Money Thus Saved And Lent Is Capital

Category: Finance, Financial Planning.

Finance, in the sense in which it will be used in this article, means the machinery of money dealing.

Finance becomes international when our money is lent to borrowers in other countries, or when people in England, who want to start an enterprise, get some or all of the money that they need, in order to do so, from lenders oversea. That is, the machinery by which money which you and I save is put together and lent out to people who want to borrow it. The biggest borrowers of money, are the Governments, in most countries, and so international finance is largely concerned with lending by the citizens of one country to the Governments of others, for the purpose of developing. their wealth, building railways and harbours or otherwise increasing their power to produce. So finance is the machinery that handles capital, collects it from those who save it and lends it to those who want to use it and will pay a price for the loan of it. Money thus saved and lent is capital. This price is called the rate of interest, or profit. Sometimes borrowers want money because they have been spending more than they have been getting, and try to tide over a difficulty by paying one set of creditors with the help of another, instead of cutting down their spending.

The borrower offers this price because he hopes to be able, to benefit himself, after paying it out of what he is going to make or grow or get with its help, or if it is a Government because it hopes to improve the country s wealth by its use. This path, if followed far enough, leads to bankruptcy for the borrower and loss to the lender. Since capital thus seems to be the subject- matter of finance and it is the object of this book to make plain what finance does, it will be, and how better to begin with clear understanding of the function of capital. If no price were offered for capital, we should none of us save, or if we saved we should not risk our money by lending it, but hide it in a hole, or lock it up in a strong room, and so there could be no new industry. All the more because capital is nowadays the object of a good deal of abuse, which it only deserves when it is misused. But let us recognize that capital, when well and fairly used, is far from being a sinister and suspicious weapon in the hands of those who have somehow managed to seize it.

When it is misused, let us abuse it as heartily as we like, and take any possible measures to punish it. But is in fact so necessary to all kinds of industry, that those who have amassed it, and placed it at the disposal of industry render a service to society without which society could not be kept alive.

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The Interest Rate Will Change Your Mortgage Interest Payment Each Month - Finance and Financial Planning:

When you decide to buy a home, getting the best possible loan is important.

You Are One Of Just A Few People Who Have The Foresight To Think About Retirement This Early In Life

Category: Finance, Financial Planning.

Perhaps it is looking toward the future in terms of insurance, planning for college and other issues such as this also gets your mind moving on how you will be ready when retirement gets here. Retirement planning experts tell us that if young people in their twenties or even teens can start putting a little bit back toward retirement, the rewards when they reach their golden years will be phenomenal.

But if we were able to step back above our lives, the best time to start preparing for retirement is not the middle age years. If a youth in his early twenties or teens were to just put one percent of what they make back, and that money stayed in some form of investment vehicle that would grow into a retirement account, the growth between the time of investment and retirement at 60 or 65 can be explosive even at a modest interest rate. That is a time when the transition from teen years to family life is pretty all consuming. Unfortunately, few young people are looking that far ahead when they are in their early adult lives. So it might be the responsibility of parents and older advisors to help youth see the value of starting to work on their retirement savings well in advance so they have a well developed program when their retirement years come along. Now, in the last decade, many businesses have eliminated retirement benefits where the company pays for the retirement. One of the best places for a young person to start their retirement program is with the 401k or retirement benefits at their job.

But if the young person works for a company that offers 401K, they can set aside a percentage of their income and it will be put into a retirement fund before taxes. The outcome is a healthy and rapidly growing fund that starts out with an immediate doubling of the invested funds and then grows steadily over the years as more is put into the fund with each paycheck. Moreover, often the company will match the funds up to dollar for dollar and the company will manage the investment of the funds as well. The young worker gets used to the retirement money coming out so they adjust their budget to live without it. If you are a young person and you are considering if you might think about starting a retirement account, congratulations. And without giving retirement much more thought than that, within a few decades, the 401K can evolve into a very impressive retirement account to be sure. You are one of just a few people who have the foresight to think about retirement this early in life.

