Personal Financial Planning is all about planning your money — how you manage your money, how you spend your money, how you grow your money, how you maximise the use of your money to achieve your goals in life. The purpose of financial planning is to achieve financial freedom for some people or to have a early retirement.
The process of personal financial planning involves six steps. They are defining your financial goals, developing strategies and plans to achieve your goals, implementing plans and strategies, monitoring the progress, evaluating the results and ultimately revising the plan if necessary.
It is takes careful planning and deep consideration to do a proper financial planning. Knowing what is your financial goals, you have to work out how you are going to achieve that in a period of time according to your desire and income. For anyone to have a proper financial planning, the basic thing to do first is to have a balance sheet, showing clearly the person’s income and expenditure. It is important as this is the only source where the person can analyse his financial status — for example, whether he/she has excess money to get some investments products, insurance, savings, buy house or properties and so on.
Financial planning is not fixed. Every year or so, a person can review their plans. For example, if a person wants to buy a car, he needs to think of whether he has excess savings for car expenses such as car insurance, car loans, car maintenance, car parks fees, petrol cost and so on. Buying a car is not a one time payment. The person needs to think of the subsequent expenses too.
Other consideration of financial planning is investment products such as insurance, unit trusts, stocks and shares and so on. In addition, tax planning, estate planning should be taken into consideration too. There are just too many things about personal financial planning. To read about more information about money, Nations Finance has various articles for your reference. There are articles on credit cards, loans, mortgages, insurance and banking. I like the banking articles. These are How Safe Is Your Internet Bank Account? and
Internet Bank Accounts – The Benefits and Drawbacks. Nations Finance is your personal financial planning companion!
The process of personal financial planning involves six steps. They are defining your financial goals, developing strategies and plans to achieve your goals, implementing plans and strategies, monitoring the progress, evaluating the results and ultimately revising the plan if necessary.
It is takes careful planning and deep consideration to do a proper financial planning. Knowing what is your financial goals, you have to work out how you are going to achieve that in a period of time according to your desire and income. For anyone to have a proper financial planning, the basic thing to do first is to have a balance sheet, showing clearly the person’s income and expenditure. It is important as this is the only source where the person can analyse his financial status — for example, whether he/she has excess money to get some investments products, insurance, savings, buy house or properties and so on.
Financial planning is not fixed. Every year or so, a person can review their plans. For example, if a person wants to buy a car, he needs to think of whether he has excess savings for car expenses such as car insurance, car loans, car maintenance, car parks fees, petrol cost and so on. Buying a car is not a one time payment. The person needs to think of the subsequent expenses too.
Other consideration of financial planning is investment products such as insurance, unit trusts, stocks and shares and so on. In addition, tax planning, estate planning should be taken into consideration too. There are just too many things about personal financial planning. To read about more information about money, Nations Finance has various articles for your reference. There are articles on credit cards, loans, mortgages, insurance and banking. I like the banking articles. These are How Safe Is Your Internet Bank Account? and
Internet Bank Accounts – The Benefits and Drawbacks. Nations Finance is your personal financial planning companion!
