Karen Tang, CFP®: Certified Financial Planner in Singapore
Do you have a financial roadmap?
Where is it leading you to?
Financial Planning Process
The CFP Board defines financial planning as “the process of determining whether and how an individual can meet life goals through the proper management of financial resources. Financial planning integrates the financial planning process with the financial planning subject areas.”
Goood financial planning should always incorporate these six steps in the financial planning process:
- Establishing and defining the client-planner relationship
- Gathering client data including values and goals
- Analyzing and evaluating the client’s financial health status
- Developing and presenting recommendations and/or alternatives
- Implementing the recommendations
- Reviewing, monitoring and adjusting the plan where applicable
Financial planning subject areas include:
- Financial statement preparation and analysis (including cash flow analysis, planning and budgeting)
- Insurance planning
- Employee benefits planning
- Tertiary education planning
- Investment planning
- Tax planning
- Retirement financial planning
- Estate planning