A journey of a thousand miles begins with a single step; establishing financial awareness is the starting point of the road to financial management, and making your own financial planning is the first critical step on the road to financial management. Financial planning must be done Follow the following six steps:

Step 1: Know yourself

Before carrying out personal financial planning, what you must do is to understand yourself, and first ask yourself: Why do you want to manage money? What is the bottom line for your own risk? What do you want to achieve?

Step 2: Set financial goals

You can use "brainstorming" - write down all your wishes and goals, and then filter them accordingly. And subdivide the goals:

1. Divide according to the length of time: short-term goals (within five years), medium-term goals (within ten years), long-term goals (more than ten years).

2. According to different stages of life: first entering society, starting a family, family growth, family maturity, and retirement.

Step Three: Personal Asset Analysis

1. Review your asset status, including existing assets and expectations of future income and expenses, and know how much money you can manage. This is premise.

2. Develop a simple balance sheet and cash flow statement. Make a balance sheet and cash flow statement based on your assets, liabilities, income, and expenditures, and your financial status will be clear at a glance.

3. Asset analysis. Through the above basic work, you can calculate the asset-liability ratio, etc., and analyze your financial situation.

Step 4: Develop an action plan

1. Make strategic asset allocation, decide how to distribute personal or family assets based on the previous analysis data, and adjust cash flow to achieve the goal .

2. List the investment varieties currently available in the market, and select specific investment varieties and investment time based on self-analysis.

3. Implementation of specific action plans.

Step 5: Keep financial documents properly and establish your own family financial file

When carrying out financial planning, all important documents should be kept properly. Properly keeping financial documents is equivalent to taking good care of your own property and helps protect your own interests.

Step 6: Monitor financial management situation

You should check your financial management plan regularly, such as once a year, and make appropriate plans based on changes in subjective and objective circumstances. Adjustment.