December 28, 2014
Why is a financial plan so important? Where do you start? When?
Why is a financial plan so important? Where do you start? When?
A financial plan is important because it allows you to have much more control over your money and more control over your money means more control over your life. You should start by finding your net worth, known how much money you make, and you need to track all of your spending. You also need to figure out what kind of life you want and figure out how much money that will take. You need to figure out how much of your money you need to save for investing to have that kind of life. You should start as soon as possible.
A financial plan sets you in a dirrection for your future that you want to go in. You set goals for yourself and meet them one at a time or try for the short term ones first, working towards the long term goals. You need goals and reasons to be saving your money, just to save because someone told you to does not give you the right motivation to achieve these goals, you should do a financial plan every year, if you havent done one yet you should do it as soon as you can.
Well said, gentlemen. Let’s review.
1. EVERYONE should have a financial plan. That means YOU.
2. You can do one yourself using the template on this website or you can have someone do one for you. Just do it!
3. The plan identifies your goals as you set forth on a journey to achieve them.
4. The plan keeps you on course when life throws you a few curve balls and it will do that!
5. Periodically, go back and review your plan to remind yourself as you focus on your efforts on staying on the right path.
6. A plan makes you the creator of your future self. Create the life you want. Create YOU.