Life Planning – A must have holistic approach to your Happiness!Wealth Prime
A friend I met recently enquired how I manage to travel often. Being in the financial advisory profession for over 15 years, I replied, “I have planned for myself and my family”. To that she replied, “Oh, I never thought my passion to travel can also be planned?”.
Every individual can and must plan their financial lives no matter how much money they have. For many, “Financial planning” must be done carefully to enjoy life while meeting their obligations.
For the wealthy, “financial abundance” is a concern to ensure they are protecting their capital and growing it well to benefit the future generations. Both these have limitations where they focus only on monetary goals.
But world over a lesser known concept called “Life Planning” is gaining importance due to its holistic approach and the ability to put you on track to being really happy. For me it is this ‘Life Plan’ that allows me to accomplish all things that I aspire in my life.
Is a Life Plan more significant than a “Financial Plan” or “Wealth Management”?
Yes of course! Many of us are already acquainted with Financial Planning for monetary goals like Retirement, Children’s Education & Marriage, etc. For many affluent families/professionals, a Wealth Management approach is used to invest abundant wealth in a smart way into savvy products.
But in our busy lives, we never plan for things that truly make us happy. A Life Plan allows you to view your entire life’s dreams, ambitions, possibilities and goals in one page. A Life Plan is a ‘living document’. It means taking ownership and control of your life.
So what does it exactly include?
The essence of a Life Plan is that it encompasses all aspects of your life – Financial and Non-Financial! All that is important to you, becomes a part of YOUR LIFE PLAN! A traditional Financial Planning exercise is undertaken for financial goals like Retirement and Child Education Planning, Holidays etc. These are the basis of ensuring you enjoy a financially sound lifestyle. But are these the only dimensions or goals of your life? Definitely NO. You have many more goals and ambitions besides these. Like the ones I have mentioned below. You may have ambitions to try new things or do things differently than what your previous generations did.
|Drop weight to 80kgs by year end||Providing a lifelong monthly income for spouse|
|Plan time for your Hobbies||Start your own business|
|Buy a Mercedes in 3 years||Upskilling & Career shift|
|Start organic farming in my own Farmhouse||Charity|
|Career pause till children are 3 years||Spirituality|
|Read Books||A Family Trust for Children and Grand Children|
|Take a 1-year sabbatical @40||Bucket List|
Some of these Goals may strike a chord with you and that’s what will really make you happy. But unfortunately, it’s in the back burner due to your busy lifestyle. Writing them down is a start. Then your Life Planner will help you to prioritise and fix timelines. Most of these will need to be planned for in terms of time and money. Here your Life Planner uses her financial skills and practical experience to guide you through a workable Life Plan. The plan must be detailed, measurable and flexible enough to accommodate eventualities. Do remember that a lot of these Goals are dependent on 2/ 3 or more goals and your Life Planner will structure your plan in a way to include most outcomes. To weave your Life Plan with all your goals, timelines and finances is much like a piece of art. Each work is different from another and evolves over time.
Below is a simple example of a how the goals in your Life Plan may look like. This is the 1st Step towards making your Life Plan.
Did you notice how the plan begins from the end?
This is done on purpose to ensure you think about the ultimate longest-term goal today! And if you thought that a Life Plan is easy once made, let me tell you from my experience, its much tougher to follow in the first few years but then on it’s like driving a car. When you learn driving you are moving slowly and carefully. Soon it comes naturally to you and your focus shifts… total disaster!
Here the job of your Life Planner becomes very instrumental in keeping you focused and manage change. By consistently monitoring and measuring your progress, a life planner will be able to keep you on the road to realising your happiness through difficult terrains and bends. But you are the driver. All you need to do is trust your Life Planner to navigate you towards financial abundance.