Financial Planning Company – Elmhurst
The most prevalent misunderstanding about financial planning is that it is centered on investing. Of course investing is a part of financial planning as one should make intelligent investment choices, but there's a lot 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 process that can help you make better decisions by turning vague objectives into concrete strategies, offering a road map for action. Having a financial plan - and sticking with it - will give 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 - Elmhurst
Often folks say that they are saving for retirement or saving for their child's schooling. They sound like distinct goals, however they are 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'll have enough to live on post-retirement, it can create anxiety. But when you know what you should do and that you are following the financial plan, it gives you peace of mind and self-assurance. When 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 - Elmhurst
Most 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 informed choices and prudently use the restricted 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 year to achieve these objectives, a Certified Financial Planner will help you choose among your priorities. Whatever you decide, you'll have the reassurance of knowing that a professional has reviewed your circumstances and that you're doing something positive for your financial predicament. Financial planning offers a map with an action plan that - if followed diligently - will take you where you want to go financially.
Missing the big picture is a problem seen too frequently with clients. If you're centered on the near-term rather than on much wider long-term implications, then you may wind up impairing the build up of wealth. For example, depending on pre-tax returns for financial decision-making rather than knowing that various kinds of investments are subject to differing tax rates might be damaging for your financial well-being. A Certified Financial Planner will make you realize that the kind of investment you choose impacts the after-tax return. Keep in mind, it isn't about the returns an investment produces; 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.
Influence of Financial Planning - Elmhurst
The impact of sound financial planning on overall 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 different components of your financial life - like purchasing a house, saving for retirement, planning for your children's education, owning your dream car, debt management etc - are spokes to the wheel. Once you start to make progress along every one of those spokes, you will start to gain traction overall, and you'll see your ability to recognize your financial goals really begin to take off. Further, we all know that one of the greatest sources of stress and conflict in relationships is money. Individuals and also families who have mapped out a financial path enjoy greater well-being, fret less, sleep much better and have strong relationships.
Financial Planning is a life process. Preferably, you need to meet a financial planner as soon as possible in your life and establish a long-term relationship. Then meet on a regular basis to review the Financial Plan to make sure you're on the right track.
For more details, please do not hesitate to contact us at any time and we'll be glad to help you!
