Financial Planning Services – Oak Park
The most popular misconception regarding financial planning is that it is all about investing. Of course investing is a part of financial planning as one should make intelligent investment choices, but there is a lot more to it. Financial Planning is the process of creating strategies to help you manage your financial affairs effectively and meet financial targets. It is a holistic process that can help you make smarter decisions by turning vague targets into concrete strategies, supplying a guide for action. Having a financial plan - and sticking with it - gives you a true advantage with regards to planning your retirement as well as other long-term financial and life goals.
Financial Planning For the Future - Oak Park
Often people say that they are saving for retirement or saving for their child's education. They seem like distinct goals, but they're really quite vague. Financial planning can discover the important numbers - How much do you need to save and by when? If you are not sure whether or not you will 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 provides peace of mind and assurance. When your situation changes from single to married, from renting to buying a home, having children or caring for aging mothers and fathers, financial planning will help you make better-informed choices.
Certified Financial Planners - Oak Park
Most people do not have unlimited resources. In such a situation, Financial Planning through a Certified Financial Planner can offer advice on how best to make knowledgeable choices and prudently use the limited resources for reaching 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 and every year to achieve these targets, a Certified Financial Planner will help you choose among your priorities. Whatever you decide, you will have the reassurance of knowing that a professional has reviewed your situation and that you're doing something positive for your financial situation. Financial planning supplies a map with an action plan that - if followed diligently - will take you where you want to go fiscally.
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 end 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 susceptible to differing tax rates could be harmful 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 comes down to the net income that comes in your hand. Many of you fail to realize the delayed tax implications on the foreseeable future nest eggs. It's pre-tax returns you are worried about and you fail to realize that there will be a drag on the ultimate amount of money you'll have because of the tax liability that's awaiting you.
Impact of Financial Planning - Oak Park
The impact of sound financial planning on overall 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 various components of your financial life - like buying a house, saving for retirement, planning for children's education, owning your dream car, debt management etc - are spokes to the wheel. Once you begin to make progress along every one of those spokes, you are going to begin to gain traction overall, and you'll 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 cash. Individuals and families who have mapped out a financial path enjoy greater well-being, worry less, sleep better and have vibrant relationships.
Financial Planning is really a life process. Ideally, you should meet a financial planner as soon as possible in your lifetime and generate a long-term relationship. Then meet on a regular basis to review the Financial Plan to make sure you're on track.
For more details, please feel free to contact us at any time and we'll be glad to help you!
