I believe in three things that are a constant: taxes, death and that everything will and does change. There are some changes that can be seen, rather, as transitions in life. More of a life path that you go on. There are some changes like a global pandemic that we do not see coming. Part of planning is planning for those changes that we can see coming.
Transition, by definition, is the process or a period of changing from one state or condition to another.
In the world of personal finance there are some financial considerations when you go through various transitions. The biggest one we talk about is going from the workforce to retirement. It is frequently why a financial professional is engaged for a person or couple. I have identified eleven different transitions including retirement that I want to discuss over the coming weeks in detail.
While all these transitions have financial implications, they also have emotional implications. Our emotions can drive our behavior in these states. I want to ask, can you think of a time that you had a big change and had to make some financial decisions around that change?
Money has its hand in all aspects of our lives and in transition sometimes the decisions around money can be made in emotion. Big changes and big emotions seem to go hand in hand. Whether the decision made is right or wrong is not the goal here, but allowing for recognition of that is important.
I look forward to walking through these transitions. I hope they speak to you or maybe to someone you love.
Stay tuned and enjoy.