It’s important to make sure you have a good financial plan as it impacts all areas of life.
Most people want to make sure they have enough to cover life’s essentials whilst enabling their ideal lifestyle. To achieve this in your later years a strong plan can be built around your objectives.
Financial Freedom
It’s important to think about what financial freedom is to you as it’s different for everyone. Think about your property, kids education, retirement goals, grandchildren and family. Also your lifestyle such as travel, cars, experiences, charity and legacy.
Financial Independence & Freedom Difference
Independence allows you to retire and live comfortably, freedom is more including also the step further of the ability to not worry about financial responsibilities.
Accomplishing Financial Freedom
It’s important to take into account your earning ability and income whilst also being consistent with your plan. Once in control of your finances you’ll have peace of mind and feel a psychological boost. then it’s as simple as spending less than you earn.
Goal Setting
Setting some goals is helpful around risk, optimising tax and saving efficiently. Setting specific steps like a monthly saved amount that increases by a certain percentage at the turn of the new year can be good.
Considering existing commitments like your mortgage, school fees, bills and rainy day money is prudent and also that things can change and thus your goals can be altered to accommodate too.
Tracking
Tracking is essential for you to know what you have, what’s going on and being able to adjust in real time to maintain successfully moving long term towards your financially free future.
Strategy
Budgeting monthly is useful on a more short term basis as it allows you to cap spending and prioritise the big picture. Firstly reducing debt like paying your mortgage off earlier.
Savings wise start early no matter the amount and create the habit which is the most important. Once it’s inbuilt it can then be built upon.
Create Revenue Stream
Investments can be considered next, consider risk and reward that you’re comfortable with. Stocks in a well balanced portfolio can outpace inflation over the long term. Always keep enough money to live and for a rainy day before investing.
Investing Correctly
Looking ahead to the future is important when planning your finances. Your retirement fund and investments are the foundation of financial planning. Then it’s about what lifestyle you would like to have in retirement. Maybe a second home overseas, good experiences and purchases for yourself and your family.
If you would like to talk about a creating realistic tailored plan to make sure you are achieving financial freedom with one of our FCA authorised wealth managers, arrange a Discovery Call [Here]
This article is for informational purpose only. It does not constitute finacial, tax or legal advice, nor is it a recommendation to buy, sell or hold any investment. Past performance is not a guide to the future, investments rise and fall so investors could make a loss. No view is given on the present, future value or price of any investment and investors should form their own view on any proposed investment.