Financial Planning Services – Downers Grove
The most popular misunderstanding about financial planning is that it is centered on investing. Needless to say investing is a part of financial planning as one should make intelligent investment choices, but there is so much more to it. Financial Planning is the process of creating strategies to help you manage your financial affairs efficiently and meet financial targets. It's a holistic method that helps you make better decisions by turning vague targets into concrete strategies, supplying a road map for action. Having a financial plan - and sticking with it - provides you with 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 - Downers Grove
Frequently folks say that they are saving for retirement or saving for their child's education. They seem like distinct goals, however they are really quite vague. Financial planning can discover the important numbers - How much do you need to save and also by when? If you aren't sure whether or not you will have enough to live on post-retirement, it can create stress and anxiety. But when you know what you should do and that you are following the financial plan, it gives you peace of mind and assurance. Whenever your situation changes from single to married, from renting to buying a home, having children or caring for aging parents, financial planning can help you make better-informed choices.
Certified Financial Planner - Downers Grove
Most people do not have unlimited resources. In such a scenario, Financial Planning through a Certified Financial Planner can provide advice on how best to make knowledgeable choices and prudently use the limited resources for reaching financial freedom. Say, if you have identified retirement and funding your son or daughter's education as your financial targets, but you only have Rs. 1,000 extra each and every year to achieve these targets, a Certified Financial Planner can help you choose among your priorities. Whatever you decide, you will have the reassurance of knowing that an expert has reviewed your situation and that you're doing something positive for your financial situation. Financial planning provides a map with an action plan that - if followed faithfully - will take you where you want to go financially.
Missing the big picture is a problem seen too often with clients. If you are centered on the near-term rather than on broader long-term implications, then you could wind up impairing the build up of wealth. For instance, depending on pre-tax returns for financial decision-making as opposed to understanding that different types of investments are subject to differing tax rates could be harmful for your financial well-being. A Certified Financial Planner will make you understand that the type of investment you choose affects the after-tax return. Remember, it isn't about the returns an investment produces; it comes down to the net income that comes in your hand. Many of you do not realize the delayed tax implications on the potential nest eggs. It is pre-tax returns you are concerned about and you do not realize that there will be a drag on the ultimate amount of cash you will have because of the tax liability which is waiting for you.
Impact of Financial Planning - Downers Grove
The impact of sound financial planning on overall financial well-being is multifold and multidimensional. In fact if you think of your financial life as a flywheel, with financial planning as the center, each of the different components of your financial life - like buying a house, saving for retirement, planning for your children's education, owning your ideal car, debt management and so forth - are spokes to the wheel. Once you start to make progress along each one of those spokes, you'll begin to gain traction all round, and you will see your ability to understand your financial targets really begin to take off. Additionally, everyone knows that one of the greatest sources of stress and conflict in relationships is cash. Individuals and families who have mapped out a financial path appreciate greater well-being, fret less, sleep much better and have vibrant relationships.
Financial Planning is really a life process. Ideally, you should meet a financial planner as early as possible in your life and establish a long-term relationship. Then meet frequently to review the Financial Plan to make sure you're on the right track.
For more information, please feel free to contact us at any time and we'll be glad to help you!
