition, fees and other expenses for the 2015/2016 school year was $24,601 for in-state public schools and $47,831 for private institutions.2 That’s a respective four-year bill of $98,000 and $191,000, without accounting for inflation or extra expenses. Work with an advisor to evaluate savings options that can help you meet this goal without impacting your retirement income.

5. Managing cash flow, debt/borrowing needs and planning for a major purchase

Account liquidity is critical, whether it’s to fund a major purchase or have cash available for an unexpected expense. SunTrust Private Wealth clients have access to banking solutions for cash management that address both short-term needs and long-term goals. By adjusting these solutions, you and your advisor can create an optimal balance between liquidity and debt to align all of your financial objectives.

6. Planning for the transition of assets

Many questions accompany the decision to distribute your assets among your beneficiaries. How can you know your directives are clear? What can you do to ensure your assets avoid probate? How can you adequately provide for your beneficiaries while also supporting charities? Your SunTrust advisor, together with your legal and tax specialists, can evaluate and modify your transition plan in order to meet your personal and philanthropic goals.

Direct and frequent communication with advisors is critical to addressing these issues and working toward effective wealth management. Contact your SunTrust advisor today to discuss a regular schedule for monitoring your plan to keep pace toward your short- and long-term goals.

1 “How retirement has changed in the last 30 years,” Feb. 16, 2016, MarketWatch

2 “Trends in College Pricing 2015,” 2015, The College Board

Disclaimers

This content does not constitute legal, tax, accounting, financial or investment advice. You are encouraged to consult with competent legal, tax, accounting, financial or investment professionals based on your specific circumstances. We do not make any warranties as to accuracy or completeness of this information, do not endorse any third-party companies, products, or services described here, and take no liability for your use of this information.


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