Sunday 28 September 2014
Financial Planning DIY
Financial Planning DIY ( Do It Yourself) is a road to your own Financial Freedom and Peaceful Life
To start the Financial Planning Process, we should identity 3 main factor :
i ) To define the Financial Objective, example Retirement, Education , House ownership and other financial objective in our life. Prioritize the objectives according to our needs.
ii) To know the Time Horizon for each financial objective. It may then be classified as short time ( 1 to 3 years), mid term ( 3 to 10 years) and long term ( > 10 years)
iii) As financial planning owner and investor, we should know ourselves better than others. We should know ourselves own Risk Profile, whether we are aggressive, moderate or conservation through some assessment. You may find the related assessment in major financial services web site or financial books.
Without the clear Financial Objective, it looks like the future without clear goal and life road without lamp. We will do not know where we are heading for, what is the life purpose, why we need to accumulate wealth for .
The time horizon for each objective is the clear roadmap to the objective.
To know the risk profile we are in is important for us to choose for the asset class and investment tools that suitable to us to achieve the financial objective within the time horizon.
To start doing it this, take out a piece of paper and pen. Then to have a un-disturbing environment , sincere to yourself, write down the important & meaning financial objective that come through. The objective should be SMART, S-specific, M-measurable, A- attainable, R - realistic , T - Timely.
All these 3 steps assessment should be documented for future reference and review. Financial Planning is in the life cycle where the process is repeated, initiate the plan -> implement plan --> monitor the plan --> evaluate the plan --> continuous assessment and monitor --> act on the action --> the process repeated.
Friday 26 September 2014
What is the Logo image mean about
This logo was created for this special blog on the topic of personal financial planning. Financial planning is a person life time planning. I strongly believe that financial planning should be done, executed, monitored and enjoyed by individual. Only ourselves can become our own financial planner, no other person. You need to " do it yourself".
" The heart" means that you need to do own financial planning with patience, love , responsible heart.
With proper life financial planning in our life stage, you will be enjoy internal peace, calm and happy life.
You will be always ready to face life un-expectation. You will live with wealthy and meaningful life.
Let us respond for our own future life, it is our choice. The right choice now will be giving you a good "fruit" in future.
Thursday 25 September 2014
Life Meaningful Quote
1. The seeds you plant today will determine the harvest you reap tomorrow - A.J. Thomas
Biji benih yang anda tanam hari ini akan menentukan hasil tuaian untuk hari esok
2. Don't spend your life working for money; save money and hire it to work for you. - Dr. John F Demartini, an American researcher and author
Usalah meluang masa bekerja semata-mata untuk mengejar wang; menabunglah dan biarkan wang yang bekerja untuk anda
3. Starting something new or making a big change requires efforts, persistence and motivation. doubt, fear and worry will slow you down. Focus to do your best now and celebrate every step of the way. ---- by Doe Zantamata
4. The surest sign of insanity is doing the same things repeatedly while expecting a different result.-- by Einstein
5. Patience is bitter, but its fruit is sweet. -- by Aristotle
6. The happiest people do not have the best of everything. They just make the most of everything.
7. Wealth is in the richness of the mind and heart, not the pockey . -- by Anay Bathia
8.Always keep an open mind and a compassionate heart. -- by Phil Jackson
9. Everything has beauty, but not everyone sees it. -- by Confucius
10. Every great achievement was once considered impossible.
11. It is not wanting to win that makes you a winner, it is refusing to fail. -- by Kristi
12. The person who makes a success of living is the one who sees his goal steadily and aims for its unswervingly. -- by Cecil B. DeMille
13. There are only two ways to live your life. One is as though nothing is a miracle. The other is as though everything is a miracle. -- by Albert Einstein
14. Choose a job you love, and you will never have to work a day in your life . -- by Confucius
15.It is a curve that makes things straight. -- by Atit
16. Believe you can and you are halfway there. -- by Theodore Roosevelt
17. Kindness in words creates confidence. Kindness in thinking creates profoundness. Kindness in giving create love. --by Lao Tzu
18. The person with big dreams is more powerful than one with all the facts.
19. You can not always wait for the perfect time, sometimes you must dare to jump.
20. Good things come to those who believe, better things come to those who are patience and the best things come to those who do not give up.
21. Let your dreams be bigger than your fears and your actions be louder than your words.
22. When something bad happens, you have three choices, you can either let it define you, destroy you, or you can let it strengthen you.
