| Building a successful financial plan can be | | | | - Retirement; taking action today to insure |
| confusing. As we construct a plan, we find | | | | that the later years are as comfortable and |
| that our financial lives have many scattered | | | | worry-free as possible. |
| pieces, like a puzzle. | | | | |
| | | | - Estate Planning; recognizing that death is |
| The pieces of that puzzle, the major | | | | inevitable and planning for the ultimate |
| financial issues they represent that each of | | | | transfer of our assets to our heirs. |
| us can expect to face during our lifetime, | | | | |
| include: | | | | A coordinated financial plan provides the |
| | | | framework for achieving financial security. |
| - Cash Management; more than just balancing | | | | There are steps to achieving this financial |
| the checkbook, cash management includes | | | | security and these steps in solving financial |
| preparing and, most importantly, following a | | | | problems in today's world, take work. Two |
| budget, using our credit wisely, and keeping | | | | basic steps are involved: |
| the income tax burden to the lowest level | | | | |
| possible. | | | | - Step 1 Choose Your Financial Planning Team; |
| | | | in our complex, ever-changing world, expert |
| - Risk Management; there is risk of loss of | | | | help is needed. Trained professionals such as |
| both life and property. Health insurance can | | | | your attorney, CPA, IRS enrolled agent, life |
| help pay the cost of needed medical care. | | | | insurance agent, health insurance agent, |
| Disability insurance can protect against the | | | | securities broker, and financial planner are |
| loss of a person's ability to earn a living. | | | | generally members of your team. |
| Critical illness insurance can afford some | | | | |
| protection from expending reserved financial | | | | - Step 2 Develop Your Plan; with the help of |
| resources due to an unforeseen major illness. | | | | your team, the second step can be taken, that |
| Life insurance can be used to protect a | | | | is, the development of a systematic, |
| family against the risk of premature death. | | | | integrated plan for dealing with the puzzle |
| Property and casualty insurance can protect | | | | and the steps that address your financial |
| our worldly goods against accident and such | | | | security. |
| perils as fire, flood, earthquake and theft. | | | | |
| | | | This is called developing a financial plan. |
| - Accumulation Goals; we all need to save | | | | You can choose to ignore these problems until |
| money for some reason. Educating our children | | | | it is too late; or you can take steps to put |
| is one very common goal. Buying a home and | | | | the puzzle together and achieve your |
| building an investment portfolio are two | | | | financial security. The most important step |
| other typical accumulation goals. | | | | is the first one. |
| | | | |