Financial Planning

What are your short-term and long-term goals?

Financial planning Take one minute to think about your goals in life.

What do you hope to achieve financially and personally, how much will it cost? Whatever your specific needs, setting up a financial plan is one of the first steps towards achieving your goals.

What is Financial Planning?

In essence, financial planning is the process of meeting your goals in life through proper management of your finances. Through proper planning and efficient use of your savings or assets, you will be able to achieve a financially secure future.

Why is it important?

Think of financial planning as a road map to different stages of your life. Each family, regardsless of size, has individual and collective goals, but how can those goals be achieved without a financial plan to funciton as a guide?

Your goals in life can include buying a car, a home, saving for your child's education or retirement. Without clear direction, you may face difficulties in obtaining financial security.

Therefore, with proper financial planning, you can have peace-of-mind in knowing that your savings will grow accordingly.

The life stages of an average Bruneian

Take a look at the level of commitment shown in the stages below. This will help you gain some understanding as to why financial planning is so important.

The life stages of an average Bruneian

When should you start?

Whether you intend to use your funds in the short term or save it for rainy days, it is never too late to start saving. If you invest a little at a time, it adds up to a big difference. A smart savings plan and a good investment strategy will allow your money to work hard and grow for you.

Year

Mr. Early

Mr. Late

1	1,000
2	2,040
3	3,122
4	4,247
5	5,147
6	6,353
7	7,607
8	8,911
9	10,267
10	11,678	1,000
11	13,145	2,040
12	14,671	3,122
13	16,257	4,247
14	17,907	5,147
15	19,623	6,353
16	21,408	7,607
17	23,264	8,911
18	25,195	10,267
19	27,203	11,678
20	29,291	13,145
21	31,463	14,671
22	33,722	16,257
23	36,071	17,907
24	38,514	19,623
25	41,055	21,408

The table is based on 4% projected annual returns for BND1000 yearly investment. As you can see, the difference in starting 9 years earlier can be significant.

How do you begin?

To start the simple process of financial planning, follow these five steps:

How do you begin ?

So take a minute to define your personal goals and discover the best financial position to achieve them no matter how big or small your goals may seem!