Personal Financial Planning: 3 Key Reasons to Hire a Financial Planner

Do you find it difficult to manage your money? Are you someone who says you want to save money but always ends the month with nothing in your bank account? Then you should consider hiring a personal financial planning service.

Many people ask the question ‘do I need a financial planner?’ But they dismiss the idea as being an expense too far or something that only very rich people would need.

But in fact, there are many benefits of financial planning and hiring a personal financial planning service could save you money in the long term.

1. Personal Financial Planning Can Help You Think About Your Life

The way we think about money in today’s society is extremely important. Young people have the biggest problem with this. But they are not alone. We don’t want to allow money to dominate our lives yet we need it to survive.

Some people ask ‘what do financial planners do?’ Most people think they just help people save money. They help with a customer’s mental relationship with money as well.

There are new ways of thinking like those who saved hard to retire at 31 that they can help their clients with.

Those who have the best relationship with money are not necessarily the ones that are rich but having a healthier relationship can often be the key to unlocking new opportunities that can make you richer.

A financial advisor can help you see your spending patterns more clearly. Sometimes you cannot see these patterns yourself. Your advisor, for instance, could tell you how much you spend each month on soft drinks, cigarettes, coffee or other vices.

They could then give you some advice on alternatives and how to cut down. By seeing the real figures on paper you can start to take control of your life.

Personal financial planning could also help you free up time to do more things in your life. If you spend less money then you will need less money to live off and will have to work less.

2. Reduce Your Tax Bill

Personal financial planning can also help you reduce your tax bill as many of the advisors will be able to give you advice about where to invest any spare money you save and which of these investments can be offset to reduce your tax bill.

You might find that you are putting your money into schemes or investments that you think make financial sense but because of tax implications that you had not considered are not saving you much money at all.

3. Help You Buy That Dream Car or House or Go Traveling

A key part of financial planning and the reason most people sign up for such a service is so that they can afford something currently outside of their reach. For instance a house or a dream car.

A financial planning expert can analyze your outgoings and income and can show you can maximize them to get you what you want. They are like personal trainers.

Personal Financial Planning Is The Key to a Happier Life

Our relationship with money is extremely important. Too often we are though to believe that having more money will make you happier. It is the people who are aware of how far their money goes that are happiest.

They understand that they need to do to get enough money for the life that is right for them and what things make them happy and which things don’t. Personal financial planning can help many people achieve this.

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