What is financial planning?

Financial planning is the process of creating a roadmap to help an individual or household achieve their financial goals. It involves analyzing current financial situations, setting financial goals, and creating a strategy to achieve those goals. Financial planning takes into consideration various aspects of an individual's financial life, such as income, expenses, debt, savings, investments, taxes, insurance, and retirement planning. A financial plan typically includes a budget, an investment plan, a retirement plan, and an estate plan. The ultimate goal of financial planning is to help individuals achieve financial security and peace of mind.