March 14, 2023
The Financial Planning Guide
Table of contents
Investment App for Beginners in the UK
Introduction
Introduction
There's a lot to think about when it comes to financial planning. The process is comprehensive and can vary, but in general it covers a step-by-step approach to meet one's life goals. This can often come with the help of a financial adviser or specific financial planner, but is equally possible alone or with your partner.
Whichever path you choose, we've got you covered with this complete guide. In it, we'll explore everything from setting goals and creating a budget to investing and retirement planning. So whether you're just getting started or looking to fine-tune your finances, this guide has all the information you need. Let's get started!
What Are The First Steps In Financial Planning
The first step in any financial plan is to set goals. What do you want to achieve financially? Do you want to save for a house, pay off debt, increase your retirement savings, or something else entirely? Setting clear goals can help guide your financial decisions and ensure that you're on track for success.
You should lay out short and long term financial plans - presumably the largest of these is to secure retirement and maybe plan for the future of your children via inheritance tax planning, but in the shorter term it will likely involve a house, holiday or car. What are your goals and what is the financial future you see for yourself?
Next, it's important to create a budget. This will help you to manage your money and keep track of your spending. When creating a budget, the most important step is to list your income and expenses. Track how much money you make each month, then subtract all of your regular bills and other necessary expenses like groceries and gas. The remaining balance is what you have left to save or use however you wish. Multiply this by 5, 10 and 15 years. How conservative are your goals and how likely are you to achieve them, with some back of the napkin calculations on career progression and compound growth.
Once you've got a budget in place, it's time to start thinking about investing. Investing is a great way to grow your wealth over the long term and can help you reach even the most ambitious financial goals. It's important for any to understand what types of investments are available and how they work. There are many different types of investments, such as stocks, bonds, mutual funds, and ETFs.
Do some reading around what represents a good portfolio allocation amongst these: a good rule of thumb is not to invest in the stock market with money you might need within 3-5 years - any good independent financial advisers should tell you similar. The rest depends on your appetite for risk: with the Strabo dashboard, you'll be able to measure and track this automatically over time.
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Finally, it's important to start planning for retirement. Retirement may seem far away now, but the earlier you start saving the better off you will be in the future. Start by opening a retirement account and contributing regularly. Consider talking to a financial adviser to discuss the best options for you. You will likely want to maximise your matched workplace pension contribution - this is free money!
Summary
- Save a month's expenses for your starter emergency fund
- Pay off all short term debt using the snowball method
- Save 3-6 months of expenses to complete your emergency fund
- Invest 10-30% of your household income for short and long term goals
- Pay off home debt early
- Continue to build wealth at a faster rate and donate!
The Mindset Element in Financial Planning
The most important element in any financial plan is having the discipline to stick with it. Achieving your goals can take time and effort, so it's important to stay motivated and stay on track. Create regular reminders of your goals and review them often to keep yourself accountable.
Discipline is difficult to foster and often comes down to your ingrained financial habits. Having strong organisation can help to alleviate the need for discipline on days where this is difficult. If you have a partner, sit down and discuss your goals together so that you know you're on the same page and can hold each other accountable. No matter how good your investment strategy or how lofty your life goals, the correct mindset is a vital aspect of wealth management.
Following these steps can help you create a strong financial plan, no matter what your goals may be. With a little patience and hard work, you can achieve financial success in no time. Good luck!
The 4 Main Types of Financial Planning - or What to Think About After Step 3
Any professional financial advice will likely follow a combination of the following strategies
1. Investment Planning - This involves assessing your current financial situation and developing a plan for investing that is tailored to your individual needs.
2. Retirement Planning - This involves setting goals for retirement, creating a budget and making investments that will provide you with income during retirement.
3. Tax Planning - This involves minimising the amount of taxes you pay each year by making savvy financial decisions.
4. Estate Planning - This involves planning for the transfer of assets after death, such as wills, trusts and other estate planning tools.
Creating a financial plan can be overwhelming, but following these steps can help make it simpler and easier to manage your money and reach your goals. The 7 steps listed above are similar to those you'll be set by any financial planner, and each of them falls into one of the categories above.
The 3 Main Principles of Investing - or How to Achieve Step 4
The three main principles of finance involve risk, time and money management. Understanding these concepts is essential for creating a successful financial plan.
Risk Management - Risk management involves properly assessing the risks associated with any investment or decision you make and determining an appropriate response. It's important to understand your tolerance for risk before making any major financial decisions.
Time Management - Time management is the process of properly budgeting your finances, such as setting aside money for savings and investing. It's important to plan ahead so that you can meet your financial goals on time.
Money Management - Money management involves making smart decisions with your money and understanding how different investments work. It's important to understand the concept of compounding interest, as well as different investment strategies.
The 5 Types of Financial Documents - Your Toolbox
Your financial plan should include the following five documents:
1. Budget - This document outlines your income and expenses and helps you manage your money more effectively.
2. Cash Flow Statement - This document tracks your cash flow, or how much money is coming in and going out each month.
3. Investment Plan - This document details your investment strategies and outlines the steps you'll take to achieve your goals.
4. Financial Plan - This document is a comprehensive summary of all aspects of your financial plan, including budgeting, investments and retirement planning.
5. Estate Plan - This document outlines the transfer of assets after death, such as wills, trusts and other estate planning tools.
