Sometimes it comes to you in a dream, or a moment when you least expect it: a vision for the future. It could be hosting a party, building a treehouse for your kids, a weekend with friends, or even plotting how your retirement comes together. Putting an initial plan in writing always helps. As I mentioned last month when I wrote about how to plan a vacation, there is an important element: sleeping on it. That means that you take a little time and evaluate the plan you are contemplating.

Here are six examples of circumstances that when present, may help you to re-evaluate and possibly make a better plan:

When the cost seems too high

There are many plans where the initial thought may be to “do it right the first time” or “go first class”. This includes buying the forever home for a young married couple, the dream college for a child, or an exclusive club membership. 

The cost may be time, money, or emotional energy. If the cost of any of these three seems too high, it may be time to make a better plan.

When the logistics seem too difficult, or the plan is not feasible.

Owning a second home, a boat, or motorcoach can be tricky. Perhaps you are thinking of a camping trip in the Grand Canyon, but your health isn’t the best. These are examples of plans that can cause logistical issues that you may not have thought of, especially if your plans include travel to other states or outside of the US. 

If the logistics seem difficult, and everything is obscure in your mind because the plan doesn’t seem feasible, it may be time to make a better plan. 

When the timing seems poor or too rushed

My favorite example here is a couple of college students who wanted to take a trip out west and conquer 5 national parks in 3 days. It made my head spin just thinking about it. The girls had figured out the logistics of how they could easily make it from one venue to the other. However, they failed to consider how their frenetic pace could spoil the joy of exploring these beautiful historic spaces.

If you are planning something special and haven’t included margin in your timing, you may want to make a better plan.

When you can afford to do something better

If you have been diligent with your financial management, you may be able to upgrade your plans. My favorite example of this recently was an older couple who were getting married and wanted to celebrate. The wife was mindful of spending too much, and had planned a simple ceremony with a few family members. Since it was their second marriage and the beginning of a new chapter in life, the husband wanted to make it extra special. He told her, “Honey, we can do better”. They ultimately had a church wedding with over 100 attendees, and an elegant catered reception.

Another example that I witnessed recently was the ability of a parent to upgrade the medical equipment of a child with physical issues. She discovered that by spending a bit more, she could purchase equipment to help make her child more comfortable throughout the day, and even traveling was easier.

In both examples, the better plan included a little higher than originally planned spending for a significantly more enjoyable or positive outcome.

When you want to change your routine

Do you run into the same people at the grocery store every week? Do you order your favorite entrée at the local restaurant that you frequently visit? How often do you change the route of your daily commute? Perhaps a better plan is to change up this predictability and force yourself to abandon your old routine. 

Changing your routine does not guarantee that you will have a better plan. However, you will at least have given yourself the opportunity to experience some variety if you start with a fresh routine or an untried venue.

When your plans are changed for you

There are times when fate intervenes, and plans are changed for us. It could be a job termination, an illness, or simply an act of God. While it is tempting to bury your head in the sand, you can respond differently when your plans are changed for you. 

Many years ago, I met a young man whose wife left him unexpectedly. He vowed revenge by being happy in a life created without his former spouse. He adopted a positive healthy lifestyle, lost weight, married again and now has a joyful life and family. He took all the negatives that happened to him, and flipped it around. He continues to be happy and successful to this day. His story is a perfect example of someone who made a better plan when his original plans were changed for him. 

Summary

Planning is a process, and it involves evaluating and challenging your preliminary assumptions. I heard a quote from Taylor Swift that I thought was perfect: “Just because you make a good plan, doesn’t mean that’s what’s gonna happen.” Whether the circumstances are within your control or not, if you have the time, I recommend reevaluating your initial ideas and see if you can put a better plan into motion.

Kristina Bolhouse, CPA/PFS, CFP®

Vice President/Shareholder

© 2024 Kristina Bolhouse and The Arkansas Financial Group, Inc., All rights reserved.

The Arkansas Financial Group, Inc. is a Fee-Only Financial Planning Firm located in Little Rock, AR serving clients in Arkansas and throughout the country.

Please remember that past performance may not be indicative of future results. Different types of investments involve varying degrees of risk, and there can be no assurance that the future performance of any specific investment, investment strategy, or product (including the investments and/or investment strategies recommended or undertaken by The Arkansas Financial Group, Inc. [“AFG]), or any non-investment related content, made reference to directly or indirectly in this commentary will be profitable, equal any corresponding indicated historical performance level(s), be suitable for your portfolio or individual situation, or prove successful. Due to various factors, including changing market conditions and/or applicable laws, the content may no longer be reflective of current opinions or positions. Moreover, you should not assume that any discussion or information contained in this commentary serves as the receipt of, or as a substitute for, personalized investment advice from AFG. AFG is neither a law firm, nor a certified public accounting firm, and no portion of the commentary content should be construed as legal or accounting advice. A copy of the AFG’s current written disclosure Brochure discussing our advisory services and fees continues to remain available upon request or at www.arfinancial.com.

Please Remember: If you are a AFG client, please contact AFG, in writing, if there are any changes in your personal/financial situation or investment objectives for the purpose of reviewing/evaluating/revising our previous recommendations and/or services, or if you would like to impose, add, or to modify any reasonable restrictions to our investment advisory services. Unless, and until, you notify us, in writing, to the contrary, we shall continue to provide services as we do currently. Please Also Remember to advise us if you have not been receiving account statements (at least quarterly) from the account custodian.