As a financial adviser here are three things that I talk to people about that they don’t like to hear

1. Save more than you think you need to save.

Most people I talk to understand the importance of savings. However not everyone does it. The ones that do generally save for emergencies. For example, appliances that need to be replaced or for a new car. Its rare that they save for retirement.

When I talk to people about the amount of money, they need to save most are shocked. I suggest saving 25% of your after-tax salary. Yes, it is possible to live on 75% of your salary. This will ensure that you have money for emergencies and more importantly help you take advantage of opportunities when they arrive.   

2. Stop trying to time the markets.

One of the most common responses I hear from people when it comes to investing is “I am waiting for the right time.”

“So, when is the right time?” The right time is now!

Most people try and time the market. It doesn’t matter if its shares or property. They want to wait for the perfect time to invest. They feel markets are overvalued and so they wait and wait and wait.

No one can time the market. Professionals struggle to time the market. If professionals get it wrong, what makes us think we can do it better?

My advice to people is if they are ready to invest then the time is right now. Doesn’t matter if markets are high or low. Have a plan and still to it!

3.  What's your backup plan?

If you become sick or injured and can't work, how are you going to survive, what is your plan B? I ask this question to everyone and the most common response is “I don’t know”.

A sound plan B will ensure that if you are not able to work due to injury or sickness your income will continue and your lifestyle will not be affected.

Have a plan B