Questions

What is personal financial planning course?

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What is personal financial planning course?

Topics include an overview of personal financial planning, income, taxes and expenditures, money management, personal-use assets, time value of money, financial economics, income tax planning, education planning, investment products and planning, retirement planning, risk management and estate planning.

What does personal financial planning include?

Personal financial planning typically involves creating a personal budget, planning for taxes, setting up a savings account and developing a debt management or recovery plan.

What are the six key areas of personal financial planning?

Six Areas of Financial Planning

  • Cash reserve levels.
  • Cash reserve strategies.
  • Debt management.
  • Cash flow management.
  • Net worth.
  • Discretionary income.
  • Expected large inflow/outflow.
  • Lines of credit.

What are the 5 main components of personal finance?

And now, we will discuss each of the 5 aspects in further detail:

  • #Number 1: Saving.
  • #Number 2: Investing.
  • #Number 3: Financial protection.
  • #Number 4: Tax Saving.
  • #Number 5: Retirement planning:

How do I get a PFP certificate?

What Are The Requirements to Become a PFP®?

  1. Education. The PFP® requires applicants to complete an approved education path.
  2. Certification Examination.
  3. Work Experience.
  4. Code of Ethics.
  5. Trademarks.
  6. Application/Licence.

How long does it take to get PFP?

Once you apply online, you will receive immediate confirmation along with an order ID number. You will receive your official letter of certification and a wall certificate within 4 – 6 weeks.

What are the 6 steps in the financial planning process?

6 Steps to Creating a Great Financial Plan

  1. Step 1: Set Goals. While this seems pretty basic, this step often gets overlooked.
  2. Step 2: Gather facts.
  3. Step 3: Identify challenges and opportunities.
  4. Step 4: Develop your plan.
  5. Step 5: Implement your plan.
  6. Step 6: Follow up and review yearly.

What is the main purpose of personal financial planning?

Personal financial planning is arranging to spend, save, and invest money to live comfortably, have financial security, and achieve goals. Everyone has different financial goals. Goals are the things you want to accomplish. For example, getting a college education, buying a car, and starting a business are goals.

What are the five categories of financial planning?

The five pillars of financial planning—investments, income planning, insurance, tax planning, and estate planning— are a simple but comprehensive approach to financial planning. They are foundational in the course for financial freedom in any financial plan.

What are the 4 areas financial planning?

The Five Main Areas of Financial Planning

  • Protection. Just as you implement risk management strategies to protect your investments, you should have strategies in place to protect yourself.
  • Estate Planning Strategies.
  • Retirement Planning.
  • Investment Planning.
  • Tax Planning.

What are the 4 areas of personal finance?

The areas of personal finances are 5. They include savings, Investing, protection, spending, and income.

How do you create a personal financial planner?

A step-by-step guide to build a personal financial plan

  1. Set financial goals. It’s always good to have a clear idea of why you’re saving your hard-earned money.
  2. Create a budget.
  3. Plan for taxes.
  4. Build an emergency fund.
  5. Manage debt.
  6. Protect with insurance.
  7. Plan for retirement.
  8. Invest beyond your 401(k).