Because if you only put a little bit back, that can grow and grow and grow and become a sizeable retirement nest egg for you and your spouse even if he or she is the spouse off in your future. And by starting now, you take advantage of the thing that is your greatest asset is time.

Is It Possible To Screw Up Retirement Planning

Category: Finance, Financial Planning.

But short of the worst case scenario of an early demise, everyone is going to get old and its far better to do so with a plan then to let it sneak up on you.

Is it possible to screw up retirement planning? This is something you do not want to screw up. Of course it is. So it is good to know the common mistakes people make so you can avoid them. If you speak to senior citizens who did not start planning in advance and got to their senior years with nothing to fall back on and no funds to use so they can step out of the working world and enjoy a more leisurely retirement lifestyle, that is an example of people who screwed up their retirement planning. Probably the biggest mistake that you can make in your retirement planning is to wait to start it until you are pretty close to retirement. Then just let that money continue to accumulate and grow and before you know it you are sitting on top of a pretty substantial nest egg.

If you want to retire at 60 and you do not start getting ready until you are 55, you will not have nearly as well prepared a retirement package as if you had started when you was 25 or 3By starting early, you can set back a small amount each month and put it into an IRA, your employer 401k or some other retirement vehicle. Speaking of sitting on top of a nest egg, the second big mistake people make is not leaving that nest egg alone. Above all, resist this temptation. When that retirement investment fund starts to get big, it is really easy to look at it as a way to get you out of credit card debt trouble or to borrow against for some new plan or possession you want. If you lose that retirement fund due to foolish use of the funds in your middle age years, you are back to square one with nothing to show for your years of hard work developing that retirement nest egg. This is step one but its not a good idea to never go back and review your retirement plan and see if how you are going about getting ready for retirement well in advance. The plan of setting up withholding from your checkbook or a direct deposit to your retirement account of retirement savings allows you to go about your busy life knowing that your retirement planning is underway.

Make it a regular ritual to sit down and review what is going on with your investment funds. Remember, just because your retirement funds are being managed by the company you work for does not mean the money belongs to them. Look at the way your investments have been performing and if you are not getting a good return on those money, make some changes. It is yours so be responsible and manage it. And by taking good care of your retirement before you need it, you are guaranteeing that it will take good care of you when its time to depend on that fund for a happy and prosperous retirement lifestyle. Starting early and staying proactive about your retirement is your best approach to retirement planning and one that will result in a much bigger retirement fund for you to start your golden years with.

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Brokerage Houses Generally Have Subprime And Private Equity Exposure, As Discussed Above - Finance and Financial Planning Articles:

The stock market is gyrating like a yoyo, and with each down stroke it s heading lower.

What Is A Probate Conservatorship - Finance and Financial Planning Articles:

What is a probate conservatorship? This differs from the guardianship appointment, which involves an appointed adult and a minor child.

Hence, It Is Very Easy To Start Charitable Trusts - Finance and Financial Planning Blog:

Businesses can gain immensely from charitable trusts, though these trusts are nonprofit organizations that are set up for the benefit of some other party. It is not too difficult to set up a charitable trust either.

That Is What Retirement Is All About

Category: Finance, Financial Planning.

So if you bought a home with the conventional yard, neighbors, fence, dog and all of the trappings of suburbia, you no doubt have many happy memories that you had back at the farm as you may have called it. Probably to your kids, the house you raised them in will forever to your home and the idea of anyone else living in it is heresy of the worst kind.

Many people even go so far as to name their home something like Happy Acres to give their homestead even more personality and add that sense of ownership to it. But as you begin to move toward retirement age, you may see the value in selling that home and getting into something smaller, cozier and with less overhead. You may have many happy years ahead of you where you are plenty able to get around and have no need of assisted living. Retirement does not always mean moving into a nursing home or retirement center. But selling the house as you enter into your retirement years makes a lot of sense for a lot of good reasons. If your home can finance some of the trips you have been dreaming of all these years, that is a good payback for being so careful with your money during your working years.

