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You Need a Solid Financial Plan
Here’s a quick recap of the importance of having a solid financial plan.
Some of you will remember the football player Brandon Williams who was drafted in 2006 by the San Francisco 49ers. In his early career Brandon’s Uncle, who was a die-hard fan, would send him a 49ers jersey every year – unaware that Williams could get them for free.
Playing in the NFL is often the pinnacle of the football career field. It means you’re good, very good, at the game you love to play. Brandon is no exception. He worked hard on and off the field and mastered the sport is passionate about. However, in a later interview Brandon admitted that despite his success on the field, he was not successful in financial affairs. Much like many Americans today, Brandon was never taught how to handle his finances. Within four years, Brandon left the NFL.
Brandon’s situation is not unique. Regardless of your career, the odds are that most people will not adequately prepare for their financial success or financial setbacks. Most don’t even have a solid financial plan to guide them. Here are some real-life numbers to use as an example:
- 78% of former NFL players are bankrupt or in financial trouble
- 62% of college graduates have an average of $28,000 in student debt
- 38% of American adults do NOT have retirement savings
- 60% of adults do NOT have a budget
- 78% of adults say they need more help
Financial ruin can even affect successful people. Many times, it occurs in the form of a financial setback that we cannot predict. However, we should prepare for. Take the example of the surgeon. Widely successful in the field of medicine making $400,000 a year. However, the same surgeon would spend $410,000 each year.
A Solid Financial Plan Requires That You…
- Have an understanding of where you are
- Have a good sense of where you want to go
- Awareness that you have to plan for the known and unknown
- Willingness to balance competing goals
Financial Planners can be a great tool in helping people overcome their financial burdens and plan for their financial future. We know, we’ve done it a thousand times. Get an outside, objective perspective from a financial advisor to gain the best view of your financial situation. We can even help you build you own solid financial plan.