Process

Professionals are educators, advisors, counselors, consultants, and planners. They can provide information, assist thinking objectively in decisions, point out consequences of decisions or lack of planning, address barriers to change or errors in your thinking, point out tax implications, and implement plans. A professional can guide you and use tools to help you achieve your goals.

Financial planning is the process of providing advice and assistance to a client for the purpose of achieving the client's goals. The process includes six basic steps:

• Data gathering
  
  
• Goal setting
  
  
• Identification of financial problems
  
  
• Preparation of written alternatives/recommendations
  
  
• Implementation of the agreed upon recommendations
  
  
• Review and revision of the plan

Comprehensive financial planning will include the basic areas of financial planning of concern to the client. The basic areas include: financial statement analysis, investment planning, income tax planning, risk management, retirement planning, and estate planning. Other concerns may include cash management, educational funding, charitable planning, and business planning (T. Teresa Trosclair-Hall, Association for Financial Planning). The professional can help you maximize returns and minimize taxes.

The financial counselor intervenes in a crisis, assists in changes in life transitions, and assists in handling change. Financial counseling is assisting clients in the creative use of all of their resources to obtain economic well-being and quality of life by increasing income, reducing expenses, controlling credit, adjusting debts, clarifying priorities, making decisions, acting with consumer effectiveness in disputes, improving household management and communication about financial affairs, evaluating housing and transportation, minimizing risk from financial hazards, and handling change or crisis (Williams). A credit counselor negotiates with creditors and landlords, etc, counsels on budgets, and provides education. A housing counselor assists in pre-purchase, prevents foreclosure, and certifies for reverse annuity mortgage arrangement (equity conversion for monthly income).

Financial Planning Section I / Section II / Section III Advance to Ability to Adjust Return to Investment

Family - Government & Community - Education & Skills - Employment - Management - Credit - Housing, Vehicles & Equipment - Insurance - Savings - Investment - Financial Planning
Ability to Adjust

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