Financial Planning

My son Nick's grade 8 trip to
Strathcona - canoeing

My starting point in any financial planning exercise is that "The most important asset everyone has is the ability to earn a living."

When I work with individuals or families my first priority is to make sure that in the event of a disability, a critical illness or death that the individual or the family has sufficient money to get through this time of need.

Jackmanii Clematis
in my garden

I start by asking the following questions:

How much money is coming in?
What do you own?
What do you owe?
How much is left over at the end of each month?
What insurance do you have?
What savings do you have?

The next questions are:

Where do you want to be in the next 5, 10 or 20 years?
Where do you want to be at age 60 or 70?

From the answers to these questions, I identify what is needed to set up an insurance safety net and a savings plan to keep the individual or family on track to their goals.

For most people the thought of "budgeting" or setting up a "Financial Plan" is worse than visiting the dentist. But this way of just looking at today's situation, and then discussing the goals for the short term and the long term allows a back of the envelope budget to be developed.

Ferry to Newcastle Island
Paddle Wheel