top of page
  • roshanloungani

Six Major Life Events And Your Financial Plan

RL134 - Six Major Life Events And Your Financial Plan

Today on the Retirement Lifestyle Show, Roshan Loungani and Adrian Nicholson break down the six major life events that could impact your financial plan. They talk about the pros and cons of inheriting assets, planning for an expected medical catastrophe, and things you should consider before buying a house.

[03:07] Moving: Buying Versus Renting

[06:46] Sometimes Renting Makes Sense

[10:28] Leaving a Job - Willingly or Unwillingly

[17:58] Losing Parents and Inheriting Their Assets

[22:36] Family Composition and Relationships

[28:30] Kid's Life Stages and Funding Education

[33:05] Unexpected Health Changes and Associated Costs

[37:20] Parting Thoughts

For more links and the full show notes keep scrolling down!

Roshan Loungani can be reached at or at 202-536-4468.

Erik Olson can be reached at or 815-940-4652.

Adrian Nicholson can be reached at or at 703-915-8905.

For links to your favorite platform like Spotify, iTunes and so on go here:

Select episodes, like this one, can be found on YouTube:

Follow Us At:

Full Show Notes:

Sound financial planning is all about considering major life events. Yes, some things happen unexpectedly, but it makes sense to reasonably anticipate some of these events in order to prepare. Moreover, major life events don't have to be negative. Some of the best events in life require a financial plan. You wouldn't want to get a baby or buy a house without a plan. In this episode, we'll discuss how individuals can financially prepare for the six expected and unexpected life-changing events.

Moving: Buying Versus Renting

Moving is expensive, especially if you're moving regularly. So, if you know a move is coming up, it would be best to plan ahead for the costs involved. Curb some of your expenses by looking for discounts. And if you're moving through state lines, know that your experience can be similar to moving to another country. Tax rates will be different, and the cost of living can shift dramatically.

You should also consider how you're going to live. Will you buy or rent? Again, if you're not going to live in that house for five years or longer, renting would make sense. Remember, buying a house is one of the most important financial decisions you'll ever make, so take your time.

Leaving a Job - Willingly or Unwillingly

Leaving a job, either willingly or unwillingly, can be a great life-changing event. From being fired, quitting, moving jobs, or retiring, the career pivot you make can bring some financial hardship or push you into an unwanted tax bracket. All this is important because it's going to change your income.

Inheriting Assets

If you know you'll receive an inheritance at some point in the future, it would be best to have a plan to accommodate the arrival of a large sum of money. Baby boomers are at that point where they stand to inherit wealth in the coming years. However, receiving significant sums of money carries with it financial responsibility. For example, there's always the question of spending habits, taxes, or retirement planning. The complexity involved means that it's always a good idea to get help from a professional.

Family Composition and Relationships

Family compositions and relationships are the other major life events that could impact our financial plan. Think of getting married, for example. Moving in together and combining finances can prove a daunting task. Throw in prenups into the equations, and some people don't want to get married anymore. So, before you think about getting married, having babies, or even getting a divorce, think of all the things that could go wrong and then plan accordingly.

Kid's Life Stages and Funding Education

When considering the cost of education, most people only worry about college. However, planning for your kids starts way earlier than that. First, when the baby arrives, life will undoubtedly get more complicated. For example, you might want to take out additional life insurance policies or change your saving and investment strategies based on your new goals and risk tolerance.

Unexpected Health Changes and Associated Costs

Another major life event you must plan for is an unexpected injury or illness. We all hope to live healthy and strong lives, but the fact is that illnesses and injuries do strike. So, how do you prepare yourself financially in case that happens? The most obvious one is maintaining adequate health insurance coverage at all times. You could also purchase disability insurance or consider long-term care insurance. Just make sure you're covered in some way, shape, or form.

All opinions expressed by podcast hosts and guests are solely their own. While based on information that they believe is reliable, neither Arete Wealth nor its affiliates warrant its completeness or accuracy, nor do their opinions reflect the opinion of Arete Wealth. This podcast is for general informational purposes only, and should not be regarded as specific advice or recommendations for any individual. Before making any decisions, consult a professional.

474 views0 comments


bottom of page