Financial Planning-Basics Steps To Getting Started

Financial planning comprises of two main elements -The financial strategy (or plan), and the investment strategy. The financial strategy looks at wealth creation, debt management and retirement planning, while the investment strategy examines asset allocation and investment selection.Regardless of the scope of the Financial Plan the process includes six basic steps. These are illustrated below.1. Gather all the factsYou need to put together an accurate picture of your financial situation including the assessment of your investment and risk profile, which can range from conservative to aggressive. Work out your monthly cash flow.2....

Read more »

Turbocharged Financial Planning

Financial planning is an ongoing process individuals and businesses should implement by organizing all aspects of their finances. This will assist in identifying financial goals, providing a comprehensive written Financial Plan, and implementing the plan in accordance with the objectives that are most important to you.Comprehensive financial planning should involve these areas and these specific questions.ESTATE PLANNING*How can you accumulate a sizable estate to pass on as a family legacy?*How will your hard-earned assets be distributed after your death?*How can you minimize federal estate taxes and state inheritance taxes?*How can...

Read more »

Investing Without Financial Plan and Goals

In times of plenty, we seek safe haven for surplus cash that will generate passive income for the future. In times of need, some of us take desperate steps to increase our money supply to meet the demands of the day. Both actions necessitate investment decisions, decisions that many of us are oftentimes not qualified nor experienced to make wisely without help. Thus, begs the need to know the answers to the four "wives" (why, when, where, who) and one "husband" (how) questions with respect to investing and financial planning. This article will discuss the two most important pre-requisites to making wise investments.As a licenced...

Read more »

The 3 Concerns of a Financial Plan

Step by step planning towards achieving financial goals forms the very essence of creating an efficient and effective financial plan. Defining a brief outline for a financial plan requires addressing certain concerns like Achieving flexibility, liquidity and tax minimization Achieving Flexibility. Developing or creating a financial plan requires deep understanding of your personal and financial goals. Financial goals are situation specific and may vary individual to individual. The goals pertaining to an individual may change or vary relative to prevailing situations in your life. For example, events such as births, deaths, illnesses, and marriage can affect your goals profoundly. Other factors like change in employment, inflation, investments and results, and miscellaneous...

Read more »

Benefits Of Financial Planning

Most of us are aware of the term 'Financial Planning' but only a few of us are able to understand the real meaning of the term. Financial planning actually involves a formal process which includes constructing the perfect way for financial goals and objectives which takes into account the assets of the business or the individual, liabilities and the credit standing as well. Financial planning is essential for both businesses and individuals and it is concerned with the aspect of taking control of the financial accounts as well as taking the advice of experts or of the counsel regarding matters of real estate so that the right decision regarding insurance policies and evaluation of stock options is taken.SignificanceAs planning is performed both for the individual and for the...

Read more »