Financial Planning Made Simple

Financial Planning Made Simple gives you a clear picture of where your money comes from and where it goes. An accurate picture can help you develop immediate, short-term and long-term goals. It also can help you identify areas where it might be easiest to cut spending, like reducing credit card debt or putting more toward savings and investments.

Creating a budget starts with knowing what your income is, then listing all your expenses. A good way to organize your spending is by grouping it into fixed items, such as rent or mortgage, utilities and car payments, and variable items, such as food, entertainment and gifts. Whether you use an app, a budgeting template or a bank account feature that categorizes transactions for you, it’s helpful to record every expense for a few weeks, to see exactly where your money is going.

Managing Your Investments Effectively: Tools, Tips, and Tactics

Once you have a list of your expenses, subtract the fixed items from your take-home income to get an idea of how much you are spending. You can then begin to make adjustments, aiming to spend 50% of your income on the things you need, 30% on the things you want and 20% on saving or paying down debt.

Whether you are in the early stages of financial planning or are nearing retirement, it’s important to regularly review your plan and adjust your goals as needed. You may find that your needs change, or you have new aspirations to pursue.