Calculators
To help you out, we've also put together a few calculators, including an Investment Return Calculator that will help you work out what an investment might be worth, particularly when you're making regular contributions over time, which can be difficult to predict.
What Is A Financial Planning Tool
So you've got the steps in place to become a financial planner in your own right, and now you're probably wondering what the best tools are to use for this.A financial planning tool is any software, service or other resource that helps you to create and manage a successful financial plan. There are many different types of financial planning tools available, such as budgeting apps, investment trackers and retirement calculators. These tools can help you assess your current situation, set realistic goals and measure your progress. A financial planning tool can help you make sense of your finances and create a successful plan for the future. This decision is completely down to you - you'll find recommendations all over the place. What do you struggle with the most? Budgeting? Investing? Managing your risk? Setting future goals? Managing an unexpected bill or life event? There are services designed to benefit each of these various options.
With proper time management, money management and risk assessment, you can create a sound financial plan that will help you achieve your financial needs. The right financial planning tools can provide the guidance and support you need to succeed. By understanding the basics of financial management and utilising the right tools, you'll be well on your way to achieving your financial goals.
Financial Planning with Strabo
We've built a whole range of tools to make financial planning easier for you. Using the Strabo dashboard, you'll be able to automatically sync all your accounts across asset classes and upload them to one dashboard, where you'll see balances, history, trends and aggregates so you know how much you're worth, how much you're spending and how much you're investing.

In addition, the platform helps you manage your risk profile, rebalance your portfolio and analyse your current financial position. We give you the tools to achieve successful financial planning, but we do not give advice, and suggest you find the right financial adviser for you if this is what you need.
Once you've done this you'll be able to add widgets to allow account tagging, custom financial goals, multi currency tracking and portfolio analysis. You can sign up for the platform below!
Why Use Investing Apps in the UK
Investing is now simpler than ever thanks to these applications, which get rid of the need for pricy brokers or complicated procedures. Investing apps like Trading 212, Freetrade, and Revolut make it possible for young and beginner investors to take control of their investments with their user friendly interfaces, built in educational tools and minimal or no costs.
As the need for low cost investing options and financial independence continues to grow, the UK is expected to utilise mobile investing tools even more in 2025. More people in the UK are using apps to manage their money as a result of its adaptability, simplicity of use, and the growing trend towards digital financial solutions and increased awareness of personal financial planning, which makes investing apps an effective tool for beginner investors.
Benefits of Using Investing Apps for Beginners
- Accessibility - By providing a straightforward, mobile friendly platform that is available at anytime and from any location, investing apps have completely changed how individuals invest. You no longer have to spend hours learning complicated systems or setting up sessions with financial experts. Beginners can begin investing directly from their smartphones with a few taps. Anyone, regardless of their schedule or location, can participate in investing without any obstacles thanks to this immediate access.
- Low cost - The affordability of investment apps is one of their most notable benefits. The high commissions and administration costs associated with traditional broking services make it challenging for those starting out to invest small amounts of money. On the other hand, a lot of investment apps provide cheap fees or commission free trading, which makes them perfect for beginners. This enables beginners to invest without fear of losing a significant amount of their profits to fees, allowing them to give more money to the market.
- Adaptability - Traditional investment strategies are not as flexible as investing apps. Beginners can more easily dabble without making a significant upfront payment because many investment platforms enable users to invest in a variety of assets, stocks and shares, exchange traded funds (ETFs), and specialised investment options, allowing beginners in the UK to diversify their investment portfolios right away. Furthermore, everyday investors may manage their investments on their own terms and are not restricted to a 9 to 5 schedule thanks to the option to trade at any time and from any location.
Manage your wealth like never before

Key Features to Look for in an Investment App for Beginners in the UK
- East to use interface
The design of the app should be simple and intuitive. You will find it easier to comprehend and utilise the platform without feeling overwhelmed if it has a straightforward and uncomplicated layout. - Educational Resources
The best investment apps include educational materials such as FAQs, videos, tutorials, and articles. Beginner investors can use as a guide to understand important investment strategies and make wise choices. - Platform fees
A lot of investment apps charge management fees and trading fees. To protect your investment gains, it's crucial for beginners to select an investment app with little to no costs. The best investment apps waive management fees or provide zero commission trading. - Low minimum investment
For beginners who might not have a large initial investment, apps that let you start investing with small amounts of money are excellent. Also look for apps that sell fractional shares, so you can invest in pricey stocks without having to purchase the entire share. - Portfolio diversification tools
Seek for investment apps that provide a variety of investment options, including mutual funds, index funds, and exchange traded funds (ETFs). Even with little money you can create a diversified portfolio by making a fractional investment in individual stocks. - Robo-Advisor Features
Some investment apps include robo-advisors which automatically manage your investment portfolio according to your goals and risk tolerance. For those whose may not feel comfortable choosing their own investments, this is a fantastic benefit. - Security features
It is important to ensure that the app has strong security features like encryption, two-factor authentication, and safe account recovery methods to protect personal data and information. - Current market data
The best investment apps have real time market data, charts and stock market performance metrics which are essential for beginners who wish to remain informed and make wise judgements. - Type of investment accounts
There are many types of investment accounts available, such as investment accounts for minors, individual retirement accounts and individual taxable accounts. You should choose an investment app that provides you with a range of account options that can help meet your financial objectives.
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