Financial Planning Company – Addison
The most prevalent misconception about 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 is a lot more to it. Financial Planning is the process of creating strategies to help you control your financial affairs efficiently and meet financial goals. It is a holistic process that helps you make better decisions by turning vague targets into concrete plans, providing a map for action. Having a financial plan - and sticking to it - provides you with a real edge with regards to planning your retirement as well as other long-term financial and life goals.
Saving For Retirement and Your Child's Education - Addison
Often folks say that they are saving for retirement or saving for their child's education. They could be seen as distinct goals, however they are really quite vague. Financial planning can find the key numbers - How much do you need to save and by when? If you are not sure whether or not you'll 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 provides peace of mind and confidence. Whenever your situation changes from single to married, from renting to buying a home, having children or caring for aging parents, financial planning will help you make better-informed choices.
Certified Financial Planner - Addison
Most people don't have limitless resources. In such a situation, Financial Planning through a Certified Financial Planner can provide 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 each and every year to achieve these targets, a Certified Financial Planner will help you select among your priorities. Whatever you decide, you'll have the peace of mind of knowing that a specialist has reviewed your situation and that you are doing something positive for your financial predicament. Financial planning provides a map with an action plan that - if followed faithfully - will take you where you want to go fiscally.
Missing the big picture is an issue seen all 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 example, depending on pre-tax returns for financial decision-making as opposed to 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 kind of investment you choose affects the after-tax return. Keep in mind, it's not about the returns an investment generates; it comes down to the net income that comes in your hands. Many of you do not realize the delayed tax implications on the foreseeable future nest eggs. It is pre-tax returns you are worried about and you do not realize that there will be a drag on the ultimate amount of cash you'll have because of the tax liability that's waiting for you.
Impact of Financial Planning - Addison
The impact 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 center, each of the various aspects of your financial life - like purchasing 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 start to make progress along every one of those spokes, you'll begin to gain traction all round, and you will see your ability to realize your financial goals really start to take off. Additionally, everyone knows that one of the greatest sources of stress and conflict in relationships is cash. Individuals and also families who've planned out a financial path appreciate greater well-being, worry less, sleep much better and have vibrant relationships.
Financial Planning is a life process. Essentially, you should meet a financial planner as early as possible in your life and set up a long-term relationship. Then meet frequently to review the Financial Plan to make sure you are on track.
For more details, please feel free to contact us at any time and we'll be happy to help you!
