Financial planning - Financial definition
Concise definition of the term financial planning
Financial planning is the process of setting goals, evaluating financial resources, and creating a roadmap to achieve long-term financial stability and success.
Comprehensive definition of the term financial planning
Financial planning encompasses a comprehensive analysis of an individual's or entity's current financial situation, including income, expenses, assets, liabilities, and future financial objectives.
It involves creating a strategic plan tailored to the client's unique circumstances, which may include retirement planning, investment management, tax optimization, estate planning, risk management, and education funding. Financial planners use a variety of tools and techniques to develop and implement personalized financial strategies, aiming to optimize wealth accumulation, mitigate financial risks, and ensure financial well-being across different life stages.