What are the Benefits of Making a Financial Plan for Family?
- It puts your financial house in perfect order and helps you keep it that way.
- You gain confidence that you will achieve your most important goals.
- You experience an increase in joy and peace of mind–your family is protected and thriving!
- Your family harmony and marital accord improves because everyone can follow one comprehensive plan.
By reviewing the above benefits, it’s easier to be filled with the desire to create a Financial Plan for Family, so let’s move on.
Three Reasons to Make a Financial Plan for Family?
1. Financial Plan for Family: Accountability
A financial plan is only good when it is followed regularly. That’s why accountability is needed. Accountability ensures you get things done.
Financial accountability happens when you hold an individual accountable for effectively performing a financial activity. When you create a Financial Plan for Family, you become the accountable individual – you are in the driver’s seat. The truth is we need accountability to help us follow a plan once it’s created.
Working with a Certified Financial Planner at the powerfully, life-changing, Complete Money Truth & Life Mastery Online Program can help you create a well-defined financial accountability structure to ensure an effective financial process.
2. Financial Plan for Family: Wealth Accumulation Done Right
Wealth accumulation isn’t automatic. There are no real get-rich-quick methods that lead to wealth accumulation. In fact, accumulation by definition doesn’t happen overnight, it is a gradual process that only allows you to see the increase over time.
One of the most important ingredients for accumulating wealth is planning. Planning to accumulate wealth empowers you to work effectively toward your goals.
One method of wealth accumulation is through growing your property assets and learning to avoid costly mistakes.
You can use a Certified Financial Planner, at The Complete MONEY TRUTH & LIFE Mastery Online Program, who has the knowledge of wealth accumulation through growing property assets to guide you through the process and help you avoid costly mistakes surrounding amassing property assets.
Some of the costly mistakes you can avoid are:
- Neglecting Diversification
- Skipping Due Diligence
- Doing It All Yourself
- Over or Under Renovating
- Underestimating Costs
Working with a Certified Financial Planner helps you steer clear of these costly mistakes.
3. Financial Plan for Family: Life Balance
Most people cherish the idea of life balance. Sadly, some never discover life balance. But life balance is possible.
Creating a Financial Plan for Family is the first step to getting there. Once you’ve executed the steps within your plan on a regular basis, you’ll discover you’re even closer to that life balance than before.
Once you reach your goals, you’ll find the time to enjoy the wealth you are creating. So, what would you do with the time your wealth provides? Would you travel to an exotic place with your family? Schedule some extreme adventures? Like scuba diving, skydiving, bungee jumping, or climb some huge mountain?
Maybe you prefer a different kind of adventure like visiting a tropical island and lounging in the warm sun with the warm sand underneath you and the gentle, clear blue waters tickling your toes.
Or maybe hiking through a forest, sailing around the world, or RVing to all the National Parks is more your style.
No matter, what lifestyle benefits you want from life balance, it all becomes possible when you create a Financial Plan for Family.
Here’s What You Can Expect When Working on a Financial Plan for Family:
1. Set Your Destination
The destination is the end result you want to create. To reach that end result or destination, you must create tangible goals that have a date and amount attached to them and write them down. Make it as specific as possible. Make sure it is measurable.
It’s important to write things down because it brings the idea into reality by turning it into a goal. Including photos and using vivid word picture descriptions can also help your goal come to life. The more clearly you see the destination, the easier it is to take actions that lead you there.
2. Chart Your Course
You might have more than one goal you want to accomplish. That’s okay. To make progress, you must choose the most important goal first. You can document the other goals, but keep the most important one the highest priority. Once you’re accomplished the first goal, then the next goal will fill the spot, and after that one is accomplished, then the next goal will fill the spot and so on.
Determine what you need to do in order to achieve the goal on time. Working with a Certified Financial Planner can help by educating you on the variables including return rates, horizon, inflation factors, market cycles, etc. As your money begins to work as hard as you do, you might need less than you think.
3. Check Your Progress
Evaluate your progress by benchmarking against your goals regularly. You hold your goal in front of you and compare the actuals to your goal. How does it look? Are you moving closer to the goal? Or how can you move on from being stuck?
Checking your progress regularly will not only keep you focused on reaching your goal, but will also keep you motivated. The more progress you see, the more confident you become. Checking your progress quarterly is probably good place to start, unless it is a short-term goal like purchasing a home with the year. You would then want to check your progress more frequently.
4. Correct Your Course
When checking your progress, it is possible you might find that you are off-track. In that case, don’t despair. Analyze why you are off-track. What happened? Maybe you were not funding the goals consistently. Perhaps you didn’t save enough or you find yourself spending too much. Or you could be finding it hard to make ends meet.
In any case, you can use the Three Ways template to correct your course. There are only three options when it comes to course correction:
- Earn More. Look for ways you can earn more income. Maybe you can put in a few extra hours to receive some overtime pay. Perhaps you have a hobby, such as painting, organizing, baking, etc., that can turn into a side business and produce extra income.
- Spend Less. Look at your spending history. Identify unnecessary items, such as dining out too frequently, too many gourmet coffees, etc. Try cutting those expenses in the coming month and see how that helps stretch the income you already have.
- Sell Something. Everyone collects items over time. Look around your house, closets, and garage. Are there valuable items you are not using that someone would pay you good money for? Sell those items and increase your income. One client had put in a rock landscape in the front and backyards. As a result, no longer needed the lawn mower and edge trimmer. Guess what? They sold those items to help fund their goals. And you can too.
- Enjoy your Future. With your Financial Plan for Family in place, you can rest assured knowing that the outcome you seek will yield the results you want. As your goals start to be accomplished you discover a new-found freedom that nothing is too hard for you. With every accomplished goal, you have a new goal to replace it. And the cycle continues to grow and your ideal life forms right before your eyes.
Don’t delay. Get started creating your Financial Plan for Family today. If you would like help with that reach out to the Certified Financial Planners and coaches available at the powerfully, life-changing Complete Money Truth & Life Mastery Online Program.
Judy Copenbarger is the Founder and President of Comprehensive Financial Services, based in Irvine, California.
She holds a Juris Doctor Degree, with a Taxation Emphasis, is FINRA Registered and maintains various Securities and Insurance Designations. Her professional expertise is in Estate Planning, Retirement and Education Planning.