Financial planning aims to achieve your life goals through proper management of your finances.
A qualified financial planner will generally use a six step process to help you take a 'big picture' look at where you are financially, and where you want to be in the future.
These steps are:
- gathering your financial data such as details on your income, debt level and commitments
- identifying your goals
- identifying any financial issues such as gaps between where you are now and where you want to be in the future
- preparing your financial plan, which will recommend investments and confirm your risk profile
- implementing your financial plan
- reviewing and revising your plan to ensure you remain on track to meet your financial goals.