Financial Planning: More Than Investments

How can I best use my financial planning relationship?

Consider what your goal is (or was) in hiring a planner. If it’s only for investment related decisions you’re best off hiring an investment advisor and not a financial planner. 

If you want a more holistic view of your finances, look for a financial planner. But know that in doing so, investments will NOT be the main focus of your work. 

Investments are not the only realm of planning. 

For too long our society has equated financial advice with investments and the performance of those investments. And while investing is a critical key to building wealth, it is just one piece of the pie. 

A real financial planner knows this and can have conversations with you around many aspects of money … and how it shows up in your life. 

Here’s what I’m getting at: just because a financial decision you’re considering isn’t directly related to the stock market doesn’t mean it’s not a financial planning question!

On the contrary, most of the financial choices we face across our lifetime DO NOT involve the stock market. And … these are some of the most critical choices we must make:

  • Should we leave our job or take a new job? 

  • How much do we really need to make? 

  • Do I have the right insurance coverage so that when the unexpected happens I won’t be financially ruined? 

  • How much should I pay for my kids’ education? 

  • Why don’t I know where my money is going every month? 

  • Could I be saving a little more on taxes?

  • Is a will or a trust better for me?

  • Do I need a Roth IRA or a traditional IRA?

  • How much should I have saved in an Emergency Fund?

  • Can I afford to buy this house?

All important questions. 

Build a long-term relationship with your financial planner so that you can ask them as they come up! Don’t be afraid to lean into this professional relationship as one of your resources.

But wait … there’s one more seed I want to plant for you that just might be relevant to this whole business of financial planning … 

Would you pause for just a second and let what I’m about to say sink in?

Those questions I just listed above? Those aren’t the real questions.

The real questions are resting deeper in our soul. 

And sometimes, we can’t find the words to ask them. 

If we could, they may sound more like this ….

  • Am I safe?

  • Is my family safe?

  • Am I accepted?

  • Do I belong?

  • Can I be happy?

  • Will my kids be safe and happy when I’m gone?

  • Is it ok to have hopes and dreams?

  • What if those hopes and dreams don’t involve a job or a lifestyle I don’t really want?

  • Am I loved?

  • Am I free to choose?

Your planner can’t answer those questions for you. No one but you can truly answer those questions. Sometimes the answers to these questions unfold slowly across time as we work on our own clarity. 

And sometimes money plays a role in partially addressing those most human of longings. Part of building our wisdom is knowing what money can and cannot do for us on this journey. Don’t give money a job it can’t do. 

My hope for you is that you have a planner in your life that can see and hear the real questions, especially when you don’t have the words to express them.

 

What’s an accountability partner?

When you hire me as your financial planner, AND you choose the 12-month Find Your FI program to start, you are also hiring me to be your accountability partner. But, what’s that really mean? And why would you want an accountability partner? I think this is a term that deserves your attention, and a clear definition. It means different things to different people, and can vary across context, too.


In this article I will lay out my definition of accountability partner and how I implement it (and don’t implement it) during my 12-month financial planning process, as well as in any subsequent years we work together.  I will also touch on why people seek out this type of accountability. After reading this, I encourage you to consider what “accountability partner” means to you and if it’s something you want. If it’s closely aligned to how I integrate it into my planning process, we may be a great fit. If it’s not aligned with my process, chances are good my planning process isn’t quite what you’re looking for right now.


When expectations in a planning relationship (or any relationship for that matter) aren’t clear, a natural consequence tends to be confusion, disappointment and ultimately decreased motivation to stick with the thing you originally wanted to focus on. In a team setting you’ll see the manifestation of unclear expectations as lower moral and lower performance  and results. In a way you and I are a small team when we begin our work together! We have a shared mission (achieving your stated goals), roles to fulfill in pursuit of this mission (I’m focused on financial planning; you are the expert in your life and provide me with the necessary details to start constructing a plan) and a focus on collaboration to bring your vision to life.


The way I practice as an accountability partner is very straightforward – I hold you accountable to your stated goals. It sounds simple. Yet, it’s a journey and every journey comes with expected and unexpected challenges. If you’ve ever taken on any sort of challenge before, you’re familiar with this. Maybe it was a 5k or a marathon, improving your golf game or finding the right healthy eating plan … on paper it looks easy enough, but in practice isn’t it helpful to have some support and guidance to help you navigate the ups and downs? 


