This year Columbus Day will be celebrated this Monday, October 9th. The holiday commemorates Christopher Columbus’s arrival to the new world in October of 1492. Columbus Day was first celebrated in 1792 on the 300th anniversary of Columbus’s landing, and became a National Holiday in 1937.
Columbus is one of the most famous explorers in our history, and he was no stranger to creating plans and analyzing maps. Like exploring, financial planning also requires a map. Without a proper financial plan or map, one can be left unsure with the hope that everything works out. For us, we know that is not a plan. We utilize our iThrive Life Planning Process™ to serve as our map when we develop financial plans for our clients.
Just like mapping out an expedition, the first step in formulating a financial plan is to figure out your Vision (Where do you want to go?). Some questions surrounding your Vision consist of: What are your hopes and dreams for your family? What kind of lifestyle do you want today and in retirement? When do you want to retire? What do you want to happen at your death?
Once you have you goals written down and quantified, you’re in a better position to see if you are heading in the right direction (Awareness). Given what you’re spending vs. saving and the timing around your goals, are you going to be able to achieve your Vision? If you are on path, what tweaks can be made to tighten up your plan and improve your financial life? If not, what needs to be implemented to get you heading in the right direction? It is crucial to make sure that your action steps are executed and not tabled for a rainy day. Here at Thrive, we strive to ensure our client actions steps are executed to make sure they are on path.
As you travel along your map of life you’ll encounter obstacles and your goals will change, so it is very important to stay on top of your financial plan and make adjustments as needed.