Financial Planning Isn't Just for the 'Rich'

I was speaking to my sister about her first meeting with her financial planner.

She felt unsure of whether she belonged there. She was running a successful and growing business but had yet to accrue any assets. She wasn’t sure what would be involved and worries that she would be judged about her financial situation, plus the big plans she had.

Am I rich enough?

Luckily she went to an amazing firm that, like me, focused on real financial planning. They discussed her lifestyle, how they could help her achieve her ambitious goals and help her build a financial plan to support teams. Yet, she recalled an initial feeling that she wasn’t rich enough.

I think this is a recurring theme - that people feel that they either wouldn’t benefit from financial planning or that you need to have a certain level of wealth to work with a financial planner. This may be the case with some firms that have minimum assets, but thankfully there are now several firms with a service proposition designed for people who have yet to accrue a lot of assets.

People have the same money worries

Regardless of whether you have loads of investments or you are just starting out, people have the same worries. Am I doing the right thing or what should I do with my money? People are looking for help with one of the most stressful areas of their life.

The purpose of real financial planning is to help you live the best life possible with your money. Its value comes from helping people:

  • Get financially organised

  • Gain clarity over their financial situation

  • Have peace of mind that they are doing the right thing with their money

  • Have confidence they are on track or taking the right actions to achieve their goals

  • Feel secure when it comes to their money

  • Simplify their financial situation

  • Sort out their financial lives

Building a plan around your life

When you have more money there could be specific areas of financial advice that you may need help with, such as the Pension Annual Allowance or Capital Gains Tax. Yet, the fundamentals of financial planning are the same whether you have £50,000 or £500,000 invested. It’s about building a plan around your life and how you use your money.

Fixed Fee Financial Planning

With the advent of fixed fee financial planning, clients who are yet to build significant investments can benefit from working with a financial planner. This can be particularly beneficial to what are often called HENRY’s - High Earners Not Rich Yet!

People reach out to a financial planner because of big life events such as:

  • Having children

  • Changing jobs

  • Starting or selling a business

  • Looking at retirement

  • Buying a dream home

  • A significant increase in earnings

Regardless of your level of wealth, everyone can benefit from speaking with a financial professional about their money worries and what they want to achieve. You don’t have to wait until you feel you are ‘rich’ enough to start working with one.

if you would like to chat to see how we can help please get in touch at support@worktolivefp.com.

July Blog Challengeian Richards