Everyone has different financial resources, lifestyle needs and personal aspirations, so the right kind of advice can really make a big difference.
A financial planner's priority is to truly get to know you and to understand what you want to achieve financially. Once they have this understanding, they can provide financial advice and tailored strategies designed to help you achieve your lifestyle and financial goals. Whether you're approaching retirement or just starting out, it's never too early or too late.
Step 1: Defining your current situation
A financial planner will first and foremost spend time getting to know you and establishing what resources you currently have available to you. You'll then generally work together to determine your individual needs and goals for the short, medium and long term. Through goalsetting, a roadmap of where you're heading in life and all the stops you want to take along the way can be constructed.
Step 2: Developing strategies
After helping you to define your future goals, the next step is for your financial planner to investigate and assess the strategies which are relevant to you. They'll likely consider things like budgeting, maximising your cash flow, minimising taxation, investments (both superannuation and non-superannuation), insurance to protect your lifestyle, family and financial assets, and estate planning needs.
Step 3: Implementing your plan
The next step is to be taken through your options, with a focus on how each option could impact on your ability to achieve your goals. Once you've agreed on the appropriate course of action, your financial planner works on making sure all aspects of your plan are properly implemented in the way you've decided.
Step 4: Ongoing review
Every financial plan, no matter how carefully structured, is vulnerable to the effects of change over time. Changes to your personal circumstances, legislation, Centrelink benefits and taxation laws, as well as changes to the financial markets, all affect your financial plan and its ability to achieve your goals.