People of all different financial standings are looking to do more with their money. Most high earning individuals turn to wealth management services to best utilize their money and assets.
Wealth management is a combination of different financial services, including financial planning, investment management, risk management, estate planning, and more. With proper wealth management, people of high financial standing can maximize their earnings while protecting their assets.
Why is wealth management typically marketed towards high-class individuals? Generally speaking, the more money you have, the more opportunities you have available to you. Thus, there’s a greater need to have a person (or team of people) who are educated in a range of financial areas to advise and guide them.
Does that mean that middle class individuals can’t benefit from wealth managers? Not necessarily. Lower income families can certainly benefit from general financial advising, but they likely don’t have the cash or assets to utilize true wealth management.
Those in the middle class, however, can often have some more money to leverage. But before we dive into wealth management for the middle class, let’s take a look at what exactly qualifies as middle class.
What Qualifies as Middle Class?
Defining one’s financial class can be a little tricky. Factors at play include the state you live, whether you’re married or single, how many kids you have, and more. Additionally, the numbers change every year due to inflation and the general movement of money.
That said, those earning between $42,000 to $126,000 are generally considered middle class. The median income for this group is $78,442. It’s estimated that around 52% of Americans are middle class.
If you fall within that, then congrats. You’re middle class. Now the question is, what do you do with your money?
Managing Your Wealth in the Middle Class
Even if you’re not in 7-figure territory (or 6, for that matter), you can still take a holistic approach to your money. It’s really about entrusting your money to a person or team of people who know how to best utilize it.
Some middle-class workers have jobs that afford them additional investment opportunities that wealth management can help advise on. For example, companies that offer 401ks, restricted stock units (RSUs), and/or an employee stock purchase plan (ESPP) provide unique abilities for growing and managing your money.
Whatever your situation might be, you can benefit from professional financial guidance. At KB&P Partners, we work with clients of all different financial standings, catering our services to their needs and capabilities so that they can achieve their financial goals.
For financial advising and wealth management in Springfield, Ohio, contact us today.