13/07/2022
Preparation of a financial plan.
Now you accumulate information and know everything about your money. Move on to setting goals. They can be divided into three types:
Short-term (up to 1 year). They are aimed at solving current financial problems, for example, a vacation trip.
Medium-term (from 1 to 10 years). They are connected with large purchases: a car, an apartment, the construction of a summer cottage.
Long-term (from 10 years). They are aimed at creating savings that will ensure financial independence from the state and support children in old age.
The financial goal should be formulated specifically. Then it will immediately become your financial plan.
Wrong – "I want to buy a car."
That's right – "I want to buy a car of such and such a brand in three years, which costs 800 thousand today, but over time it will probably cost more because of inflation. To do this, I will save 25-30 thousand rubles every month, so that my savings amount to 300-360 thousand a year, and as a result 1 million rubles."
Creating an "airbag"
There are a lot of force majeure situations in life, because of which incomes can sharply decrease or disappear altogether. For example, a long-term illness, loss of a job or a change of field of activity. At the same time, the costs will not go anywhere. You will still have to pay for utilities, buy groceries and clothes.
In such situations, the "airbag" is useful. Its size should be enough for 3-6 months of the usual standard of living, even if during this period you will not have any income.
The most classic way to accumulate a "cushion" is to set aside 10-15% monthly from any receipt of money. If you follow this rule regularly, you will quickly accumulate the necessary amount. The main thing is not to take money from this fund for everyday expenses and impulsive purchases. Also, this money is not worth investing, since there should always be quick access to it.
Selection of assets for investment.
When you have a reserve fund, keep saving. This will be the surplus that needs to be invested. If you keep it at home and do not invest it anywhere, then it will decrease annually by the percentage of inflation.
For any investor, there are three things that are most important when investing money: profitability, reliability, and liquidity. The higher the potential return of an asset, the higher the risk, that is, less reliability, and vice versa. Liquidity indicates the ability to quickly sell or buy an asset. If it is low, then there is little demand for the asset.
When you save money for a vacation, you need reliability and liquidity – a quick opportunity to turn an asset into money. Reliability is more necessary for the airbag. But for long–term savings - profitability. As a rule, this is the capital that you save up for old age.
What investment instruments can be:
-Bank deposit – reliability, high liquidity, low profitability.
- Bonds are reliable, low yield, but at the same time higher than deposits.
-Stocks are one of the most profitable financial instruments, but with high risks. If there is not enough experience, then it will be difficult to choose shares of a particular company. The liquidity of each company is different. For example, Gazprom has a high price, while Nizhnekamskneftekhim has a low price.
-Mutual funds – mutual investment fund. This is a set of assets managed by specialists. By buying a share of such a fund, you become its contributor. This option is suitable for those who do not want to independently select stocks and bonds. Mutual funds have different levels of risk, which depends on the set of assets of the fund.
-Trust management. Suitable for people with large capital. An investment manager is hired here, who manages the client's funds and collects an investment portfolio for him. The services of such a person are expensive, so asset management is not available to many people.
Briefly.
- Keep records. No expense should be ignored. So you will see the whole picture of your budget and understand how to optimize the management of personal finances.
-Try to predict earnings and expenses. This will help to properly assess the opportunities and prepare for large purchases.
- Set goals. When you have a goal, you will be able to make a financial plan to achieve it, and it will become easier to save, knowing what schedule it needs to be done.
- Save up for a rainy day. This will help not to borrow money if there are problems with work or health.
- Invest. Any capital, if you keep it under your pillow, will sooner or later be eaten by inflation, so invest, taking into account the tasks, deadlines and risks.
