If you've ever had to undergo a change in your life, such as moving, leaving college, getting married, or anything else, you understand how essential it is to have a plan prepared beforehand. Life transition planning involves setting up a financial plan to ensure the availability of funds for a life transition. A life transition is any event that may affect your financial needs, such as: Life transition planning can refer to a variety of possible life events, for which a variety of types of plans may be employed. Most often a life transition plan will incorporate a financial element to prepare for the costs that are associated with the change. Since these costs can often be quite large, and potentially arise suddenly, having a plan in place well before the life transition itself is imperative. Having a plan prevents obstacles from arising during the event, and if they do occur, they can be prepared for. Life transition planning can involve setting up financial vehicles like retirement accounts, buying securities such as stocks and bonds, researching loans and tax deductions, and more. Life transition planning is important because it gives you time to prepare for a potentially permanent financial change. Many life transitions are not isolated events but milestones that mark a lasting change. Life transition planning can help you assess upcoming life events and prepare for the cost, challenges, and requirements of said events. Preparing for an upcoming life event is qualitatively no different than preparing for any other upcoming expense, like buying a car or a home. And just like in those circumstances, preparing early and thoroughly pays dividends. IEP stands for Individualized Education Plan. It is a type of education plan that caters to youth with learning or thinking differences. IEP transition planning helps kids with IEPs plan for life after high school. IEP transition planning is required by schools with IEP students under the Individuals with Disabilities Education Act (IDEA). Schools must begin planning with IEP student's by or before they turn 16. IEP transition planning helps your child with specific, achievable goals, such as:Life Transition Planning Definition
Is Life Transition Planning?
Why Is Life Transition Planning Important?
IEP Transition Plan
Life Transition Planning FAQs
Life transition planning is when you must deal with moving, leaving college, getting married, or other major life event.
The goal of life transition planning is to have a financial plan in place before a life transition occurs.
Life transition planning can involve setting up financial vehicles like retirement accounts, buying securities such as stocks and bonds, researching loans and tax deductions, and more.
IEP stands for Individualized Education Plan.
It is a type of education plan that caters to youth with learning or thinking differences.
True Tamplin is a published author, public speaker, CEO of UpDigital, and founder of Finance Strategists.
True is a Certified Educator in Personal Finance (CEPF®), author of The Handy Financial Ratios Guide, a member of the Society for Advancing Business Editing and Writing, contributes to his financial education site, Finance Strategists, and has spoken to various financial communities such as the CFA Institute, as well as university students like his Alma mater, Biola University, where he received a bachelor of science in business and data analytics.
To learn more about True, visit his personal website, view his author profile on Amazon, or check out his speaker profile on the CFA Institute website.