Most people have a family doctor. Some, especially business owners usually have accountants and lawyers as well. But not many look into financial planning. There are many reasons why some people don't have financial planning but these are a few of the popular ones.
Financial Planning They don't know what financial planning is and if they did, they wouldn't know how to go about implementing it. Others simply feel they don't have enough money to warrant any form of financial planning.
A common misconception about financial planning is that it only deals with investments. This is false. The other areas that financial planning touches upon include retirement planning, investment planning (forex, forex trading) tax stategy, estate planing, asset protection, cash-flow planning and financial coaching. Herein lies the problem. Very few people are competent enough to address all of these areas. Enter the financial planner. Unfortunately, hiring a financial planner raises another set of very valid questions.
Is the finance planner competent? Am i getting value for my money? Who is this guy that wants to tell me what to do with my money? When choosing a financial planner, some background checks on the individual and the company he or she represents is needed. Firstly, they must be a Certified Financial Planner (CFP). Certification means they've gone through the proper courses that certified them as financial planners.
A second way to choose one is by asking for references from trusted parties such as your lawyer or accountant. If they represent a company then look at their track record. Look them up on the internet.
Lastly, ask trusted parties about them. The goal with financial planning is to help you identify your life goal and ultimately manage your resources in the best way possible to help you reach those goals. It is a long-term commitment that often requires sacrifice and great patience.
If you go the route of hiring a financial planner, than you must be willing to collaborate with him/her. Investments (Forex, forex trading, bonds etc) will be made and spending behaviour may have to be changed in order to realize your goals. Lastly, good financial planners are not cheap but are often worth the money in the long run. Should you choose to manage your own finances, our Personal Finance Software page lists out the top programs in that area. Other topics of interest are Personal Finance. and Google Finance.
