True wealth is more than account balances it can be the freedom to live where you want, do what you love, and spend time with those who matter most. That is why I use S.H.I.F.T., a values-based framework that helps move your focus from money to meaning: Spirit, Happiness, Integrity, Family, and Treasure. When we align decisions to these values, we can create more clarity, confidence, and momentum.
S— Spirit: Purpose as Your North Star
Money is a means, not an end. Spirit is about anchoring every decision in purpose, faith, and gratitude. When your "why” is clear, your“how” can become easier and your financial plan can become resilient when life changes.
How Spirit turns into action:
Purpose statement: Write a two-sentence intention that guides your finances (e.g., “Use our resources to educate our children, serve our community, and retire with time for family and ministry.”).
Structured giving: If generosity is central, consider donor-advised funds, appreciated stock gifts, or qualified charitable distributions in retirement for tax efficiency.
Practical prompt: What three words summarize the kind of life you want your money to support? Put them at the top of your financial plan.
H— Happiness: Funding a Life You Love
Money should enhance your life, not control it. Happiness can mean budgeting for joy—experiences, relationships, and well-being—while keeping guardrails that protect long-term goals.
Tools that help:
The Joy Fund: Open a dedicated high-yield savings account for travel, family events, or personal retreats. Automate contributions (e.g., 3–5% of monthly income).
Cash-flow clarity: Use “pay yourself first,” automate investments, and set a simple rule for discretionary spending (e.g., 70/20/10 for essentials/savings/fun).
A quick win: Identify your top three joy priorities for thenext 12 months and assign dollar amounts. If it’s not funded, it isn’t a priority yet.
I— Integrity: Decisions You Can Stand Behind
Trust is the cornerstone of financial planning. Integrity means transparent choices, documented processes, and accountability—especially when markets test emotions.
Build integrity into your financial plan:
Investment Policy Statement (IPS): Capture goals, risk tolerance, asset allocation, rebalancing rules, and when to make changes. Review annually.
Right-sized risk: Align portfolio risk to your time horizons: short-term needs in safer assets, long-term growth where volatility is tolerable.
Coaching note: Markets are a transfer of capital from the impatient to the patient. Discipline is a financial advantage.
F— Family: Protecting Relationships and Legacy
Wealth is about people, not just portfolios. Family planning can help ensure your resources protect loved ones today and support futuregenerations with more clarity and care.
Core elements:
Estate essentials: Current wills, powers of attorney, healthcare directives, and—for complex needs—trusts that manage taxes, privacy, and stewardship.
Beneficiary coordination: Confirm designations across retirement plans, life insurance, and bank accounts; align with your estate plan.
Caregiving preparedness: Having seen the impact of ALS in my own family, I can tell you that planning for long-term care is love in action.Evaluate coverage, roles, and funding sources early; review annually.
T— Treasure: Safeguarding What Matters Most
Your treasure includes your assets, vision, and everything you hold sacred. Protecting it requires knowledgeable risk management, tax awareness,and contingency planning.
Protection checklist:
Emergency fund: 6–12 months of essential expenses; business owners target 12–18 months.
Insurance: Life (income replacement), disability (own-occupation when available), long-term care (hybrid or traditional), and umbrella liability coverage.
Withdrawal strategy: In retirement, coordinate Social Security timing, portfolio withdrawals, and taxes to extend portfolio longevity.
Annual review: Re-price insurance, retest coverage amounts,and confirm titling (individual, joint, trust, or TOD/beneficiary).
The S.H.I.F.T. Roadmap
1. Clarify purpose & outcomes
2. Inventory & organize
3. Protect the foundation.
4. Design a disciplined portfolio
5. Plan for taxes
6. Build retirement income.
7. Preserve and pass on
Common Pitfalls
1. Headline-driven decisions: Replace reactions with rules (IPS + scheduled reviews).
2. Lifestyle creep: Tie raises to higher savings rates, not higher fixed costs.
3. Under-insuring income: Disability and long term care often overlooked test coverage against your needs.
Final Thought
Financial planning shouldn’t be complicated or intimidating. When you anchor decisions in Spirit, Happiness, Integrity, Family, and Treasure, the numbers can start serving your life—not the other way around. Real wealth begins within. Let’s build a financial plan that reflects that—so you can live with more clarity, confidence, and peace.
Together, we can work to keep you on-track toward your financial goals.
Request a consultation to learn more.
Read more articles by Connell Lee