Last month, I talked about the first phase of lifestyle financial planning. By establishing the individual’s purpose.

Initially, we identify where the person has come from, where they are now and where they want to end up. More importantly, by when.

It’s also helpful to understand what relationship they’ve had with money. What they experienced growing up and how things have unfolded for them since then, to be where they are now.

But what’s as important in establishing the purpose is the ‘why’. What this ‘why’ means and what the effects are once it has been clarified.

To give you an example and where I’m happy to share, some of the base principles of reminding myself of my why are:- 

• Understanding my strengths of character and living each to the full
• Focussing on what I do best but continuing to learn
• Celebrating achievements, regrouping then moving on
• Knowing where I’m positioned in terms of what I am here for, what roles I play which gives my life meaning, and what are the most important things to me in my life
• Knowing what my legacy is

This may sound deep. But it’s necessary to delve as deep as we can, to really understand what makes us tick. Thus, establishing and identifying that ‘why’.

More specifically, some questions we might ask ourselves are:- 

• Why do I want a change of lifestyle?
• What will retirement look like and what will do when it happens?
• Is this really retirement?

But fundamentally, why are these things so important to me?

If we can’t understand the ‘why’ then why are we focusing on these things at all?

Remember that life is not a rehearsal, and we only get one crack at it. And although the money is important, it’s what we do with it that really counts.