Why Do You Need Personal Financial Planning?

You need to take care of yourself and your family’s expenses and achieve set goals like saving for child education, retirement, emergency needs like illness and job loss, saving to buy a house or car, etc. It requires proper financial planning at the earliest possible time.

Many people are wise and try to manage their finances to accomplish set targets and navigate life easily. However, availing yourself of the advice of experienced and learned financial planners such as Joseph Stone Capital will help you achieve your goals seamlessly. Financial experts will share their expertise in your financial planning so that you can easily pay for your child’s education, earmark funds for emergency needs, save for buying a property or vehicle, etc.

Insurance to Save the Family

Personal finance experts suggest taking out insurance to provide a lump sum fund to the family to manage situations like the sudden demise of the breadwinner, job loss, calamities, loss of property or business, etc. that cause huge financial losses.

It would help if you talked to a financial expert to select the right insurance plan that covers the above-mentioned risks and financially supports the family. Some insurers are tricky. You should understand the terms and conditions of an insurance plan before deciding to write a check.

You need to set goals like a child’s education, building a house, or marriage. It requires a sufficient amount. It is time to set aside some funds for paying household expenses, tuition fees, car loans, emergency needs, etc. You need to decide how much insurance coverage is required for your family to manage in your absence and how much you can pay monthly toward that target. You can seek the help of a financial expert to help you choose the best insurance product.

Saving to Buy A Home

Buying a home in your new job location requires huge amounts of money. People from affluent categories can pay the amount outright and own a house. It is possible for people on a budget or in the salaried class. It requires proper financial planning and earmarking some funds every month towards this goal. You can gradually increase savings for a house purchase when you get a salary hike or find a part-time job for some extra money.

Invest Surplus Funds

Apart from paying for household expenses, mortgages, insurance, and emergency needs, you can invest your surplus funds in equities, mutual funds, and real estate. The financial planners at Joseph Stone Capital will assist you in selecting the right property in a prime location or investing in suitable mutual or equity funds to grow your money.

If you are over 40 and do not want to take a risk, you can choose to invest in balanced mutual funds to save for your retirement and that of your family members. Such mutual funds invest a majority of the fund in bonds and other government-backed securities and a small amount in equities.

You can also invest in a property in a location where its value is expected to increase significantly in the future. You can also join schemes where houses are constructed and given for rent. You can earn rental income from such homes in addition to a share of their value. You can also deposit money in bank accounts that offer higher interest rates.