Unlocking the Potential of Financial Planning with Empathy and Strategy | Ep. 346
In This Article
In the latest episode of Money Talk with Tiff, Tiffany Grant interviews Justin Chastain, a certified financial planner (CFP) with a wealth of knowledge and a personal story of why he ventured into financial planning. Throughout their conversation, they delve into the heart of financial planning, the intersection of mental health and finances, and the key questions you should ask when choosing a financial planner.
This blog post seeks to expand on these valuable insights, providing you with practical advice and deeper understanding to guide your financial journey.
Why Financial Planning is Personal: Justin’s Story
Justin Chastain’s journey into financial planning is profoundly personal. While he was in college, his mother, a crucial influence in his life, fell ill due to a misdiagnosis and ultimately passed away at 62. This devastating event became a catalyst for Justin to pursue a career in financial planning. His mother’s advice to “not buy green bananas” — a metaphor for not waiting to enjoy life until it’s too late — deeply influenced his philosophy.
Justin’s experience underscores the emotional nature of financial planning. Money, often seen as a dry subject, is imbued with emotions and life circumstances. His drive to help families avoid similar financial struggles during times of grief and stress highlights the importance of having a solid financial plan. A good financial planner does more than manage money; they consider the emotional and personal aspects of your life, helping you live fully and intentionally.
Balancing Financial Goals is Possible
One of the crucial points discussed in the podcast is the balance between financial prudence and living a fulfilling life. Tiffany shares her own journey from following a stringent debt-free regimen inspired by Dave Ramsey to realizing that life is finite and should be enjoyed.
Justin emphasizes that financial planning is not about sacrificing everything for financial goals. Instead, it is about aligning your spending with your values. This approach allows you to pursue both financial security and personal fulfillment. By focusing on what you value most, you can find a balance between saving and spending that suits your life.
Key Factors in Choosing a Financial Planner
When it comes to selecting a financial planner, certain questions are vital to ensure you are making an informed decision. Justin outlines three critical questions to ask any prospective planner:
- How Do You Get Paid? Transparency in compensation is crucial. Understanding whether a planner earns through flat fees, commissions, or a percentage of your investments can reveal potential conflicts of interest.
- Who Do You Work For? Knowing whether a financial planner is independent or works for a larger company can impact their fiduciary responsibility — that is, whether they are legally obligated to act in your best interest.
- What is Your Investment Strategy? It’s important that a planner’s investment strategy aligns with your financial goals and risk tolerance. Beware of planners who push complex strategies without understanding your situation.
Additionally, considering a planner’s credentials and ongoing education efforts, like Justin’s involvement in teaching and continuous learning, is a good practice. Credentials can indicate a commitment to professionalism and staying updated with industry trends.
The Intersection of Mental, Physical, and Financial Health
Justin’s story reveals a critical insight: mental and physical health significantly impact financial habits. During stressful times, such as his mother’s illness, he experienced a decline in health and financial discipline. Research shows that stress can negatively affect financial decisions, leading to poor spending and saving habits.
Addressing your life holistically, including mental and physical health, can lead to better financial decisions. By recognizing the interconnectedness of these aspects, you can take steps to improve overall well-being, subsequently enhancing your financial health.
Empower Your Financial Future
The insights shared by Justin Chastain in this episode of Money Talk with Tiff serve as a reminder that financial planning is not just about numbers and strategies; it’s deeply connected to our personal lives and values. By choosing the right financial planner, you can create a balanced plan that allows you to live fully while securing your financial future. Remember to consider their transparency, fiduciary responsibility, and alignment with your values and goals. With the right guidance, you can navigate life’s financial complexities more confidently and intentionally.
For more insights and practical advice on financial planning, tune into the Money Talk with Tiff podcast and explore previous episodes for valuable knowledge and inspiration.
FAQs About Financial Planning
What does a financial planner do?
A financial planner helps clients create long-term strategies for managing their finances, covering areas like investments, savings, insurance, tax planning, and retirement planning. They provide advice tailored to the client’s goals and circumstances.
How do I know if I need a financial planner?
If you have complex financial needs, such as planning for retirement, managing significant assets, or coordinating tax planning, a financial planner can be beneficial. They offer expertise and strategy that can simplify and optimize your financial life.
What is a fiduciary financial planner?
A fiduciary financial planner is legally obligated to act in your best interest. This means they must provide advice that benefits you, rather than recommendations that could earn them higher commissions or fees.
How much do financial planners charge?
Costs can vary widely. Financial planners may charge an hourly fee, a flat fee, a percentage of assets under management, or commissions on products they sell. Transparency in fee structures is critical to ensure there are no hidden costs.
What qualifications should I look for in a financial planner?
Look for qualifications such as Certified Financial Planner (CFP) or Chartered Financial Analyst (CFA). Also, consider their experience, areas of specialization, and reputation.
Can financial planners help with debt management?
Yes, financial planners can help develop strategies to manage and pay off debt. They can provide budgeting advice and recommend appropriate debt repayment plans tailored to your situation.
About Our Guest
Justin Chastain began his financial career in 2010 after earning a Business Management degree from Furman University. Throughout his career, he has worked in private banking for various institutions and has earned the CERTIFIED FINANCIAL PLANNER™, Chartered Financial Consultant®, and Certified Retirement Counselor® designations.
Justin specializes in assisting business owners and families with comprehensive financial planning strategies. Committed to the fiduciary standard, he focuses on enhancing his clients’ overall well-being, encouraging them to make financial choices that align with their values and prioritize their time on what matters most.
As an active member of the Financial Planning Association, Justin is dedicated to community service, teaching financial literacy programs across North and South Carolina. In his leisure time, he enjoys playing golf (admittedly not very well), staying active in the gym, and exploring new places.
LinkedIn: Justin Chastain