Health and Wealth: A Guide to Comprehensive Planning
Putting health at the heart of your wealth management experience.
Where Health and Wealth Intersect
Wealth management is often seen through the lens of numbers: savings accounts, investment portfolios and monthly statements that measure success over time in cold, hard data. But true wealth extends far beyond what shows up on a balance sheet – it’s about building a life that reflects your priorities, supports your well-being and allows you to achieve your goals.
The life you’re building is only as strong as the health that supports it – and recognizing that reality changes how wealth planning should look. Health and wealth are deeply intertwined, each shaping the other in ways that go far beyond medical bills or insurance premiums:
- Health can shape financial decisions. Unexpected illnesses can alter your career path or increase healthcare costs – and ongoing financial stress can increase the risk of depression, anxiety and other mental health issues, creating a challenging cycle to break.1
- Financial strength can support your health. Stable finances can create room for preventive care, a balanced lifestyle and meaningful experiences that contribute to longevity and well-being. In fact, just an additional $5,000 per year can give an individual a measurably longer and healthier life.2
Health and wealth can reinforce one another when managed thoughtfully, but when one weakens, the other can follow. That’s why consistency in both financial and health habits is key to building the life you want today – and in the decades to come.
Let’s explore how health and wealth work together – and the practical steps you can take, alongside your Baird Financial Advisor team, to strengthen both at every stage of life.
Wealth is the fuel that allows you to respond to challenges, fulfill your purpose and live with dignity.
Why Today's Environment Raises the Stakes
Integrating health into your wealth management process may be more important today than ever, due to a trio of factors:
Rising Healthcare Costs
In 2023, Americans spent an average of $14,750 on healthcare. Five years ago, the average was $10,998 – ten years ago, it was $9,038.3
Longer Life Expectancies
From 1993 to 2023, the average life expectancy in the U.S. increased from 75.5 to 78.4.4
Rising Uncertainty
Recent years have been marked by a global pandemic, rising inflation and widespread geopolitical conflict – underscoring just how unpredictable the world can be.
In other words, healthcare costs are going up – and you’re likely going to have to pay them for more years than your parents or grandparents had to. On top of that, shifting economic conditions could make doing so more difficult at any moment.
The good news? Being intentional about your healthcare costs now can set you up for a longer, healthier and more fulfilling life than members of previous generations could expect. That means more time with loved ones, more time exploring the world and more time simply enjoying the life you’ve worked so hard to achieve.
When health is absent, wisdom cannot reveal itself, art cannot become manifest, strength cannot be exerted, wealth is useless and reason is powerless.
- Herophilus, Ancient Greek Physician
What It Means To Pursue Lifelong Health and Wealth Planning
When it comes to healthcare planning, the decisions you make early on will echo later. That’s why wellness planning at each stage takes on a unique meaning and new purpose for your future:
...the way you manage your health shapes your earning power and resilience. If you focus on building positive lifestyle habits like daily activity, good nutrition and preventive care, you can decrease the chances of having your career derailed by health issues. And if you invest early in an HSA, you can create financial flexibility for future healthcare needs.
...your own well-being often intersects with caregiving responsibilities. If you’re caring for children or elderly parents, evaluating that impact on your own health can help create stronger stress management habits. Meanwhile, investing early in long-term care and exploring your family’s health history can help protect your personal health.
...the way you manage your health influences your ability to be independent and leave a lasting legacy. By focusing on intentional physical activity, you can help prevent the need for assistance on daily tasks. And by keeping your estate plan up to date, you can help set your children and grandchildren up for their own success.
By viewing health and wealth planning as a lifelong practice rather than a one-time task, you can build a strategy that adapts and grows with you.
Ready to put health at the center of your plan?
We’d love to talk about building a wealth plan that supports your well-being at every stage of life.
