In Australia, thanks to the mandatory employer superannuation contribution, we are all much better off in retirement. However, with the average balance of men 45 – 54 having $196,400 and the average woman in the same age bracket having $129,199[1], that hardly sounds enough to pay off your mortgage and live comfortably, does it?
Financial planners are not just there to plan for your retirement, but for a whole raft of situations in which we find ourselves moving through in life. From planning a holiday, planning to buy a property, invest in shares, plan for private school education, maybe even look to invest some inheritance to make it count in your future – and this is just a start.
With a high level of experience and a minimum post-graduate education in financial planning, financial planners are experts in how to reduce your household debt levels, increase your wealth and to set you up now for the future.
Financial planners – simplifying finance
A financial planner’s role is to become a mentor of sorts, to sit down with you from your initial consultation, set your objectives now, and into the future based on your current (and future) financial and personal circumstances.
A good financial planner becomes more than a service provider, they come along your life journey with you and provide advice as life changes.
Ever wondered why some people retire early? Why can they afford a family holiday each year and work the same job as you do? They plan their finances.
Aren’t financial planners for rich people?
No way! Financial planners are for everyone, and the money they charge is a tiny fraction of the savings and income they will generate for you and your family over the journey.
Sure, many wealthy people – in fact most – would have financial planners and advisors helping them achieve their financial goals.
But is doesn’t matter if you are on $25,000, $250,000 or $2.5 million per year, your financial planning needs to start somewhere.
What are the steps of getting into a financial planner?
Financial planners provide a full suite of services and advice from the initial planning stages, to assistance with the execution of wills.
However, it’s important that you come into a meeting with your financial planner of an idea of what you earn, how much your ‘realistic’ earning capacity is in the future, an idea of when you may wish to retire and a clear idea of how much you have in the way of assets, liabilities, and superannuation.
From here, the financial planners will work to set out a plan, set financial objectives and start setting you up for your financial future.
Failure to plan is a plan to fail, can you and your family afford to live on what you have now? What happens if you must retire early? Thinking you want a bigger house or a family in a few years’ time? Want a jet ski? A financial planner can help you get there sooner.
[1] https://qsuper.qld.gov.au/super/how-much-super-should-i-have