Most of us wish we could stretch our money further than we do. Too often things come up that steer us away from the budget we planned. A few social obligations arise during the week and suddenly monthly entertainment expenses have doubled; which increases food costs due to eating out with friends.

Not to mention the additional costs of failing to prep meals for the week because you were out late.

Financial planning isn’t just about hiring a financial planner to set your financial goals and hit a target. This process happens every day; almost every decision from getting up in the morning and going to work or buying your morning coffee involves finances.

Life isn’t just about enjoying every moment, it’s about preparing for what’s ahead, and getting stronger in the process. This is exactly why financial planning exists.

Even though the US economy has improved in recent times and unemployment has now fallen to around 5% after a high of double figures in the midst of the recession there is still the prospect of your losing your job. You must be prepared because if you suddenly have no income coming in you are in real trouble. It can happen as companies downsize or streamline in the face of competition.

Some businesses simply find themselves unable to trade profitably. While unemployment statistics currently suggest that if you lose your job there will be other opportunities out there you should still be prepared in case there is an interruption in your monthly paycheck.

If you are relatively young and in good health, thinking about someone one day inheriting your money might seem like a very distant future. Similarly, it almost might not seem like a useful effort, if you presently don’t have much money. For both situations, I’ll say this: wealth doesn’t just happen.