When Does It Pay to Seek Professional Financial Advice?

Most people are pretty independent when it comes to managing their finances these days. Especially with the internet to feed us information, advice and tips, we can all to a certain degree feel confident about taking charge of money matters. And if we do need a little extra help, there is always our bank manager or mortgage lender or whoever to ask.

Yet there is a whole industry of financial planning and wealth management consultants out there offering independent advice as a third-party, paid-for service. Clearly, there must be a call for their services, otherwise so many wouldn’t be in business. So who are financial advisors for, and when, if ever, should you consider consulting one?

Here are a few examples of when it makes sense to seek professional advice.

If your financial circumstances change suddenly

As in control as you feel about your own finances, there are always things that can happen to quickly throw you off course. It might be changing for the good, such as coming into money through inheritance, or it might be (seemingly) for the worse, such as being made redundant. Knowing how to make the most of inherited wealth, or how to plan to live off a redundancy package until you find work again, can be confusing, so having a specialist talk you through your options can help to set you on the right path.

If you are looking to invest

Investing wealth, rather than just sitting on it in a bank account, is a great way to make your money work for you. But investment markets and products are also complex, often highly specialised areas of finance and there is always risk involved. Choosing the right investment option will depend on what your objectives are, and again this is something a professional is best placed to advise you on.

If you are considering early retirement

Many of us dream of giving up the workaday world early and spending our autumn years in blissful relaxation. But can you afford to live without an income? Early retirement is not something most people can decide on at the drop of a hat, it takes careful planning and a thorough evaluation of available assets, budgets and contingency plans. It is a big decision and one where an expert’s knowledge can prove invaluable.