There is an abundance of information on retirement planning. Making the right financial decisions about how much money you need, understanding your pension or where to invest can be a daunting prospect, a process which is unfortunately not as simple as booking a holiday.
In the last two years, only nine per cent of the population paid for financial advice, meaning a substantial number of people are navigating major financial decisions without any guidance.
For those building up their assets, there are pension calculators and free advice on websites such as MoneyHelper and most pension providers. Once you have built up assets of around £200,000 or more, financial advice can be a worthwhile consideration.
A financial planner will review everything, but it is about much more than numbers
An independent adviser will offer options across the whole of the market, whereas with a restricted adviser, the options are limited to their own financial products and investment. Fees for financial advice vary and are often explained at the first call or appointment, although not all firms charge the same rate, so it is worth shopping around.
In the UK, financial advice has evolved to a comprehensive service over the long term between adviser and client, with annual meetings and regular communications included in this service.
This often includes a cashflow or financial model; like a thorough health check, this includes a meticulous review of everything you have in place financially: savings, pensions, investments, debts, and all current and future outgoings.
A financial planner will review everything, but it is about much more than numbers. They will consider what you want to do in your retirement, combining everything into a clear plan of recommendations, considering market movements, geopolitics, life or health changes.
Similar to working towards any goal, some sacrifices and adaptations may be required in your working life to achieve your life after work ambitions but combined with the right advice worth doing to reach your ultimate retirement destination.
Niall Duffy is a Financial Planner at AC Wealth and is based across Stirling and Perth.
Partner Content in association with Aberdein Considine Wealth