Topic 4: Monitoring and Adapting Financial plans Flashcards
what are the 8 factors of work life balance
- Job satisfaction and career development
- Hours of work and pay
- Levels of responsibility
- Relationships with family/friends
- Personal growth/development
- Life experience
- Health/well-being
- Financial security
What are the 5 steps in drawing up a budget
- identify all sources of income
- Identify and list all expenditure source
- decide on time periods
- Fill in figures
- calculate total income/expenditure
What is budget variance
difference between expected and actual figures in budget
free online planning tools
money advice services
money dashboard
debt advice foundation
money saving expert
paid online tools
you need a budget
moneydance
good budget
the key to effective monitoring
analysing cause of variance
How do efficient people keep records of plan
Keep accurate statements and receipts then compare
The envelope method
envelopes allocating specific bills to avoid unnecessary spending
Zero-based budgeting
Every penny is spent wise fully and purposefully
Opportunity cost
Value of what has to be given up to consume something else
what is zero based budget HQ
Online budgeting tool to help with zero based budgeting
Average length of long term plan
10 years
Interlocking time periods
overlapping budgets to ensure short term - long term success
Loan to Value
ratio of size of loan to the value of property