I help create the processes and structures to focus on getting your to-do list done. I do this by holding space to deeply listen, offering thoughtful yet challenging reflections to help you clarify your vision, and creating structures and feedback mechanisms to let us know how we’re doing.


Here’s what it looks like …


Listen & reflect

I do this at almost every meeting. It’s especially important in our first few meetings as we orient towards your “why”


Clarify

A natural extension of listening and reflecting, clarity comes with thought provoking questions, knowing you’re seen and heard, and having the space to focus on what it is you really want.


Identify 3 focus areas for the year

When there’s greater clarity, we can chunk that vision down into 3-focus areas for this year. We can’t do everything in one year, but we can do a lot in the way of building up a solid foundation!


Develop action items around these focus areas and organize them into a realistic timeline


Realistic goals attached to timelines – in written format – are incredibly powerful! 


Identify next smallest steps … 

Every action item has a next smallest step. We focus on the small steps to keep moving forward.


Set up a structure to check in on progress

Are you still taking the next smallest steps? What’s the next one? What needs to stay the same or change in order to keep going?


Allow space to coach you on these three processes: 

review where you are in making progress, or not; reflect on why that’s so; and prepare to shift  as necessary and continue on the journey.



Now that I’ve outlined how I intend to function as your accountability partner, it’s equally important to understand what I do not mean by “accountability partner”. The most important thing to clarify is that, while I’m a trained marriage and family therapist, I am not functioning as your therapist. I do use therapeutic techniques frequently in my work with clients, but I do not offer the space, time or licensing requirements a therapist offers. If your sense is that you need ample space and time to process thoughts and feelings holding you back from achieving your goals, you will not be fulfilled with my coaching-centric financial planning.  I designed the year-long program to offer just enough space and time to slow things down so that we could create a collaborative plan and check all the things off your list. Even with this slower pace (compared to most other financial planners) we will move at a deliberately steady yet thoughtful pace, in a forward direction, with an end-state in mind. You will find this more fulfilling if you’re at a certain level of readiness to face your finances and engage in this collaborative process.


You may notice I’ve excluded the one-time Ignite plan in this definition. With a short-term, limited engagement like a one-time plan, the process was not designed to include the role of an accountability partner. People who choose the one-time plan are usually looking for a 2nd set of eyes on a financial strategy they’ve set up for themselves and don’t desire the accountability piece.


Why would you want an accountability partner, as it’s described here? 


If you’re feeling late to FI chances are good you feel like you have a lot to catch up on. That can be overwhelming – maybe it feels like your head is spinning (or it’s stuck in the sand!!). Having an accountability partner in your corner can help alleviate some of the pressure you might be feeling to figure it all out and do it all NOW. Or you may want to finally rid yourself of the pain of avoidance. You need a process and some structure to slow things down just enough, in the right ways, and to increase momentum just enough, in the right direction, in just the right areas. It’s a balancing out of energies, focus and resources. The accountability process helps with just that – you don’t have to do it alone.


Catch-Up Contributions

 

Feeling late to FI? If the answer to that question is yes, and it’s because you waited longer than some to start investing, there are a few foundational habits you can lean into now to maximize your journey to financial independence. The one we focus on today is consistent contributions to your investment accounts, especially any retirement accounts you have available to you.

 

While time in the market is always more important than timing the market, when you’re setting off on this journey later than some, you may not have as much time in the market as you’d prefer. Please don’t let that deter you, though –  it’s helpful to lean into the areas of personal finance that can hopefully afford you the most growth over the time you have left until your determined FI date.

 

Assuming the rest of your foundation is solidly in place (minimal, if any, debt outside of your mortgage, an in-tuned understanding of monthly and annual cash flow, and the mindset to support these habits), leaning into contributing to your investments can be a great way to build wealth. 

 

Here’s some great news for those feeling late to FI: once you reach the age of 50 you are eligible to contribute even more to your retirement accounts whether it’s an IRA or a workplace retirement. Here’s a quick breakdown of the numbers for 2025. If you’re contributing to a workplace retirement account, be sure to check with your employer to see if there are any special provisions or restrictions.

