In our comprehensive 8-step wealth process, we prioritize examining both current and future liabilities. Current liabilities encompass immediate financial obligations like mortgages, leases, personal loans, and other debts that require prompt attention. Future liabilities, on the other hand, involve upcoming financial responsibilities and significant expenses that lie ahead, such as college tuition, retirement income, and vacation homes.
When it comes to addressing future liabilities, there are three primary approaches:
- Save enough money to pay for them when they come due.
- Borrow the money when they come due.
- Sell some assets to pay for the expenditures when they come due.
The concept of “debt” (in any form) has a bad connotation for some people. While we would never advocate taking on debt imprudently, there are some situations in which borrowing money is in the best interest of your family’s wealth.
We understand that navigating these financial decisions can be complex, which is why we’re here to assist you every step of the way. These are the types of conversations we have with clients and the types of decisions we help them make. Ready to take control of your financial future? Contact us today for a non-obligatory consultation.
