The Importance of Financial Planning

What is personal finance? How do you let money work for you even after you retire to live the life you want to live? How do you want to live your life 20 years from now? 30 years from now? When you retire at 65 and later?

I want to share with you the path to financial success through this blog. These are lessons taught to me by friends, wealthy relatives and more importantly, people who have earned success. Just stay with me and read a couple of my entries in Compound Savings Interest and I promise you would be on the way towards financial success.

A lot of people believe that in order to achieve our goals in life, we need to earn a lot of money. This is not entirely true since anyone, as long as they have the proper discipline, can achieve financially. The most important thing to consider is the need to plan your finances for the future. You would need to set your financial goals according to how you want to live your life when you retire. What people do not realize is, the more money you earn or the more cash you have the more problems they will face. This is because the more money we have in our pockets, the more confident we are that it will never run out. THIS IS THE WRONG WAY OF THINKING AND WILL ONLY LOSE YOU A LOT OF MONEY.

If your problem is your inability to manage your earnings, no amount of earnings will solve your problem. They key to financial success lies in knowing:
• What are your financial needs.
• How to manage your savings to produce passive income
• Knowing the power of Compound interest and using it to your advantage

What you need is to be financially literate and to commit yourself to plan and monitor your
financial progress.

A lot of people have gone into business and investments that generated a substantial amount of earnings for many years, later they end up losing more than all they have ever gained. These are people who may have been doing well but do not know how to manage their personal and business finances. Hard work and perseverance are not guarantees of financial success.
So, stay with me as I explain the path to financial success with you and explain the benefits of compound savings interest.