Money and emotions often create a tangled web for many individuals. This is why Mary Clements Evans, a certified financial planner, places a strong emphasis on financial therapy in her work with clients. In her latest book, “Emotionally Invested: Outsmart Your Anxiety for Fearless Retirement Planning,” Evans delves into the fear, anxiety, and guilt that money decisions can evoke, providing guidance on how to find financial contentment both now and in retirement.
During a recent interview, Evans shared insights on how individuals can take charge of their financial lives and make decisions they will not regret. One key aspect she highlighted is understanding our “money why.” Evans explained that our money why is the driving force behind our financial choices, reflecting our feelings and relationship with money. She likened it to her relationship with brownies, emphasizing that emotional factors often outweigh logical considerations in decision-making.
Evans further distinguished between two primary money whys: FOMO (fear of missing out) and FORO (fear of running out). Those driven by FOMO tend to prioritize immediate gratification, while FORO individuals focus on long-term security and stability. However, she noted that most people exhibit shades of both motivations to varying degrees.
The title of Evans’ book, “Emotionally Invested,” underscores the notion that emotional impulses often guide financial decisions, despite our efforts to rationalize them with facts. She emphasized the importance of acknowledging the emotional aspect of money management, as it can significantly influence our choices.
Evans also addressed the evolving landscape of retirement saving in America, highlighting the shift from traditional pensions to individual responsibility. With the burden of retirement planning increasingly placed on individuals, she stressed the importance of seeking professional guidance from qualified financial advisors. Evans emphasized the significance of reputable certifications, such as the Certified Financial Planner (CFP) designation, as a benchmark for expertise in the field.
In conclusion, Evans emphasized the need to dispel shame and blame surrounding financial matters, encouraging individuals to take control of their financial well-being without self-judgment. By understanding their money whys and how these factors impact their decision-making, individuals can make informed choices that lead to a more secure and worry-free retirement. Evans’ ultimate goal is to empower clients to navigate the complexities of money management and foster healthier financial relationships.
