Wealth Coaching: Why Everyone Needs A Wealth Coach

Don’t be put off by the term ‘wealth’ and its connotations. If you have money, you have wealth. And if you want to improve, you get a coach. So, if you want to manage your money, make it work harder for you, and take sensible, forward-thinking decisions, it makes sense to speak to a wealth coach.

There are many aspects of your financial journey you can take control of yourself. A wealth coach can help you prioritise and plan as well as advising you on the areas where professional input is vital. Get your money to work for you so you know you can retire how and when you want to.

It’s never too early to start managing your money and planning for the future. How many times have you heard of lottery winners, footballers, or popstars with huge fortunes ending up penniless? With a bit of planning and the right advice they could have grown their wealth rather than losing it all.

The Seven Steps of Wealth Planning

1. Know your goals

Do you want to retire early? Do you hope to travel or live a quiet life? Do you plan to leave money to the next generation? Firstly, you need to know what you are aiming for so you can understand how much you will need and when. Take some time to think about what’s important to you.

2. Know your numbers

Figure out where you’re making money and where you’re spending it. Include all the bills you need to pay during the year. If you don’t know what you pay for food, utilities, or entertainment on a monthly basis, for example, go back over old statements and work it out.

Don’t forget to include amounts for those ‘unexpected’ expenses that often occur. Take some time to build up a realistic picture of your financial wellbeing.

3. Improve your financial health

Now you know what’s coming in and going out you can make adjustments to improve your financial health.

For example, can you find a better deal on your utilities or insurance? Do you need all the streaming services you pay for? Can you pay off expensive debts and consolidate others and look to pay them back as soon as possible? Is there another income stream you haven’t considered? If you have your own business, do you have a strategy to reduce its reliance on you and provide an exit?

Take some time to help maximise what you have.

4. Build on solid foundations

Protect what you already have before you start investing by building on solid foundations. This is where income protection, life cover, and medical insurance come into play. In the event of the income you are dependent on not coming in for a while or unforeseen medical expenses cropping up they make all the difference.

5. Make effective investments

By starting early, using the compounding effect, spreading your risk, and using tax efficiencies you can create an effective investment strategy. Understanding risk and reward as well as avoiding emotional triggers with investing are key. This is an area where good professional advice will save, not cost you money.

Speaking to a Fnancial Adviser will help you identify decisions that are right for you. They can help you spread savings and investments between short, medium, and long term, diversify, and use available tax opportunities.

6. Access your plans

It’s no good having a retirement plan that you can’t access. Know how and when you expect to access your plans and make sure that what you have fits with what you want.

7. Pass it on

Nobody wants most of their wealth to go to taxes if it can be avoided. Make sure your loved ones and worthy causes get what they deserve with tax-efficient planning.

In this series of blogs, we will be looking at each of the steps in more detail. Make sure you get advice from an expert wealth coach: please get in touch as we would love to help. Paula Bicknell Wealth Management can help you make the right decisions.

Disclaimer

The value of an investment with St. James's Place will be directly linked to the performance of the funds selected and may fall as well as rise. You may get back less than the amount invested.

The levels and bases of taxation, and reliefs from taxation, can change at any time and are generally dependent on individual circumstances.