For one thing, you may have that house paid off and there may be a lot of equity in that home that you can use to get into a cozy little condo or apartment and have plenty of money left over to pad your retirement savings or afford a bit of travel with your spouse. You can take a one time tax exemption that we all are allowed to use which permits you to sell the house and not have to pay taxes on the proceeds even if you do not sink the money into another house. While you cannot sell your memories, if the house is not serving your needs as a family any more, why bother with it? That means that all of that equity money is sitting there waiting for you to put it to work. Many times when you get done raising the kids and no longer are tied down to a job, it might be time for you and your spouse to get out there and enjoy life and travel. But if you live in a small place that is not difficult to lock up and walk away from, you have the freedom that you always dreamed of when you thought of the word retirement. Retirement is often a time to get rid of a lot of your material possessions and get lose to get out and enjoy your freedom and see some of the world that you could not do when you were raising children.

Another great reason to get out of your house as you move toward retirement is that a house with a yard and all of the other trappings of ownership is a constant ownership problem. If you sell the place and rent or move into a smaller place such as a condo, a huge amount of that maintenance if not all of it disappears. You are responsible to fix the fence, get the plumbing fixed, a garden and, grow a yard keep up the house year in and year out. Now when the appliances break down, just call the man and let them deal with it. That is what retirement is all about. You deserve to have those worries taken off of your back.

So getting rid of the homestead might be a great idea for your retirement planning. You did not clutter that place up in a week and you would not get out of it that fast either. But be prepared for the move and the work that getting the old place ready will entail. But by going through your stuff and streamlining your life now, that is something your kids will not have to do later. And when you are moved out and another young family is getting started in your old homestead, you can congratulate yourself on a great move to put yourself in a perfect place to enjoy a happy and fun retirement with the love of your life.

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The Policy Has A Large Loan - Finance and Financial Planning Articles:

Most people do not know they can sell an insurance policy. Even term insurance, which has no cash value, is a candidate for purchase.

Federal Loans Are In Great Demand In The US - Finance and Financial Planning Articles:

No student in modern times is unaware of the benefit of student loan consolidation.

Nobody Likes To Pay Taxes - Finance and Financial Planning Blog:

Nobody likes to pay taxes. Knowing some simple rules will reduce your tax bill and allow you to keep more of what you inherit.

These People Or Foundations Are In The Business Of Investing

Category: Finance, Financial Planning.

If you are looking to get started in the small business world, chances are you will need some outside start up capital. Fortunately, there are a plethora of available avenues for you to secure some funds to get your small business off the ground.

Few, small business owners, if any got their start up money out of their own pocket. Of course, to get these loans you will have to show a business plan indicating you know what you are doing and have a good chance of turning a profit within a recognizable time frame. They will want to see a verifiable return on their investment. Neither banks nor the small business association nor outside investors are looking to simply give their money away. Of course, no business is a sure thing but you will want to make it seem like yours is. Here are some of the available outlets for procuring that all important capital. If you have a smart business plan, some collateral to put up and a business degree, getting a loan should be possible.

First of all, if you are looking to buy into a franchise, you will want to look in a different area than you would if you were starting your business from scratch. For instance, if you want to open up a McDonalds, you will want to research the company to see if they offer plans for paying off your franchise loan. There are franchise financing plans and these are often times provided by the franchise company itself. These plans are often cheaper, better and easier to procure than loans from an outside source. If franchising is not your thing, you will want to look at the available loans to start up small businesses. If the franchise company you are buying into has no such program, see if your local lending institutions offer special loan programs for those looking to start a. franchise. One of the first places you will want to look is the small business association or SBA.

They offer several different categories of loan programs and you will want to look at each of them and see what meets your requirements. This government program is specifically set up to help young entrepreneurs such as yourself. These programs do require a certain amount of collateral, though sometimes the small business itself can be counted toward this. Another good place to start for a small business loan is your local bank, meaning the one you do business with. The small business association does not actually provide the money itself but will rather recommend you to good lending institutions through which you can secure. financing. Banks are more apt to offer loans to qualified customers with whom they already have an account in good standing. Often, the financing and interest rates through your own bank will be better than you can find at other institutions.

