The Benefits of Financial Planning

Last week I wrote about creating a roadmap for developing a personal financial plan and wanted to follow up with identifying some of the most helpful benefits to having done just that.

We are all motivated by reward, and without the appropriate understanding of the benefits of doing the hard work of crafting a financial plan, we can find ourselves simply kicking the can further down the road; planning to do it sometime, but ‘sometime’ never materializes.

If you are looking for motivation, here it is. Now that you have created your own personal financial plan, it’s time to use it!

In addition to helping you make decisions about what to buy, how much to spend, and what you want to do in the future, a personal financial plan can also:

  • Keep you motivated. When life happens—for example, unexpected expenses arise, the stock market tanks, or there is a change in our career path—a personal financial plan keeps us thinking about the bigger picture. The plan also helps us prepare for unexpected events.
  • Keep you centered. When you are tempted to “keep up with the Joneses” or buy that new release that caught your eye, the goals you identified can help keep you centered. A personal financial plan keeps us focused on creating moments that matter with our family, friends, and community. In other words, a financial plan helps us to put our values and goals into action.
  • Keep you balanced. Finally, a personal financial plan helps us find balance between the wants and the needs in our life. If you are making great progress toward paying down your debts or reaching your savings goals, make sure to reward yourself and your family, too.

A personal financial plan not only gives us the space to cover our required expenses and support our family and goals, but it also helps ensure we can have fun and create memories.

As we are all well aware, crafting a financial plan isn’t a “set it and forget it” exercise; your plan should grow and evolve with you. But sometimes we can get stuck and not know how to start or where to go when faced with a major decision.

You should know that you do not need to go on this journey alone or navigate the unexpected. A professional wealth advisor can work with you every step of the way to your life’s goals.

Garrett German, CFP is owner of Harvest Wealth Group, LLC of Exeter. He may be reached by calling at 559-592-3200, emailing [email protected] or visiting www.harvest.pub/sg.

This column is not a news article but the opinion of the writer and does not reflect the views of The Sun-Gazette newspaper.

Garrett German offers products and services using the following business names: Harvest Wealth Group—insurance and financial services | Ameritas Investment Company, LLC (AIC), Member FINRA/SIPC—securities and investments | Ameritas Advisory Services (AAS)—investment advisory services. AIC and AAS are not affiliated with Harvest Wealth Group.

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