The Importance of Financial Planning by Shanelle Rock https://padlet.com/shanelleivyy/gwwxvearte2ssc2o Created by: Shanelle Rock en-us 2020-11-11 12:52:40 UTC 2024-05-27 14:27:43 UTC hello@padlet.com Website #1: Ten Steps to Creating a Solid Financial Plan For Yourself shanelleivyy https://padlet.com/shanelleivyy/gwwxvearte2ssc2o/wish/912589414
This blog post outlines 10 simple prompts to guide a novice into goal setting, creating an emergency fund, paying off debts and saving intentionally for their future.  A particular section highlights the importance of acquiring insurance and creating an estate plan to protect your loved ones.    

I chose this article because I appreciated the additional tips on how to review your financial plan as you make progress towards your goals.  Most of the time, people make one plan and forget to reference it regularly.  This addition at the end of the post reminds the reader that their financial plan is a living document; meaning that it needs to be regularly reviewed and adjusted to reflect appropriate changes.  ]]> 2020-11-11 12:56:54 UTC https://padlet.com/shanelleivyy/gwwxvearte2ssc2o/wish/912589414 Video #1: Financial Planning for Beginners [8 Steps] shanelleivyy https://padlet.com/shanelleivyy/gwwxvearte2ssc2o/wish/912590723 Financial Planning for Beginners outlines 8 simple steps to get on track to acquiring financial freedom.  Tiffany Thomas takes the time to break down unfamiliar financial terms in ways that a typical person would understand.  She also highlights good financial habits like sharing tips on how to reduce your taxes, reviewing your insurance and how to calculate your net worth.   

A new strategy I learned from Tiffany’s video was to create an investment strategy for yourself.  It makes it easier to save once you’ve outlined your ideals so that when a new investing opportunity presents itself, you’ll be able to quickly assess if that opportunity is right for your goals.]]> 2020-11-11 12:57:26 UTC https://padlet.com/shanelleivyy/gwwxvearte2ssc2o/wish/912590723 Reflective Question #1: What did you learn about your topic that surprised you the most? shanelleivyy https://padlet.com/shanelleivyy/gwwxvearte2ssc2o/wish/912591027 What surprised me the most about my topic was how consistent my resources were in their advice to effectively plan one's finances. I thought that there would be many different ways to be successfully plan that could have been tailored to each individual, but the pattern is very obvious. This reinforces the efficiency of the steps needed to create and follow a financial plan successfully. ]]> 2020-11-11 12:57:33 UTC https://padlet.com/shanelleivyy/gwwxvearte2ssc2o/wish/912591027 Image #1 shanelleivyy https://padlet.com/shanelleivyy/gwwxvearte2ssc2o/wish/912591527 The Government of Canada shared this image to help Canadians remember the top 10 things one can do during uncertain financial times. One unique element shared in this image was the reminder to protect yourself from financial fraud. ]]> 2020-11-11 12:57:46 UTC https://padlet.com/shanelleivyy/gwwxvearte2ssc2o/wish/912591527 Video #2 : The One Page Financial Plan shanelleivyy https://padlet.com/shanelleivyy/gwwxvearte2ssc2o/wish/912592401 The One-Page Financial Plan is an illustrated video based off of a financial planning book by Carl Richards.  Prompting questions like “Why is money important to you?” or “What things do you enjoy together that add to the quality of your relationship?” prepare you with a detailed list of goals that you can begin allocating funds towards. The video also shares tips on investing your tax return into your goals or the “72 hour Rule” to curb impulse buying to empower viewers to save their earnings wisely.   

A unique technique that I learned was the emphasis of including an “Emotional Balance Sheet” in one’s financial plan.  This list is similar to creating a list of financial assets/liabilities, but it includes habits that add to the emotional quality of life like going on a date with your partner or taking a vacation.  These habits counteract the “emotional debt” people acquire from Life, such as working long hours with little family time spent.   

]]> 2020-11-11 12:58:06 UTC https://padlet.com/shanelleivyy/gwwxvearte2ssc2o/wish/912592401 Video #3: All the financial advice you'll ever need fits on a single index card shanelleivyy https://padlet.com/shanelleivyy/gwwxvearte2ssc2o/wish/912592787 PBS NewsHour is an American public broadcast service that airs a weekly financial segment called “Making Sen$e”.  This video shares the interview between PBS’s economics correspondent Paul Solman and University of Chicago’s Professor Harold Pollack.  Mr. Pollack shares his top financial planning rules that are concise and short enough to fit on a single index card.  

“Rule #4: Never buy or sell individual stocks.” shared that less than 1% of “regular people” have the ability to outperform the market.  This is because most people, professionals included, aren’t very good at picking guaranteed winning stocks. Instead, they suggest “Rule 5: Buy inexpensive, well diversified indexed mutual and exchange-traded funds” and hold them with the intention of keeping them for 10-20 years.   

