Episode 71 Real Financial Planning

Today I we're talking about real financial planning.  It's not hard to find financial advice. You can read books, look on the Internet, rumors, ask that crazy uncle.  But I'm talking about a professional that has your best interest at heart of everything they do.  The Certified Financial Planner Board describes financial planning as “looking at a client's entire financial picture and advising them on how to achieve their short- and long-term financial goals. From saving for education and planning for retirement to effectively managing taxes and insurance, financial planners develop valuable relationships with their clients to provide them with confidence today and a more secure tomorrow.”  A good financial planner takes in all your information, does the math heavy lifting for you, and then comes back with a plan on how to achieve you goals. This holistic approach is good financial planning, and will give you the "What and the How" to help you accomplish your stated goals.  When you seek out financial advice, your should absolutely look for this as a minimum. 

But you don’t have to settle for just “good”. A real financial planner takes the time  to explore your “Who and your Why”. They listen to your story, your passions, your way of doing things, and your fears. Who and what is most important to you? Why? They explore with you the life you want and what keeps you awake at night. Everyone has a different relationship with money. And we don’t check that at the door when we head into a meeting to discuss our financial goals.

Personal financial planning is personal. A financial plan developed from an short interview or questionnaire and review of your documents may result in a clear, detailed road map to a great financial destination. But is that your destination? Is it the best journey for you? Do you see yourself really carrying out this plan? Did you planner explore options, what ifs, or possible other paths with you? It takes time and most of all it takes great listening. When you walk out of a meeting with your financial planner or advisor you want to be confident they know what they are doing and that they are bound to put your best interest first. But you also need to know you were really heard. That your financial plan isn’t just a good financial plan. It’s YOUR plan. It’s the best plan for you and you see yourself in it.

If you’ve been thinking about getting some financial advice, you have choices out there. Most good financial planners offer a free introductory call or meeting, which is your chance to see they they might be a good fit for you. Ideally, they ask some open questions and really listen. If it sounds like a sales pitch, it probably is. And you can shop around. There are planners that you can hire by the hour, or for a specific project. Others like me work with clients on an ongoing basis to answer questions along way and reorient as your life’s journey evolves. Many advisors expect to manage and invest your money for you. Others like working with do-it-yourselfers by providing advise you can carry out yourself. I do both. 

But finding a real financial planner comes back to you. Do they hear you? Do they invest the time to explore your who and your why? Do they “get” you and do you see yourself in the advice and planning they give back. If not, move on. You deserve better and it’s out there for you.

Here's some links to help your search for a real financial planner. My website, the Military Financial Planner Association, XY Planning Network, and the National Association of Personal financial Advisors.

Transcript

Announcer: 0:14

Welcome to the Money Pilot Financial Advisor podcast, where you team up with Money Pilot founder, former Army helicopter pilot and your host Katie Cannon, to put your money where your heart is. Together, we'll tackle issues big and small so you can take charge and lead your financial life.

