What is Financial Planning?
Like most people, you have hopes, dreams, and life goals for yourself and your family. These might include buying a home or business, saving for college education for your children, taking a dream vacation, reducing taxes, and retiring comfortably. Financial planning is the process of wisely managing your finances so that you can achieve your dreams and goals — while at the same time helping you negotiate the financial barriers that inevitably arise in every stage of life. It is a road map for achieving your goals and objectives. It helps to show you a clear picture of financial life i.e presently where you stand and where you want to reach. Financial Planning considers the following aspects:
Cash Flow / Contingency Planning
Cash flow / contingency planning helps you in maintaining steady cash flow in day-to-day life. It may also need to be altered depending upon your goals. Contingency planning helps you maintain adequate funds, so that it can be utilized in case of any emergency or uncertain event.
Insurance Planning
Insurance planning ensures that you are covered adequately considering your assets, liabilities and your future goals, so that the family does not suffer in case of an uncertain event of the bread earner of the family. It only looks after life insurance but also considers health insurance of the entire family.
Investment Planning
Investment planning helps you to show you the right pathway for achieving your goals by investing in the in the right instrument in the right way i.e. where you need to invest, when you need to invest and how much you need to invest.
Retirement Planning
Retirement planning entails that you happy and a tension free retirement. It considers your present expenses, inflation and investment returns; which helps you know the retirement corpus which you will require at the time of retirement.
Tax Planning
Taxation is taken into consideration while making investment plans for you. Tax planning helps you paying off less taxes and earning maximum tax free returns; and also takes care that you don't end up paying higher taxes unreasonably.
Estate Planning
Estate planning is creating a will / trust for all the assets (financial / immovable) you hold, that you wish to handover to your beloved ones after your death, so that no one else has the right to hold it in any case of law or order.
Financial Planning Process
Like most people, you have hopes, dreams, and life goals for yourself and your family. These might include buying a home or business, saving for college education for your children, taking a dream vacation, reducing taxes, and retiring comfortably. Financial planning is the process of wisely managing your finances so that you can achieve your dreams and goals — while at the same time helping you negotiate the financial barriers that inevitably arise in every stage of life. It is a road map for achieving your goals and objectives. It helps to show you a clear picture of financial life i.e presently where you stand and where you want to reach. Financial Planning considers the following aspects:
Cash Flow / Contingency Planning
Cash flow / contingency planning helps you in maintaining steady cash flow in day-to-day life. It may also need to be altered depending upon your goals. Contingency planning helps you maintain adequate funds, so that it can be utilized in case of any emergency or uncertain event.
Insurance Planning
Insurance planning ensures that you are covered adequately considering your assets, liabilities and your future goals, so that the family does not suffer in case of an uncertain event of the bread earner of the family. It only looks after life insurance but also considers health insurance of the entire family.
Investment Planning
Investment planning helps you to show you the right pathway for achieving your goals by investing in the in the right instrument in the right way i.e. where you need to invest, when you need to invest and how much you need to invest.
Retirement Planning
Retirement planning entails that you happy and a tension free retirement. It considers your present expenses, inflation and investment returns; which helps you know the retirement corpus which you will require at the time of retirement.
Tax Planning
Taxation is taken into consideration while making investment plans for you. Tax planning helps you paying off less taxes and earning maximum tax free returns; and also takes care that you don't end up paying higher taxes unreasonably.
Estate Planning
Estate planning is creating a will / trust for all the assets (financial / immovable) you hold, that you wish to handover to your beloved ones after your death, so that no one else has the right to hold it in any case of law or order.
Financial Planning Process
1. Establishing and defining the client-Planner relationship
We try to build a healthy and long lasting relationship with the client. It also helps us to understand them emotionally and financially.
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2. Gathering client data, including goals
We ask for
information about your financial situation. We
mutually define your personal and financial goals, understand your time
frame for results and discuss, if relevant, how you feel about risk
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3. Analyzing and evaluating your financial status
At this stage we analyze
your information to assess your current situation and determine what
you must do to meet your goals. Depending on what services you may have
asked for, this could include analyzing your assets, liabilities and
cash flow, current insurance coverage, investments or tax strategies.
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4. Developing and presenting Financial Planning recommendations and/or alternatives
We offer
Financial Planning recommendations that address your goals, based on the
information provided by you. Then we go over the
recommendations with you to help you understand them so that you make
informed decision.
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5. Implementing the Financial Planning recommendations
You should agree on
how the recommendations will be carried out. The Planner may carry out
the recommendations or serve as your 'coach', coordinating the whole
process with you and other professionals such as solicitors or
stockbrokers.
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6. Monitoring the Financial Planning recommendations
You should agree on
who will monitor your progress towards your goals. If we are
charge of the process, we report to you personally to review
your situation and adjust the recommendations, if needed, as your life
changes.
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Financial Planning Helps You...
- Set realistic and personal goals.
- Assess your current financial health by examining your assets, liabilities, income, insurance, taxes, investments and estate plan.
- Develop a realistic, comprehensive plan to meet your financial goals by addressing financial weaknesses and building on financial strengths.
- Put your plan into action and monitor its progress.
- Stay on track to meet changing goals, changing personal circumstances, changing stages of your life, changing products, markets, and tax laws.
