Many people don’t think they have a financial plan. They’re wrong.

You might not have a clearly articulated plan for achieving their financial and lifestyle goals and managing risks to which they’re exposed. You might not have a firm idea of your long-term financial objectives.

But even if you don’t have a formal plan or clear goals, the lack of a plan is a type of plan.

You’re still likely to be acting in a consistent way. You’re acting as if you have a plan and goals, which is essentially the same thing.

This plan might include spending more than you earn. It might involve not insuring yourself (or, to put it another way, protecting your loved ones) in the event that the worst happens.

You might be acting as if your priority is your immediate lifestyle, and discounting your future lifestyle and the assistance you might be able to provide your children.

In the same way that not making a decision is itself a decision, not making a clear plan is itself a plan.

With something as important as your finances, isn’t it worth sitting down and thinking clearly about your plan?

Sonnie Bailey

Sonnie is an Authorised Financial Adviser (AFA) and former lawyer with experience in the financial services and trustee industries. Sonnie operates Fairhaven Wealth (