It’s Never Too Late to Take Control of Your Finances

As we navigate through life’s ups and downs, the importance of sound financial planning cannot be overstated. An effective financial plan is a roadmap that guides you from your current financial state to your future financial goals. It’s never too late to take control of your finances, and there are several steps you can take to ensure you are on the right track.

The Importance of Financial Planning

Financial planning is more than just managing your money. It’s about gaining control over your financial situation, reducing stress, and building a secure future. Whether you’re just starting out or you’re well into your golden years, it’s never too late to take control of your finances.

A recent Canadian study revealed that 39% of respondents had no financial plan in place for when government assistance ends. This statistic is a stark reminder of the importance of financial planning, especially during uncertain times like a global pandemic.

Financial planning is invaluable as it helps answer questions like, “Will I have enough for retirement?” or “Am I going to be okay financially?” With a well-crafted plan, you can review your goals and ensure you have emergency funds set aside.

Financial Planning: An Overview

Your financial plan is a roadmap, guiding you from your current financial state to your future financial goals. It covers several areas, including cash management, risk management, retirement planning, estate planning, tax planning, and investment planning.

Proper tax planning, for example, is a crucial element that permeates every other aspect of your financial plan. But how do you get started on creating such a plan? Here are some steps.

Step 1: Evaluate Your Options

When it comes to creating a financial plan, you have a few basic options:

  • You can consult a fee-for-service planner who will charge either by the hour or a fixed rate. This rate generally ranges from $1,000 to $5,000, although it can go higher.
  • Alternatively, you can work with an adviser who will prepare a financial plan as part of their investment management services. Advisers can charge in various ways, including a percentage of assets under management, commissions based on product sales or transactions, or a combination of fees, assets under management, and/or commissions.

The complexity of your financial plan can vary greatly, depending on the type of financial institution or adviser you choose. These can range from banks to wealth management firms and more.

Step 2: Share the Necessary Information

During your first meeting, your planner will ask a series of questions to understand your financial situation. This questionnaire can range from a few pages to many more. The questions will cover basic details like your age and family members, your income sources, pensions, life insurance, real estate, and other assets.

Step 3: Review the Projections

Once the planner has gathered all the necessary information, it is plugged into planning software to generate a projection. This software can help determine if you are on the right path to achieving your financial goals.

The projections will involve making certain assumptions about your future savings, inflation, tax rates, investment returns, etc. Once the first draft of the plan is ready, the planner might run various ‘what-if’ scenarios to see how different factors might affect your wealth over time.

Step 4: Consider Taxes, Insurance, and More

Creating a financial plan isn’t just about crunching numbers. Depending on the planner you work with, they may also examine your insurance coverage, trusts, and other elements. For example, some firms provide portfolio management and tailored wealth management solutions to high-net-worth clients. After a series of planning meetings, these firms provide clients with a comprehensive package containing their financial plan, will, power of attorney, bank accounts, and other important documents.

Step 5: Review Your Plan Regularly

Your financial plan should be reviewed regularly to ensure it remains aligned with your changing life circumstances and financial goals. There is no hard and fast rule for how often you should review your plan, but generally, it should be reviewed every one or two years, or whenever there is a significant event in your life.

Step 6: Take the First Step

Regardless of your age or financial situation, it’s never too late to take control of your finances. While it may require some sacrifice and effort, the sooner you start, the better. Use this time to educate yourself about financial planning, budgeting, managing finances, investments, and taxes. The more you know, the more equipped you’ll be to make informed decisions about your financial future.

Teaching Financial Literacy to Children

In addition to managing your own finances, it’s also important to teach financial literacy to your children. Not all parents are financially literate or equipped to guide their children to make wise financial decisions. However, it’s never too early or too late to start teaching financial literacy.

By teaching your children about money from a young age, you can instil financial confidence and set them up for financial success. This process can include discussing your financial mistakes as well as your financial successes.

Teaching Financial Literacy: Some Practical Steps

There are several ways to introduce your children to personal finance. Here are a few ideas:

  • Use cash for grocery shopping: This can help children visualize how much money is being spent on a single shopping trip.
  • Open a savings account for your child: Take your child to the bank whenever they receive monetary gifts. This can familiarize them with the banking world.
  • Use books to introduce personal finance: There are many books available that can introduce children to the concepts of personal finance. For example, “The Richest Man in Babylon” by George S. Clason is a good choice.

At BlueShore Financial, they offer a program for young children where they provide a piggy bank with three sections – one for spending, one for saving, and one for sharing (for charitable donations). This concept can be adopted at home to teach children the basics of money management.

As for adults who weren’t taught financial literacy growing up, it’s never too late to seek financial advice and start learning. The knowledge gained can then be passed down to their children, creating a cycle of financial education and empowerment.


Remember, it’s never too late to take control of your finances. Whether you’re just starting out or well into your retirement years, a well-crafted financial plan can provide the roadmap you need to reach your financial goals. By educating yourself and teaching financial literacy to your children, you can ensure that you and your family are set up for financial success.

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