personal financial plan needs added to and redone
Budget: $75 – $100 CAD
Current Personal Information - Age, location, personal interests, family
Current employment situation and employment goals
Personal Goals and Objectives - family, children, education, retirement, travel
Financial goals - major asset purchases (house, cabin, toys), savings (emergency, down payment house.
Current financial position - budget, cash flow and balance sheet
Break personal and financial goals into three categories - short, midterm and long.
Life goals - short (1 year), mid (10 years) and long term (20+ years). These goals may include:
Purchase and financing of a home
Other large purchases – vehicles, vacations, other large personal expenses.
Savings goals – down payment on a home, kids education, emergency funds, retirement
Retirement goals - age and expected lifestyle
Determine the expected costs to achieve these goals.
Develop strategies and actions to achieve your goals and use these to prepare cash flow and balance sheets for each of the three periods (or two if more appropriate).
You will need to develop assumptions regarding costs in to complete the mid and long term financial statements – be sure to note the assumptions used. The assumptions will include:
Expected employment income
Expected expenses – these may change as kids get older, retirement etc.
Repayment of debt taken – mortgage, car loan etc.
Expected rate of return on investments/savings (less inflation, so -2%)
Use today's dollars (do not need to adjust for inflation)
Other items to address:
Taxes - use employment income after estimated tax.
Life insurance requirements
Banking and credit card details
Be sure to use the time value of money concepts when determining retirement savings.
Specific investment strategies and income in retirement will be covered in Part III
A title page and index
Address feedback provided on Parts I and II.
Expand retirement income to include estimate CPP, OAS, work pension and Retirement savings (RRSP/TFSA).
Details of investment strategies to achieve savings goals in retirement accounts: include who will manage the investments (you or an advisor), the investment strategy (passive or active), why you chose the strategy you did (why it works for you), types of investments (stocks/bonds/ETF's/Mutual Funds) and estimated returns.
Brief discussion of insurance (if not already there), wills (elements you want to address in your will)
References, if any sourced
Current employment situation and employment goals
Personal Goals and Objectives - family, children, education, retirement, travel
Financial goals - major asset purchases (house, cabin, toys), savings (emergency, down payment house.
Current financial position - budget, cash flow and balance sheet
Break personal and financial goals into three categories - short, midterm and long.
Life goals - short (1 year), mid (10 years) and long term (20+ years). These goals may include:
Purchase and financing of a home
Other large purchases – vehicles, vacations, other large personal expenses.
Savings goals – down payment on a home, kids education, emergency funds, retirement
Retirement goals - age and expected lifestyle
Determine the expected costs to achieve these goals.
Develop strategies and actions to achieve your goals and use these to prepare cash flow and balance sheets for each of the three periods (or two if more appropriate).
You will need to develop assumptions regarding costs in to complete the mid and long term financial statements – be sure to note the assumptions used. The assumptions will include:
Expected employment income
Expected expenses – these may change as kids get older, retirement etc.
Repayment of debt taken – mortgage, car loan etc.
Expected rate of return on investments/savings (less inflation, so -2%)
Use today's dollars (do not need to adjust for inflation)
Other items to address:
Taxes - use employment income after estimated tax.
Life insurance requirements
Banking and credit card details
Be sure to use the time value of money concepts when determining retirement savings.
Specific investment strategies and income in retirement will be covered in Part III
A title page and index
Address feedback provided on Parts I and II.
Expand retirement income to include estimate CPP, OAS, work pension and Retirement savings (RRSP/TFSA).
Details of investment strategies to achieve savings goals in retirement accounts: include who will manage the investments (you or an advisor), the investment strategy (passive or active), why you chose the strategy you did (why it works for you), types of investments (stocks/bonds/ETF's/Mutual Funds) and estimated returns.
Brief discussion of insurance (if not already there), wills (elements you want to address in your will)
References, if any sourced