Common Mistakes in Personal Financial Planning
The following are some of the common mistakes made by consumers in their approach towards Financial Planning
Feel to be planned
Don’t set measurable goals.
Make a financial decision without understanding its affect on other financial issues.
Confuse Financial Planning with investing or buying financial products.
Neglect to re-evaluate their comprehensive life situation in one go.
Think that Financial Planning is only for the wealthy.
Think that Financial Planning is for when they get older.
Think that Financial Planning is the same as retirement planning.
Wait until a money crisis to begin Financial Planning.
Expect unrealistic returns on investments.
Think that using a Financial Planner means losing control.
Believe that Financial Planning is primarily tax planning.
Plan things in isolation, like – Insurance, Investments, Retirement, PF, etc