IRS Contribution Limits for Retirement Accounts in 2025

Source: https://www.irs.gov/newsroom/401k-limit-increases-to-23500-for-2025-ira-limit-remains-7000

 

Investment Vehicle

Regular Contribution 2025

Catch-Up Contribution

Total Contribution for 2025

Age at which you’re eligible for a catch-up contribution

IRA

(Traditional and Roth)

$7,000

$1,000

$8,000

Age 50 

*catch-up contribution will be indexed for inflation beginning in 2026

Workplace Retirement Accounts

Employee Elective Deferral Max – 2025

Catch-Up Contribution

Total Employee Elective Deferral Contribution for 2025

Age at which you’re eligible for a catch-up contribution

401k, 403(b), 457, TSP

$23,500

$7,500

$31,000

Age 50

$23,500

$11,250

$34,750

Age 60, 61, 62, 63

The special catch-up contribution of $11,250 is ONLY for those ages 60-63. Once you’re 64 your catch-up contribution max goes back to $7,500

 

A few notes about catch-up contributions:

 

  1. For workplace retirement accounts, catch-up contributions only apply to employee elective deferrals, not employer contributions.

  2. Because of #1, SEP IRAs are not eligible for catch-up contributions since it’s only the employer, not the employee, that makes contributions to this type of account.

  3. 457 plans MAY have a special catch-up contribution that applies to your last 3 years of work prior to retirement, based on retirement age as outlined in the summary plan description through your employer. See your employer for details.

 

Mid-year is the perfect time to check in on your retirement account contributions for 2025. While you generally have until tax-filing deadline the following year to make a current year contribution, it’s always a good idea to take the pulse of your contributions to-date for 2025 about this time of year.

 

And if you’re contributing to an employer sponsored retirement plan, don’t forget to check in on how much your employer has contributed this year!


If your cash flow supports it, and you determine you’re not reaching your investment contribution goal yet for this year, now’s a great time to increase it! Taking control of the controllable helps you start to reduce the BS that gets in your way of achieving FI when you feel you’re a little behind. So keep checking in with yourself about what you can most control an lean into those actions.

Awareness is not anxiety

Our culture seems to confuse awareness with anxiety. 


That somehow, if we become finely tuned into something, that we will worry endlessly. 


I’m thinking specifically of budgeting. It has become the norm lately to encourage a certain lack of awareness around spending so that you don’t have to worry. So that you can “feel better”. 


The hard truth? That’s what therapists call avoidant behavior. And, in general, avoidance is not healthy. Sure – in true survival situations it may be adaptive to avoid in the moment. But most of us are not in life-or-death situations when we look at our spending patterns. 


Though our brain may disagree, there is no lion hiding in the bushes ready to pounce.


You are ok. 


To avoid something that feels unpleasant but that must be attended to does not create lasting peace, wellness or financial stability. It gives you a quick hit of dopamine the moment you avoid the thing – it is a short-term tactic, but it is not a long-term strategy.


To be conscious of something, to be aware of it, is not synonymous with worry. At least not long-term, never ending worry.


Sure, the first time you pay attention to how you spend your money (or your time, energy or attention  for that matter) you may feel an initial rise of anxiety. That’s normal. And, it will pass. 


Awareness allows us to see things clearly as they are so that we can make wise decisions and move forward in a healthy way.


If you find yourself normalizing the behavior to ignore your spending because it feels good or you deserve it … try again. Try differently. Try softer. Know that facing your fears head on is actually good for you. Before you can have true intentionality with your money you must first have awareness. 


If it’s scary enough that you feel you need extra support, then by all means connect with a trusted therapist to walk you through it. That’s ok. It’s always ok to seek the support you need!


What’s not ok is habitual avoidance – it will catch up with you eventually.  


You deserve better! AND – YOU CAN DO IT. I believe in you. I believe in your inherent ability to make wise choices and face the hard things. You can do hard things.


If the support of a coaching-centric financial planner would also be helpful, I’m here. My 12-month program would be ideal for you since it carves out time and space to work through the hard stuff and distill out the bullshit that’s getting in your way so that you can implement the financial plan we design together.




Late to FI?

What Does it Mean to be "Late to FI"?

You have determined that you are late to pursuing financial independence.

 

What’s that mean …. really?

 

How do you know you’re late?

 

Is it your net worth?

 

The value of your investments?

 

Your level of debt?

 

Maybe it’s your age.

 

Perhaps it’s your mindset that changed.

 

A shift in perspective.

 

Now what?

 

Consider this …

 

You cannot be late to the present moment. 

 

You are already here.

Right now.

Right where you are. 

The only moment you truly have.

And it’s this present moment that is the exact right moment to begin your journey to financial independence.