Scotland’s future, planning & the vote

Financial planning requires attention before major events occur.

07:40 24 June 2013

One of the UK government ministers has declared that it makes no sense to plan for something which hasn’t happened, referencing the vote on whether or not Scotland should be independent.

While there are certainly times when planning before you know the outcome doesn’t make a lot of sense, when it comes to financial planning the opposite seems to be true.

• Savings—this is part of your typical financial planning that shouldn’t be neglected. Whether you’re just starting out on your own, still living at home, or have a family of your own this is a crucial aspect to success, but you do have to set up a plan for savings before anything will happen.

 

• Monthly budget—this is another part of financial planning that is essential, and it’s also best to do this before you’re on your own. Listing expenses and income gives you an idea of how much you’re able to comfortably spend on things such as utilities and housing costs. Without taking that into consideration you could end up paying much more than you expected and not being able to meet your other bill commitments.

 

• Investing—this can be done at any time, and if you’ve already invested you know the type of extensive financial planning that was required. Making educated choices is necessary when dealing with investments. Even if you have an investment portfolio that is managed by someone else, you most likely want to know what to expect, and may want to give input from time to time.

 

• Retirement—while you may not be retiring for another thirty or even forty years, it’s important to set goals and begin pensions as part of successful financial planning. Leaving these types of plans until after retirement would be ludicrous. Again, it’s one of those planning scenarios that need to be done before the actual event occurs.