Financial Planning – Bellwood, Illinois
The most common misconception regarding financial planning is that it is all about investing. Of course investing is a part of financial planning as you should make wise investment choices, but there's a lot more to it. Financial Planning is the process of creating strategies to help you control your financial affairs effectively and meet financial targets. It is a holistic method that helps you make smarter decisions by turning vague goals into concrete plans, providing a guide for action. Having a financial plan - and sticking with it - will give you a real advantage when it comes to planning your retirement and also other long-term financial and life goals.
Retirement Planning/Children's Education Funds - Bellwood, Illinois
Frequently individuals say that they're saving for retirement or saving for their child's schooling. They sound like specific goals, but they're really quite vague. Financial planning can discover the key numbers - How much should you save and by when? If you are not sure whether or not you'll have enough to live on post-retirement, it can create anxiety. But when you know what you have to 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 mothers and fathers, financial planning will help you make better-informed choices.
Certified Financial Planners - Bellwood, Illinois
Many people do not have unlimited resources. In such a situation, Financial Planning through a Certified Financial Planner can provide advice on how best to make educated options and prudently use the limited resources for reaching financial freedom. Say, if you have identified retirement and funding your child's education as your financial targets, but you only have Rs. 1,000 extra every year to achieve these goals, a Certified Financial Planner will help you choose among your priorities. Whatever you decide, you'll have the secure feeling of knowing that a professional has reviewed your situation and that you are doing something beneficial for your financial predicament. Financial planning supplies a road map with an action plan that - if implemented diligently - will take you where you want to go fiscally.
Missing the big picture is an issue seen too often with clients. If you are centered on the near-term rather than on broader long-term implications, then you might end up impairing the build up of wealth. For example, depending on pre-tax returns for financial decision-making rather than understanding that different types of investments are susceptible to differing tax rates might be damaging for your financial well-being. A Certified Financial Planner can make you realize that the type of investment you choose impacts the after-tax return. Keep in mind, it isn't about the returns an investment creates; it's about the net income that comes in your hand. Lots of you fail to realize the delayed tax implications on the foreseeable future nest eggs. It's pre-tax returns you are concerned with and you fail to 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 - Bellwood, Illinois
The influence of sound financial planning on over-all financial well-being is multifold and also multidimensional. Actually if you think of your financial life as a flywheel, with financial planning as the middle, each one of the different aspects of your financial life - like buying a home, saving for retirement, planning for your children's education, owning your favorite luxury car, debt management etc - are spokes on the wheel. Once you begin to make progress along each one of those spokes, you'll begin to gain traction all round, and you'll see your ability to understand your financial targets really begin to take off. Further, we all know that one of the greatest sources of stress and conflict in relationships is cash. Individuals and also families who have mapped out a financial path appreciate greater well-being, fret less, sleep much better and have strong relationships.
Financial Planning is a life process. Essentially, you should meet a financial planner as early as possible in your lifetime and set up a long-term relationship. Then meet regularly to review the Financial Plan to make sure you are on the right track.
For more details, please don't hesitate to contact us at any time and we'll be happy to help you!