They will not have to do a lot of credit checking, as they already have most of your financial information at their fingertips. Finally, avail yourself of venture capitalists and angel investors. More than any of the other options, however they will be keenly interested in how your business can make them money. These people or foundations are in the business of investing. If you have a good business plan, seek out these investors for some capital to start your company.

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Why Seniors Don T Buy Long Term Care - Finance and Financial Planning:

In the next few minutes you will learn about a new insurance industry product that provides long term care insurance coverage if you ever need it, but requires no policy, premiums or health qualifications. In my experience, over half the people who shun long term care insurance do so because they feel they will never need it.

Also, Your Joint Tenancy With Another Person May Prevent Your Children From Inheriting Such Joint Assets - Casey Colston's Finance and Financial Planning blog:

If you are a woman, and have assets, are financially secure that you expect to pass on to people you love and care for, you must make a suitable estate plan.

The Trust Would Then Sell The Property To The Real Estate Developer - Finance and Financial Planning Blog:

Charitable remainder trusts can increase your income, avoid capital gains taxes, lower or eliminate estate taxes, serve as another type of retirement plan, serve humanity and put a warm feeling in your heart. In the Path of Progress.

A Texas Mortgage Loan Can Be Yours For The Asking

Category: Finance, Financial Planning.

A Texas mortgage loan can be yours for the asking. Remember that a mortgage broker can only make money when he or she finds you a loan, and assists in the state of Texas of acquiring a Texas mortgage loan.

Just do your homework first, make sure you have a decent credit score, get a down payment in hand for the home you wish to buy, and then contact a good mortgage broker. If you live in Texas, and you are in the market for a home, visit with a mortgage broker and he or she will help you determine what Texas mortgage loan you currently qualify for. Brokers may work independently, be associated with a lender, or actually be employees of lenders. A mortgage broker acts as an intermediary between you and mortgage lenders, helping you find the right mortgage product for your needs. A mortgage broker or any other lender will generally have paperwork for you to fill out and questions to answer to see how they can best help you. If you have questions, be sure to ask for assistance. Many times they will allow you to go through this process online.

A good place to start looking for mortgage brokers in Texas is in your local chapter of the Texas Association of Mortgage Brokers. At this time the mortgage broker will also run a credit check, explain it to you and show you how you can make improvements in your situation in order to better obtain a Texas mortgage loan. Getting a Texas mortgage loan for you are financially beneficial to the mortgage broker or lender, so they will use their experience to help you fill out the forms properly. Texas mortgage programs will still ensure you can take advantage of the home value appreciations currently on an upward trend in this state. A mortgage loan company would be able to offer suitable loan options like lower rates for clients with excellent credit rating or no- income verification loans for self- employed individuals having good credit history. Texas mortgage loan companies can be agents between the client and the lenders or they can be the lenders also. Texas mortgage loan companies also offer refinance mortgage loans for clients who are planning to decrease their current loan burden.

However, many people get preapproved for a loan, either online or offline before they are ready to buy and that expedites the process of getting a Texas mortgage loan. There are several kinds of mortgage loans available in Texas: FHA( Federal Housing Administration) loans, land loans, consolidation loans, conventional loans, balloon loans and special loans like hard equity loans, 100, interest only loans% cash out refinance, commercial mortgage loans, construction loans, farmers home loans, no PMI( Private Mortgage Insurance) loans, vacant land and acreage mortgage loans and cross- collateralization of properties. Saving time is always a good thing. Whatever method you choose, getting a Texas mortgage loan is easier than ever, so enjoy your new home.

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Also, Your Joint Tenancy With Another Person May Prevent Your Children From Inheriting Such Joint Assets - Finance and Financial Planning Articles:

If you are a woman, and have assets, are financially secure that you expect to pass on to people you love and care for, you must make a suitable estate plan.

