Why You Need a Financial Plan by Jason Wheeler

This Insights article was written by Kayla Williford Johnson, Financial Planning Associate at Pathfinder Wealth Consulting. This is the first article in a two-part series on the importance of a financial plan for your long-term financial success.


Many of us want to improve our families, our relationships, our health and our careers. When we want to improve our parenting, we read books, make a plan with our spouse, and talk with other parents. Same thing with our friendships and our marriages. When we want to improve our health, we seek out, bring friends to join us and hold ourselves accountable, and lay out a plan for success. Same for our careers.


When it comes to our financial future, success comes from careful planning, with help and accountability.


It is well known that most Americans live paycheck to paycheck. It’s so extreme that during the last government shutdown, more than half of Americans couldn’t afford a $1,000 emergency. Additionally, a national survey by the Financial Educators Council found that one in three respondents said they had lost $15,000 in their lifetime due to lack of financial knowledge. In 2018, respondents said financial illiteracy cost them an average of $1,230. This figure has been increasing every year since 2017, and almost 20% of them reported losses of $2,500 or more due to a lack of financial knowledge.

No one wants to live in financial chaos, but many do because they don’t plan. The antidote to poor health, difficult relationships and chaotic finances is still a commitment to a plan.

A study conducted by the CFP and CFA boards of directors showed that people who have a plan for all areas of their financial life save more, are more secure and financially prepared, have managed their financial risks in a adequate and have confidence in their money, whatever their level. income level. Everyone needs a financial plan, whether you’re just starting your financial journey or you’re a seasoned investor. By creating a plan, you control your money and use it for your purposes, goals and dreams. Money can help create the life you want, but you need to have a plan.


Many people want to know when they need a financial plan. The best time to create a financial plan is yesterday; The second best time is today. Financial plans are like physical exams – a financial checkup. They are great for giving you peace of mind that you are on the path to success and they can tell you if you are financially sick and can help point you in a better direction. There are, however, major life events that should prompt you to establish or update a financial plan:

  1. Retirement
  2. Claim social security
  3. Marriage
  4. Birth of a child
  5. Divorce
  6. Death of your spouse
  7. receive an inheritance
  8. Start a business; buy or sell a business
  9. Career changes

Many people who have money in the bank and are saving are tempted to think that they don’t need a financial plan. In our view, this is akin to a healthy person saying they don’t need to see their doctor. Financial plans, and more specifically following your financial plan, ensure that you are in good financial health in the long term. It’s your financial preventative medicine.

If you are ready to dive deeper into financial planning and the security it can bring to your financial future, please call us at 910-793-0616 or visit our website at www.pwcpath.com.

4018 Oleander Dr, Suite 102, Wilmington, NC 28403 | 910.793.0616 office | 910.793.0617 fax | www.pwcpath.com

Advisory services offered by Commonwealth Financial Network®, a registered investment adviser.

Jason Wheeler is currently CEO and Wealth Consultant at Pathfinder Wealth Consulting. Pathfinder specializes in comprehensive financial, estate and tax planning, investment management and risk management (insurance) services for successful business owners and executives. Jason Wheeler provides securities and advisory services through Commonwealth Financial Network®. Member FINRA, SIPC, a registered investment adviser. To learn more about Pathfinder Wealth Consulting, visit www.pwcpath.com. Jason can be reached at [email protected] or 910-793-0616.