Let’s start with a few easy questions:
- When our cars break down, do we fix them ourselves?
- When we want some meat on the table, do we take the rifle and head for the bush?
- When we break a leg or fall ill, do we heal ourselves?
If you have answered yes to one question you are probably a car mechanic, yet even he will need some support with the paint job.
The reasoning is that if we need some special (or even not so special) support, we turn to experts. Experts will provide us with a much better product or service than we can endeavor to on our own. Actually, this is what civilisation is all about.
Another important trait of civilisation is money. As material as it may sound, we cannot live without it. We work for it. It provides us with all the things we need (and some we don’t). It gives us security.
Sure, we work, get paid and that’s it. Or is it? How about the taxes we have to pay? And how about choosing the best super? Or can we ever save enough for that trip to the States?
Well, just as with the car, meat, and ailment examples above, our best choice is to choose and to connect with a good wealth management company. And here are the top 5 benefits from doing so:
1. Expert Advice
The number one benefit of having a wealth management company on your side is that you are tapping into a pool of wealth management financial advisors. They are experts in many wealth management fields. Some specialise in superannuation, some specialise in taxes, some are great in investments, others provide sound financial advice.
Your benefit is that you will have all these experts working for you. In this way, you will have somebody to coach you in all of your financial endeavours.
The good thing about having expert wealth management advice on your side is that your wealth will increase more than if you use the DIY method. You will spend less, as you will have a sound financial plan.
You will pay fewer taxes, as you will have the best advice. You will receive bigger dividends from your investments, as you will have sound investment support.
And, most importantly, you will achieve all of your financial targets without additional efforts.
2. Optimising Your Cash-Flow And Earnings
This is the down-to-earth day-to-day benefit. If you are living from paycheck to paycheck, or if your credit cards are always in the red zone, or if you just can’t afford the expensive dress of your dreams, … you need a budget.
You know how discussions are always held on TV about the Government budget, or the Budget for healthcare, well it is the same with your wealth. Sound financial planning will help you to optimise your cash flow, match your earnings with your spending, provide for savings or a plan for a loan and its repayment.
When your wealth is well organised and managed it will start to grow, even if nothing else is done. Sadly, on our own, even with the best of budget templates from the internet we seldom can achieve the results which our wealth management planners can provide for us.
Once we have our weekly/monthly budget under control, we will be able to plan ahead, save or take well informed and provided for loans. But what is best, we can now start to invest. This is the part when our saved money starts to work for us and increases our earnings (without us having to take a second job).
Fortunately enough, the expert and knowledgeable financial planners working for us can also provide us with sound investment options and ongoing investment support.
3. Managing Taxes
Somebody once said that the only sure things are death and taxes. Besides being “sure” taxes also have a tendency to be rather complex. If they were only complex, one could read and learn. Sadly taxes are complex and dynamic.
Meaning that they change rather often. It is not the taxes that change (they do too, but not as often), but it is the various tax advantages and tax saving schemes with pop up all the time.
Staying on top of the wave for a normal person will be difficult. Fortunately, our wealth managers also provide tax advice. This means that you will be saving money on every tax you pay.
Sounds funny, but it is true. Just imagine, paying fewer taxes while providing for spending in your retirement years. This is tax-free spending! Can be done. The wealth managers know-how.
4. Achieving Financial Goals
We all have our dreams. Be it getting married, or having kids, or traveling the world, or owning a red Ferrari, or moving to a bigger house. The list is endless. All of our dreams have their financial requirements in order to become reality.
These will form our financial goals. Wealth managers can help us translate our dreams into financially viable, realistic, and actionable steps. In this way, they help us achieve our financial goals and reach our dreams.
5. Retirement Planning
Retirement planning used to be something that we started to think about when we were 45. Of course, this is way too late to be efficient. Today retirement planning is considered reasonable to start with your first paycheck.
Whatever the case, younger or older, retirement planning will achieve more than without any planning at all. The good thing is that the State supports all initiatives related to retirement planning. These are advice, age pensions, rent assistance, pensioner concession, schemes like “salary sacrifice” and tax savings, and even direct super contributions.
Seem complex? It is, but it is also important for our wellbeing in our golden years. Our wealth manager can guide us through and support us in sustainably building a satisfactory superannuation fund.
Now you know the benefits of having a wealth management company working for you. Now you have to find a licensed wealth management company to provide all of the above. In choosing, it is important to choose the right one.
Wealth management is something like a marriage – you have to choose wisely because then the relationship may last a lifetime.
Here are some tips on how you can choose the right wealth management company:
- Start with your parents. Do they have a wealth manager? Are they satisfied with the services? If they are, this should be your first pick for a talk;
- If the above is irrelevant, look up the wealth managing companies in your vicinity. Do not go for big international names, look local – they will be better equipped to help. Morgan Stanley Private Wealth Management is deemed number 1 in the world, but they may not have a clue on local tax management or COVID financial support in Brisbane. Now arrange a meeting;
- On your first meeting ask them if they will be able to provide the full list of benefits above. Some companies are smaller than others and may not provide say the tax advice service. Remember you need the full service. Do not settle for less;
You know the benefits and you know how to achieve them. Not it’s all up to you.