Personal Financial Management Research Paper Example | Topics and Well Written Essays - 750 words

Personal Financial Management - Research paper ExampleFollowing are my observations while reviewing the plan. During the first calendar week while I was reviewing the expenses, it was an eye spring situation that the major disbursement were on account of food stuff, clo function and spending leisure time. The perfect expenses were $1,312/- excluding my credit card lucrements, rental payments and groceries. I then thought for remedial measures to curtail my expenditure and associate come out of the closet the problem with the fact that if I start cooking myself, search for the discounted items and spend less to fagged leisure and by doing this I can not totally manage my finances, be intimate my life because precisely also go along something for the rainy day. While reviewing the data of the second week I far-famed that I certainly curtail my expenses on food stuff by 33% and the overall expenses trim back from $1,312/- to $ 850/- in second week excluding my house rent and credit card payments which shows betterment and my interest towards savings, but still the major expenses were made on account of groceries where I spent $223.83/- and for spending leisure I spent $118.81. I realized that the daily log is helping me in managing my finances and I in a flash checked my spending and realized that I must engage myself instead in some sports activities for spending leisure time rather to go to the massage parlor or some other places where I spend much more than sports and for the prosperous future I have to develop future goals and by realizing the importance of savings, I immediately create three stages of my future goals through which I can live a prosperous, happy and comfortable life and the stages are Short Term addresss, mean(a) Term Goal and Long Term Goal. Short Term Goals are those that can be achieved within a course of study and can increase my future saving. For e.g. If I bargain for a car it impart save my conveyancing cost and t he amount which I am expensing out every week will be saved. Intermediate Term Goals are those that can be achieved with in the period of 2 to 5 classs and includes things that will certainly increase my savings. For e.g. If I purchase house it will be a onetime investiture but it will save my monthly mortgage installment on which I have to pay interest. Long Term Goals are those that can be achieved after six years with no swiftness limit like my retirement plan which has no upper limit and more I save money during my employment, happier I will live my life after retirement. While selecting the amount which is to be expensed out on weekly basis in order to achieved the target, I set the priorities and assign education the highest antecedence with the weekly expense of $170/- and the total expense were of $420/- per week accumulating $1,818/- per month. My Intermediate Goals are several including purchase of house, starting own business, education and buy a new car. For this pur pose after thorough discussions with my friends, I have once again given highest priority to the education with the expense amount of $350/-per week accumulating $18,200 per year and by doing this much saving I will be able to achieve the college funds for my children by the end of 2016 i.e. in 3 ? years. My final goal is to save something for myself which can be used in case of need and this the financial plan helps me lot and by the help of the plan, I not only opted a semi retirement plan but also plan to save some thing for the cruise which I always aiming for and for the accomplishment of both the aims I have started saving $5/- per week for the cruise and $250/- per week for