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Do you need financial planning help?

October 16, 2020 10:39 IST
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Anil Rego, CEO of Right Horizons, will answer your financial planning queries.

Financial advisor

Photograph: Kind courtesy

Mail your questions to with subject line 'Advise Me Anil' and Anil Rego will answer your queries to the best of his abilities.


Here's Anil's take on the five steps to chart out a failsafe financial plan

A good financial plan is a comprehensive picture of your current finances, your financial goals, and the strategies you set to achieve these goals.

It is important to take stock of your cash flows, savings, debts, investments and any other elements of your financial life.

You can do this on your own or with the help of a professional who can help you create a roadmap for your money so you can achieve your financial goals.

Here are five simple yet practical ways to make the perfect financial plan.

1. Compile your data at one place

Before you start financial planning, collating your data can accelerate your gallop toward a perfect financial plan.

It can also help account for your past investments, insurance details, retirement funds like PF or gratuity and other important aspects of your financials.

This balcony perspective can empower you to make more accurate plan.

2. Decide on DIY or using an advisor

Good financial advisors ask you the right questions about your finances and goals.

At the same time, do-it-yourselfers can replicate these mechanisms with information online. DIY is suitable for you if you have the expertise, time and the interest.

3. Review your current liabilities and investments

Re-evaluating the interest rates on your loans and aligning investments with your goals liberates you to pursue dreams that are relevant to you.

If your interest rates are higher, you can approach your bank to lower the interest rates or even refinance the loan from another bank.

This also involves reviewing your current investments and terminating ones that are not aligned with your financial goals.

4. Review your income and expenses

Mastering this basic is key to building a strong financial foundation. It can reveal ways to direct more to savings, investments, and debt paydown.

Furthermore, automating your regular cash flows can help you free up mental space for long-term returns rather than getting caught up in the short-sighted field of play.

5. Track your investments

Tracking your investments is as important as investing regularly.

It is a good idea to review your investments on a quarterly, biannual, or annual basis; which allows you to stay dynamic and relevant.

You may also redo your financial plans every three or five years based on market trends and new interests that you may have picked up.

Road-mapping your financial plan is only a matter of putting two and two together once you have established systems and mechanisms to make the plan viable, efficient, and easy.

Goals are great for setting direction, but systems are best for making progress.

Make sure you cushion your finances with the right systems for maximum returns when you are on your way to your financial goals.

Anil Rego is the founder and CEO of Right Horizons, an investment advisory and wealth management firm that focuses on providing financial solutions that are specific to customer needs. 

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