What exactly is financial planning?

Financial planning is…
-Being intentional and smart about your money.
-Aligning your money with your life in a way that feels really good.
-Enjoying your life today while also securing your financial future.

Financial planning is NOT…
-Some dude telling you to save all your money for retirement.
-Ignoring your goals of paying off debt, buying houses, affording kids, growing your business and enjoying your lifestyle.
-Something that’s only for people who “have money to invest.”

Here are 3 things that might surprise you about financial planning:

1. Financial planning is holistic

In the financial planning process, we’re taking a look at your short, mid, and long term goals. It’s about finding a balance between enjoying your life today, being able to make big purchases along the way, and securing your financial future.

We also take a look at all the different moving pieces of your current financial situation. Things like how much you make and spend, how much you have in the bank, the numbers in your business, your investments and property, and the debt that you owe.

We talk about your insurance and estate plans and really make sure you’re organized and have a full picture of your financial situation.

If you’re feeling like you just want to keep avoiding the numbers and ignoring it – I promise it’s not as bad as you think, and it’s actually really empowering to have the knowledge of where you are, the direction you’re heading, and what you have to do to get there.

2. Financial planning is personal

There is no “do or don’t” “good or bad” “right or wrong” “should or should not” in financial planning.

Your plan is custom and personal to you. We all have different goals, financial situations, priorities and values. Your financial plan reflects all of those things.

Everyone’s plan will look different. If you read general advice on the internet, and it makes you feel like you “should” be doing something different, that’s not true! You have to find what works for you and what you want.

3. Financial planning is on-going

Your financial plan is not stagnant. It’s not a set it and forget it. Your financial plan is continually growing and evolving, just like you. Your life, goals, and financial situation change, and with that, your financial plan will change too.

This isn’t necessarily large overhauls either. It’s just tweaking along the way to make sure your money is still set up in the best way to support you with what you’re working towards.

I meet with many clients quarterly to check in. Which doesn’t always involve a tweak to their plan, though sometimes it does. Some clients come to me once per year. Others maybe every couple of years.

Whenever you’ve had a change in your life – marriage, kids, divorce, changes in income or expenses, a new financial goal – it’s a good time to update your financial plan.

Take the first step to get your financial plan together with a 30 minute, no obligation, money chat. Just two girlfriends talking about money in a supportive environment. You can get some time on my calendar here.