The Policy Has A Large Loan - Finance and Financial Planning Blog:

Most people do not know they can sell an insurance policy. Even term insurance, which has no cash value, is a candidate for purchase.

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Are you a gambler?

Debt Settlement Or Negotiation Can Severely Damage Your Credit

Category: Finance, Financial Planning.

Debt negotiation, commonly referred to as debt settlement or debt elimination, is considered a specialty service mostly offered to people who" fall out" of a debt consolidation program, can t make the minimum payment of a debt consolidation program, or have large outstanding debts on which they haven t paid in the past 3 months. Once you sign up for a debt negotiation program you stop making payments to your creditors( if you were making payments) .

The main benefit of a debt negotiation service is that client s usually only pay around 50% of the amount they owe to their creditors. No payments are made to your creditors during your participation in the program. During this process of accumulation, the debt negotiation company is handling your creditor calls and negotiating with your creditors for a lower payoff amount. The debt negotiation company then either takes monthly payments from you, whom it stores up in a holding account, or it has you store up the money in your own account. Debt settlement or negotiation can severely damage your credit. Even though it is rare, if the creditor never agrees to settle, you end up with bad credit and in worse shape than where you were before. Many creditors will immediately forward your account to their legal department for collections and clients may find themselves faced with judgments, and even garnishments, liens.

To offset the bad credit problem, there are some settlement companies who include a credit repair service for a fee that will remove the negative items which were caused by the program. Fees for this service vary significantly from company to company so do your homework. Like bankruptcy, debt settlement may have a lasting impact on your credit report which will affect your ability to get credit at favorable interest rates.

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The Policy Has A Large Loan - Finance and Financial Planning Blog:

Most people do not know they can sell an insurance policy. Even term insurance, which has no cash value, is a candidate for purchase.

Their Attorney Was A Generalist - Tara Mayne's Finance and Financial Planning blog:

Ned almost lost the farm that had been in his family for 8 generations! Make sure you don t make the same mistake Ned did.

Many People Fail To Understand The Importance Of Estate Planning - Finance and Financial Planning Blog:

Many people fail to understand the importance of estate planning.

A Credit Card Interest Calculator Will Make This Step Easier

Category: Finance, Financial Planning.

Bad credit card debt can make your life miserable with worry and telephone calls from collectors.

No matter how bad your debt is, there are ways to manage it. It doesn t have to be that way. One of the best ways is to consolidate all of your debts onto one credit card. Debt consolidation using a bad credit card is a good choice for you if you: - are paying off several cards at once. - have staggered bill payment due dates. - sometimes make late payments because you forget a payment due date. - would like to pay less interest on your debt( sometimes as low as 0% ) While transferring all of your existing debt to one card won t reduce the amount that you owe, it can make your debt easier to pay off and manage in many ways. You need to check what s right for you but there are a number of cards available in the uK which offer solutions. When you transfer the outstanding balances from higher interest credit cards to a 0% balance transfer card, you could save yourself hundreds per year in interest payments. There s no guarantee that you ll save money when you use credit cards to manage your debt.

Of course, nothing is ever quite that easy. You ll need to work through your accounts and figure out if consolidation is the best option for you to save money. Figure out what you re paying each month. Here are some guidelines to help you figure out if moving your all your debt to one credit card is the right decision for you. Gather all your statements together. Also note how much you re paying each month, and total up the amounts to figure out how just how bad your monthly debt outgoing is.

Note how much you owe on each card, and the interest rate that you re paying. Compare balance transfer cards online. Make sure that you take into account associated fees to find out how much it will cost you to consolidate your cards in this way. Compare them side by side to weed out the best credit card for you. Figure out how much interest you d pay at your current interest rates. Figure out how much interest you ll end up paying if you continue paying off your debt at the current rates. A credit card interest calculator will make this step easier.

