Search
  • AM Financial

Why do I need a financial plan? AM Financial answers.

Updated: Mar 28, 2021

What is a financial plan? Is it about how much I spend every month?


The balance between what you earn and what you spend is part of it. However, a financial plan is more about identifying, prioritising and then meeting (as far as possible) your financial needs.


What do you mean by my “financial needs” ?


Financial needs change over time. Some of the obvious ones are


1. Borrowing : e.g. a mortgage for a new house.


2. Savings : Build a sum from regular surplus savings over time.


However, other financial needs that are often overlooked are :


3. Protection : How would our loved ones survive upon our death. Do we have assurance to pay off loans and to provide them with income ? What happens if I become seriously ill and unable to work ?


4. Retirement : How much money do I need in my retirement ? How much do I need to save now to get there ?


OK, and how does a financial plan help?


Very often people take a short-term, piecemeal approach to financial planning and have no real focus on preparing for retirement or protecting against unexpected, adverse events.


What are the steps in building a financial plan with AM Financial?


STEP 1 : A fact-find to build a picture of current circumstances and particular financial needs you have.


STEP 2 : To identify all financial needs and to prioritise them


STEP 3 : Make suitable recommendations to meet, as far as possible, your unfulfilled financial needs.


STEP 4 : Review the plan over time and in particular when circumstances change.


What do I do next ?


If you are interested in getting on top of all your financial needs, get in touch with AM Financial and we can discuss.

53 views0 comments

Recent Posts

See All

I'm not sure if I need more life assurance or other protection. And if I did, I don't know how much I would need. This is a question that always comes up in a financial consultation. Whether we are

Why are people looking at buying a property through their pension? Many people have built up a level of savings and are wondering how to invest. With interest rates so low, the return on these funds