Why your yearly catch-up with your adviser is important

Bottom line: Your annual financial review isn't just another appointment – it's essential for keeping your money working optimally and avoiding costly mistakes that could derail your financial future.

We know your diary is packed. Between work deadlines, school runs, and trying to maintain some sort of work-life balance, the last thing you want is another meeting. But here's what we want you to understand: your yearly financial review is probably one of the most valuable hours you'll invest all year.

Your finances need regular maintenance

Just like you wouldn't drive your car for a whole year without a service, your finances need the same attention. Your money is working 24/7 to secure your future, and regular check-ups ensure everything runs smoothly.

Life constantly throws curveballs that affect your financial situation:

• Career changes: That promotion means higher income but also different tax obligations
• Family growth: New babies bring joy but also school fees, medical aid upgrades, and increased life cover needs
• Property purchases: Buying your first home completely transforms your financial landscape
• Health changes: Medical diagnoses can impact both your expenses and insurance requirements

South Africa's changing financial landscape

Our local economic environment shifts rapidly, creating both opportunities and risks:

Interest rate fluctuations affect everything from your home loan repayments to fixed deposit returns. The Reserve Bank adjusts rates based on inflation and global conditions, directly impacting your financial strategy.

Tax law changes happen almost annually. Recent years have brought changes to retirement fund contributions, estate duty thresholds, and tax-free savings account limits. Missing these updates can cost you thousands.

New investment opportunities emerge regularly. Tax-free savings accounts didn't exist a decade ago, yet they're now crucial wealth-building tools for ordinary South Africans.

Currency volatility affects offshore investments and impacts your purchasing power for imported goods and overseas travel.

Economic uncertainties like load shedding create industry-specific risks that might affect your job security or investment returns.

The hidden costs of neglecting reviews

Without regular check-ups, you risk:

Overpaying for unnecessary cover

Many clients pay for massive life insurance when their bonds are nearly settled and children are financially independent. Others maintain expensive policies that no longer match their needs.

Missing growth opportunities

You might stick with underperforming investments while better options exist. Fund managers change, fees vary, and new products launch regularly.

Inadequate protection when you need it most

Your insurance might not keep pace with salary increases, leaving your family vulnerable if disaster strikes.

Tax inefficiencies

You could miss deductions, fail to optimise contributions, or structure investments suboptimally.

Beyond numbers: peace of mind

Financial stress affects sleep, relationships, and overall wellbeing. When you're uncertain about your financial decisions or worried about retirement adequacy, that anxiety impacts every aspect of life.

Regular reviews provide emotional benefits:

• Confidence in your financial direction
• Clarity about your progress towards goals
• Control over your financial destiny
• Calm knowing you're properly protected

Early problem detection saves money

Reviews help spot issues before they become crises. Maybe spending has crept up unnoticed, or industry changes suggest you should consider retraining. Catching problems early allows gradual adjustments rather than panic decisions.

We've seen too many people who set up investments and insurance then ignored them for years, only to discover they'd paid excessive fees, maintained inadequate cover, or missed better opportunities.

Your financial plan isn't set-and-forget – it's a living document that evolves with your circumstances. Regular reviews ensure it stays relevant and effective, helping you build wealth steadily while protecting what matters most.