Financial Planning Isn’t Just For Your Parents

Published on: July 15, 2019

Written by:

Adam Faulkner

Financial planning isn’t just for your parents

When it comes to financial planning, it’s not uncommon to hear people say that it is a service for people 50 years and older. It’s something that your parents and grandparents should care about, right? The reality is that statement couldn’t be further from the truth.

There’s more to financial planning than thinking about your super. If you focus on a consistent, sound approach to your finances now, chances are you can live the lifestyle you want, not just in your later years but right now as well.

Don’t leave it to chance

It’s easy to think that living in the moment will get you where you want. In some parts of life, that’s the perfect approach. When it comes to money, however, taking a more focused approach can make a massive difference to your lifestyle options.

All of us have life goals;working those out, and why they’re important to us, is the first step in setting yourself on the right path to financial success. Having a good financial plan allows you to set a course for achieving these goals. For some, it might be buying a first home. For others, it will be going on the trip of a lifetime. Whatever it is, just hoping that it will happen is not the best way to make it a reality.

Without a plan, some of these goals can seem quite daunting. Take buying a home as an example. With the heat that’s been in markets like Sydney and Melbourne, it can feel out of reach, even after the downturn in recent months. By understanding your goal and then building a financial plan to get there, you’re putting yourself in a position to overcome the challenge.

Set the right behaviours

Over the years, I’ve found that it’s this point more than any other that drives your finances. Ultimately, our behaviours and habits will play the biggest role in how we approach money.

Setting the right behaviours is a core part of a good financial plan. It’s those behaviours that will dictate how we spend our money. Identifying the ones that drain your cash flow, making it hard to save, is a core part of how we approach a good financial plan. Understanding these, and then providing the impetus to change them, can make all the difference.

Gain control of your finances

There’s so much pressure on our finances today;rent, mortgage, with just the simple cost of living pressures it can feel like it’s hard to get ahead. For many, living pay cheque to pay cheque is a reality.

It doesn’t have to be. This is where the outcome of a good financial plan kicks in: It lets you take control of your finances. It means that you’re not waiting for that rainy day or for a time where you have more capital to play with. A good financial strategy lets you start that process today, with the right behaviours and goals locked in.It will help you make the changes you need to be successful.

It’s the best piece of advice I can give you: Taking charge now will make a difference not only later in life but also today. So perhaps it’s time to ask yourself the question: Are you in control of your money, or is it controlling you?

General Advice Disclaimer

Information contained within the email is of a general nature only. Individuals should not act upon any such information without prior consultation with a qualified financial adviser to ensure that any action meets their personal financial needs, situation and objectives.  No responsibility is accepted for those persons acting on information contained herein and persons do so at their own risk.

Responsibility is disclaimed for any inaccuracies, errors or omissions. Particular investments are neither invited nor recommended. All expressions of opinion are published on the basis that they are not to be regarded as expressing the official opinion of any other person or entity unless expressly stated.

Life Money Co Pty Ltd is a Corporate Authorised Representative No.1276114 of MyPlanner Professional Services Pty Ltd ABN 51 159 696 830 (AFSL 425542).