Financial Planning Company – Burbank
The most popular misconception about financial planning is that it is all about investing. Needless to say investing is a part of financial planning as you should make sensible investment decisions, but there's so much more to it. Financial Planning is the process of developing strategies to help you manage your financial affairs effectively and meet financial goals. It is a holistic method that can help you make better decisions by turning vague targets into concrete strategies, providing a guide for action. Having a financial plan - and sticking with it - will give you a real edge with regards to planning your retirement and also other long-term financial and life goals.
Retirement Planning and Funding Your Child's Education - Burbank
Often individuals say that they're saving for retirement or saving for their children's education. They sound like precise goals, but they're really quite vague. Financial planning can discover the key numbers - How much must you save and by when? If you aren't sure whether you will have enough to live on post-retirement, it can create stress and anxiety. But once you know what you have to do and that you are following the financial plan, it offers peace of mind and confidence. When your situation changes from single to married, from renting to buying a house, having kids or caring for aging parents, financial planning can help you make better-informed decisions.
Certified Financial Planner - Burbank
Many people don't have unlimited resources. In such a scenario, Financial Planning through a Certified Financial Planner can offer advice on how best to make informed choices and prudently use the limited resources for attaining financial freedom. Say, if you have identified retirement and funding your child's education as your financial goals, but you only have Rs. 1,000 extra every year to achieve these targets, a Certified Financial Planner can help you choose among your priorities. Whatever you decide, you will have the peace of mind of knowing that an expert has reviewed your situation and that you're doing something positive for your financial predicament. Financial planning offers a road map with an action plan that - if followed faithfully - will take you where you want to go in financial terms.
Missing the big picture is an issue seen too often with clients. If you are focused on the near-term rather than on broader long-term implications, then you might wind up impairing the build up of wealth. For instance, counting on pre-tax returns for financial decision-making instead of knowing that different types of investments are subject to differing tax rates could be damaging for your financial health. A Certified Financial Planner can make you understand that the type of investment you choose impacts the after-tax return. Keep in mind, it's not about the returns an investment generates; it's about the net income that comes in your hands. Lots of you fail to realize the delayed tax implications on the potential nest eggs. It's pre-tax returns you're concerned with and you fail to realize that there will be a drag on the ultimate amount of money you'll have because of the tax liability that is waiting for you.
Influence of Financial Planning - Burbank
The influence of sound financial planning on over-all financial well-being is multifold and multidimensional. Actually if you think of your financial life as a flywheel, with financial planning as the center, each of the different elements of your financial life - like buying a home, saving for retirement, planning for children's education, owning your dream car, debt management and so on - are spokes to the wheel. Once you begin to make progress along each one of those spokes, you'll begin to gain traction overall, and you will see your ability to recognize your financial goals really start to take off. Further, we all know that one of the greatest causes of stress and conflict in relationships is money. Individuals and families who've mapped out a financial path enjoy greater well-being, worry less, sleep much better and have strong relationships.
Financial Planning is really a life process. Ideally, you need to meet a financial planner as early as possible in your lifetime and establish a long-term relationship. Then meet regularly to review the Financial Plan to make sure you're on the right track.
For more info, please don't hesitate to contact us at any time and we'll be happy to help you!
