Workplace Benefit Schemes and Private Finance

Background

Our clients are a couple who have recently had a child and wanted to make provisions should either of them fall ill or pass away.

The clients came to gpfm after a recommendation from a work colleague. Although both clients were covered by workplace policies, they did not know whether they could rely on their workplace schemes to provide for their child in the case of their death. The couple wanted to ensure their mortgage could be paid should one of them die, and needed to be certain their child would be provided for should they die together.

Key challenges

There were two major challenges to this case. Firstly, the clients were eager to plan for their retirement, setting goals to reach within an agreed timeframe.

They wanted to plan for this while also planning the financial security of their child, which meant balancing resources to achieve both aims in a short timeframe. Secondly, it was crucial to understand just what was included in both clients’ workplace benefit schemes. Without knowing this, Scott could not properly advise on new income protection and life insurance products.

Solution

Scott quickly researched the extent of the workplace schemes’ cover. He explained to the clients that they would need to seek extra cover to meet their own income protection and life assurance targets and start their family with peace of mind.

As an independent financial advisor, Scott was able to use his own market knowledge to make a recommendation on assurance solutions which would provide the extra financial cover the clients wanted.

In advising on the clients’ retirement planning, Scott quickly set expectations about the couple’s current financial situation, quickly imparting just what they had to do in order to retire according to their own later-life requirements.

With so many factors to juggle, Scott’s experience allowed him to prioritise different targets, helping the clients get the best possible start on their saving and pension goals without neglecting the protection of their new family. The clients will now meet with Scott annually to review their strategy and targets, ensuring the completion of their saving goals.

A quote from the client: “Scott has been very honest in his assessment of our situation and has pulled no punches in making us realise what we need to do now to have a successful financial plan. Whilst we initially just wanted to discuss protection, the advantage of working with an Independent Financial Planner is that Scott has opened our eyes to other needs and has helped us understand what we need to do if we are serious about our retirement aspirations.”

About gpfm

gpfm are an independent financial planning company dedicated to the provision of personal, professional and objectively-driven advice for our clients. We have been awarded the Chartered Financial Planners title by the Chartered Insurance Institute for offering high quality, independent and informed advice that meets the needs of our clients.

If you are seeking financial planning advice, get in touch with us today at enquiries@gpfm.co.uk or call 01992 500 261 now, and see how we can help address your financial future.