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Hca 210

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Axia College Material
Appendix B

Personal Financial Planning Worksheet

Directions: Based on your readings and discussions in class this week, answer the following questions completely.

1. The process of creating a detailed plan to meet your financial needs and prepare for the future is called: a. Developing goals. b. Personal financial planning. c. Collecting financial information. d. Personal finance.

The answer is B, It prepares you for the future and your financial needs. This includes in it developing goals, and more so the answer is B.

2. Which of the following is not one of the five major steps of the financial planning process? a. Analyze your current finances. b. Establish and implement your plan. c. Collect and organize your financial information. d. Reevaluate and revise your plan as needed.

The answer is C, this is not a major step of the financial planning process.

3. Which phase in life is commonly associated with focus on marriage, family, purchasing a home, and career development? a. Teenage years b. Between your 50s and 60s c. Late 20s through your 40s d. During retirement

The answer is C, This is where everything most of the time begins. At this age more things start to happen in our lives and we start to think about or focus on all of these things.

4. Which of the following are some benefits of having a college degree that can affect your financial planning? a. The potential to make a higher salary b. Jobs with retirement plans and benefits c. The ability to receive promotions and wage increases d. All of the above

The answer is D, if we have a college education we can achieve all of these and more, we are always on step ahead if we have a college education.

5. Which of the following elements of a comprehensive financial plan discuss analyzing future needs, such as saving for retirement or college funding for dependants? a. Building wealth b. Securing basic needs c. Establishing a firm foundation d. Protecting wealth and dependents

The answer is A, Building wealth is when you start to think about retirement and college funding for dependents.

6. People have different styles when it comes to handling their money. List the two things that affect our personal beliefs and opinions about financial planning.

Financial planning is a very important thing that everybody should look into. If you follow this planning you can support your family in better ways. You can also be prepared in case of anything. It makes you more aware of reality and how things really are or function.

7. Which element of the comprehensive financial plan focuses on your housing needs, setting aside money for emergencies, and establishing a career path?

This all falls under the securing basic needs. We always have to be aware of theses thing and keeping them in mind. We also have to separate our wants and needs. In this category we have to make many important decisions.

8. The economy is unpredictable and can affect your personal financial planning. List one factor in economic conditions that may affect your financial future.

It can affect me and make a dramatic change if I lost my job or if they paid me less money. Then I would have problems paying my bills and things. But the economy can get better. If it got better I would be able to get paid more money and I would be able to get more things or save up money for important things.

9. Which step in the five-step financial planning process requires you to organize your financial information, create personal financial statements, and evaluate your current financial position?

It’s the first step, which is analyzing your current financial position. It’s important because we need to know the exact amount of things and where we stand economically wise. In this step in makes us be more aware of what we can do or not.

10. Step five in the five-step financial planning process discusses the importance of regularly reevaluating and revising your plan because personal circumstances often change. List two life changes that may require you to update your financial plan.

A couple things that makes you do this is marriage, children, circumstances in a job or job’s, or graduation. There is many more things that can make you do step five, these are some. These are important changes that we have to be aware of and think about. In my opinion, children might be the biggest reason why to do step five. Children bring a big expensive packet with them. This is just my opinion.

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