F: Focus your attention and time

Time is a finite resource – there are only 24 hours in each day. Therefore, it is important to focus time and attention carefully, especially regarding finances. Concentrate primarily on behavior and delegate financial management, when appropriate.

Help wanted
72% of early adults say they would benefit from more financial guidance,
according to a Merrill Lynch Wealth Management study. .

Behavior

People often mistakenly confuse investment performance with financial planning. Investment performance is largely one-dimensional and uncontrollable, and as a result, often a source of stress and anxiety. Financial planning, on the other hand, encompasses a variety of financial factors while addressing specific goals and behaviors.

You should never count on achieving financial goals by way of an outperforming stock, real estate investment, inheritance from a long-lost uncle, or “once in a million” business opportunity. While some people win the lottery (literally and figuratively), the majority achieve financial success through hard work, sacrifice and saving.

Instead, focus on what you can control – your behavior. By demonstrating good financial habits (as outlined in “Back to Basics: Financial Planning ABCs”) and maintaining disciplined behavior, you can accept ownership and take control over your financial future.

When to seek help

The first step, is to master the ABCDs – are you: spending less than you earn? Maintaining an emergency fund? Contributing to your 401(k)? Saving on a regular basis? These are basic foundational elements of your financial health that you can accomplish on your own first.

From there, people typically fall into one of three camps:

• Looking to save time: busy individuals and families who do not want to add financial planning onto their to-do list.

• Needing accountability: people who thought they could manage their own finances but continually delay and lack progress.

• Seeking peace of mind/expertise: individuals and families who find wealth management overwhelming and want help from an expert.

Where to find help

There are endless resources available, including google, websites and referrals from friends and family. The best advice is to work with a financial professional you feel you can trust. But before you commit to the relationship, be sure to do your research, ask questions, and understand who you are choosing to lean on for financial guidance.

Look them up
FINRA BrokerCheck is a free, online tool you can use to research the background and
experience of financial brokers, advisers and firms.