Written by Nathan Munt – Chartered Financial Planner
1. You’re unsure about your retirement and don’t know if you’re on track
Retirement has never been so varied. You can choose to stop work entirely, reduce your hours and gradually retire, or even pursue a career.
Whilst there are a host of factors which have supported this change, one particular influence has been the increase in pension flexibility. With greater choices and options at retirement, there is a need for clarity to ensure you’re making the right decisions. It’s important for you to truly understand how to make these decisions about your retirement and to gauge whether you have enough to fund your future ambitions.
2. You’re a high earner in a top tax bracket
As a high earner, you’ll typically have greater capacity to take advantage of savings strategies and allowances that result in lower taxes paid before or during retirement. Without a financial planner and/or other professionals guiding you through the complexity, there is a good chance you’ll keep paying more in taxes than you need to.
3. You know you need to take action, but keep putting it off, or struggle to stick to a strategy
Analysis paralysis can occur with too many investment decisions and a lack of confidence when it comes to money. A financial planner should work with you to provide a rational but human perspective to help you get going and keep focused.
Regular reviews with your financial planner will keep you accountable and focused on the steps you need to take. Think of it like seeing a Personal Trainer in the gym, except you’re improving your financial fitness!
4. When it comes to finances, your views don’t align with your partner’s
If you and your spouse/partner have drastically different ideas about money, this can lead to tension. A financial planner will act as an unbiased third party to help find solutions that may satisfy both parties.
5. You don’t have the time, or desire, to learn about personal finance
Managing personal finances is often way down the list of people’s priorities. This is especially true when these decisions are unlikely to have an immediate impact on your lifestyle and could relate to goals in the distant future.
Whether it’s your personal or professional life that is keeping you busy, a financial planner will save you the most important commodity of all, time.
6. You had, or are expecting, a life changing event
Whether they are good, bad, or somewhere in between, there are certain life events that you should make allowances for in your financial plan. It could be an unexpected illness, which alters your future goals, or a windfall.
For the latter, receiving a large inheritance at once will often be the first-time many people have had to make decisions about a significant amount of money – expert guidance can be of assistance.
7. The stock market causes you to panic
How well you do over the course of your investment life is mostly defined by the small percentage of decisions made when markets fall. Financial planning should prepare you in advance as to how you’ll react to these situations and help ensure that you retain the peace of mind that you’re in control.
8. You’re working with a financial adviser who offers advice on investments but doesn’t address other important areas of your life
Proactive, expert financial planning should consider your circumstances, lifestyle, and future aspirations within each recommendation.
If you don’t know what it is you want to achieve, it’s almost impossible to know how to get there. Is ‘making a better return than my bank account’ what life is all about or should you be focusing on what a better return will enable you to do in the future?
Perhaps you should consider reviewing your existing arrangements to ensure that you’re getting the most out of professional advice if you’re receiving this.
9. You own your own business
If you’re a business owner, then you’ll already deal with a lot of financial choices and concerns. Professional goals will often compete with personal goals and it’s usually the former which takes precedence. Having a financial planner can help you to balance both areas and provide much needed attention to your personal financial plan.
If you would like further information related to the contents of this article please don’t hesitate to get in touch by emailing firstname.lastname@example.org or by calling 01603 706 820.
This is solely for informational purposes and nothing in it is intended to constitute advice or a recommendation.