Many clients ask ‘will I be okay?’ or ‘do I have enough money to retire?’. Those are of course important questions and ones that a financial planner can help answer. The real question for most of us, however, is deciding what kind of life it is exactly that we want to experience. When it comes to understanding our most deeply held values and beliefs, many of us find it surprisingly difficult to step back from day-to-day business and demands and clearly see what it is we hold most dear.
‘What’s important about money to you?‘
The ‘father’ of Financial Life Planning, George Kinder, developed 3 questions that really help to focus on what really matters:
Question 1 – Design Your Life.
“Imagine you are financially secure, that you have enough money to take care of your needs, now and in the future. How would you live your life? Would you change anything? Let yourself go. Don’t hold back on your dreams. Describe a life that is complete and richly yours.”
Question 2 – You Have Less Time.
“Now imagine that you visit your doctor, who tells you that you have only 5-10 years to live. You won’t ever feel sick, but you will have no notice of the moment of your death. What will you do in the time you have remaining? Will you change your life and how will you do it?” (Note that this question does not assume unlimited funds.)
Question 3 – Today’s The Day.
“Finally, imagine that your doctor shocks you with the news that you only have 24 hours to live. Notice what feelings arise as you confront your very real mortality. Ask yourself: What did you miss? Who did you not get to be? What did you not get to do?”
You can see that each question gets a little bit deeper and harder to answer.
The first question asks you to create the vision of your dream life, where time and funds are unlimited. The second question becomes a little tougher, as now you do not have unlimited funds, but instead have a finite timeline. Finally, the third question truly forces you to think about what matters, as you only have 24-hours to live.
What does this have to do with your finances you might ask? Everything. When you understand what kind of life it is that you want to fully experience, then you can begin to build a financial plan which will help you to achieve the wealth you need to live it.
To discuss your financial plan, please contact me at email@example.com or on 0207 097 4968.