What is Financial Plan?

A financial plan is the road map for your financial life. It covers major financial areas of your life addressing aspects such as cash flow, savings, debt management, risk management, children education planning, taxes, retirement, estate planning, and of course, investments and a strategy for managing them. It is a written strategy that gives you a clear, pragmatic path to follow towards the accomplishment of your most important financial goals.

Start by working out your goals in life, in the short, medium and long term. Prioritise them, and think about the likely cost of those goals and when you will need the money, so you can start to plan your finances to work out how to achieve them. Don’t forget you also have to plan for some of the hurdles you may have to overcome too. It’s about getting organised; being in control of your finances rather than letting your finances control you.