As you already know, financial planning is about your needs, your lifestyle and your dreams. It is your present and your future. Through a good financial plan, you will be more secure, more confident, better prepared and it will also allow you to acquire the things that you need the most.
You can live the lifestyle that you want to live, you can buy the things you want, you can travel, you can do whatever you want that you had planned for your life. If you do this right, you know to create a good financial plan, if you concentrate and you are very responsible with the things you do about your financial future, then your dreams will become your reality.
Remember financial planning is about everything that involves your finances and also your personal situation, saving money, making money, getting rid of debt, banking, credit reports, planning your retirement, etc.
Small Changes Make a Big Difference
Since this is the first article written on this website I don’t want to start right off the bat with the heavy artillery, you know, the meat and potatoes of financial planning. You always have to save the best for last. You will not see that pattern only on this site and other websites or blogs; you can also notice the same trend on great books, novels, movies, and TV series.
Let’s start with the first of many strategies to start creating a financial plan, or at least an activity that’s about you achieving your financial security and that through this and many other activities. Hopefully, your financial situation will soon become a wealth management issue.
“Small Changes Make a Big Difference!” That was what my first accounting teacher told me. He said: “the money is in the cents, and most people don’t even notice, but companies do!” Without a doubt, most companies have a solid financial plan.
I quote him because those words stayed with me forever; I started looking at things from another perspective. I want you to take this article as a mind-opening experience that will help you think about your current financial situation and about how you can immediately begin making it better in small increments.
Perform a little brainstorming exercise for a few minutes and think about your expenses and the things you like to do (that require spending some money). Think about your transportation and everything that you do on a daily basis that requires you to spend some money.
Cut Off Unnecessary Expenses
After you do that, think about how you can save money on those events. Save (at least a little bit) on each one of those items. Remember, “the money is in the cents”. Then think about which of those expenses are necessary and which are unnecessary. If you have unnecessary expenses, such as spending money on things that you don’t really need, consider cutting them off.
That little exercise will take only minutes. It is a very simple and easy analysis that will make a big difference in your finances. After this exercise, open a secondary bank account. This account is where you are going to place the extra money that was being wasted in the past. It is going to be an account to save money. It should be an untouchable savings account.
This is the first step to change your financial future. It is the easiest step to begin your financial plan. If you do this right and are responsible and diligent enough to do this exercise every month, soon your savings account will begin to grow. You won’t even notice at first, but it will grow and start to feel more secure. You’ll get more confident about your life and about your future because you know that you have “Money in the Bank”.
This is just the beginning. As mentioned earlier, the problem you want to have is how to begin managing your wealth. If you can get emergency savings by doing this, you will not be in need of obtaining a bad credit loan.
If you find yourself in need of a loan before you’re able to build up your nest-egg, consider using Kiwi Cash. We provide loans to people who have bad credit and are in need of immediate financial aid. If you are on benefits and require a loan, consider getting one of our beneficiary loans. Thank you for reading our financial planning guide. Hopefully, you will be able to increase your savings so that obtaining a loan is not necessary.