Has anyone ever asked you what your definition of financial planning is?
There is no right or wrong answer. In fact, I think I’ll pose this question on FiLife.com and see what we get. Feel free to share your definition or your thoughts in the comments below as well. In the meantime, I’ll share my definition with you.
For me, financial planning is maximizing choice and minimizing risk and loss.
Maximizing Choice – the fun things in life
- Other funding goals (new home, second house, new car, etc.)
Minimizing Risk & Loss – the things people don’t like to talk about and we can’t control
- the Economy
- Long Term Illness
What do you think of my definition? How does it vary from your own?