Why 99% of People Fail to Reach their Financial Goals and How to Get It Right
Imagine setting off on a road trip without Google Maps, Siri or Waze. Without a little blue dot to follow (or a map!), how likely are you to reach your destination? Without planning, that’s how most people manage their money—often off course without even realizing it because they never had directions or a map.
At Stash Wealth, we know that planning is the only way to reach your destination. Here’s how we make it work for you.
The Traditional Model: Planning as a Privilege
Many firms operate under the "Assets Under Management" (AUM) model. Their primary focus is on managing investments, often requiring a significant initial investment to even access their services. It’s like they’re saying, 'Show us the money first, and then we’ll talk about your goals. Financial planning, if available at all, is often reserved for high-net-worth clients. This approach can leave many individuals feeling excluded and without a clear roadmap for their financial future.
Our Approach: Planning as a Prerequisite
We believe that your 30s are a pivotal time in your financial life, a period where custom planning and advice are absolutely essential—even more so than later on when you've accumulated significant wealth. Unfortunately, this is precisely the time when most traditional firms deem you "unworthy" of their services. They're focused on managing large portfolios, leaving those who need guidance the most without a roadmap. That's why we've flipped the traditional model on its head at Stash Wealth. We require all our clients to engage in a comprehensive financial planning process—The Stash Plan—before any investment management begins. We believe that everyone, regardless of their current financial situation, deserves access to quality financial planning, especially during those crucial years when taking that step has a greater ROI.
Just like a cross-country road trip needs a map, you don’t want to wake up one day and find yourself lost in the desert thousands of miles from the financial success you were hoping for.
Financial planning is the critical first step: once you define your goals, understand your financial situation, and identify the steps to reach your destination, you can set the strategy on autopilot, relax, and know you're on track.
Why This Matters
Here's why our planning-first approach is so valuable:
Clarity and Direction: A financial plan gives you a clear roadmap for your goals—whether it’s buying a home, funding education, or securing retirement. It’s nearly impossible to stumble into a multi-million dollar retirement without planning, and you don’t want to wake up needing to work 10 more years than expected.
Personalized Strategies: Your plan is tailored to your unique circumstances, taking into account your income, expenses, and life goals. Where you live, how you live, and what you want to experience shape how you should save and invest—generic advice can steer you off track, or worse, in the wrong direction.
Informed Decision-Making: With a plan in place, investment decisions are made strategically to support your overall financial objectives. If market ups and downs affect your day-to-day peace of mind, a solid plan can ensure you’re on track to reach your goals no matter what.
Peace of Mind: Knowing you have a well-defined plan in place can bring peace of mind and confidence in your financial future. With a solid plan, you can stop worrying about finances and focus on the things that truly matter in life.
The Power of Goals-Based Investing
At Stash Wealth, we take planning a step further by integrating it with a goals-based investment framework. This means your investment portfolio is specifically designed to help you achieve your individual goals, with each goal having its own dedicated investment "bucket" and corresponding risk profile.
Why is this important? Because your risk tolerance isn't a static concept. It should be driven by the time horizon of your goals. For instance, your investment strategy for a down payment on a house in 5 years will look different than your long-term retirement investments.
Many advisors simply assess your overall risk tolerance and apply it across your entire portfolio. We believe this is a disservice to clients. By aligning your investments with your specific goals and their timelines, we can optimize your portfolio for success.
The Bottom Line
Our commitment to a planning-led, goals-based approach sets us apart. We believe that everyone deserves a clear path to financial well-being. By putting planning first and tailoring investment strategies to individual goals, we empower our clients to make informed decisions, achieve their goals, and build a secure financial future.
Ready to take control of your financial future? Contact us today to schedule a call and begin your personalized financial planning journey.
The F. Word
Ready for some real talk on how to master your money? Pull up a chair and pour yourself a glass.
Financial Planning For 30-Somethings
Whether you’re saving for Tahiti or a Tesla, we help you reach your goals and make the most of your money.
