Actionable Wealth Management In Five Simple Steps


What things happened that have pulled me further away from my financial goals?

As we step into adulthood with a salary based job and tons of student debts, it becomes necessary to sort our finances and pay our debts as quickly as possible.

Financial and wealth management is more than about smart spending. Management wealth is aimed at the growth and maintenance of your wealth and net worth. Wealth management in its true sense can only be achieved through actional plans!

Five Simple Tips To Create an Actionable Wealth Management Plan

  1. Individual and Separate Wealth Management:

Individual and separate management is one of the aspects that should stay a part of your actionable plan throughout your life. This aspect is concerned with money consumption and savings for an individual’s plans and goals.

This can include your travel goals, short- term expenditure, debt payments, etc. Shortly, even if you partner up an account with your companion, individual wealth management helps you promote a better financial status.

  1. Lofty Goals in Smaller Chunks:

Dreaming big is not the issue, however, keeping unrealistic expectations about it is the issue and the major obstacle in the way as well. When it comes to financing, it’s hard to say I will save $10,000 in the next 8 weeks without any calculation. Similarly, planning your lofty goals such as retirement, owning a house, or other assets should be managed in smaller chunks, keeping in mind the tax and interest you will need to pay on the purchase.

  1. Well-defined Wealth Investment Objectives:

Investment is an indispensable part of wealth growth apart from your own earning. Investments bring long term benefits especially at the time of retirement, paying off debts or any other big plans. As you have heard patience is bitter but the fruit is sweet.

If you have enough money or at least 30% more in your account apart from the emergency expenditure then you are good to go for investment planning. The 30% is just a rough figure, and the amount depends on the sector you want to invest in.

The most common areas of investment include the stock market, real estate and small business. While investing in a project your objective should be well defined such as:

  • Weather you are investing for a specific goal (marriage, further education, travel, paying off debts, insurance)
  • How long do you want your money invested?
  • How much is your margin to bear losses?
  • The probability of profit vs loss (how much risky is the investment)
  • Can you pull out the investment anytime you want?
  • If you pull out, would you lose some money, what would the interest rate?
  1. Taxation Plan:

Taxation planning refers to the process of analysing a financial plan from a tax perspective to increase tax efficiency. The plan can save you a lot more than you can also think of it as an investment.

It is a legal route that you can take for reducing tax liability. For an efficient taxation plan, you will need the help of a professional or a financial advisor.

  1. Review Up Plan:

There is no shame in admitting that with time your financial/ life goals have changed priorities. After All, it’s your wealth management and it should favour your plans. There are a few basic purposes of a review plan:

  • It helps you see whether a specific plan is working or not.
  • It helps you see when to back off from a plan causing loss.
  • Helps you manage priorities back and forth with certain obligations.
  • Prioritize and shift wealth between plans.

The purpose of a basic review plan is to keep providing you insights every six months.

Article Review:

In the present economy, it has become necessary to associate yourself with finance management where you align your short and long term goals, create taxation and investment plans, create a space for personal spending all within your income.

You can track your plans with a planner, whether you create a document or use the easiest guardian wealth management features to get in touch with your finances any time of the day.