What is the first thing you would do if you decide to build a house?
Firstly work out what you can afford?
Secondly work out where you want to live?
And finally see a builder to get plans & permits?
After deciding to build a house, would the first things you do be...
Pick a kitchen bench?
Pick the floor tiles?
Pick the bathroom ware?
Would you do that? Of course not! Who in their right mind would do that? That would be total insanity.
You wouldn't do that because too many things can go wrong! What if you couldn't afford the location? What if the builder was too expensive? What if the house doesn't fit on the block of land? What if the colours don’t match? All of these could cause unnecessary financial burden and emotional distress.
Well guess what!??
That's exactly how people approach their financial future. Without a plan, without a strategy, without a feasibility analysis and without considering their financial risks.
As soon as they are able some people go and buy a property. Maybe set up a broking account to "dabble" in shares. Maybe buy some managed funds or set up a self-managed super fund.
No plan, no strategy and certainly no direction - just lots of hoping and guessing.
Is it a coincidence then that most people fail to achieve even a modest level of wealth?
You can be the smartest person in your career or your craft, but creating wealth that lasts requires a plan. Just like you can be the best ship in the water, but without a compass and a captain you are bound to sink.
Some people have the excuse that they will see a financial planner when they have more money. Does that sound a bit ridiculous to you? Imagine telling a personal trainer "I will come and see you when I am fit". Wonder how that will be received?
A deliberate course of action that looks at your current situation, your future destination and maps out carefully crafted steps and strategies for you to get there, is a plan for success.
Hoping to win Tattslotto or expecting the government to look after you is not!
Don't wait to be ready….become ready!