A Financial Action Plan Summary
Money is very important in this world , for the lifestyle it can help you achieve. Almost all our dreams involve having the finances to make things happen. Here is a summary of action steps you can tackle to make your command of money much better.
1. Review your financial position, both assets and liabilities, and create a balance sheet indicating your net worth.
2. List all revenues and expenses to create an income statement, and indicate your net savings potential per month.
3. Set financial goals for major purchases, and savings for future expenses, such as the education for your family and retirement years.
4. Review your current investments and assets to ensure that they are the best that you can achieve. Factors to consider are the availability, income generation and security of your investment portfolio 5. Review your monthly expenses to create an awareness of how your money is spent in order to ensure that it is exactly where you want it to go. Search for ways to save money, spending less on your purchases. Set a budget.
6. Analyze your financial affairs on an ongoing basis, even monthly at the start, quarterly from thereon. Track your progress.
7. Find out about current changes in the economy that affect you and search for financial services. Their advice is important in helping you arrive at the best financial program for you. Also remember their feesare a tax deduction.
8. Set yourself on a course to become a financial expert. If you are interested in the stock market, find out more about it by enrolling in a course or by reading books. Likewise, if you are interested in real estate as an investment, start by getting a good understanding of the market.
9. By spending time on your financial future, you are definitely going to improve your lifestyle.
10. Remember, you must start somewhere and only you can do it.
The main point I hope you gain from this is that any financial planning is better than no planning at all. For many of you, what you will do now represents the first serious review of financial affairs that you have ever undertaken. The process itself has helped you understand what it is you intend to do from a financial perspective over the course of your lifetime. The earlier you start, the better. It is much easier if you start when you're twenty than when you're sixty-five, but in my opinion, it's never too late. The important thing is to continue your efforts throughout your life. What you will have accomplished is to have a clear, concise balance sheet that shows exactly your net worth. By detailing your short term cash, long term cash, short term assets, real estate, everything that pertains to your present financial situation, you have seen your financial worth on paper. No one else will do this for you. The 2020's require work and planning to achieve positive results. The person that does this will undoubtedly achieve a much better lifestyle than those who don't. Also it will give you a tremendous sense of satisfaction that you have accomplished your financial future to the best of your ability. Good Luck!