Tuesday, August 1, 2017

Financial Plans For Your Future

Here at Continuum II we get asked all the time "What's the most beneficial way for me to invest my money?".

Our answer is always the same; everyones financial landscape is unique, and that everyones financial portfolio should reflect that. But overall, the most important thing is that everyone has a plan.

Many people don't realize that there is difference between a financial plan and an investment plan. 

An investment plan focuses solely on your investments, and your return on those investments. While investments are important, they are nothing without a solid financial plan.

What you have to ask yourself is, will your investment plan stand up if something goes wrong in other areas of your life? What if you suffer from one of the four D's (death, divorce, disability or disaster)?. This is where a financial plan will help to ensure you're protected.

Here is what a financial plan can offer, that an investment plan can not.
  • A financial plan looks at all of the financial aspects of your life, not just your investments.
  • Financial plans look at insurance and estate needs, educational planning.
  • Financial plans help you to make big financial decisions, like whether to buy or rent.
In acknowledging you need a plan, the next step is to hire a financial planner. A financial planner typically provides a written financial plan that outlines your goals, challenges and considerations, recommendations and action plan. A comprehensive written financial plan generally includes the following:
  • A clarification of your short, medium and long term goals
  • A statement of Net Worth
  • An analysis of your cash inflows and outflows
  • A detailed budget and debt-reduction strategies
  • A review of your current investments and investment strategy advice
  • Projections regarding your retirement, including pension recommendations
  • A review of your insurance needs, group benefits and estate planning, including recommendations
  • The action steps needed to implement your plan
Do you have an individualized comprehensive financial plan? Get started now with the quick RediNest questionnaire below. With RediNest you'll discover how your financial readiness compares to other Canadians with similar goals. It’s easy to use, free and a great way to preview the work we do here at Continuum II Inc. - C2Inc.

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