Kathleen Cannon: 0:53

Hello, and welcome back to the podcast. Today is Thanksgiving. And I'm just finishing up the podcast. I'm sorry for the unannounced two weeks silence since episode 70. I had back to back family emergencies over the last few weeks. And today is my chance to catch my breath and reflect on everything I'm grateful for. First, everyone in my family is now safe, loved and still with us. And second, thank you to my wonderful friends, family and clients who've been so supportive and understanding through all this. I had just started working on this episode, as I got back from a week of intensive practice and training in real financial planning. I was really fired up and excited about the work I do serving my clients every day. I still love what I do. And these last few weeks have showed me even more, more clearly how important what I do really is. So I thought we'd talk about real financial planning. You're not going to find real financial planning in the dictionary. So what do I mean? It's not hard to find financial advice. You can read books on it. You can get it all over the internet, from blogs and websites and from podcasts like this. And there's always rumors and that crazy uncle willing to give you some advice on money too. But when I talk about financial planning, I'm talking about a professional that number one has your best interest at the heart of everything they do. You may have heard the term fiduciary which means "putting a client's interests ahead of their own with a duty to preserve good faith and trust." Being a fiduciary requires being bound both legally and ethically to act in the other's best interest. And I take this solemn duty seriously, but it is only the first step. The Certified Financial Planner board describes financial planning as "looking at a client's entire financial picture, and advising them on how to achieve their short and long term financial goals. From saving for education and planning for retirement, to effectively managing taxes and insurance. Financial Planners develop valuable relationships with their clients to provide them with confidence today, and more secure tomorrow." So a good financial planner does all that. But today, we're talking about the heart of financial planning. Yes literally, I mean the heart of it. And to me, that's what differentiates a real financial planner from everything and everyone else. It's not just about the numbers. It's not just about the mind. It truly comes from and goes to the heart. With good basic financial planning. Your planner or advisor will ask about your situation, your family, your finances, and importantly, your goals. And they take a comprehensive view and look at other areas of your life too. Like do you have adequate insurance? Do you have an estate plan which means wills and powers of attorney? And how much are you able to save each month? A good financial planner takes in all this information, does that math heavy lifting for you? And then comes back with a plan on how to achieve your goals. This holistic approach is good financial planning and we'll give you the what and the how to help you accomplish your stated goals. Okay, so this all sounds great, but what am I going on about with this real financial planning thing. The heart and soul of real financial planning is your heart and soul. I mean, I spent two years studying financial planning for my master's degree, I then prepped for and passed the Certified Financial Planner exam. This what and how I set my foundation for good financial planning. When you seek out financial advice, you should absolutely look for this as a minimum, but you don't have to settle for just good. Real financial planning goes beyond the what and how of accomplishing your goals. A real financial planner takes the time with you to explore your who and your why they invest the time to listen to your story, your passions, your way of doing things, and your fears. Who and what is most important to you? Why they take the time to explore with you the life you want? And what keeps you awake at night? What do you see as obstacles? And how have you overcome them so far, or not? Everyone has a different relationship with money, and how it's played out in your life. And we don't check that at the door when we head into a meeting to discuss our financial goals. The thing about personal financial planning is it's personal. A financial plan developed from a short interview or questionnaire and a review of your documents may ask the right questions and result in a clear, detailed roadmap to get to a great financial destination. But is that your destination? Is that the best journey for you? Do you see yourself really carrying out this plan? Did your planner explore options what ifs or possible other paths with you? It takes time for a financial planner to understand your who and your why. And most of all, it takes great listening. When you walk out of a meeting with your financial planner or advisor. Yes, you want to be confident that they know what they're doing, and that they are bound to put your best interest first. But you also need to know that you were really heard that your financial plan isn't just a good financial plan. It's your plan. It's the best plan for you and you see yourself in it. If you've been thinking about getting some financial advice, you have choices out there. Most good financial planners offer a free introductory call or meeting, which is your chance to see if they might be a good fit for you. Ideally, they ask you some open questions and really listen. If it sounds like a sales pitch, it probably is. And yes, you can totally shop around. There are planners you can hire by the hour or for a specific project. Others like me work with clients on an ongoing basis to answer questions along the way and reorient as your life's journey evolves. Many advisors expect to manage and invest your money for you. Others like working with do it yourselfers by providing advice you can carry out yourself. Some like me do both. These things are important considerations and finding a good financial planner. But finding a real financial planner comes back to you. Do they hear you? Do they invest the time to explore your who and your why with you? Do they get you? And do you see yourself in the advice and planning they give back to you. If not move on. You deserve better, and it's out there for you. I'll put links to a few places you can start your search if you're looking for a real financial planner in the show notes. Like my website, the military financial planner Association, the XY Planning Network and the National Association of Personal Financial Advisors. Your real financial planner is out there. Don't settle for anything less.

Announcer: 9:26

Thank you for joining today's podcast. Like to find out more, visit us at www.moneypilotadvisor.com Let's team up and land your financial life.