The study of 3,000 UK adults concluded that 74% of those who have received regulated financial advice are more likely to have average, or above average, mental health.
Similar results came to light when looking at UK adults who seek ongoing financial advice, with findings demonstrating that 72% of those who review their financial plan on an annual basis benefit from average, or above-average, mental health. In contrast, 50% of those without an ongoing financial plan reported below average mental health.
In contrast, 42% of those that don’t receive financial advice report below average mental health.
Planning for retirement
Having a retirement plan in place is also intrinsically linked to better mental health, with 77% of UK adults in possession of a comprehensive retirement plan experiencing average, or above average, mental health. This is opposed to the 48% of those without a plan who felt they had below average mental health.
It is never too early to start planning
In light of this research, Paul Hamilton, Managing Director at Smith Cooper Independent Financial Solutions, comments:
“This study demonstrates a clear pattern between financial advice and good mental health, and it is not at all surprising that the two are so intrinsically linked.
As a financial planner, I would always recommend that people start planning for their financial future, whether that be investment planning, or preparing for retirement as soon as they are able. Individual objectives will vary when it comes to financial planning, but we always work with your current and future wellbeing in mind.
We have seen a surge in people seeking professional financial advice as a result of the COVID-19 pandemic, which has caused many people to get their financial planning in order, after reconsidering what really matters to them and what they want from life.
In recent years, many of us have become more mindful about our mental health, and we should be taking the same approach with our financial health. A holistic approach to financial planning is vital to future-proofing and maximising both your wealth and your mental health.
When it comes to retirement planning, a well-structured plan that is continually reviewed is the only way to ensure you can secure the level of income you need to realise your retirement ambitions. With life expectancy at an all-time high, more and more people are wanting to enjoy later life as much as possible, and having a plan in place for different eventualities – to minimise disruption should your plans or priorities change – is key.
Here at SCIFS, we look after both families and individuals, devising and implementing methodical financial planning solutions to suit all individual circumstances. We take the time to get to know our clients, understanding their motivations and their concerns, as well as their short, medium, and long-term objectives”.
If you would like to arrange an initial discussion with one of our dedicated chartered financial planners, please do not hesitate to get in touch.
*The HSBC research study and its materials are for information only. Fair usage of the copyright law within the UK commonly known as ‘fair dealing’ allows the use of this material without having to seek permission from the copyright owner(s).