MCS 2100 Chapter Notes -Cash Flow Statement, Canada Deposit Insurance Corporation, Savings Account
3 Dec 2013
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Document Summary
Is the process of managing your money to achieve personal economic satisfaction: advantages: increased effectiveness in obtaining, using and protecting resources. Increased control of financial affairs, improved personal relationships, sense of freedom. Understand how life cycle can affect planning: early years (up to mid 30"s) Focus on creating emergency fund, saving for down payments, purchasing life insurance, retirement: middle years (mid 30"s to 50"s) Focus on building wealth by paying down mortgage and increasing savings and investments: middle years (50"s +) Focus is on providing an adequate retirement plan: retirement years. Focus is on the efficient management of previously acquired wealth: common goals and activities: Obtain career training, create effective record system, regular savings and investment program, accumulate emergency fund, purchase appropriate insurance, implement flexible budget, evaluate and select investments, establish retirement goals, create a will and estate plan. 6 steps in the financial planning process: step 1 determine your current financial situation:
