We are all set to celebrate World Financial Planning Day 2020 on October 7. This is held as a part of World Investor Week which would take place between 5th-11th October 2020. This year the Financial Planning Standards Board will host the fourth annual World Financial Planning Day with a focus on financial literacy and the future of financial planning in the new normal of COVID-19. 

Noel Maye, CEO of FPSB said, “As we continue to deal with a global pandemic, more people are feeling life and financial stress, looking to an uncertain future while dealing with a volatile present. This year, it is more important than ever to raise awareness of how financial planning can help people prioritize and address short-term needs, framing those actions in the context of longer-term goals. Recognizing that the pandemic requires near-term adjustments which might overshadow long-term plans, our global campaign theme – Live Your Today. Plan Your Tomorrow – demonstrates how financial planning can help us make financial decisions that keep us on track for the future we envision.” (source: PRNewswire)

Upholding the spirit of this year’s World Financial Planning Day, we’ve put together a few suggestions to help you plan for a better financial future in 2021. Let’s take a look – 

1. Review Your Plans – Many of you reading this might already have well rounded portfolios with a strategy or plan to manage your wealth and savings according to your goals. However, a global pandemic is sure to have put some roadblocks on your way to financial freedom. Even if all your investments seem fine and there isn’t a dip in your returns, now is a good time to review your financial plans and understand how the current situation might affect you in the near future. With markets all over the world facing tough times, it’s always better to be doubly sure that your financial plans are ready to deal with any unfavourable conditions arising as a result of the current situation.                                                      
2. Bolster Your Savings – If you don’t have an emergency fund yet, perhaps the current scenario is a good reminder of why we all need one. For those of us who already have such a fund in place, assess if you should make some adjustments to ensure you are financially stable in case of any unforeseen event taking place. Keep in mind that while there are countless external factors that you can’t control, you always have control over the amount of effort you put into building your emergency corpus.                         
3. Avoid Overspending – Whether we like to accept it or not, all of us are guilty of overspending every now and then. However, if this habit goes unchecked, you risk putting yourself in a situation where you might not have money when you need it, especially if you don’t have a robust emergency fund as discussed earlier. For the time being, keep your credit card bills in check, make smart choices when making any purchase, and avoid making expenditures that you can avoid.                                                             
4. Put Surplus Funds To Good Use – If you have surplus funds in your bank accounts, put them to better use rather than letting it remain idle. If you’ve already reviewed your portfolio, you will be able to identify opportunities to make more investments and put your money to good use. Depending on your risk appetite you can choose to invest either in equity or debt based investments.                                                            
5. Seek Professional Advice – Lastly, there’s no better time to speak to a Certified Financial Planner than now. With the year almost coming to an end, this is a great time to let a professional take a look at your plan and give you an unbiased opinion on how you can plan for your future goals. With 2021 only a few months away, a certified financial planner can help set you up for a fruitful journey to true financial independence. 

Happy Planning!