]]> 2020-11-11 12:58:15 UTC https://padlet.com/shanelleivyy/gwwxvearte2ssc2o/wish/912592787 Video #4: Canadian Personal Finance for Millennials shanelleivyy https://padlet.com/shanelleivyy/gwwxvearte2ssc2o/wish/912593050 This video specifically caters to the Canadian Millennial viewer.  Starting with creating a budget and paying yourself first when starting your savings, the speaker is easy to listen to and relatable by sharing real-life examples of the temptations we encounter when managing our money.  

A new strategy I learned from this video was that you can still save money while paying off your debt.  The way that was recommended to do this was by taking the interest into consideration.  If the interest rate of saving is more than the interest rate of your debt, its in your best interest to invest majority of your money towards your savings.    ]]> 2020-11-11 12:58:22 UTC https://padlet.com/shanelleivyy/gwwxvearte2ssc2o/wish/912593050 Image #2: 5 Golden Rules of Financial Planning shanelleivyy https://padlet.com/shanelleivyy/gwwxvearte2ssc2o/wish/912593308 This image uses prompting questions to encourage the reader to get into the mindset of responsible financial planning. I chose this image because it included the consideration of how much risk the individual is willing to take on. Knowing one's risk level is the first step in making investments in the stock market. ]]> 2020-11-11 12:58:29 UTC https://padlet.com/shanelleivyy/gwwxvearte2ssc2o/wish/912593308 Website #2: 6 steps to create your company’s financial plan shanelleivyy https://padlet.com/shanelleivyy/gwwxvearte2ssc2o/wish/912593544 This article looks at creating a financial plan from a business perspective.  This differs from a personal financial plan because it requires referencing a strategic plan for the year and figuring out how to meet those goals.  There was the similarity of saving for an emergency; referred to as a "contingency" in the article.  

I chose this article because of my future goal of owning a spa. I appreciated learning that there was not much of a difference between personal and business financial planning. One piece of information that I found interesting is that by determining the needs of your business sooner with financial projections, you can present this information to you investors to get support ahead of time.

  ]]> 2020-11-11 12:58:35 UTC https://padlet.com/shanelleivyy/gwwxvearte2ssc2o/wish/912593544 Website #3: Financial Planning Basics - Personal Finance 101 shanelleivyy https://padlet.com/shanelleivyy/gwwxvearte2ssc2o/wish/912593745 This article was a short and sweet description for the everyday consumer to take responsibility for their finances.  Within 5 steps, the reader is lead through the very basics needed to get out of debt and adjust their spending habits to make the most of what they have.  

I chose this article because the content is presented in a way that doesn't feel overwhelming. I liked that the author included the tactic of cutting expenses after making a budget; an idea that was not presented in all of my resources. By cutting expenses after making a budget, a person can reallocate funds to areas that need more support in their budget.   ]]> 2020-11-11 12:58:41 UTC https://padlet.com/shanelleivyy/gwwxvearte2ssc2o/wish/912593745 Website #4: The importance of reining in spending this holiday season shanelleivyy https://padlet.com/shanelleivyy/gwwxvearte2ssc2o/wish/912598411 This article gives Canadian statistics about the financial uncertainty Canadians are feeling around the holidays because of COVID-19.  20% of Canadians rarely pay their credit card in full; a habit that is harmful to one's credit score.  

I chose this article because I found the tips on how to avoid temptation of overspending with credit card use. A unique strategy that was shared was to avoid "fear of missing out" or FOMO. This acronym is a simple way to remind yourself to consider if the purchase you're about to make is a need or a want. Taking the time to thing carefully before purchasing helps reduce the frequency of impulse buying.   ]]> 2020-11-11 13:00:30 UTC https://padlet.com/shanelleivyy/gwwxvearte2ssc2o/wish/912598411 Reflective Question #2: Provide a real-life example of how this topic is relevant or interesting for you. shanelleivyy https://padlet.com/shanelleivyy/gwwxvearte2ssc2o/wish/912600645 Before I began this course, I had very little confidence in managing my finances. My saving habits were inconsistent and I avoided looking at my bank accounts to take accountability for myself. As I've taken the time to learn positive habits, I now feel empowered with my confidence to make sound financial choices to build wealth for my future. ]]> 2020-11-11 13:01:29 UTC https://padlet.com/shanelleivyy/gwwxvearte2ssc2o/wish/912600645 Reflective Question #3: If you could pass on your knowledge to a family member or friend, what do you think is the most important thing to pass on? shanelleivyy https://padlet.com/shanelleivyy/gwwxvearte2ssc2o/wish/912616712 The element that I found to be the most important when starting your financial plan is to start an Emergency Savings Fund. The practice of putting aside 10-20% of your earnings until you've saved 3-6 months worth of income is the first greatest investment you can make for yourself. Putting those savings into a high interest account will push your money one step further into making your money work for you. ]]> 2020-11-11 13:07:50 UTC https://padlet.com/shanelleivyy/gwwxvearte2ssc2o/wish/912616712