23. Do not afraid of change, because it is leading you to a new beginning.
24. Obstacles can not stop you, problem can not stop you, most of all, other people can not stop you, the only one who stops you is yourself.
25. If you believe in yourself, have dedication and pride and never quit, you will be a winner.
26. Vision without action is a dream, action without vision is simply passing the time, action with vision is making a positive difference.
27. I will never be PERFECT, but I can be better.
28. Optimism, is the faith that leads to achievement. Nothing can be done without hope and confidence.
29. Believe in yourself, have faith in your abilities, without a humble but reasonable confidence in your own powers you can not be successful.
30.If you can not fly then run, if you can not run then walk, if you can not walk then crawl, but whatever you do you have to keep moving forward.
31. Sleep is that golden chain that ties health and our bodies together. ---Thomas Dekker
32. Running is the greatest metaphor for life, because you get out of it what you put into it. -- Oprah Winfrey.
33. Do not eat anything your great grandmother would not recognize as food. -- Michael Pollan
34.The more you eat, the less flavour ; the less you eat, the more flavour. -- Chinese Proverb
35.Life expectancy would grow by leaps and bounds if green vegetables smelled as good as bacon.-- Doug Larson
36. To keep the body in good health is a duty, otherwise we shall not be able to keep our mind strong and clear.-- Buddha
37. Strength does not come from physical capacity. It comes from an indomitable will. -- Mahatma Gandhi.
38. Let food be thy medicine and medicine be thy food. -- Hippocrates
39. A good laugh and a long sleep are the best cures in the doctor's book. -- Irish Proverb
40. To ensure good health, eat lightly, breathe deeply, live moderately, cultivate cheerfulness, and maintain an interest in life. -- William Londen
41.The reason I exercise is for the quality of life I enjoy. -- Kenneth H. Cooper
42. Early to be and early to rise. makes a man healthy, wealthy and wise. -- Benjamin Franklin
43. The more sand that has escaped from the hourglass of our life, the clearer we should see through it.
44. Every chess master was once a beginner.
45. If your train's on the wrong track, every station you come to is the wrong station.
46.If I take care of my character, my reputation will take care of itself.
47.Few things are more dangerous than a leader with an unexamined life.
48. May we diligent and true , Dedicated to the right, and like the stalwart lighthouse stand, a beacon in the darkest night.
49 A misty morning does not signify a cloudy day.
50. Give a bowl of rice to a man and you will feed him for a day. Teach him how to grow his own rice and you will save his life.
51.You never conquer a mountain. You stand on the summit a few moments; then the wind blows your footprints away.
52.We are what we repeatedly do. Excellence, therefore, is not an act but a habit.
53. Love is the fruit in season at all time, and within reach of every hand.
54. We make a living by what we get, but we make a life by what we give.
55.
Biji benih yang anda tanam hari ini akan menentukan hasil tuaian untuk hari esok
2. Don't spend your life working for money; save money and hire it to work for you. - Dr. John F Demartini, an American researcher and author
Usalah meluang masa bekerja semata-mata untuk mengejar wang; menabunglah dan biarkan wang yang bekerja untuk anda
3. Starting something new or making a big change requires efforts, persistence and motivation. doubt, fear and worry will slow you down. Focus to do your best now and celebrate every step of the way. ---- by Doe Zantamata
4. The surest sign of insanity is doing the same things repeatedly while expecting a different result.-- by Einstein
5. Patience is bitter, but its fruit is sweet. -- by Aristotle
6. The happiest people do not have the best of everything. They just make the most of everything.
7. Wealth is in the richness of the mind and heart, not the pockey . -- by Anay Bathia
8.Always keep an open mind and a compassionate heart. -- by Phil Jackson
9. Everything has beauty, but not everyone sees it. -- by Confucius
10. Every great achievement was once considered impossible.
11. It is not wanting to win that makes you a winner, it is refusing to fail. -- by Kristi
12. The person who makes a success of living is the one who sees his goal steadily and aims for its unswervingly. -- by Cecil B. DeMille
13. There are only two ways to live your life. One is as though nothing is a miracle. The other is as though everything is a miracle. -- by Albert Einstein
14. Choose a job you love, and you will never have to work a day in your life . -- by Confucius
15.It is a curve that makes things straight. -- by Atit
16. Believe you can and you are halfway there. -- by Theodore Roosevelt
17. Kindness in words creates confidence. Kindness in thinking creates profoundness. Kindness in giving create love. --by Lao Tzu
18. The person with big dreams is more powerful than one with all the facts.
19. You can not always wait for the perfect time, sometimes you must dare to jump.
20. Good things come to those who believe, better things come to those who are patience and the best things come to those who do not give up.
