what is life planning?
Note: This is an updated version of a post originally published on my personal website last year.
Allow me to introduce you to a growing approach to financial planning called life planning.
Hopefully, I’ll be able to paint a picture of how I am using life planning to help more people find and live their authentic lives, but also expose more people to a different approach to aligning their finances with their lives.
Life Planning?!?
As much as I love life planning and its impact on people’s lives, I have to admit that most people don’t know what it is or that it even exists.
This is partly because the life planning movement is just now really catching momentum within the financial planning community; it’s early, but I full-heartedly believe it is the future of financial planning. Traditional financial planning will always exist and be needed, but it won’t exist without a life plan to complement it.
The lack of awareness around life planning is also due to the principles that it is built upon (empathetic listening, guidance, and emotions, to name a few), which are not the same as the ones financial planning was built upon (investments, answers, spreadsheets, and no emotions). This makes it uncomfortable for many financial advisors; it’s also not the type of planning people think about when they think of their financial advisor.
And finally, people don’t understand what life planning is because the term “life planning” is used in various ways and means different things to different advisors and planners. There is no universally accepted definition that explains what life planning really is, which only leads to confusion for the individuals who happen to stumble upon the genre of planning—this is not too different from “financial advice”.
When I Speak Of Life Planning…
I’m a disciple of George Kinder’s Kinder Institute of Life Planning, so my beliefs around life planning and approach to doing the work are heavily influenced by him.
There are different companies and programs with programs, designations, and certificates for “life planning” and if I’m being honest, I have not spent a lot of time researching them because I knew from when I was first introduced to Kinder and his EVOKE planning process by my friend, Scott Frank, I knew it was the method for me. It may have taken me years to actually go through the EVOKE training, and I’ll be wrapping up the Registered Life Planner (RLP®) designation this December, but I’ve been following the Kinder blueprint thanks to his books for years.
When I speak of life planning, I am referring to a process that puts the individual/couple’s life at the center of the plan. Historically, the numbers have been at the center of the plan, and spreadsheet answers rule the planning process, which is not necessarily a bad thing—it’s better than no planning at all. But a plan focused on the numbers doesn’t necessarily lead to the life that clients actually want to live.
When I speak of life planning, I’m referring to a process that challenges individuals to really think about what they value, want their life to look like, and connect to their authentic Self.
When I speak of life planning, I’m referring to a process that pushes individuals to find an alignment of spirit, mind, body, and ultimately money.
When I speak of life planning, I’m referring to a process that encourages and helps individuals to actually LIVE life, not just get through it.
So, allow me to add yet another “definition” of life planning in the Universe…for me, life planning is helping clients connect with their authentic Self, design the life they feel called to live, and create a plan to manifest that life into reality. If I come up with a better name, I’ll be sure to share it— I love the idea of running with AlignedLife+ and clarifying that it is based on the principles of the Kinder EVOKE process but incorporates a greater focus on spirit, mind, and body.
The way I view the planning process, the life plan comes first and directs the financial plan—it’s not a replacement for, but a complement to, the financial planning process.
Hopefully, you have a better understanding of life planning in general and, more importantly, what I mean when you hear about life planning.
Keep pursuing,
JC
