When you think about financial planning, you will likely focus on issues such as retirement income, investment strategies, and growing your wealth.
These are important factors in any financial plan. But it is also worth bearing in mind that effective, ongoing planning can improve your mental health and overall sense of wellbeing.
Read on to discover why the peace of mind of having your finances under control is so important.
Financial concerns can be highly stressful
When you are worried about financial issues, such concerns can prey on your mind and be hard to shake off.
These stresses can be accentuated if you do not feel in control of your money, and instead feel as if you are financially rudderless and simply reacting to events.
This can lead to anxiety, sleepless nights, and the feeling of being overwhelmed by financial issues.
The longer these feelings are allowed to dominate your thinking, the harder it is to face up to any problems you have and start looking for solutions.
According to research published by the Financial Conduct Authority, 22% of people feel overwhelmed or stressed by financial issues and 18% have fallen into debt because they did not want to deal with those issues.
Research shows that working with a financial planner can help boost your mental wellbeing
While it is easy for financial stress to have a negative effect on overall wellbeing, having a clear financial plan can help boost mental health.
Reports show that people who see a financial planner have a better quality of life and more financial confidence than those who do not.
For example, the CISI and Financial Planning Standards Board found that almost two in five people who see a financial planner said their mental health and quality of life had improved.
Working with a financial planner can give you the valuable peace of mind that comes from knowing you have a robust plan in place and are in control of your financial future.
The first step towards getting control of your finances is understanding your position
As with all major projects, the most important step towards success is having a plan in place. With your finances, this starts with a clear understanding of your current position.
Our financial planners can work with you to review your income and current expenditure and gain a clear picture of your assets, investments, and financial commitments.
This will help us to identify any immediate issues that need addressing, so that you can prioritise them.
Your financial plan will be designed to help you secure your financial future
Once we have established a clear idea of your financial position, we will work with you to put together a robust plan.
This will address immediate issues and put the right strategies in place to secure your long-term financial future.
This will include key factors such as:
- An effective investment strategy to help you grow your wealth
- Pension planning to achieve your retirement objectives
- Other savings, including an emergency fund to provide you with financial resilience.
Through these steps, you will get the valuable peace of mind that comes from knowing you are on track to meet your aspirations.
Your plan will also be designed to protect your loved ones, now and in the future
The other key components of your financial plan will ensure that your loved ones are financially secure if you cannot provide for them.
These will include:
- Protecting your income in case you are unable to work
- Making sure that they have the means to live comfortably should the worst happen to you
- Setting money aside for your children.
We will also help you with your estate planning arrangements to make sure your wealth passes tax-efficiently to your chosen beneficiaries.
We will help you review your plans regularly so you stay on track
Having control of your finances will be very reassuring. Rather than worrying about issues such as debt and fearing financial emergencies, you will get the comfort and mental wellbeing that comes from having a plan in place.
We can also help you gain additional peace of mind from annual reviews of your plan.
It is likely your circumstances will shift as you continue your journey to retirement, and your plan will have to change to reflect this.
We will work with you over the long term to keep you on track.
Get in touch
If you need help with your financial planning, we can support you.
Email enquiries@dbl-am.com or call 01625 529 499 to speak to us today.
Please note
This article is for general information only and does not constitute advice. The information is aimed at retail clients only.
All information is correct at the time of writing and is subject to change in the future.
Please do not act based on anything you might read in this article. All contents are based on our understanding of HMRC legislation, which is subject to change.
The Financial Conduct Authority does not regulate tax planning or estate planning.
The value of your investments (and any income from them) can go down as well as up and you may not get back the full amount you invested. Past performance is not a reliable indicator of future performance.
Investments should be considered over the longer term and should fit in with your overall attitude to risk and financial circumstances.