Most people know that at some point in their lives, they will require an accountant for financial planning services. However, for a lot of people, this subject is rather ambiguous and unknown. Understanding what it takes to build a solid foundation for your financial future is crucial, so to get started, consult the answers to some of the most commonly asked questions about financial planning below.

4 Questions People Ask Accountants About Financial Services

What is financial planning used for? 

This service is used to help educate and prepare you for any financial endeavor in your life. This may include preparing your yearly taxes, figuring out a plan for retirement, putting money away for savings or a college fund, or learning how to manage your budget better.

When should I start financial planning? 

There’s a common misconception that you don’t need financial planning until you are married or have a family. The truth is, the earlier you start, the better. The rule of thumb is that as soon as you are financially responsible for yourself, you should hire an accountant to help you better manage your funds and budget. 

How often should I meet with my accountant?

For the most hands-on approach, schedule at least two appointments per year with your accountant. However, you should also schedule additional appointments whenever you experience a significant change to your income, employment status, or budget. 

How will my accountant create my financial plan?

The key to a solid financial plan is considering both your current and ideal employment and economic status. Your accountant will review your present finances to determine a feasible approach toward saving while also determining the most effective means to reach the goals you set as quickly as possible. An accountant will help you set long term plans, such as saving for a mortgage payment, car, or for your family’s education.  

If you’re ready to start financial planning, talk to the accountants at Cloyd & Associates. They serve residents throughout Laurel County, KY, and have the knowledge and expertise needed to ensure optimum financial security. They also offer tax preparation, pension plans, and estate planning. Visit their website for more information on their practice, and call (606) 864-8110 to schedule a consultation with an accountant today.