4 Reasons Professional Athletes Need a Financial Advisor
Professional athletes have the potential to make a lot of money. There are a few caveats that come along with that, though, namely the fact that they make the same amount of money that another person makes in their entire lifetime in just a few years. Of course, this presents a lot of great opportunities to the individual, but it also comes with some dangers.
Luckily, there is financial planning for professional athletes designed specifically to fit their unique lifestyle and financial situation. Each individual has different financial goals, but none of them are trying to end up broke, that’s for sure, and that has been a common problem with some famous athletes that made too much money too fast and didn’t know how to handle it.
Four Reasons Athletes Should Have a Financial Planner
They Can Set a Long-Term Destination – You need a plan if you are going to save money. A planner will be able to look into the future for you and tell you what you are capable of. Then, they can give you the advice and the steps you need to take to reach that goal.
They Understand the Importance of Savings – Putting money away each month into a savings account isn’t the most exciting thing in the world, but the long-term advantages are apparent. Some people are born the with the gene to save money and others need a little help and encouragement along the way from someone like a financial advisor who they can trust.
Insurance – An advisor can also help an athlete understand if they are properly insured or not. This goes for life insurance especially. Pro athletes have a lot more to consider when they are insuring themselves. They have more assets to protect and their health is important because, without it, they can’t play and make money. The intricacies of insurance are something that only a professional can understand.
Any person that needs to manage a large sum of money should employ the services of a financial planner because they have the knowledge and professional experience to make a person’s money work for them in ways they have no clue about. If you are going to hire a planner, try to hire one that only charges a fee and not someone that works on commission. This will simplify things for both parties.