The value of ongoing financial advice for busy successful people

Misconceptions about financial advisers are rife, with many people believing that their primary role is to simply manage investments or sell financial products. However, the truth is far more nuanced. A holistic, goals-orientated financial planner offers a comprehensive range of services that can significantly enhance your financial strategy.

This article will delve into the many benefits of working with a financial adviser on an ongoing basis, demonstrating how they can help you navigate the complexities of the financial system and execute a highly personalised financial plan.

You’re juggling a lot as a successful professional or business owner in Australia. From managing your day-to-day duties to navigating the complex financial system, the pressure can be a lot. That’s where the value of ongoing financial advice comes in.

Here are several areas where a good financial planner can assist.

1. Cash Flow Strategy and Accountability

A financial planner can help you develop a comprehensive cash flow strategy that ensures your hard-earned money is building wealth and funding your goals. The idea here is to automate this as much as possible so you can spend as much time on the income-producing activities that made you successful in the first place.

2. Goal setting and tracking

A well-defined financial plan is essential for achieving your goals. Your financial planner can help you set realistic and achievable goals, and track your progress. While this sounds simple, research suggests that people struggle to define what they want to achieve without guidance.

3. Financial decision analysis

Making good financial decisions can be challenging, especially when there are many factors to consider such as tax outcomes, goal alignment and various competing alternatives. Your financial planner can provide expert analysis and modelling to help you evaluate different options and choose the one that best aligns with your overarching strategy.

4. Emotional management

Financial decisions can be emotionally charged. A financial planner can help you manage your emotions and make rational, objective choices, even during times of market volatility or personal stress.

Some studies estimate this element alone can add up to a 2% return per annum on your money due to the potential cost of getting decisions wrong in highly emotionally charged environments, such as a pandemic or a financial crisis.

5. Product advice

Choosing the right superannuation, insurance or investment products can significantly impact your long-term financial outcomes. Your financial planner can conduct due diligence on the various options available and provide personalized advice based on your unique circumstances and risk tolerance.

6. Project management

Managing your finances can be time-consuming and complex. Your financial planner and their team can handle many of the administrative tasks, freeing up your time to focus on the things that matter most to you.

7. Line of defence

Typically the more successful you are, the more people will notice and look to profit off of your success. A financial planner can act as a sounding board, helping you identify potential risks and avoid costly mistakes as various investment opportunities come across your desk.

8. Legislative updates

The Australian financial landscape is constantly evolving, with new laws and regulations being introduced all the time. Your financial planner can keep you informed of the latest legislative changes and ensure that your financial strategy remains optimised and compliant.

9. Leveraging a network of professionals

A key advantage of working with a financial planner is their ability to connect you with a network of other trusted professionals who can provide specialised advice and services. This can include:

• Lawyers: For legal advice on matters such as estate planning, agreements and business structuring.
• Mortgage brokers: To help you secure the best possible mortgage rates and terms.
• Accountants: For tax planning, structures, and financial reporting.
• Executive coaches: To guide personal growth and leadership.
• Business coaches: To guide business strategy, leadership, and growth.
• Real estate agents: To represent your interests in property sales.
• Buyer’s agents: To represent your interests in property purchases.

High-quality financial advice pays for itself and adds significant value above the costs over time. By tapping into years of experience and expertise, your financial planner can help you put in place a highly personalised plan, avoid costly mistakes, optimise your financial strategy, and achieve your financial goals sooner.