Financial Planning – Burbank
The most common misunderstanding regarding financial planning is that it is all about investing. Needless to say investing is a part of financial planning as you should make smart investment decisions, but there's much more to it. Financial Planning is the process of creating strategies to help you take care of your financial affairs effectively and meet financial goals. It is a holistic method that helps you make smarter decisions by turning vague objectives into concrete strategies, supplying a road map for action. Having a financial plan - and sticking to it - gives you a real edge when it comes to planning your retirement and also other long-term financial and life goals.
Retirement Planning and Funding Your Child's Education - Burbank
Often folks say that they are saving for retirement or saving for their children's schooling. They could be seen as precise goals, but they're really quite vague. Financial planning can discover the key numbers - How much do you need to save and also 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 assurance. When your situation changes from single to married, from renting to buying a house, having children or caring for aging parents, financial planning will help you make better-informed decisions.
Certified Financial Planners - Burbank
Most people don't 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 attaining financial freedom. Say, if you have identified retirement and funding your son or daughter's education as your financial goals, but you only have Rs. 1,000 extra each and every year to achieve these objectives, a Certified Financial Planner will help you select 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 beneficial for your financial situation. Financial planning offers a 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 a problem seen too frequently with clients. If you are focused on the near-term rather than on much wider long-term implications, then you may end up impairing the build up of wealth. For instance, depending on pre-tax returns for financial decision-making instead of knowing 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 type of investment you choose has an effect on the after-tax return. Remember, it isn't about the returns an investment produces; it's about the net income that comes in your hand. Lots of you do not realize the delayed tax implications on the foreseeable future nest eggs. It is pre-tax returns you are concerned with 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 that is awaiting 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 heart, each one of the different aspects of your financial life - like buying a home, saving for retirement, planning for children's education, owning your favorite luxury car, debt management etc - are spokes on the wheel. Once you start to make progress along every one of those spokes, you'll start to gain traction all round, and you'll see your ability to understand your financial goals really start to take off. Further, we all know that one of the greatest sources of stress and conflict in relationships is money. Individuals and families who've planned out a financial path enjoy greater well-being, fret less, sleep better and have vibrant relationships.
Financial Planning can be a life process. Essentially, you should meet a financial planner as early as possible in your lifetime and begin a long-term relationship. Then meet regularly to review the Financial Plan to make sure you're on track.
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