Chapter 2 -- Your Personal Finance Plan: Planning Your Financial Future
Begins on page 26 / 37 of 352.
Papa's takeaways:
- in this chapter, you will begin a rudimentary Plan for Life
- it should be a written plan, even if the first plan is only a few lines
- the plan should be reviewed whenever there is a major "life change" but at least annually
- over the years the plan will become more involved, more comprehensive, more detailed
Four objectives for this chapter:
- understand the importance of planning your financial future and creating your PFP
- understand how to create "your plan for life"
- understand how to catch your vision of what you want to accomplish in life and the different types of goals
- understand and apply the principles of effective goal setting
Six-step process for creating your Personal Finance Plan:
- catch (determine) your vision for your life
- decide how you will evaluate (measure, score, rate) your life (the metrics to rate your life)
- create your plan for life, your personal and family goals
- evaluate your financial health
- develop your plans and strategies, constraints, and accountability in each of the 15 areas (?)
- your plan should be
- flexible
- liquid
- protective
- tax efficient
- you will develop 16 separate plans for this course -- p. 30 / 41 of 352
- implement your plan and revise as necessary
Then the chapter is very, very wordy and expands on the six steps.
Scan this and then go back to it as needed.
No comments:
Post a Comment