The Main Goals A Financial Plan Should Accomplish

Written by Teresa Kaufman


Continued from page 1

Tell them if a private college is out ofrepparttar question. Let them know that they will most likely have to go to community colleges or state schools. Talk to them about your financial situation. They might have very unrealistic expectations that you know nothing about because they know nothing aboutrepparttar 112050 family’s financial situation.

Let them know that your job is to provide a roof overrepparttar 112051 family’s head, make sure there is enough to eat, heat and electricity so everyone can be safe and warm and their job is to get good grades to be eligible for as much aid for school as possible.

As long as they know you love them and that you are doingrepparttar 112052 best that you can forrepparttar 112053 entire family, they will understand. Explain to them that as long as they do their job, together you will do everything you can to help them fulfill their goals and dreams forrepparttar 112054 future within your means.

You have to make sure that you don’t get so bogged down in planning forrepparttar 112055 future for everyone else, you forget to plan forrepparttar 112056 lifestyle you want to have during your retirement.

Again if paying for college is unrealistic for you, explain to your children that it is not possible for you to do so because if you do you might end up being a financial burden to them when you retire. Let them know you will do what you can.

Whilerepparttar 112057 main purpose of financial planning is to have a better future, you also need to make sure you live well today and are comfortable. You won’t stick with any plan that has you feeling deprived and miserable for very long.

The next thing a financial plan should include is preparing for a secure retirement. With people living longer than they used to you have to plan for at least 20 to 25 years in retirement, if not more. You need to have plans for maintaining your standard of living, paying for medical care (withrepparttar 112058 proper insurance in place) and remaining financially independent of your children (by having investments for income) so you will not be a burden to them.

Your plan also needs to keep taxes in mind. Have your financial planner look over your taxes now to see if you are paying too little or too many taxes. They can also advise you on which type of investments will be best for you tax wise. Some investments have more tax advantages than others.

For instance, with a Roth IRA you only pay taxes onrepparttar 112059 money that your money makes inrepparttar 112060 IRA when you withdraw it and notrepparttar 112061 money that you contributed to it. Even if you withdrew every penny that you put into it, as long as you don’t withdrawrepparttar 112062 income that your money made you won’t pay taxes on it until you do.

The last thing a financial plan should include is your final provisions, better known as your will. No one likes to think about dying, but let’s be honest we all have to do it sometime. Having your wishes drawn up as well as havingrepparttar 112063 appropriate insurance and financial documents all together can alleviaterepparttar 112064 stress and anxiety for your family.

Grief overrepparttar 112065 loss of a loved one is tough enough without addingrepparttar 112066 burden of financial distress to it. Your plan needs to include a will and all related financial and insurance documents with it and an estate plan or trust that is designed to match your financial situation.

To recaprepparttar 112067 main things a financial plan should include are an emergency fund, insurance to protect you from disaster, financial security and a comfortable standard of living for you and your family now and inrepparttar 112068 future, a comfortable and secure retirement that provides for you and does not burden your children, making sure you are payingrepparttar 112069 right amount of taxes now and that your investments are right for you tax wise also and finally putting your final wishes in writing to make sure they are carried out.

While those should berepparttar 112070 main components of a financial plan, there are other things that need to be considered. The stage of life you are at now. If you are in your twenties now you can afford to take more risk with your investments because you have more years to make up for any investment losses. If you are in your forties you might want to be a little more conservative.

Your lifestyle is another consideration. If you are a spender and not a saver you have to be realistic about whether or not you are willing to curb some of that in order to have a better financial future. If you have a problem staying away fromrepparttar 112071 credit cards you need to get a handle on that first. If you arerepparttar 112072 type of person who spends more than they make in order to keep uprepparttar 112073 perception that you are successful, your plan will not work.

Your plan needs to fit your lifestyle and notrepparttar 112074 other way around. If you make a plan that forces you to give up too much of yourself in order to accomplish it, you never will accomplish it. Above all else when it comes to financial planning, you need to be honest about who you are financially right now and whether or not you are willing to make changes to haverepparttar 112075 financial future you want.

You also need to be honest with your family. If your children are old enough include them inrepparttar 112076 plan making let them feel like they are a part of it and that your overall goal isrepparttar 112077 financial health and well being ofrepparttar 112078 entire family. This can help to avoid any disappointments that can come from not knowing whatrepparttar 112079 situation is. Letting your family believe that things are much better financially than they actually are will only cause problems inrepparttar 112080 future.

Teresa Kaufman © 2004-2005. All rights reserved Personal Budgets to Fit Your Lifestyle, Needs and Wants < This article may be used in an ezine or on a website as long as the author's name, copyright information and an active hyperlink back to the site as stated directly below the copyright information.


Home Mortgage Interest Rates: How to Compare

Written by Brad Triggs


Continued from page 1

You can compare current home mortgage interest rates of different companies by asking for quotes based onrepparttar home you are looking to buy or refinance,repparttar 112049 staterepparttar 112050 home is in, andrepparttar 112051 type of mortgage loan you are looking for. On most websites you will be able to utilize a mortgage calculator that mortgage lenders have set up to indicaterepparttar 112052 current home mortgage interest rates of your state, and howrepparttar 112053 monthly payments are effected byrepparttar 112054 interest rate.



**************************************** Brad Triggs provides more information and free mortgage quotes at his website: e-Loans-Now.com - Home Mortgage Interest Rates ****************************************




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