4 Reasons Why You Hate Financial Planning

PUBLISHED Oct 5, 2022, 10:16:11 AM        SHARE

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Do you feel like your finances are all over the place? You have credit card debts pending, bills to settle, and goals to achieve, but it’s all in disarray.

You voice your concern and get told to do financial planning because it is the only way towards a better future.

“I know it’s true, and it’s important, but it’s just that I HATE it.” >

If this is you, have you ever thought about WHY? Why do you hate it?

Keep reading.

In this post, we’ll discuss financial planning, why you may hate it, and what you can do about it.

What is Financial Planning?

Financial planning is the process of planning how you will handle your finances in the present and be ready for all potential expenses and problems that may happen in the future.

The practice involves assessing your present financial situation, identifying your short and long-term goals, and then developing and implementing relevant measures.

Several areas, including tax planning, estate planning, retirement planning, education funding planning, investment planning, and budgeting, fall under financial planning.

Indeed, the list is long, but it’s worth your time.

Why is Financial Planning Essential?

“It does not do to leave a live dragon out of your calculations if you live near one.” – J.R.R. Tolkien.

Finance is the dragon that all of us live with, but most fail even to acknowledge its significance, let alone calculate its moves.

Here are some reasons why it’s essential to keep a watchful eye on the dragon and direct its moves with an authoritative hand.

1. Income – By creating a financial plan, you’ll be able to manage your income better and achieve your financial goals.

2. Expenses – We all spend money on our basic needs and wants and occasionally sprinkle a few extra dollars on luxuries. It’s okay to treat yourself once in a while. But, without sound financial planning, your expenses can quickly get out of hand, leaving you with little to achieve your long-term goals.

3. Investments – If you want to invest your money, a well-constructed financial plan will help you make the best investment decisions based on your goals, risk tolerance, and income potential.

4. Savings – Financial planning can significantly impact lower-income households by helping people improve their budgeting habits and, thus, boosting savings.

5. Good Money Habits – Financial planning will help you develop good money habits that will allow you to achieve your long-term goals. Good money habits include – prioritizing paying due credit card debts, keeping track of your net worth, reviewing regular expenses, allocating time for your finances, and more.

Why Do You Hate Financial Planning?

If Financial Planning has such benefits, why do you, along with most others, hate it?

Here are some reasons why.

1. It’s Not So Urgent Financial planning takes time and regular attention. So, after an eight-hour work day and taking care of household chores, it’s only natural that we want some time for ourselves.

It’s not that you don’t understand the importance of financial planning (I hope you do); it’s just that you don’t regard it as an urgent matter of concern.

After all, nobody likes to wake up in the morning thinking, “well, it’s time to take care of my debt and increase my insurance coverage.”


In the final quarter of 2019, U.S. credit card debt hit a record $930 billion, with younger Americans having the highest delinquency rate, according to the latest data from the Federal Reserve Bank of New York.

Given the massive figure of credit card debt, it is time. Now it’s urgent.

Like most of America, if you have credit card debt, it’s about time you start taking your finances seriously and making a plan for the future.

1. I Don’t Know Anything About Finance “I don’t know where to start.”

“I don’t know much about finance.”

“I am young now. I will think of retirement later.”

If you recite any of the above sentences when it comes to financial planning, you are like the majority of people.

According to the Financial Industry Regulatory Authority, only about one-third of Americans have a working understanding of essential financial concepts like interest rates, mortgage rates, credit card debt consolidation, and financial risk.


Learning about finance can help you minimize anxiety around financial unknowns and work toward your personal and professional goals, according to Harvard Business School Online.

And contrary to popular belief, you can learn the basic principles of finance, no matter your industry or background.

You can learn about money in many ways, such as through online courses, in-person classes, reading financial magazines, teaching yourself with finance books, or joining a network of financial professionals. Choose the option that works best for you.

2. You Don’t Trust Financial Advisors You have heard that financial advisors make money off commissions, and now you believe they are incentivized to sell you something you may not need.

You don’t know if you can trust them to do the best thing for your financial needs.

So, you end up side-stepping financial experts altogether and taking matters into your own hands.


Think about this: when you’re sick, do you go to a doctor? Or do you think drug companies pay doctors to prescribe certain drugs, so they try to make you believe you have certain diseases even if you don’t have them?

No. When you feel sick, you go to a doctor because that is the right thing to do. Similarly, if you are financially unhealthy and unsure what to do about it, you go to a financial expert.

Now, of course, there are swindlers out there, which is why you need to develop a strict screening process. You don’t choose a doctor with a blindfold on, and similar is the case with financial advisors.

Here is how you should choose a financial advisor

  • Check their credentials
  • Check their fee structure
  • Check their experience
  • Do a reference check
  • Fix up a meeting

3. There Isn’t Enough Money to Manage Given the current condition of our economy, it’s only natural that most people, at the end of the month, do not have much money to spare after settling their bills and paying their monthly dues.


If you think you don’t have enough money to invest your time in planning, think again. You need financial planning the most as you do not have loads of cash to spend away haphazardly.

It’s Time To Tame The Dragon

Nobody in their right mind would want a dragon in their house. It’s a big responsibility, it is complicated, it is stressful, and the list can go on.

But, if you can tame it, think about the power and security you’ll enjoy. Think about the status you’ll achieve in society.

You must live with the dragon, so why not take control of it while there’s still time? You have to live with your finances. So, why not develop a plan to make it work for you so you can achieve your goals?

If you liked this article, check out other items on The Purpose of Money:

Originally posted in The Purpose of Money Blog

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