It is very import for us to adopt a system of a budgeted financial plan with a comprehensive picture of your current finances, your financial goals and any strategies you’ve set to achieve those goals.
While it is very important to come out with a good financial planning which include details about your cash flow, savings, debt, investments, insurance and any other elements of your financial life.
The Senior Lecturer and Charted Management Accountant of School of Business, University of Cape Coast Seyram Kawor, said on Adekyee Mu Nsem morning show on Ahotor 92.3 FM hosted by Citizen Kofi Owusu in Accra
He is of the view that a good financial plan must be guided by your financial goals. If you approach your financial planning from the standpoint of what your money can do for you — whether that’s buying a house or helping you retire early — you’ll make saving feel more intentional. This he said and very important to plan an independent financial plan devoid of extravagant life style and trying to copy somebody.
He opined that you must make efforts in the New Year to check your income against your expenditure; what do I want my life to look like in five years? What about in 10 and 20 years? Do I want to own a car, or a house? Do I want to be debt-free? Pay off my student loans? Children school fees? How do I imagine my life in retirement? are some of the informed decision to make to address all your targets and goals spells out in the financial plan.
Seyram Kawor reiterated that, having a concrete goal can make it easier to identify and complete the next steps, and provide a guiding light as you work to make those aims a reality.
He discloses that, practically it is very important to get a sense of your monthly cash flow — what’s coming in and what’s going out.
An accurate picture is the key in creating a financial plan which can reveal ways to direct more to savings or debt pay-down. Seeing where your money goes can help you develop immediate, medium-term and long-term plans.
AYM Kukah:E:mail:kukahalexander7@gmail.com
