Why You Need a Financial Coach

Financial coaching

I was listening to a podcast, and the topic was teaching financial literacy in high school. According to the podcast, currently, 21 states now have personal finance coursework requirements in their high schools. Overall, 45 states require some form of finance instruction in their K-12 standards.

The podcast was interesting to me as I think I took a course in high school, but I really do not remember it….that was a long time ago. Studies have shown that though financial education in schools is important, it doesn’t always predict financial literacy among adults. For example, even though I took a course, I did not know what a mortgage was until I had one. I have been very blessed to make financial mistakes and still able to overcome them. I have made a lot of financial mistakes.

As I listened to the podcast, I thought of all the people who, like me, had to learn the hard way to manage money. Through mistakes and experience, some learned, and some did not. And this drives me to educate others about finances and coach and counsel people to make better financial decisions.

Why a Financial Coach

Financial coaches work with you over time and help you create short and long-term financial goals. They meet with you regularly and give suggestions and exercises to help you explore your values and meet your financial goals. Coaches also discuss ways to stay on track and ask how developed plans and strategies are working.

Financial coaches provide advice and encouragement in a client driven process. Financial coaching is not designed to be a therapeutic relationship or to aid clients in a more acute crisis resolution. That is where financial counseling comes into play.

The Value of a Financial Coach

The great value in coaching is the ongoing relationship and not just one or two appointments. A coach is a sounding board, your accountability partner, your brainstorming partner, and cheerleader. Financial coaches support you as you reach for financial goals creating healthy financial habits.

You determine your goals with help from your coach. Together, you and your coach map out action steps and time frames. And knowing you must check in with your coach helps prompt you to complete those steps. Studies report the effectiveness of financial coaching.

When to Seek a Financial Coach

If you are ready to look to your financial future.

•           You have goals like buying a car, a home, or a realistic spending plan.

•           You are ready to commit to the ongoing work.

•           You’re ready to welcome support in your efforts.

Coaches give vision to the team. They direct and lead the team. Coaches push and pull and bring out the best in the team. And as a financial coach, I provide the same for my clients.