BECOME FINANCIALLY RESILIENT

SHEENA DOHERTY, senior wealth management consultant, Sovereign Wealth

‘Even if you decide to see a financial planner at some point, you can still start your planning journey yourself with simple money moves,’ says Sheena. ‘These include having a budget and savings. Your goals will change over time, but if you have a strong base, you can deal with change.’

 Build your savings. ‘Get into the habit of saving 10 to 20% of your take-home pay,’ says Sheena. ‘Regular savings are really important; see them as a bill you have to pay. And build an emergency fund; when the pandemic hit, a lot of people found they didn’t have a rainy-day pot and they faced difficulties.’ Experts recommend keeping an emergency fund with at least six months’ income. ‘If you can carry on with that throughout your lifetime, the natural by-product is accumulating more wealth for later life,’ says Sheena.

 Protect yourself. Sheena adds that anyone who is self-employed should take extra care to plan. This includes building in a pension and income protection because, if you get ill, there is no income. ‘Don’t rely on your accountant to help with your long-term plans,’ she says. ‘Their job is to manage your books; they’re not financial planners.’

 What Sheena tells her clients: ‘Rethink and refresh. Review your financial plans regularly, at least every 12 months. This also includes your will. If you have one, make sure you review it, and if you don’t, making one should be a priority.’

Regular savings are really important; see them as a bill you have to pay