21. Let your dreams be bigger than your fears and your actions be louder than your words.
22. When something bad happens, you have three choices, you can either let it define you, destroy you, or you can let it strengthen you.
23. Do not afraid of change, because it is leading you to a new beginning.
24. Obstacles can not stop you, problem can not stop you, most of all, other people can not stop you, the only one who stops you is yourself.
25. If you believe in yourself, have dedication and pride and never quit, you will be a winner.
26. Vision without action is a dream, action without vision is simply passing the time, action with vision is making a positive difference.
27. I will never be PERFECT, but I can be better.
28. Optimism, is the faith that leads to achievement. Nothing can be done without hope and confidence.
29. Believe in yourself, have faith in your abilities, without a humble but reasonable confidence in your own powers you can not be successful.
30.If you can not fly then run, if you can not run then walk, if you can not walk then crawl, but whatever you do you have to keep moving forward.
31. Sleep is that golden chain that ties health and our bodies together. ---Thomas Dekker
32. Running is the greatest metaphor for life, because you get out of it what you put into it. -- Oprah Winfrey.
33. Do not eat anything your great grandmother would not recognize as food. -- Michael Pollan
34.The more you eat, the less flavour ; the less you eat, the more flavour. -- Chinese Proverb
35.Life expectancy would grow by leaps and bounds if green vegetables smelled as good as bacon.-- Doug Larson
36. To keep the body in good health is a duty, otherwise we shall not be able to keep our mind strong and clear.-- Buddha
37. Strength does not come from physical capacity. It comes from an indomitable will. -- Mahatma Gandhi.
38. Let food be thy medicine and medicine be thy food. -- Hippocrates
39. A good laugh and a long sleep are the best cures in the doctor's book. -- Irish Proverb
40. To ensure good health, eat lightly, breathe deeply, live moderately, cultivate cheerfulness, and maintain an interest in life. -- William Londen
41.The reason I exercise is for the quality of life I enjoy. -- Kenneth H. Cooper
42. Early to be and early to rise. makes a man healthy, wealthy and wise. -- Benjamin Franklin
43. The more sand that has escaped from the hourglass of our life, the clearer we should see through it.
44. Every chess master was once a beginner.
45. If your train's on the wrong track, every station you come to is the wrong station.
46.If I take care of my character, my reputation will take care of itself.
47.Few things are more dangerous than a leader with an unexamined life.
48. May we diligent and true , Dedicated to the right, and like the stalwart lighthouse stand, a beacon in the darkest night.
49 A misty morning does not signify a cloudy day.
50. Give a bowl of rice to a man and you will feed him for a day. Teach him how to grow his own rice and you will save his life.
51.You never conquer a mountain. You stand on the summit a few moments; then the wind blows your footprints away.
52.We are what we repeatedly do. Excellence, therefore, is not an act but a habit.
53. Love is the fruit in season at all time, and within reach of every hand.
54. We make a living by what we get, but we make a life by what we give.
55.
Thursday 4 September 2014
3 Main Components In Personal Financial Planning
There are 3 main components in personal financial planning. It applicable to everybody . There are i) wealth protection, ii) wealth accumulation and iii) wealth distribution.
Wealth protection is the planning to protect our existing wealth and asset and to insure the future ability to earn if any unexpected accident happen. This basically refer to insurance planning. This is very important stage where individual can predict and plan for the worst scenario and prepare it. We will feel secure if we properly plan for it then we will have full force to go for next stage, wealth accumulation.
Wealth accumulation is the interesting and challenge stage in financial planning. We should very clear on our own financial goals & their priority, the time horizon, the meaning of the goals to our life. This is the process to understand the cash flow, budget control, balance sheet, net worth statement of own financial status. We need to have surplus for monthly cash flow by increasing the income and reducing expenses. We also can have multi sources of income by doing investment . business , consulting and others. We should always be aware and keep ourselves away from the money scam. We should learn and learn from time to time in this stage. Do not give any excuse to yourself and we should hold full responsible to our accumulation process.
Wealth distribution is refer to the distribution of our asset and wealth when we accidentally or naturally passed away. We need to decide how we only to allocate the asset to our loved one, friends or the world. What is our final wishes and planning, helping our family to get through the transition period of life without our present in their life. We need to do wise planning for this to prevent argument within all the beneficiaries.
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