Financial Planning – Island Lake, IL
The most popular misconception about financial planning is that it is centered on investing. Needless to say investing is a part of financial planning as you should make intelligent investment decisions, 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 targets. It's a holistic process that helps you make smarter decisions by turning vague targets into concrete plans, supplying a map for action. Having a financial plan - and sticking with it - gives you a true edge when it comes to planning your retirement as well as other long-term financial and life goals.
Saving For Retirement and Your Child's Education - Island Lake, IL
Often folks say that they're saving for retirement or saving for their children's schooling. They could be seen as specific goals, however they are really quite vague. Financial planning can find the important numbers - How much should you save and by when? If you aren't 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 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 kids or caring for aging parents, financial planning will help you make better-informed decisions.
Certified Financial Planners - Island Lake, IL
Most people don't have unlimited resources. In such a situation, Financial Planning through a Certified Financial Planner can offer advice on how best to make informed options 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 targets, but you only have Rs. 1,000 extra each 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 an expert has reviewed your needs and that you are doing something beneficial for your financial predicament. Financial planning offers a 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 all too often with clients. If you're focused on the near-term rather than on broader long-term implications, then you might end up impairing the accumulation of wealth. For example, counting on pre-tax returns for financial decision-making rather than understanding that different types of investments are subject to differing tax rates could be damaging for your financial health. A Certified Financial Planner will make you understand that the type of investment you choose affects the after-tax return. Keep in mind, it isn't about the returns an investment creates; it comes down to 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 - Island Lake, IL
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 center, each one of the various components of your financial life - like buying a home, saving for retirement, planning for children's education, owning your ideal car, debt management and so on - are spokes to the wheel. Once you start to make progress along every one of those spokes, you are going to begin to gain traction overall, and you will see your ability to understand your financial targets really start to take off. Additionally, we all know that one of the greatest causes of stress and conflict in relationships is money. Individuals and families who have planned out a financial path enjoy greater well-being, worry less, sleep much better and have vibrant relationships.
Financial Planning is a life process. Ideally, you should meet a financial planner as soon as possible in your life and generate a long-term relationship. Then meet on a regular basis to review the Financial Plan to make sure you are on track.
For more information, please don't hesitate to contact us at any time and we'll be glad to help you!