Compare the cost of transferring your credit card balance to the cost of paying off the credit cards you currently hold. When you sit down and make comparisons, you ll find it much easier to decide whether transferring all of your bad credit cards debts to one lower interest credit card makes sense for you.

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One Spouse Cannot Make Financial Decisions For The Other Spouse - Dianna Pouncy about Finance and Financial Planning:

Are you a gambler?

There Are Many Benefits To Having Your Money Problems Under Control - Finance and Financial Planning Articles:

I could only guess what a great feeling it would be to be totally out of debt. Although most people will have a hard time getting a handle on the money that goes through their hands if you plan everything right you most certainly can take control of your money.

You May Still Be Subject To State Gift Taxes - Finance and Financial Planning:

Doris from Minnesota is considering transferring her assets to her son so they won t be lost to Medicaid should she need assisted- living or nursing home care. One of the greatest financial risks seniors face is the rising cost of healthcare, including the cost of custodial care in an assisted- living facility or nursing home.

Parents Generally Face Challenges When It Comes To Estate Planning Needs For Their Special Children

Category: Finance, Financial Planning.

Parents generally face challenges when it comes to estate planning needs for their special children.

Planning and safeguarding the future of special kids requires in- depth knowledge of the federal laws that concern government benefit eligibility and the legal credentials such as trusts and guardianships. Finding a planning strategy that protects and safeguards the privileges provided to special child once his or her parents are gone becomes cumbersome. These strategies do not only include financial considerations with regards financial security, but also quality life. You should understand the educational laws and thus participate in your child s educational plans. This planning method also holds true for issues dealing with medical as well as specialized services and medical equipment. Planning for special children requires you to become a primary expert, or you may also seek help of a professional who deals in special needs estate planning.

Some estate planning help agencies are committed to serve families who seek help in estate planning tips for special needs children. Though lots of of these issues give an overwhelming impression, it is vital for you to spend some time with experts today to endow your child with a secured tomorrow. They walk through the maze by handling financial as well as legal complexities, while planning the future of such special kids. The primary way to protect such kids is by securing a special trust. They help families secure a quality life as well as lifetime care for their children or other dependents with special needs. This has a trustee who helps to preserve and protect the wealth for the benefit of the special needs child with special allotment rules that put a ceiling on the distributions to the special child. Some special needs children grow up to be normal adults who can handle their estates as well as manage their own finances.

This is done to safeguard his or her power to gain government remuneration. There are many agencies like MetDESK that help parents to handle special kids. In the survey it was noticed that majority of parents had more than one child who needed special care and majority of children were under 18 or under the age of 5 and only 27% were adults. A survey found that many special needs children were unable to manage their own basic needs and medical care. The survey revealed that children basically had more than one type of special need and close to half of the families indicated that their child faced severe emotional issues. Special needs children, need extra help and hence parents should work with finance advisors or specialists that help families, so as to make it safe in the case of both, lifetime care and quality of life for their children or other dependents. On an average the parents were in the age group of 43 years and above and had some college education earning an average income of$ 50, 000 annually.

The basic point handled should be with regards the protection of the eligibility of such kids to avail important government benefits such as Supplemental Security Income( SSI) and Medicaid.

Hence, It Is Very Easy To Start Charitable Trusts

Category: Finance, Financial Planning.

Businesses can gain immensely from charitable trusts, though these trusts are nonprofit organizations that are set up for the benefit of some other party.

It is not too difficult to set up a charitable trust either. That is the reason why most businesses are setting up charitable trusts for themselves. A minimum amount of$ 100, 000 worth in assets is enough to be eligible to set up a charitable trust. The following is a list of these privileges: - Charitable trusts will not cease to function even if they have not been able to fulfill their initial goals. In addition, there are several privileges that charitable trusts have. These trusts have what is known as cy pres, a provision that allows charitable trusts to change their beneficiary options if they are not able to meet the first one. - Charitable trusts can remain working perpetually, which is not the case with other organizations.

