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5 Reasons why you should have a Financial Plan

| May 06, 2020
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As we gear up to get back to some degree of "new normal", it is wise to review the value of a financial plan.  Lets review 5 reasons why you should have a financial plan.

1. A Roadmap: A financial plan provides a roadmap to guide you go from where you are to where you are going for the reasons that are important to you. The plan should have measures to assess how well are you doing in pursuing your goals.

2. A living Document: The financial plan is a living document and as such, it should be reviewed at least yearly. During this review, it is a good idea to go over any changes that may impact your plan such as, market conditions, promotions, changes in income, upcoming retirement, a health condition, change in marital status, the birth of a child or grandchild, graduations, relocation, and changes in your legacy.  This is also a good time to ensure you have adequate emergency savings and life insurance. 

3. Turbulent Times: During conversations with friends and neighbors they have shared with me their concerns and frustrations about the state of the economy and the uncertainty they feel about the future. I have also noticed that people who have a financial plan, although not immune to the economy and the uncertain times we are living, may be more concerned about the big picture and focused on their long term goals.

4. Discipline: A well crafted financial plan helps you see “the big picture” and in the process you will have a better idea on how to prioritize your objectives, your actions, and how to best allocate your resources. Over time, this disciplined approach helps you stay the course as unforeseen life challenges come your way.

5. Accountability: At the end of the day, it is your financial plan and no one else’s. A financial advisor can guide you and advise you but the decision to move forward towards pursuing your goals is yours alone. This is the most important reason to have a plan—taking action for the reasons that important to you.


Jose “Rafi” Rodriguez, Colonel (Retired), USAF

Retirement Income Certified Professional®, Federal Retirement Consultant℠

President, Rodriguez Financial Strategies, LLC

4031 Colonel Glenn Highway, Suite 107, Beavercreek, OH 45431

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