Whether ‘tis nobler in the mind to tough it out or just go ahead and cash it in is a desire devoutly to be wished, and Covid has led to a number of people over 45 contemplating the choices.
The Harris Poll did a survey of adults 18+ and find 24%, roughly one-in-four, are turning to a financial advisor for the first time in their lives.
Michael Smith, a financial advisor and president of STA Wealth Management, says he’s talking to a number of people who are looking at their options with new eyes. “Many people might consider where they are with retirement. We’ve had a lot of conversations with people retiring sooner, retiring early. They just feel going back into the current environment just isn’t where they want to be so we’re running those plans and seeing if we can make that happen,” he tells KTRH News.
More than half of those queried by Harris, 57%, say due to Covid they’re looking at something now they hadn’t paid much attention to in the past – life insurance.
In those conversations, because of the economic impact of Covid, Smith says he offers frank advice. “One of the things I tell people is that toward the end of a business cycle, recession or whatever it may be, is start to deleverage. If you have excess leverage, start paying down debt. Have a good pad of liquidity to get through this.”