Your financial plan is fluid and ongoing and can be broken into 8 parts:

What you value and the goals and objectives that link to your values

A financial plan is created to fund your defined and prioritised goals and objectives. Things like your children’s education, upgrading your home, starting an investment portfolio of shares or property investment, starting a business, retiring when you want or leaving a legacy. Your financial plan will break these down into a timeline and help make them more readily achievable. Quite often, this is not something people do in their every day and our financial planners can help you do this.

Your Assets & Liabilities:

A summary of your asset and liability position provides a benchmark for measuring progress towards your financial goals and defines what capital you have available for future wealth creation and wealth management.

Cash flow planning:

Understanding your current cash flow, how much you spend on necessity’s, how much you spend on wants, how much you are currently saving and where you put it currently, helps define what there is left over to use towards your wealth creation strategy and paves the way for us to help you influence this end savings outcome. Understanding your current cash flow position also creates a benchmark for how future strategies compare to your current approach.

Wealth accumulation:

Your plan should include a customised investment strategy that is considerate of the investment options available, your risk comfort, age and investment time horizon, as well as your desired return outcomes. It should provide a set framework for buying and selling investments. It will be made considerate of tax, structuring and income needs. Change management is also vital to a successful ongoing wealth accumulation plan. 

Retirement Planning:

The biggest financial goal we all share is to have a lump sum big enough to transition to retirement and it is therefore important to define in your financial plan how you can achieve the retirement you envisage. When moving into retirement, investments should be structured considerate of meeting ongoing income needs, tax implications, estate implications and longevity of funds. Age pension eligibility, along with seniors benefits should feature wherever eligible. As changes in personal circumstances, markets and legislation inevitably occur, there should be regular assessment to ensure risks are being managed and opportunities are being capitalised on.

Tax management:

Tax is one of the biggest expenses we incur in our working lives, so identifying ways to minimise this within the law makes complete sense. Timing of when assets are bought and sold; tax effective investing; negative gearing; asset structuring; superannuation. These are essential considerations for your financial planning.

Risk Management:

The best laid plan can be brought undone, if risks are not identified and managed. One of the biggest risks is losing your ability to earn an income and insurance is one way to transfer this risk to an insurer. Ownership and structuring of your assets is important, to minimise risk of being sued, as is debt structuring to help self-fund the risk of unintended unemployment, such as redundancy.

Estate planning:

If you don’t define how you would like to leave your assets when you are gone, the laws of the land will decide for you. Defining your intention in a Will; considering the implications of how you own assets; binding and non-binding beneficiaries; determining if a testamentary trust is appropriate, should all be calculated and decided as part of your financial plan.

 

YIELD’S FINANCIAL ADVICE WILL HELP:

  • Give greater purpose to your financial decision making.
  • Prioritise and achieve immediate, medium and long term objectives.
  • Build your asset base to create an income stream for the future.
  • Provide security and protection for your wealth.
  • Connect your short term decisions to the big picture.
  • Demonstrate how to become retirement ready.
  • Formulate a suitable investment strategy for draw down in retirement.
  • Plan for changes, like retirement, aged care and divorce.