Even if there is just a philanthropic concept, charitable trusts are given permissions to start. Most establishments have a particular tenure after which they have to either renew licenses or cease to function, but charitable trusts can go on indefinitely if they so wanted. - Charitable trusts are given permissions to establish themselves even if their beneficiary options do not seem to be quite concrete. Hence, it is very easy to start charitable trusts. The charitable trusts do fulfill the noble intention of serving some beneficiary, which could be an individual, a group of persons or an establishment. That is what businesses do. At the same time, the charitable trusts help the owners to manage their resources well. These taxes can even be waived off if the established charitable trust is large enough in its scope. - Charitable trust owners are also benefited in terms of capital gains taxes.

The following is a list of benefits that the owners of charitable trusts are provided by the authorities: - Charitable trust owners are exempted from a portion of their estates taxes. In this way, charitable trusts help to increase the overall income of the owner of the trust. - In case of retirement or winding up of business, the charitable trust funds can be used as a sort of retirement benefit plan for the owner. However, it will also pay for the expenses of the owner. - Charitable trusts are very handy if there is a sudden demise of the owner of the assets. The charitable trust will continue to work as long as there are funds in it. These trusts will then appoint a living trustee- or the living trustee could be appointed during the lifetime of the owner- and this living trustee will undertake the proper disbursement of the assets among the survivors. An advantage of this arrangement is that the survivors do not have to wait for lengthy probate periods and nor do they have to pay heavy fees for legal procedures. This happens if no will is made, and in many cases, even if there is a will, the living trustee can supersede the will in some points.

That is the reason why setting up a charitable trust is a worthwhile idea when the person is still alive. Setting up a charitable trust is easier than setting up other organizations. It will help to improve assets during life, and will help to properly disburse assets after death. However, since the rules differ from one place to another, it is necessary to look into state laws before planning to go ahead with the idea of setting up a charitable trust.

Financial Planning

Financial planning.

Does the hard earned money really used for this purpose? Everyone needs money for his or her sustenance, comfort and old age. How many of us still try hard to make ends meet just to fulfill every months basic needs? How much is really too much money? When this is the case how can we save money from the meager income that we get? How can we grow or make optimal use of the finance that we normally handle? Who we are or how much we earn is of less concern as long as we can manage and plan our finances wisely.

Questions like this cloud our minds most often as we fail to manage our finances efficiently. A pauper can become rich and a rich man can suddenly lose his wealth if his financial planning is improper. They go in search of astrologers who will live out of them by changing their names and houses. Usually people blame their stars for their misfortune. They find solace in blaming others be it God or stars for their backdrop. We earn to live happily with comforts but we forget to pay ourselves for all the hard work we put in. we pay for everything in this world, do we pay ourselves for the service we do to our family, nation and society.

Insecurity and thoughts of one's future might lead to depression and frustration. "Make hay while the sunshine's" as the popular saying goes is the golden rule every human being should definitely follow. In the western countries they make it a habit to save 10% of their personal income for their own future use, a millionaire once said, "I am glad I am worth at least 10% of what I earn" . Jot down your financial position as of today. Better late than never, just sit with a planner and take stock of where you are now. Set long time and short time goals in life and set a imeline to achieve that goal in time. Attitude is very important in any major life changes that you might ncounter.

Then carefully think about how you can achieve the goal and what you can do to go where you want to go. Thus set your attitude as if you are planning a vacation. Financial planning is just like your vacation planning. So you first decide the vacation spot, and then set out to make reservations, then pack. your bag and then leave. First you should fix your target, then make certain changes in your life style, like cutting down your pizza or sacrificing your cigars, then pack up or wind up your extra expenses and start the savings plan when that is dome just relax and enjoy the fruits of your unparallel and diplomatic achievement. Financial planning provides the reassurance that your future in Canada and all around the world that secures you to live in the comfort as you would like. Your money will start growing and so will your self- esteem and self- confidence and finally you are efficient and capable to finance your kids higher studies or retire peacefully with the recurring income from the timely savings.