1. You don't feel comfortable putting together a plan
You may not have the time, interest or knowledge to create a financial plan. For example, you may not know how to plan for your retirement or how to improve your tax situation. Financial planners can help you look at the big picture and put your finances in order.
2. You need help understanding and choosing investments
How do you choose investments that will help you reach your financial goals? A financial planner can help you develop an investment strategy to fit your goals and your comfort level with risk.
3. Your life has changed and you need help updating your plan
When your life changes, consider how the change affects your plan. You might get a pay raise and need to update your plan to decide what to do with the extra money. Will you save it, spend it or pay down debt? How will your financial goals change if you get married, start a family, get divorced or approach retirement?
A financial planner can help you adjust your plan as your life changes. They can also help you set priorities if you have goals that conflict.
In a 2010 Investor Education Fund survey on
financial knowledge, Ontarians scored low on knowledge of financial planning and setting goals. The average score was 11.5 correct out of 23 questions.