The financial planning industry has spent significant time helping people appropriately spend and save so that they can build a large nest egg so that they will be able to retire comfortably. However, we need to realize that life is about balance and that every dollar we save and defer for the future takes away from enjoyment and quality of life today.
As CFP's, we need to understand what is important to our clients, and that priorities that exist today may be just as important as those coming in the future.
In August 2017, researchers from Harvard University published a paper after studying the spending habits of many people in the United States, Canada, Denmark and the Netherlands. They found that "Despite rising incomes, people around the world are feeling increasingly pressed for time, undermining well-being".
One of the biggest benefits of the financial planning process is that it helps people define their future goals, and how much of their current financial resources need to be set aside to accomplish them. Once people understand this, they should have much more freedom to use their remaining resources towards family, activities and hobbies that give them quality of life and joy today. One of the cornerstones of living an abundant life is spending our limited resources on the things that we care about most.
We all know that MONEY does not grow on trees. However, we also know that TIME doesn't grow at all. We need to find the balance between enjoying today and preparing for tomorrow. If you or your loved ones would like to discuss how they can balance both objectives as we move forward in life, please have them give us a call, we love to help.