Financial Planning

Technically speaking, a Financial Planner is a skilled investment professional that helps businesses and individuals and corporations meet their economic goals by examining their status and setting agendas to attain those goals. Financial Planners concentrate in asset allocation, tax planning, risk management, estate planning, and/or retirement.

Australian Money

Wow.  Financial Planning sounds really complicated, highly sophisticated, and reserved only for the wealthy, right?  Wrong.

It’s easy to complicate the concept of Financial Planning with fancy words.  Just substitute a couple of simple words and the meaning gets clearer.  A Financial Planner is an experienced, smart person that looks at a businesses’ and a person’s finances and helps them make the most out of what they got. There.  That wasn’t that hard, now was it?

It gets complicated, however, when the actual work is discussed and that icky, awful subject, you know the one…math…is reviewed.  That’s when it all gets complicated, irritating, and, well, boring.  Sure, there are some out there that think math is glorious and fascinating, but to us right-brained people, it’s evil.  It either puts us to sleep or gives us a splitting headache.

All joking aside, Financial Planning, however, is vital.  Developing a financial plan helps you set long and short-term goals, both of which are critical for your future. Once you have a Financial Plan, it’s much easier to make decisions.  Those without Financial Plans easily find themselves in trouble and oftentimes have nothing when it’s most important.   A skilled, experienced Financial Planner can help you set a Financial Plan with goals, such as saving to buy a house or setting up a fund for a child’s college tuition.  Financial Planners also offer advice on how to save and invest.  Some planners also specialize in areas such as estate planning or retirement.

Also, Financial Planners aren’t stockbrokers.  That’s a completely different profession.

How to Choose A Financial Planner

Most Financial Planners have at least a Bachelor’s Degree in financial planning, finance, accounting, economics, business, law or, (ick) mathematics.

Here are some tips when selecting a Financial Planner:

  • Select a Certified Financial Planner (CFP). The certification indicates credibility (though it doesn’t necessarily guarantee it).
  • Ask friends, relatives, and/or colleagues for recommendations. Those in a similar situation might also have suggestions.
  • Study the Financial Planner’s pay structure. You normally want to sidestep commission-based advisers.  When they’re advocating for certain mutual funds or insurance packages, they’re getting a cut of the revenue, so you can never be sure of their incentives.

Fee-based advisers take in one percent of your assets, so they might be reluctant to advise you sell investments or buy a house, even if such was a right move for you because their fee would decrease.

If you’re just starting out and don’t have a lot of assets, a Financial Planner that charges an hourly rate might be best.  Such a planner is probably establishing their practice, so handling your account accurately will earn them a positive recommendation. As well, some experienced advisers will work hourly with new clients as such is the only way said clients can afford them.

  • Seek out a fiduciary. Such means that the Financial Planner has promised to always act in the client’s best interests. This means that anything they sell must suit you.
  • Do a background check. Ask your potential Financial Planner these two questions:  Have you ever been convicted of a crime? Has any regulatory agency or investment-industry faction ever put you under investigation, even if you weren’t found guilty or accountable? Then ask for references of existing clients whose objectives and finances equal yours.
  • Check the potential Financial Planner’s credentials. Research their name on Google.  Research them on CFP at:

http://www.cfp.net/about-cfp-board/ethics-enforcement/disciplined-individuals-by-state

  • Be careful of those who claim to have outperformed market averages. There aren’t many people like Warren Buffet.

Most importantly, you should be able to connect with and build a quality relationship with your Financial Planner.  It is a relationship that should last and be profitable for both of you.

Karting Accountants

If you own a business, hiring an accountant should be on your list of important business moves. Every dollar counts for a business owner, so making sure you keep track of it could mean the difference between staying on top of your game, and employee paychecks bouncing. If you are looking for a Hervey Bay accountant, you are in luck There are a lot of accountants to choose from, so you are guaranteed to find someone with the expertise your business needs.

While hiring an accountant may seem like just another expense, you will be surprised at how many situations a business accountant can be of assistance to you as a business owner.

Karting Accountants

           Hiring a Hervey Bay Accountant

Hiring an account is about more than crunching numbers for your business. They can also provide you with advice on making purchases, financing business equipment and developing a financial plan to help grow your business. An accountant can also advise you on improving your business credit, and the recommended budget for your company to advertise to bring in new clients.

An experienced accountant will also be able to handle your taxes. Since they develop hands-on knowledge of your business’ situation throughout the year, and since they are knowledgeable about how your tax rate is affected by the way your business functions,  you could save a lot of money by having them prepare your business taxes.

  • Do-It-Yourself Software Just Won’t Cut It

Many business owners try to keep track of their finances using a do-it-yourself software. This software is helpful when it comes to calculating operation costs, assets, bills, and accounts due. They cannot provide the human touch it takes to evaluate the financial future of a business, and whether changes need to be made to protect it financially.

The advice of an outside party can help you avoid making impulsive purchases, or financing a piece of equipment that will cause your business to owe more than it is worth. The last thing you need is to develop more debt than you currently have assets. Customers do not like to work with businesses that are upside-down financially.

  • An Accountant Could Become Your Business’ Best Friend

A good accountant is an asset that cannot be replaced. If you hire the right one to represent your company’s finances, they could easily become your business’ best friend. Over time, you will be able to trust them with knowledge about your company’s inter-workings. You will not only trust them with business finance matters, you will learn to trust them with personal finance matters.

An accountant could provide you valuable finance advice that you were not previously aware of. For example, where to get a finance loan to buy a new piece of equipment your business desperately needs. Accountants are charged with staying up to date with finance interest rates in your area that affects businesses. They can tell you who has the lowest interest rates in the area, and who is most likely to finance the purchase your business is about to make.

If you are wondering if hiring an accountant is right for your business, the answer is is pretty simple. Why does your business not have one already? The advice of someone who is well-trained in business finance can help you properly budget for your business’ future, and a number of other financial decisions that must be made every day as a business owner. Ensure you speak with a Hervey Bay accountant to ensure you have the best possible advice.