One Size Doesn't Fit All

In today’s age of online personal finance advice, it's easy to feel overwhelmed and anxious by articles, podcasts, or social media posts that definitively tell you how much money you should have saved by 30, 40, or 50. “You should have three times your salary saved by age 40” or “You’re behind if you’re not maxing out your retirement account every year”. While these clickbait headlines can offer a general framework, they often ignore the complexity and individuality that financial planning truly requires.

As a financial planner, I’ve worked with hundreds of different individuals and families that have different situations. There is one thing that I have learned while working with them all: no two financial journeys are the same. The idea that everyone should hit the same milestones at the same ages is not only unrealistic, but it can also be harmful to those that perceive themselves as “behind”. What you need isn’t one-size-fits-all, boilerplate advice from a stranger on the internet, but a personal financial plan developed with an advisor that works to understand you and your needs in order to draw a financial roadmap that accounts for your unique circumstances, goals, and values.

Why Generic Financial Benchmarks Are Not Ideal

While these can serve as general targets, they’re often based on a “perfect” scenario - a consistent career trajectory, no potential health issues, no major life disruptions, and a steady investment environment. However, we all know life rarely works that way.

These benchmarks ignore variables like career changes, health challenges, caregiving responsibilities for an older generation, regional cost of living differences, or starting a business. One size does NOT fit all: financial planning must be fluid and personalized.

Consider the following two individuals: Amy started working at 18, while Eric pursued higher education and started their career at 28. By the time Amy is 40, she will have over 20 years of earnings, savings, and investment growth. When Eric turns 40, it’s very possible he may only just now be gaining the financial flexibility to save after years of paying off student loan debt. Should both be expected to have three times their salary saved by 40? Clearly, the comparison is flawed as their individual circumstances influence their overall financial picture.

Now let’s consider how Eric might feel when comparing his situation to the benchmark. It’s a common response I have heard all too often: “I’m already so far behind I will never be able to retire. What is the point of saving?” This is a dangerous mindset to have as when people measure themselves against external benchmarks they become anxious. That anxiety can lead to poor decisions in the form of excessive risk-taking or avoiding financial conversations altogether.

Over the course of my career, I have worked with hundreds of different individuals and families. I’ve made financial plans where the household had $500k of savings at retirement and the plan showed success. I’ve also made plans for which the household had multiple millions at retirement and the plan did not show success. Your retirement picture and your financial plan is entirely dependent on you.

Financial Planning Is Just As Much Art As It Is Science

The true essence of financial planning is telling the story of you. It is not just about keeping up with a spreadsheet but also about defining what matters to you, then creating a plan that aligns your resources with your goals. That might mean prioritizing home ownership over early retirement. It might have to account for taking time off mid-career to travel or pursue a passion. It might mean focusing on debt reduction now, with the understanding that retirement savings will increase later in life.

At Comprehensive Wealth Management, we help clients identify and refine what their vision of living richly is. We build strategies that not only manage risk and optimize growth but also reflect your values. A good plan evolves as your life evolves. The only constant in the financial planning process is change. We find that having a plan makes people feel more in control because they understand the why behind their decisions. They feel confident that even if life throws them a curveball they can revisit and update the plan to keep them on their own personal track.

So, the next time you read a headline telling you where you “should” be by a certain age, pause and ask yourself: Is that destination even on my map? Because the most important financial plan is the one that fits your life and nobody else’s.

If you have questions about your financial map, Contact Us at (425) 778-6160 or click HERE schedule a meeting with a CWM advisor to discuss your situation.

All investments involve the risk of potential investment losses as well as the potential for investment gains. Past performance is no guarantee of future results. This communication is informational only and is not a solicitation for investment advice.