What is Fee Only Financial Planning?
Financial planning is a very broad topic and it can be difficult to make an informed decision for yourself. At its heart financial planning is centred around a few principles, organizing your current financial situation, projecting into the future to determine where you’re heading, and most importantly, providing guidance and advice along the way.
There are two main ways we help:
- A written financial plan, which shows you your current financial situation, your current risks, and a determination of your goals with a projection into the future of your options in achieving those goals.
- Financial coaching and advice, this can be a one off conversation or ongoing support. This is where you have the space to discuss your concerns, find comfort and confidence with what you’re doing, and learn the skills and strategies you need to build the lifestyle you desire.
How does fee only fit into this?
By unbundling financial advice from other services, such as investment management, you can find the advice you need regardless of how you choose to manage your finances. You pay directly for a financial planner who then has no other concerns other then delivering you advice, similar to how you pay a lawyer, accountant, or therapist.
Conventional wealth management and investment advice is paid for either by commission, so a percentage of each transaction, or as a percentage of assets. This centres the conversation firmly on your investments, when an investment advisor engages in financial planning it can be more directed at retaining and growing the advisor’s assets under management, rather then focussing the conversation on your needs and goals.
As an example, an investment advisor may charge up to 2% on the assets they manage, if you have $1,000,000 to invest with them, you’ll be paying up to $20,000 a year for their services. That’s where they’re getting paid from, so it’s what they’re going to focus on. The same goes for any other product based advisor.
What makes Inclusive Financial Planning different?
We understand that it can be difficult to get the advice you need, when and how is best for you. No matter the stage of life you’re in or what you’re working towards we’re available to help. We aren’t incentivized by the size of your investment portfolio or any other product, we’re focussed entirely on our client’s needs from the very beginning. We don’t receive referral fees, and we don’t sell investments or insurance. Our only customer is you and our only concerns are yours.
We’re also built differently. We understand there are barriers to accessing financial advice, because we’ve faced those barriers. We believe in empowering you to better make decisions, and providing the support that you want, not that we think you should have. From the very beginning when you work with us.