Tag Archives: Professional Money Advice

Benefits of Family Financial Planning: Why and When Families Should Get Professional Money Advice

The best way for families to achieve their financial goals is through proper financial planning. Registered and certified financial planners can help families when they have saved a decent amount of money or when their financial circumstances have changed – redundancy, job promotion, having more children, etc.

The benefits of family financial planning are myriad. Here are six reasons to get professional money planning advice.

Boost Household Savings and Investments

A financial advisor can look into a family’s financial circumstances and help them maximize their savings through various financial products and investments. The financial planner can also help the family to borrow for investments. Called gearing, this powerful strategy can help households grow their financial assets faster than conventional savings and investment methods.

Manage Tax Effectively

For many Australian families, managing tax is a tricky thing, especially when investments and superannuation come into the picture. To have an in-depth and clear understanding of tax implications, it’s best to review them through a registered financial planner. He will help the client to fully understand any potential risks involved in the investment decisions as well as recommend effective strategies to maximize returns and achieve short- and longer-term financial goals.

Help Families Get the Right Insurance

Although insurance premiums can be rather costly, sufficient insurance is crucial to protect the family and its assets against unforeseen circumstances. Life insurance, income protection insurance, health insurance, trauma insurance as well as home and content insurance are necessities for families. A financial advisor will be able to structure the right level of cover for a household’s needs and specific circumstances, depending on the family’s financial situation.

Financial Advice When Job Changes Occur

Salary cuts, redundancies, changing jobs and promotions at work affect families’ financial situations. Each time any of these occurs, it’s important to review superannuation, investment and insurance needs. A financial consultant can help his client make informed decisions about revising his financial plan, making employee payments and getting ample insurance cover.

Assist in Retirement Planning

Retirement planning should be part of a long-term financial plan and start early. Financial planners can help people plan for their retirement and maximize their retirement income to help them achieve the lifestyle they want when they are no longer in the workforce. Those on the verge of retirement can also benefit when financial planners help them invest their savings.

Estate Planning for Families

Estate planning is a very important part of any financial plan. However, it is also often the most neglected part. With proper estate planning done by a financial consultant, a person’s family affairs and family members will be appropriately cared for according to his wishes in the most tax effective manner if he suddenly passes away or becomes incapacitated.

Professional money planning isn’t just for wealthy people or big businesses. It’s for average households too. The benefits of family financial planning include the ability to maximize savings and investment returns, manage tax effectively, get the right insurance, have sound financial advice when there are job changes as well as get help in retirement and estate planning.