It is so important to manage your finances well to prevent financial planning mistakes, yet so many people simply don’t have the time, or inclination to give them the time they deserve. After working hard to earn a living most people don’t want to sit down and plan how they are going to spend their money. Apart from living expenses and basic bills there is little financial planning going on in most households. This is why a financial planner could do you a world of good.

You might think you don’t need one, and unless you are planning for all things mentioned in this article already, then maybe you don’t. But it may not be until you finish reading this that you realize you can do more for the future of you and your family, whether you feel you need a financial planner or financial coach.

So what is it a financial planner can do for you?

Savings Plan: While it might be easy to put away a little bit of your pay each week and slowly watch it accumulate, much more can be done. An expert planner would ensure you are putting away the right percentage of your income into savings (so to allow for other areas of budget and planning) and then use that savings to make money. They know how to generate the most interest on savings accounts and they can help decide on sensible amounts to use for investment. Whether you want to save for a new car, a holiday or perhaps your children’s education, there is a way to do it faster than an ordinary savings account so many of us use by default.

Investment Advice: Using a portion of your savings to get you started with investing is a great idea. Most people tend to shy away from investing their savings as they see it as too risky, which it can be when you don’t know what you’re doing. However if you have an expert planner helping you out, then it is a great way to make your money work for you.

Eventually the start up capital can be returned to your savings account and you will end up slowly creating and building a budding investment portfolio. You may choose to make regular payments into your investment accounts or simply watch the initial capital slowly increase. You will be able to discuss with your advisor different types of investments and the risks involved in them. Riskier investments generally yield bigger returns when successful while safe investments yield small and steady returns. A combination of both is possible and usually a good idea.


Retirement Planning: As well as savings and investments it is essential to put money aside for your retirement. Whatever your situation it can only be beneficial to have money set aside for the day when you no longer have a regular income. No one can rely on government support or financial assistance these days so you need to protect the future of you and your family. Your advisor can help you set up the right plan which could be a combination of savings accounts and investments, or whatever you and your advisor decide is best for your situation.

Tax Considerations: A very necessary part of life, but one that most people are happy to have done for them. Filing your taxes incorrectly or incompletely can be costly. Doing them thoroughly and correctly year after year will mean no nasty surprises of tax bills when you least expect them. Having a professional do your taxes can have big advantages as well. They are much more familiar with tax laws than most so they know about the different benefits you may be able to take advantage of. Having help with your taxes could end up saving you a lot of time and money, especially if you are a business owner or have investment property etc.

Future and Estate Planning: It is not always nice to think about but the reality is that we all leave this world one day. When you do wouldn’t you like your finances to be in order and not have any financial worries or money stress put on your family after you’ve gone? A financial planner can be worth their weight in gold here. They take the guess work out of estate planning and planning for your family’s future. Different trusts and accounts can be set up to ensure the cost of your funeral is not taken out of money you’d rather have put towards your children or grandchildren’s education, for example. Your finances can be set up in accordance with your will so when the time comes everything is already in order.

    8 replies to "Should You Hire A Financial Planner?"

    • FPT Guy

      Should You Hire A Financial Planner?

    • Westlake Village, California Probate Attorney

      Great article. I would just add that people should seek the help of a qualified estate planning attorney in addition to a great financial planner when planning for their death.

    • FPT Guy

      Totally agree! Estate planning is essential especially if you have children – the sooner it’s taken care of the better peace of mind you’ll have.

    • Joe Edward

      It is a shame because doing this is not all that hard. It is a skill that can be developed but sadly too many people don’t take the time to learn. It would be great if they taught this in high school. But until then I guess most will pay a financial planner. I know many people who use one with good results but finding a good one that is not trying to sell you something can be a bit of a challenge.

    • LaTisha @FSYAonline

      So many people overlook the importance of having a financial planner. Especially for planning for retirement now. Most people forget that time is the most important component of any retirement plan and the earlier they start saving and investing, the earlier they can retire or the less they have to put away.

    • FinancialFreedom

      Do I need financial planning?

    • Ryan McCain

      No one plans to fail, however, many fail to plan.Why the right fin advisor makes a meaningful difference #kmgwealthmgmt

    • Bobby Medlin CPA

      Questions on financial planning? This article has some helpful information:

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