Get Your Finances in Shape for 2020
28th January 2020
Graham Murray, Chartered Financial Planner and Partner at Wright Johnston & Mackenzie LLP, shares five top tips on how to get your finances in shape for 2020.
Make a plan
Think about what your financial goals are in the shorter and longer term. Take stock of your current position by making a budget, and consider whether anything needs to change. Does your overall income and spending align with your goals?
Review your pension
Check how your pension is doing and whether it will meet your long term needs. Are you paying in enough to build up a sufficient retirement fund? Are you happy with how it is invested and how it is performing?
For the self-employed or business owner, be disciplined about contributing an adequate proportion of profits each year, to build your long term financial security independent of your business. Careful planning here benefits you and your business.
Use tax allowances
Don’t miss the opportunity to use your tax allowances (e.g. pension, ISA) before the end of the tax year, in line with your wider financial plan.
Protect your loved ones
Ensuring your family is provided for should anything happen to you is essential. Make sure you have an up-to-date Will in place, and a Power of Attorney. Life insurance is often neglected but having the right cover is important, especially if you are a business owner, have financial dependents, or borrowings.
Seek advice and don’t put it off
It’s not easy to be objective about your own situation, or to know the best route to achieving your financial goals. Seek professional advice to develop a financial plan which best suits your needs and takes into account the current investment and tax landscape. Your adviser will help implement the plan and keep it under review.
The earlier you start, the better. Whatever stage in your life you are at, Wright, Johnston & Mackenzie LLP can help you keep on top of your finances in 2020.
This article first appeared in Business Insider magazine
The information contained in this newsletter is for general guidance only and represents our understanding of relevant law and practice as at January 2020. Wright, Johnston & Mackenzie LLP cannot be held responsible for any action taken or not taken in reliance upon the contents. Specific advice should be taken on any individual matter. Transmissions to or from our email system and calls to or from our offices may be monitored and/or recorded for regulatory purposes. Authorised and regulated by the Financial Conduct Authority. Registered office: 302 St Vincent Street, Glasgow, G2 5RZ. A limited liability partnership registered in Scotland, number SO 300336.