Why Do I Need a Financial Plan?

Common sense would dictate that having a plan of action in any endeavor would lead to a successful conclusion in anything that you pursue. According to a study done with MBA’s from Harvard in 1979 to determine if writing your specific life goals and having a written plan on achieving these goals would make a difference in achieving your goals.
This is how the study was conducted:

84% had no specific goals at all
13% had goals but they were not committed to paper
3% had clear, written goals and plans to accomplish them

The 3% that had clear, written goals and plans to accomplish them earned a whopping 10 times the total of the combined 97% of the rest of the group of MBA’s! This is what I call a CLUE!

This is why, as a financial coach, I include your financial plan within your package. What’s the use of hiring a financial coach if their is no clear direction written down. Any good investment strategies always start with a good financial plan. And the plan should be written by someone who knows all of the options, not just the products that your company pushes you to sell. A certified financial planner® is the right person for the job because they focus on what financial tactics match your specific goals, needs and wants. With a CFP®, you’ll have many more investing options to choose from thus creating a more diversified portfolio naturally.
So any time you need reminding on the importance of a plan, just go shopping for a house full of kids, without a list and without a smart phone to assist. You’ll quickly be reminded that a written plan in one step closer to making it happen!