How can I reduce my taxes now and in retirement?
Do I have enough money to retire and will it last?
As part of National Financial Literacy Month, AICPA and FinSCA answered some common questions individuals and families ask as they seek clarity and confidence in their financial lives.
“National Financial Literacy Month reinforces that financial knowledge is an important life skill. When people understand the ‘why’ behind their decisions, they are more likely to act with confidence and purpose,” Carrie Sinnett, senior manager-personal financial planning at the AICPA, said in a news release. “Since CPAs have a unique vantage point when it comes to financial planning, they have a desire to help the community at large understand not only what to do, but why it matters.”
The quiz, appropriately, begins with this question:
Where do I start?
Talk over your current financial situation, including income, expenses, debt and savings. Be honest and transparent with yourself and your family about your financial values, goals and priorities – this builds trust and sets the stage for effective planning. Next, share your financial values and priorities. Understanding each other’s perspective helps align your financial goals.
And remember, life is unpredictable – be prepared. Always start with an emergency fund to cover three to six months of living expenses in case of unexpected events like job loss or medical emergency. A trusted financial professional can make sure you fully understand all of your options.
News release answers five additional questions And ends with advice on finding a trusted professional for help.
“Financial literacy isn’t a once-a-year conversation – it’s the foundation of every great financial plan, and it’s what separates a good plan from a great plan,” said Mark Cadin, CEO of FinSeCA, an advocacy organization for the financial security profession. “Our members are on the front lines every day, helping customers cut through all the noise and helping real people make real plans that protect their families, secure their futures, and provide real peace of mind, no matter what life throws at them – and that’s what this month is about.”
— To comment on this article or suggest another article, contact Brian Strickland Bryan.Strickland@aicpa-cima.com.