Kitces & Carl Ep 48: Why Goals-Based Planning Doesn’t Work And The Possibilities-Based Alternative

[crh_]

If defining a goal is a guess, how is this any different than 'guessing' what an asset class will return over the next 10-20 years? Also, an HSA is a great example of how a goals-based framework can be more intuitive to a client as compared to explaining 'mean-variance optimization'. I do respect and appreciate this video - it is always valuable to get the counter point.

[blakejones]

I think maybe a good term is Capabilities Based Planning instead of Goals Based Planning.

[BillWinterberg]

The reason to achieve a goal is to be free from it.