Who doesn’t love summer?
Parks and beaches are full. Cold weather scowls are replaced by warm weather smiles. Flowers have bloomed. Restaurants are busy. The commuter traffic has been replaced with tourist traffic.
As the warmth of summer begins to embrace Canada, I hope you take some time for relaxation, rejuvenation, and reflection. The sun-filled days and peaceful evenings offer a perfect backdrop for unwinding and enjoying the company of family and friends.
Life’s hectic pace slows during summer which presents an opportunity to contemplate your financial planning as well. I invite you to consider this season as the ideal moment to reevaluate the relationship between your finances and your current and future lifestyles.
Update Your Investment Risk Profile
The ever-changing dynamics of life and markets mean that the investment risk profile you once set may no longer align with your current situation. My guess is there have been a few changes in your life since you last completed an investment risk profile.
Summer is the perfect time to reassess your comfort with risk. Are you closer to retirement and prefer a more conservative approach? Have you discovered a new hobby in retirement that you’d like to dedicate more time and resources toward? Or, have recent changes in your life allowed you to take on more risk for potentially greater returns? Reflecting on these questions can ensure that your investments continue to match your appetite for risk and life goals.
Have Estate Planning Conversations
Estate planning is a crucial aspect of financial planning that is often overlooked. It’s about ensuring that your wishes are honoured and your loved ones are taken care of. Use the relaxed summer setting to have these important conversations with your spouse or loved ones.
I know for most, talking about end of life is not the most uplifting topic. But, you can feel good about building an estate plan that enhances your family’s well-being. Contemplating and discussing your estate planning wishes now can prevent confusion and hardship later. It’s not just about the distribution of assets, but also about making your values and legacy known.
Review and Refresh Financial Goals
Goals evolve, and what was important to you a year ago may not hold the same significance today.
Take the time this summer to sit back and reflect on your current financial objectives. Are they still relevant? Do they align with your life’s direction? Perhaps you’ve achieved some goals and are ready to set new ones. Or maybe you’ve encountered unexpected life events that require a shift in your financial strategy, like a new addition to your family or a health scare. This is the time to adjust your sails and set a course that resonates with your present and future aspirations.
Pursuing New Financial Goals
With reflection comes the excitement of new possibilities. Have you considered pursuing new financial goals? Whether it’s planning for a sabbatical, investing in a vacation property, or funding a new business venture, summer is a great time to outline the steps needed to turn these dreams into reality.
Financial planning is a dynamic activity as our lives inevitably change. Let the longer days and clear nights inspire your financial dreams.
If you need a little guidance, feel free to use my Goal Planning Worksheet.
Conclusion
Summer is not just a season; it’s a state of mind. It’s a time when the hustle of life slows down, allowing us to breathe, reflect, and plan ahead. While you bask in the joy of this season, remember that it’s also an opportune time to update your financial plan with your current life stage and goals. I am here to guide you through this process, ensuring that your financial plan remains as dynamic and vibrant as the summer itself.
So, as you sip on your iced tea (or a beverage of your choosing – no judgement here) and watch the sunset, remember that a little time spent on financial reflection today can lead to a more secure and fulfilling tomorrow. Enjoy your summer, and let’s make it a productive one for your and your family’s financial well-being.
If you haven’t already, please read my post on goal setting and intentions here.
Connect with David on LinkedIn.
Disclaimer: Our content is intended to be used for informational purposes only. It is very important to do your own analysis before making any investment and tax-related decisions. You should seek independent financial advice from a fiduciary, if possible.
