Financial Planning
Posted: 06 Dec 2005 11:54
The following has been reproduced with minor adaptation from the website of Libra Investment Management. We are grateful to Norbert Schlenker of Libra for permission to use his material. We also thank the forum members who suggested improvements (in this comment thread) that have been quietly incorporated in the text.
We also encourage you to explore these topics in our financial wiki, finiki.
Financial Planning
"Whatever failures I have known, whatever errors I have committed, whatever follies I have witnessed in private and public life have been the consequence of action without thought." - Bernard Baruch
A financial plan makes recommendations on a number of topics. It generally begins with a reprise of a person's (or family's) net worth and a list of income and expenditures and/or a budget. Following this picture of the client's current situation are the issues and recommendations in six key areas:
We also encourage you to explore these topics in our financial wiki, finiki.
Financial Planning
"Whatever failures I have known, whatever errors I have committed, whatever follies I have witnessed in private and public life have been the consequence of action without thought." - Bernard Baruch
A financial plan makes recommendations on a number of topics. It generally begins with a reprise of a person's (or family's) net worth and a list of income and expenditures and/or a budget. Following this picture of the client's current situation are the issues and recommendations in six key areas:
- Day to day finances (budgeting, expense control, mortgages, other debt, emergency funds, etc.)
- Insurance (life, health, disability, property)
- Taxes (exemptions, deferrals, income splitting)
- Investments (asset allocation, security selection, risk management)
- Retirement (pensions, RRSPs, RRIFs, annuities, etc.)
- Estate (wills, powers of attorney, use of trusts, planned giving, etc.)