Ensure that your debt is in line with your financial goals and objectives, as well as your tax obligations.
Debt is not always a bad thing; in fact, the right amount of debt can help you accumulate wealth more efficiently. It is critical, however, that your debt is in line with your financial goals. It is critical to distinguish between bad and good debt. The proper approach is to have the appropriate amount of good debt.
When making recommendations for debt management, we will want your debt to be repaid over a reasonable period. What is appropriate is determined by the purpose of the borrowings as well as how the term and repayment interact with other aspects of your financial situation.
These goals are tempered by the need for you to have enough cash and the caution that you do not become overly committed.
At the most basic level, a person (or a business) can increase cash by selling assets or increasing liabilities. You can free up cash by selling equity-containing assets or increasing your borrowings. Our suggestions will be based on efficiency and practicability.
Some people prioritize debt repayment over all other considerations. You must also plan for your retirement, accumulate wealth, and strike a good work-life balance.
Having a Certified Financial Planner create a Financial Plan for you is the most effective and efficient way to ensure that you meet all of your financial and life goals. Be assured that we can help you with this. Contact us today.