Financial Planning Company – Blue Island, Illinois
The most common misunderstanding about financial planning is that it is all about investing. Needless to say investing is a part of financial planning as one should make sensible investment choices, but there's a whole lot more to it. Financial Planning is the method of developing strategies to help you take care of your financial affairs effectively and meet financial goals. It is a holistic method that helps you make better decisions by turning vague targets into concrete strategies, offering a road map for action. Having a financial plan - and sticking to it - provides you with a real edge when it comes to planning your retirement as well as other long-term financial and life goals.
Financial Planning For the Future - Blue Island, Illinois
Often individuals say that they're saving for retirement or saving for their child's schooling. They seem like specific goals, but they're really quite vague. Financial planning can find the key numbers - How much must you save and by when? If you're not sure whether you will have enough to live on post-retirement, it can create stress and 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. When your situation changes from single to married, from renting to buying a home, having kids or caring for aging parents, financial planning can help you make better-informed choices.
Certified Financial Planner - Blue Island, Illinois
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 educated 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 reassurance of knowing that a professional has reviewed your needs and that you are doing something beneficial for your financial predicament. Financial planning provides a road map with an action plan that - if followed diligently - will take you where you want to go in financial terms.
Missing the big picture is a problem seen all too often with clients. If you're focused on the near-term rather than on much wider long-term implications, then you could end up impairing the build up of wealth. For instance, counting on pre-tax returns for financial decision-making rather than understanding that different types of investments are subject to differing tax rates might be damaging for your financial well-being. A Certified Financial Planner will make you understand that the kind of investment you choose affects the after-tax return. Remember, it isn't about the returns an investment creates; it's about the net income that comes in your hand. A lot of you fail to realize the delayed tax implications on the foreseeable future nest eggs. It is pre-tax returns you're concerned about 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 that is awaiting you.
Impact of Financial Planning - Blue Island, Illinois
The influence of sound financial planning on over-all financial well-being is multifold and multidimensional. In fact if you think of your financial life as a flywheel, with financial planning as the middle, each of the different elements of your financial life - like purchasing a house, saving for retirement, planning for children's education, owning your favorite luxury car, debt management and so forth - are spokes on the wheel. Once you begin to make progress along every one of those spokes, you'll begin to gain traction all round, and you will see your ability to recognize your financial goals really begin to take off. Further, we all know that one of the greatest causes of stress and conflict in relationships is cash. Individuals and families who've mapped out a financial path appreciate greater well-being, fret less, sleep better and have strong relationships.
Financial Planning can be a life process. Ideally, you need to meet a financial planner as early as possible in your life and set up a long-term relationship. Then meet on a regular basis to review the Financial Plan to make sure you are on track.
For more info, please don't hesitate to contact us at any time and we'll be glad to help you!
