What does money mean to you? - Part 1
Money should serve your purpose, goals and responsibilities. Understanding what that means in practice takes more than saying, “I want to be comfortable.”
Comfortable doing what? When? With whom?
I use four Ps to give that conversation a structure.
Purpose: What matters most to you? Your family, faith, health and the life you want to live belong in this conversation.
Plan: What will supporting that life require? Understand where you are today, what you are working towards and the gap between them.
Products: Which financial products could support the plan? Their suitability depends on your circumstances and objectives.
Professional advice: Who can help you examine your assumptions, understand the choices and make informed decisions?
The order matters. Starting with a product before understanding the purpose can leave you with something that sounds impressive but has no clear job.
I want people to understand what their money is there to do.
So, before asking which account to open or which investment to consider, give yourself time with the first question.
What does money mean to you, and what do you want it to make possible?
