5 “soft” benefits of financial advice you may not have considered

When you approach a financial planner for bespoke advice, you might expect for the conversation to be based solely on your money. While of course, our aim as financial planners is to help you grow your wealth for a prosperous life, many of the conversations we have with our clients are not about money at all.

Indeed, we often find that while we will report back on how your financial plan is doing – Unbiased reports that the average financial planning client is £48,000 better off than their unadvised peers – the conversation quickly traverses into a more personal, emotional, and philosophical conversation.

So, whether you are already a financial planning client or are considering taking advice, it might help to look at your financial planning journey as more than just a “money chat” once a year.

Keep reading to learn about five “soft” benefits of advice that you might not have considered.

1. Truly understanding your goals

We can’t form an accurate financial plan for you unless we know what you want out of life – it really is that simple.

One of the most important “soft benefits” of advice is that your financial planner will take the time to understand your goals. They will hold space for you to talk about your dreams and aspirations, as well as your worries and concerns, for the future.

Having someone who truly understands, respects, and is committed to working towards your goals gives you more than just a bespoke financial plan – it gives you a trusted confidant you can always rely on.

2. Getting to know your family

When you seek help from a financial planner, it’s never just you who reaps the benefits.

Often, the goals you discuss with your financial planner will pertain to your family too. We’ve previously talked about why family financial planning can be so constructive, and our financial planners are happy to get to know your loved ones when you work with us.

Some important benefits of us working with your family include:

• If you become poorly or pass away, we can advise your family on next steps, including paying for care, funding a funeral, and handling important bills like Inheritance Tax (IHT).
• It puts everyone on the same page when it comes to inheritance and trust funds.
• We can advise you about investing on behalf of your children, giving them a nest egg to rely on in future.
• If you and your spouse have different income levels, we can ensure you’re using any available tax breaks to lessen your household’s overall bill.

Along with building a financial plan suited to your individual goals, we’ll take your family’s needs into account too.

3. Support after bereavement

Unfortunately, many of us will lose someone we love dearly at some point in our lives, be it a parent, sibling, spouse, or close friend.

If you’re already connected with a financial planner, you can lean on us when you’re grieving. We can help you to:

• Handle your immediate affairs, including paying funeral costs and covering any debt the deceased person had
• Invest, save, or spend any inheritance you receive from your loved one, with a view of meeting your future goals
• Adjust your financial plan if needed, for example, if your spouse passes away and you’re unsure whether you can still afford the future you’d planned together.

Bereavement is never easy, and although we can’t take away all your stressors, financial planning could give you the trusted support you need to make practical decisions after losing a loved one.

4. Reassurance around investment performance

One aspect of financial planning some of our clients find nerve-wracking is investing.

While we believe investing over the long term is essential for any robust financial plan, it’s understandable that the last few years of market turbulence might have spooked you. In fact, as human beings, we’re hard-wired to avoid losses at any cost – you can read our recent article on loss aversion to learn more about this topic.

Of course, if you work with us, we’ll provide ongoing updates on the performance of your investment portfolio, talking you through any volatility it has experienced.

And, perhaps even more importantly, we’ll offer reassurance that remaining invested is, the vast majority of the time, the right decision for now.

If you are worried about your future plans (including retirement) and how any fluctuations in your portfolio might affect them, speaking to your financial planner may put your mind at ease. This continued reassurance might help you to remain invested throughout any turbulence and keep striving towards your long-term goals.

5. Cutting through media noise and offering peace of mind

Throughout your life, you may have lain awake at night on several occasions worrying about money. In 2023, Virgin Money reported that 88% of Brits have money worries that keep them up at night.

With a strong financial plan in place, you might have little reason to be anxious about money – but that may not stop you from feeling worried, especially if you believe often-exaggerated media headlines. Indeed, tools like social media and news apps can be very helpful, but they could also exacerbate any anxiety you feel around your money overall.

Your financial planner can provide the ultimate peace of mind, cutting through the noise and giving you qualified, bespoke advice designed for your needs.

Email us at hale@kelland.co.uk, or call 0161 929 8838.

Please note

This article is for general information only and does not constitute advice. The information is aimed at retail clients only.

The Financial Conduct Authority does not regulate estate planning or tax 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.

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