Why does it seem easy for some people to make money, while others never achieve their financial targets?

It’s not about income, as there plenty of people earning six-figure salaries who are perpetually in debt.  There are also people who earn a basic wage who do well financially.

Sure, there’s plenty to be said for financial education.  You know. .learning how to save and to live on less than you’re earning. 

While education will take you part of the way, there’s obviously something more to financial success.  If there wasn’t, we wouldn’t hear about those people who win millions and then lose it all within a short time frame.

This was the focus of the discussion I held recently with Harry Goldberg from Purpose Advisory.

What does Harry do?

At Purpose Advisory, Harry and his business partner (Tristan Scifo) merged the world of financial advisor and life coach together. They work primarily with the mid-20s, to mid-40s to be able to empower them to live the life they love, or what we’ve defined as the fulfilled life.

Purpose Advisory’s unique planning approach

Both Harry and Tristan come from a financial planning background.  They identified some flaws in the system as it focuses primarily on the financial product – what the client is going to be investing in or what the client is going to take out because that’s the way that a financial advisor typically gets paid.

This means that effectively the majority of the industry is being paid for the product, which isn’t the way to provide the best client outcome. 

Harry and Tristan recognized clients needed more coaching before a tailored plan could be developed and products selected.  Through their client conversations, they realized what people were really looking for was a fulfilled life.

One of the most important ways to be able to live a fulfilled life is to have the money and the resources to allow people to stop working or pull back from working, but it’s also important for people to be able to do what they really love or have an impact-driven business rather than just purely profit-driven. So, while finances are an important piece of the puzzle, it’s not the entire puzzle.

A lot of the previous generation was really focused on just making sure they had enough money, so they kept working despite how much they may have hated the work.  Their approach was to focus on eventually getting to a point where they had ‘enough’ money so they could stop working, and then they could enjoy life.

This approach to work is changing as it’s clearly not the ideal way to lead a fulfilled life. The good news is it’s not the only way to be able to achieve financial freedom and the Purpose Advisory team has adjusted their approach accordingly.

From Harry . .

“There are so many different ways that you can build wealth.  It’s not just working really hard for someone else anymore. And it’s not just working hard until you can start your own business and then eventually retire.

“Some people just love the idea of saying ‘no, I’d rather just do what I really enjoy doing’. And keep doing that until I’m 85 years old.  Fine, maybe I’ll never retire. But at least I’ll be enjoying it. Rather than hating my life for the next 10 or 15 years while I scrape up the corporate ladder.

“There are multiple ways of doing this. Even when starting a business, some people do it as a lifestyle choice. Some people would rather just earn money, take money from a sideline, and then just do nine to five that can clock on, clock off.

“And then as a sideline, they’re doing their property projects or managing their share portfolio.

“There are lots of different ways that you can build wealth. A coaching conversation is not so much like coming to the advisor, and the advisor tells you what to do. It’s much more the adviser asks questions and challenges you on what the best way is for you. And then runs you through a framework and a process.”

Noting the change in focus, Purpose Advisory have developed their coaching approach and their services fall into the following three different categories. Using this approach they allow the client to choose and tailor their own journey.  Clients are empowered to decide which type of services they actually need.  They gain clarity on their desired outcome, and what’s important to strive for.  

  1. Financial advice – for those clients who want a specialist to tell them what to do. For example, you will be asked for your financial details and all your information. We will look at your risk profile, then create a portfolio or make insurance recommendations, build a salary sacrifice strategy, or make recommendations about whether or not you should be buying property and whether that fits into your overall wealth plan.
  2. Strategic coaching – There’s not much point in building a financial plan until people have a holistic life plan first. Finances allow us to live the life that we love. And so how can you live the life you love if we don’t first identify that life, and then also be able to use finances for it and create the finances in the right way. That is strategic planning. It involves things like life planning, cashflow, coaching, creating a vision for your future. Things such as developing an investment philosophy and wealth philosophy as well.
  3. Empowerment coaching – this covers services which focus on the client’s belief set. For example looking at a client’s money mindset – what are the beliefs they hold around money? This also covers key issues like limiting beliefs, such as a fear of failure or fear of success.  What are the beliefs they hold in life? How do they make really challenging decisions on their own, understanding their personality? Then clients can really focus on behaviors and mindset, along with their habits, knowledge and skills.
Keen to know more?

Visit www.purposeadvisory.com.au to book a chat or find our more about their range of services. You can also follow Harry via Linkedin www.linkedin.com/in/harry-goldberg/ and facebook www.facebook.com/purposeadvisory.

About the author

Debra Beck-Mewing is the Editor of the Property Portfolio Magazine and CEO of The Property Frontline.  She has more than 20 years’ experience in buying property Australia-wide and has extensive experience in helping buyers use a range of strategies including renovating, granny flats, sub-division and development. Debra is a skilled property strategist, and a master in identifying tailored opportunities, homes and sourcing properties that have multiple uses.  She is a Qualified Property Investment Advisor, licensed real estate agent and also holds a Bachelor of Commerce and Master of Business. As a passionate advocate for increasing transparency in the property and wealth industries, Debra is a popular speaker on these topics.  She is also an author, podcast host, and participates on numerous committees including the Property Owners’ Association.

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Disclaimer – This information is of a general nature only and does not constitute professional advice.  We strongly recommend you seek your own professional advice in relation to your particular circumstances.