The world as we know it is changing. People are living longer than ever before. More babies born today are living until 100 1 – and with longer lives, usually comes bigger dreams.

With this shift, living and retirement standards could be poised for a major transformation. It seems as if we’ re starting to say goodbye to the traditional three-stages of life –‘ study, work, retire’.

The impact of increasing life expectancy on retirement planning is anticipated to be unprecedented and profound. For advisers, this is where a robust relationship with financial wellbeing could come in handy.

Today, advisers have the unique opportunity to guide their clients through this new terrain – preparing them for fruitful 100-year-long lives.

With a focus on financial wellbeing, advisers can not only help clients secure the financial resources needed to sustain longevity, but also the peace of mind that comes from knowing their future is secure – all while enjoying what they have today.

This article will explain how advisers can adapt to the future of financial wellbeing with both themselves, and their clients, in mind.

What is financial wellbeing, anyway?

Financial wellbeing revolves around feeling confident and in control of your finances both now, and in the years to come. It involves striking a balance between joyfully spending in the present, while setting long-term savings goals for future financial security.

An example could be a young client who budgets for a weekly takeaway as a‘ treat’, but has a separate savings

account for when they decide to leave home. Or the single mum who accounts financially in her weekly budget the number of nappies she needs daily, while saving to set up her own business. In their financial plans, they both consider and account for the today, while aspiring for tomorrow – just in very different ways.

For advisers, mastering the concept of financial wellbeing could help to empower clients to live well in the now, while confidently planning for future contentment.

Financial wellbeing in a digital-first world

In this rapidly changing environment, digital advancements are reshaping how financial advice is consumed across generations. Advisers are tasked with more than just traditional financial planning – with the need to adapt to digital influences.

Technology has the potential to reshape how we manage money, and being financially‘ well’ is likely to evolve to fit individual needs. For some, it means using digital tools to maintain an emergency fund for unexpected expenses, all while enjoying occasional treats( like‘ pizza Fridays’, or going to the match). For others, it involves tracking savings goals for holidays and retirement with tech-driven solutions, like money round-ups or savings’ forecasts.

AI-driven financial planning methods could come in the form of digital tools that identify common behaviours in a client’ s spending habits. Budgeting plans and savings strategies could be created in an instant – with personalised

48 | The Adviser