Top three things that you should not hide from your financial planner

Top three things that you should not hide from your financial planner

Mutual Funds
by 5paisa Research Team Last Updated: Dec 15, 2022 - 12:39 am 15k Views

You should avoid hiding information from your financial planner, just as you would from any other expert, such as a doctor or a lawyer. What exactly are they? Let us investigate.

You should aim to be as transparent and upfront as possible when hiring a financial planner. You pay a financial planner for financial advice and support, and they can only perform a successful job if you share pertinent information about yourself with them.

The financial planner's output or outcomes are determined by the inputs you supply. So, here are the top three things you should not hide from your financial planner.

Recent pay slips or ITR

It is prudent to send your most recent payslips or, if self-employed, your most recent Income Tax Return (ITR). This will assist your financial planner in precisely planning your cashflows as well as in planning your taxes.

Expenses

Another part of cashflow management is budgeting. Financial planners demand costs that you incur as part of cash outflows when advising on cashflows. So, never conceal any spending from your financial planner out of embarrassment.

It is preferable to provide accurate information about your spending. This will allow the planner to provide you with better guidance and will assist you in streamlining your cashflow clutter.

Debt 

It is preferable to be upfront and honest with your financial planner about your financial debt. Do not conceal any debt, even if it is owed to a relative. As a result, your personal balance sheet will be a mismatch. Not only that, but your financial advisor will be unable to assist you in reducing your debt burden by deploying efficient strategies. As a result, giving all the facts about your debt to your financial advisor is essential for maximum service performance.

How do you rate this blog?

Fill in your details below:

Start Investing in 5 mins*

Rs. 20 Flat Per Order | 0% Brokerage

About the Author

Our research team is composed of some highly qualified research professionals, their expertise range across sectors.

Disclaimer

Investment/Trading in securities Market is subject to market risk, past performance is not a guarantee of future performance. The risk of loss in trading and investment in Securities markets including Equites and Derivatives can be substantial. Also, The

Open Free Demat Account

Resend OTP
Please Enter OTP
Account belongs to

By proceeding, you agree to the T&C.

Start Investing Now!

Open Free Demat Account in 5 mins

Enter Valid Mobile Number