Do you have a financial plan?


Local business owner Corin Jacka (Corin Jacka Financial Solutions) dropped by recently and we had an insightful chat about what a financial planner does and why we should consider having a financial plan.

Here is some information to start you thinking about your money.

What is a financial planner?

At the beginning of the chat we needed to clarify (for the interviewer’s sake :) ) the difference between an accountant and a financial planner.

In really simple terms an accountant’s main focus is on maintenance of financial records including tax management - although an accounting practice may also offer other services to their clients. A financial planner on the other hand, devises financial strategies for a client to assist them make the most of their money now and into the future.

So, what is a financial plan?

A financial plan is a strategy of managing your money - income versus expenses, assets (eg car and home) and liabilities (debt, loans).

A plan also assists people to make better decisions about their money.

Why do you need a financial plan?

Can you imagine a life with no money? Money is the cost to participate in society.

Think about what society might look like in 15 to 20 years. What is considered a luxury now may be considered the norm or essential just to keep up with society. For example a washing machine in the 1960’s was a luxury item and in today’s society it is definitely an essential!

You also need to think about why money is important to you.

Is it for providing security? Food, electricity, rent?

Or is it for school fees and to provide a better future for your family?

Is it to buy fancy gadgets and provide you with a sense of fulfilment?

Money is the motivation for why we do things.

A financial plan is essential so that we can focus on what is important to us rather than money… money is the enabler so that we can do these things.

A financial plan is a strategy to make smarter decisions - so you can do things in the future.

How do you make a financial plan?

Statistics show that 80% of people are not getting financial advice. So first of all you need to make a decision… DIY or outsource?

If you are going to do-it-yourself - you need to get educated so that you can make the best informed decisions about potential risks.

For example if you were going to get a new kitchen you would either research how to build it yourself or get a kitchen company to build it. Financial planning is no different.

There are lots of resources to help you get educated about financial planning:

  • See a professional independent financial planner.
  • Visit www.smartmoney.gov.au - a fantastic website that covers all aspects of money - from budgeting to investment and superannuation.
  • If you are contributing towards superannuation - look at their website.

Whichever way you decide to go - get educated and make the most of your money while you have it!

Plan for a comfortable retirement!

Meet the business

Corin JackaCorin Jacka Financial Solutions is an independent financial planning practice.

They can help you devise a personal financial strategy so you can make the most of your money now and in the future. They believe that more people should be educated about their finances and offer workshops through their Community Support Program to educate the wider community about financial matters.

They also offer a free initial consultation so that you can get a greater understanding about the issues that are going to affect you so that you can make better decisions about your money.

Visit www.corinjackafs.com for more information.