Start by writing down what you want your money to do, when you may need it and what you can set aside. Build a cash cushion before considering investments. Check your pensions and possible support, then decide whether professional advice would help. If you seek advice, check the adviser’s registration and understand what kind of advice they offer.
Key facts
- GOV.UK explains this option.
- The FCA says a useful rule of thumb is to keep at least three months of living expenses aside. Read the FCA’s investment checks.
- Independent financial advisers can give advice about products across the market, while some advisers offer products from a limited range. Coventry’s guide explains adviser types.
Set out your goals and money timeline
Begin with a clear picture of what you want your finances to support. Write down your priorities in plain language, such as having money available for a planned expense or building towards retirement. Keep each goal distinct so you can judge whether a saving or investment choice fits it.
Next, note when you expect to need the money. The FCA says timing is an important first step when investing, and that an investment should fit your goals, timeline and how soon you need access to returns. The FCA sets out these checks.
A timeline can help you compare choices with the purpose of your money. The FCA says building a timeline helps people make smarter investment choices. Avoid treating every pound as available for the same purpose: money needed soon may need a different approach from money intended for a distant goal.
Before investing, consider how much risk feels acceptable to you. Coventry’s guide says an adviser should consider whether advice is suitable for the amount of risk you want to take. (Coventry.gov.uk) This is a useful prompt for your own planning, too: be honest about how you would respond if an investment fell in value.
Keep your notes practical rather than perfect. A short list of goals, likely access dates and concerns gives you something concrete to revisit. If a goal changes, update the plan before making a choice that could affect when you can use your money.
Build a cushion and review your retirement plans
Before investing, consider whether you have money set aside for unexpected costs. The FCA gives a rule of thumb of at least three months of living expenses as a financial cushion. Its investment guidance explains the purpose of a cushion.
Keep this reserve separate in your plan from money intended for longer-term goals. The FCA says a cushion can help with sudden shocks without needing to cash out investments early. That distinction can make it easier to think about access needs before choosing an investment.
Retirement planning is another part of the picture. GOV.UK advises checking what pensions and financial support you could get, then deciding when to retire. Use the GOV.UK retirement steps as a prompt.
For advice about increasing a workplace or private pension, GOV.UK says to speak to a financial adviser.
You can also get free guidance on retirement savings options through MoneyHelper. Guidance can help you understand options, while a financial adviser can consider your circumstances and recommend products to meet your needs. Decide what you need before choosing which kind of help to seek.
Choose financial advice carefully
Start by deciding what you want help with. An adviser may look at your personal circumstances and financial plans, then recommend products to meet your needs. A focused discussion is more useful when you can explain your goals, timeline and concerns.
Check whether an adviser is independent or restricted. Independent financial advisers can give advice about the whole range of financial products from different companies, while some advisers only offer products from a limited number of companies. Ask what range they consider before you rely on a recommendation.
Coventry’s guidance says it is usually best to seek independent advice to look at the widest range of advice and products available. That does not remove the need to check whether the advice fits your circumstances and attitude to risk.
Check that the adviser is registered with the FCA. Coventry’s advice guide highlights this check. You can also ask about the adviser’s qualifications for the advice you need.
If your question concerns retirement income, check whether free guidance will help you understand your options before seeking advice. MoneyHelper offers free guidance on retirement savings options. For a decision about increasing a workplace or private pension, GOV.UK points to a financial adviser.
What this means for you in the UK?
Practical planning does not need to begin with a financial product. Start by deciding what your money needs to do, and when you may need access to it. Then compare that timeline with your cash reserve and retirement plans. This gives you a structure for deciding what to explore next.
If you are a worker paying into a workplace pension and want to increase it, GOV.UK advises speaking to a financial adviser. Ask your pension provider about that option, rather than assuming it applies to every situation.
For retirement savings questions, free MoneyHelper guidance may help you understand your options. If you need a recommendation based on your own circumstances, financial advisers consider personal circumstances and plans when recommending products. These are different kinds of help, so decide whether you need information or a tailored recommendation.
When comparing advisers, ask whether they are independent or restricted and what products they can consider. Independent advisers can advise across the whole range of products, while some advisers work with a limited range. Check registration with the FCA before proceeding.
What to do now?
- Write down your financial goals and the dates when you may need the money. Use your own words, and separate near-term needs from longer-term aims. The FCA says timing helps with investment choices.
- Work out a cash reserve that suits your circumstances. Use the FCA’s three-month living-expenses rule of thumb as a reference, not a substitute for your own judgement.
- List your pensions and the questions you have about retirement income. GOV.UK recommends checking pensions and possible financial support as part of retirement planning.
- Explore free retirement savings guidance through MoneyHelper if you need help understanding options.
- Decide whether you need a recommendation from an adviser. If you do, check FCA registration, qualifications and whether the adviser is independent or restricted.
- Ask your pension provider whether you can use the pension advice option if retirement advice is relevant to you.
Sources
- www.gov.uk/plan-retirement-income/get-financial-advice
- www.fca.org.uk/investsmart/5-smart-investment-checks
- www.coventry.gov.uk/money-legal-matters/getting-independent-financial-advice
- www.coventry.gov.uk/money-legal-matters/getting-independent-financial-advice/print
- www.gov.uk/plan-for-retirement
About this page
Written with AI assistance from the sources listed above, then checked by automated fact, source, repetition and quality checks before publishing.
Facts, prices and links checked on 5 November 2026. Prices and features change, so confirm on the official pages before you decide.
How we researched this: we compiled this guide from the official and independent sources listed above, checked prices and facts on the date shown, and did not test the products ourselves. Our editorial policy explains how we choose and check sources.