About the Guest(s):

Amy Irvine is the CEO and a financial planner at Rooted Planning Group. With over 30 years of experience in the financial industry, Amy has dedicated her career to making financial planning accessible and relatable. Her approach is deeply personalized, focusing on the unique goals and values of each client, which she believes are essential to effective financial planning. Amy is committed to guiding her clients through financial literacy and helping them achieve their ideal financial futures.

Episode Summary:

In this episode of the Money Roots podcast, Amy Irvine delves into the essential purpose and process of financial planning. She addresses common questions about why financial planning is worth undertaking and how it can profoundly impact personal finance decisions. Drawing from her extensive experience, Amy emphasizes the individuality of financial planning, asserting that its purpose is rooted in each person's unique goals and desires for their life, free from financial barriers.

Amy outlines the seven-step financial planning process as defined by the CFP Board, highlighting the importance of understanding personal and financial circumstances as a key component. The episode provides a deep dive into each step—gathering information, identifying goals, analyzing current actions, developing recommendations, and continuous monitoring. By doing so, Amy aims to demystify financial planning and encourages flexibility, acknowledging that goals can evolve and adapt over time. This adaptability represents the true purpose of financial planning: to provide a framework that flexes with life changes and helps individuals navigate their financial paths more confidently.

Key Takeaways:

• Financial planning should be personalized to align with individual goals and values, ensuring it addresses what truly matters to the client.
• The seven-step financial planning process serves as a guide to gain clarity on financial decisions and adapt to life changes.
• Financial goals are not static; it's normal for them to evolve, and planners are there to help clients navigate these changes.
• Discussing and analyzing different financial scenarios enables clients to choose optimal paths that resonate with their values, even if the optimal numerical solution is different.
• Continuous monitoring and updating of the financial plan are crucial, as they accommodate life's changes and ensure the plan remains relevant and effective.

Notable Quotes:

1. "Understanding the person is the key component to financial planning."
2. "The purpose of financial planning is the ability to actually be flexible if things change."
3. "Identifying and selecting goals doesn’t mean they’re written in stone."
4. "The most optimal recommendation isn't necessarily what you'll want to choose, and that's okay."
5. "The pivoting and the shifting, to me, is the true purpose of financial planning."

Resources:

• CFP Board's Guide to the Seven Steps of Financial Planning Process

Encouraged by Amy Irvine's expert insights, listeners are invited to explore the full podcast episode to gain a complete understanding of the robust financial planning process. Stay tuned for further episodes of the Money Roots podcast, designed to keep your finances grounded and your future flourishing.