A complete plan contains a lot of information, from which you can see your financial purpose, your financial feasibility and your choice of financial methods. Good planning is the first step of financial management and the guarantee and guide of successful financial management.
Follow the correct steps, analyze your family step by step, determine your goals, make your plans, make your plans implemented, and realize your goals as soon as possible.
Personal or family financial management is to handle and use money reasonably and effectively, so as to maximize the effectiveness of their own expenses and meet the needs of daily life to the greatest extent. From a technical point of view, personal or family financial management is to use the principle of increasing income and reducing expenditure to achieve an expected economic goal in the most reasonable way. Such goals range from increasing household appliances and traveling to buying a house and a car, saving investment in education and arranging retirement.
As we said in the previous chapter, financial management is everyone's business, and families and individuals need financial management. The sooner you realize financial management, the sooner you can lay a foundation for adapting to the difficult survival in society, and the sooner you get the skills to acquire wealth, the easier it is to succeed faster and earlier in the modern society with increasingly fierce competition for resources, so as to better realize the life goals of individuals and families. Therefore, financial management should start as soon as possible, and the sooner the better.
With the correct concept of financial management, the next technical problem to be solved is how to manage money. Faced with banks, insurance, stocks, funds, bonds, foreign exchange and many other investment channels. We can make our own financial plan according to our own situation or rely on the help of professionals. Nowadays, more and more professionals provide modern financial services. In addition to financial planners in banks, insurance, securities, funds and other institutions, independent professional financial planners have gradually begun to appear. With the help of professionals, you can always find a product that suits you in the face of complicated financial markets.
Being good at managing money often determines the direction of life. So, take action immediately and make your own financial planning, and your life is likely to be rewritten.
Of course, financial management is a deep knowledge, not an impulsive thing. Only with a good plan can financial management be scientific, just like planning for a goal. Without a plan, things will be hammered around, in a mess, and eventually nothing will be done.
As we all know, going swimming at the seaside in summer will have such a thing. You are so hot that you smoke all over. Looking at the cold water is like rushing into the sea, but when you go in, you will tremble all over. The temperature of the water is too different from the outside, and your body can't accept it for a while. And some people will enter the water bit by bit, first lift the water, then lift it to the arm, then lift it to other parts of the body, and slowly adapt to the change of water temperature.
On the one hand, this is a way to increase your own insurance coefficient. Know what you will encounter before you go into the water, so that when things come, you have a well-thought-out plan and an escape method. Before making a positive decision to change your life, you need to sort out your priorities and weigh the pros and cons of your choice. You must get everything ready before you go into the water.
Therefore, successful financial management pays attention to financial planning, and personal or family financial management is no exception. The first step in personal or family financial management is to do a good job in financial planning.
We should also pay great attention to a problem here, that is, when making financial planning, a very important principle is that all goals and plans must be concrete and feasible.
Specifically refers to:
1. Financial objectives must be clear and quantitative; 2. Try to fully and accurately understand the financial situation of your family, avoid being too ambitious and unrealistic, and avoid paying attention to one thing and losing another in the process of financial management; 3. Family financial management should make good use of scarce monetary resources to create greater utility and income for families.
Feasibility means: it can be achieved with hard work. If you try your best to achieve your goal, you'd better not include it in the plan. In fact, no one can and cannot put all things, hopes and ideals into the plan and realize them. Family financial planning fully weighs the relationship between demand and possibility; Financial planning is not done purely for money.
On the whole, family or individual financial planning includes three aspects: first, formulate practical financial goals; Secondly, grasp the current income and expenditure and assets and liabilities; Finally, how to use investment channels to increase wealth. The specific steps are generally divided into five steps: determining financial management goals; Asset evaluation; Household income and expenditure, profit and loss; Selection of investment projects; Fund raising.
The goal is the destination you want to reach. How can a sailboat sail without direction? Susan Gershman of Morgan Stanley Asset Management said: "The biggest mistake people make is that they have no direction and don't know what to achieve." If you don't have a goal, you can't achieve results. If you don't have a financial goal, you will suffer from the ups and downs of the stock market every day. With financial goals, we can reduce emotional decisions and rationally face market changes.
Similarly, the first step in personal financial planning is to determine your own goals. Of course, everyone has different goals. Some people want to travel to Europe, and some families want to buy a car, but these are just vague ideas. Which countries do you want to go to? How long does the trip take? What kind of place to live ... these are all problems, and different schemes need different money. So, as soon as possible, turn your or your family's wishes into a number and a clear and specific financial goal.
Of course, everyone's goal can't be achieved. It is obviously out of reach to list the wishes of yourself or your family and cross out some impossible ideas, such as surpassing Gates in two years. So after removing these, list all feasible goals.
In addition, all objectives should be time-sensitive and have a verifiable standard. For example, I want to buy a Beetle sports car within one year, and the timeliness target is one year. The standard of testing is of course to compare the money earned with the price of a beetle.
Also remember that the return we get from investment and financial management is money, not the house and travel we want, so it is not enough to have a clear goal. The next thing is to turn our goal into money. Before the transformation, if you want to determine your own goals, you can't quantify vague goals. For example, if you want to buy a house, then you have to concretize your house. First of all, consider where to buy, how to buy, how to decorate, the purchase of furniture and other factors. After all these are determined, you can convert your goal into money and work out the total amount, which is your goal.
For example, if the quality of life after retirement is not much different from that before retirement, then his income after retirement should be at least 70% ~ 80% of his income before retirement. If you plan to retire at the age of 60, you should prepare a pension for at least 22 years, because for a 60-year-old person, the average life expectancy is 82 years, and it is on the rise. Ideally, individuals reserve pensions through various channels, such as social insurance, enterprise pensions and personal savings (including personal pension account investment and financial management).
Sometimes, your goal can't be achieved soon. At this time, the best way is to divide things into several stages and parts as we usually do, transform the goals that can be achieved in the near future, make plans as soon as possible, and find ways to manage money. As long as you achieve it one by one, you will get closer to your overall goal step by step.
At the same time, the establishment of financial management goals must be adapted to the family's economic situation and risk tolerance, in order to ensure the feasibility of the goals. After the phased financial management objectives are established, financial management activities can be carried out in an orderly manner.