Balancing Living in the Now with Planning for the Future
Ever wonder how to plan for the future when wanting to live in the present?
As Financial Advisors, one of the main conflicts we come across is our clients desire to prepare for the future and save versus the impulse to live for the present and enjoy earnings now. People know that nobody is promised tomorrow, but they also do not want to live out their retirement years with limited choices, or none at all if adequate retirement planning is not put in place early enough.
As Financial Advisors we spend a lot of our time advising our clients about putting away money for the rainy day, about putting away money into a pension as not alone is it the most tax efficient method of saving, but you also want to have enough of income at retirement to give you a nice lifestyle at a time that you will have more time on your hands.
We also advise as to the importance of life and serious illness cover and protecting your income in the event of you being unable to work due to a serious illness or accident and the need to provide for your family in the event of your premature death.
Of course all of these things are important, but it also very important to live in the present. It is all about finding that right balance, where you can enjoy your current lifestyle and ensure that it can last by putting away money for your retirement needs. The answer to finding the right balance is to be so prepared for the future so that you can enjoy the present without feeling guilty about the things you want to do. This I believe, can be achieved by balancing a medium term savings with long-term savings also.
So enjoy the present, live for today but plan for the future and if you have not already done so already, start paying into a pension now as when it comes to drawing it down you will be back in the present.