The value of financial advice!
Many Australians leap into the world of investment, without too much thought into the risks, strategy or without an end goal in mind.
Risks
Whilst the biggest risk of not achieving your financial goals is ‘doing nothing’, there are many other risks that need to be considered before implementing an investment strategy. What would happen if your income was to stop due to your temporary or permanent disability? What financial position would your family be in if you were to pass? Do you have the right structures in place?
Strategy
A lack of strategy or a plan can pose a financial risk in itself. As the old saying goes ‘a failure to plan is a plan for failure’!
You can offset these risks by stepping through the following:
Create a solid foundation
To build a solid foundation you need to consider superannuation, estate planning, personal insurance, budgeting and cash flow
Super
A sound investment strategy within superannuation is essential in any good financial plan. Super is a great strategy and is a very tax effective way to save for retirement
Estate planning
This is often forgotten in financial planning. A good estate plan will ensure that decisions are being made by the right people and in the most tax effective manner.
Personal insurance
Implementing a sound personal protection plan is essential. This part of your plan will protect your family from financial heart ache should you suffer illness, injury or upon your death. Often insurance can be funded through superannuation in a tax effective way and so that it doesn’t hurt your personal cash flow
Budgeting and cash flow
This will form the cornerstone of your financial plan. Ensuring that your investment strategy fits within your budget and that you have the correct account structure is critical for your financial success.
Having built this foundation, you are able to create a financial plan and wealth creation strategy significantly reducing financial risk to both yourself and your family.
Contact us today to find out how you can create a solid foundation for your financial plan!
David McLean – Director, Authorised Representative
0433 167 523
