by Clare Louise | December 17, 2017 12:27 am
Financial planning is not about socking away money in a bank account. It involves identifying your financial goals during different stages of your life. Therefore, a financial plan is established to meet your financial objectives throughout your life. These stages include young to mid-life, mid-life, pre-retirement, and retirement.
During each phase, the financial planner should provide advice, outline the risks, and communicate the weaknesses and strengths of your financial plan. A financial representative cannot ensure that the investments you make will always be favourable.
Initiating a Plan
When you are young and initiating a financial plan, you may be concerned with the following areas:
During mid-life, you may use the services of a financial planner in Melbourne to protect your lifestyle choices. Therefore, you may want to focus on the following:
Most people who are in the pre-retirement phase of life will be working about 20 more years. Therefore, your concerns may include the following at this time in life:
During retirement, financial planning may cover the following goals:
As you can see, financial planning covers various components during different stages in life. Therefore, the goal of financial planning, during any stage of life, is to stay updated.
Consequently, it is a financial planner’s responsibility to keep his or her client’s current about their investments. He or she should note any changes that could influence a client’s financial status.
Creating a Financial Plan
When creating a financial plan, you may want to consider the following:
Staying on Track Financially
As you can see, you have a great deal to contemplate when you are establishing a financial plan for yourself and your family. By relying on financial planning services, you can make more sense of what works for you and stay on track with building wealth and realising your financial goals.
Source URL: https://betacash.org/why-financial-planning-is-important/
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