Financial Planning: Going It Alone or Getting Expert Help?

When it comes to managing finances, we all take on small tasks ourselves—whether it’s setting up a monthly budget, paying down debt, or even dabbling in investments. These are manageable steps, similar to painting a room or assembling flat-pack furniture. But when it comes to more complex, high-stakes decisions—like tax optimisation, retirement planning, or safeguarding our family’s future—many of us realise that it may be time to call in an expert. Just as we wouldn’t attempt to perform our own surgery, sometimes, it’s best to trust experienced professionals with our financial well-being.

Financial planning is one of those areas where the choice isn’t always clear-cut. While some prefer the hands-on DIY approach, others value the tailored guidance and ongoing support a professional brings. Here’s a look at each option, with real-world examples, to help you decide which path suits your financial goals and lifestyle best.

Option 1: The Do-It-Yourself (DIY) Financial Planning Model

Some people find the DIY approach to financial planning rewarding, enjoying the control and personal involvement it offers. With the right tools, resources, and commitment, taking charge of your own financial journey can be an empowering experience.

Example: Emma’s DIY Approach to Investing for Her Future

Emma, a 35-year-old graphic designer, has taken a DIY approach to her finances. She’s an avid reader of financial blogs and magazines, regularly tracks her spending with budgeting apps, and has even set up a basic investment portfolio. By managing her finances independently, Emma saves on advisory fees and enjoys the confidence that comes with her growing financial knowledge. Yet, staying updated on tax laws and planning for larger life events, like buying a home or retirement, can sometimes feel overwhelming.

For those considering a DIY approach like Emma’s, here are some key advantages and challenges to be aware of.

Benefits of the DIY Model

Full Control: You make all the decisions, allowing you to shape your financial plan according to your goals and preferences.
Lower Initial Costs: Without advisor fees, you save money, which can instead be invested or put towards other goals.
Learning at Your Own Pace: There is a wealth of online resources on budgeting, investing, and retirement planning, enabling you to grow your knowledge over time.

Challenges of DIY Financial Planning

Time-Consuming: Staying on top of your finances requires a significant time commitment, from tracking spending to adjusting investments.
Risk of Costly Mistakes: Small errors, such as not taking advantage of tax reliefs, can impact your financial outcomes.
Staying Objective in Tough Times: It’s easy to react emotionally to market changes or life events, which can affect your long-term plans.

DIY Financial Planning Checklist

Set Clear Goals: Define what you aim to achieve in the short, medium, and long term.
Research Investments: Familiarise yourself with different asset classes and which align with your risk tolerance and time horizon.
Stay Informed on Financial Rules: Regularly follow updates on tax laws, pensions, and investments to stay compliant and avoid pitfalls.
Track Your Progress: Conduct bi-annual reviews of your finances to ensure your plans remain on track.

If you enjoy this DIY approach like Emma, staying committed to continuous learning and careful monitoring is essential to long-term success.

Option 2: The Seek Professional Advice and Ongoing Support Model

Financial planning doesn’t have to be a solo journey. For many, working with an experienced financial advisor offers peace of mind and confidence. By leveraging the knowledge of a certified professional, you can develop a customised financial plan that adapts as your life, goals, and the financial landscape change.

Example: David and Sarah’s Journey with a Financial Planner

David and Sarah, a couple in their 40s, are both busy professionals with two children. With assets growing and questions around planning for education costs, retirement, and tax efficiency, they decided it was time to work with a certified financial planner. Their advisor helped them set clear goals, optimised their tax strategies, and even arranged a protection plan to safeguard their family’s future. This partnership gives David and Sarah confidence in their financial path without needing to manage every detail themselves.

Benefits of Seeking Professional Assistance

Access to Expertise: Financial planners bring years of training and experience, handling a wide range of scenarios and complexities.
Objective Guidance: Advisors help you maintain perspective, which can be invaluable during market volatility or major life events.
Tailored Financial Strategy: A financial planner develops a plan based on your unique goals, timeline, and risk tolerance.
Regular Updates: Financial professionals continually adjust your plan to reflect changes in your life, tax laws, or financial markets.

What to Expect When Working with a Financial Planner

Goal-Setting Session: You’ll start with a deep dive into your financial aspirations, creating a clear foundation for your plan.
Bespoke Financial Plan: Advisors create a detailed roadmap covering investments, tax strategies, insurance needs, and estate planning.
Ongoing Support: A financial planner will monitor and adjust your plan as needed, ensuring it remains aligned with your evolving goals.

Choosing the Right Planner

When seeking a financial planner, look for qualifications like the Certified Financial Planner (CFP) designation and experience in your areas of need. A good advisor should be transparent about fees, open to questions, and committed to acting in your best interest.

On the right road to a secure financial future

Which Financial Planning Path is Right for You?

The DIY model may suit those with a keen interest in finance, the time to stay updated, and the motivation to regularly manage their own plan. But if you’re like David and Sarah—busy professionals with complex financial needs or a family to consider—working with a financial advisor can provide the expertise and support needed to stay on course.

Example: Navigating Life’s Financial Complexities

Let’s say you’re a business owner balancing work, family, and personal goals. While the DIY approach could appeal, finding the time to research investments, understand tax changes, and review your progress may be challenging. In such cases, working with a professional offers an efficient solution, allowing you to focus on your career and family while having confidence in your financial future.

Final Thoughts: Planning for a Secure Financial Future

Financial planning is a powerful tool for building a stable, fulfilling life. Whether you choose the DIY route or decide to seek professional assistance, the key is to approach your finances with commitment and a clear strategy.

If you’re ready to take the next step with professional support, get in touch today. As a certified financial planner with years of experience serving clients across Ireland, I am here to help you achieve peace of mind through tailored advice, strategic planning, and consistent support.

Contact us to start building your financial future with confidence and clarity.

Financial Planning Choices: A Guide to Going It Alone or Seeking Expert Support