Advice on financial planning is the key to getting control of your finances. The financial planning process involves an assessment of your goals, developing a plan to meet those goals, implementing the plan, and a periodic review to ensure that you are on track to meet your goals.
Follow this link to download an age concern publication on managing your money. It is well written and most of their ideas are right for people of any age.
Our fee-based, Full Service Financial Planning programs offer a simple, independent approach to assessing your present financial situation and uncovering your individual wants and needs. Our goal is to assist you in establishing a financially secure future. We’ll design and implement strategies that can help you to answer that important question
“Will I run out of money?”
It is a key question and often very hard to resolve – bespoke personal financial planning / lifetime cash flow forecasting provides an answer.
Areas of our analysis include, but are not limited to:
- Cash Management
- Estate Planning
- Money Management and Investment Advice
- Retirement Planning
- Risk Management
- Savings Plan
- Tax Planning
- Wealth Accumulation
- Business Continuation Planning
Our comprehensive financial planning service can be tailored for personal or business clients.
Contact Us for further information on how Talis: independent financial advisers can help you build your dream plans, help you make sure you never run out of money and at the same time help you minimise your exposure to income, capital and inheritance tax.
You can also watch my video here about Tax Freedom day and what it means.
A simple financial planning example might be:
Your objectives
- Age 50, planning to retire at age 65:
- Target retirement income £3,000 per month
- Target capital lump sum at retirement £100,000
Current financial arrangements
- ISAs £49,700, 3% growth, £200 monthly savings
- Pension £220,000, 4% growth, £500 pm savings
Check out the cashflow model below following this simple 3 colour key
| Total expected income | |
| Lifestyle shortfall for year | |
| Net outgoings from cash flow |
Result: Cash flow shortfall! You run out of money.. lets try…
Possible alternative arrangements:
Increase pension savings to £1,300 pm and invest pension pot to achieve 7% growth
Result: no shortfall! You could also try in addition:
Reduce the target retirement income to £2,000 per month, sourced from pension income drawdown, and draw £100,000 in cash from the pension pot
Result: no shortfall!
Numerous variables can be adjusted to achieve the required outcome, including:
- Investment returns
- The level of drawings
- Outgoings
- Mortgage rates
- Mortgage repayment dates
- Tax rates
- Inflation
- Inheritances
- Retirement dates
- Life insurances
“Annual income twenty pounds, annual expenditure nineteen pounds nineteen and six, result happiness. Annual income twenty pounds, annual expenditure twenty pounds ought and six, result misery.”
Mr Micawber in David Copperfield by Charles Dickens