Financial planning converts goals into a relevant action plan or investment calendar, which further provide a direction and discipline for achieving business or life goals. To help IT traders and channel partners plan their financials more efficiently, Trade Association of Information Technology (TAIT), organized a knowledge series workshop on the twin themes - ‘how to set financial goals for your business and most suitable options for personal savings and investments’ and ’stress management’. The session on Financial Planning and Management was conducted by Shilpa Wagh, SEBI Registered Investment Advisor while Hemali Mehta, Image Consultant and Soft Skills Trainer at Image4personna addressed delegates on the theme of Stress Management.
Elaborating on financial goals Shilpa Wagh, SEBI Registered Investment Advisor said, “Financial Planning is an on-going process to help executives and individuals make sensible decisions about money to achieve their goals in business and in personal life. It’s not just about buying products like an insurance policy, opening a pension account or subscribing to a mutual fund. It is an important aspect as we are surrounded with challenging situations such as business uncertainty, job insecurity, payment of EMIs, all leading to a stressful life, increased medical costs and lowered life expectancy. Therefore, financial planning is a critical element in paving the way for smooth business operations and a secure future.”
Wagh discussed about the application of Maslow’s Hierarchy of Needs theory to financial planning for stability, financial freedom in estate planning, retirement planning, goal-based planning, risk planning, and contingency planning.
The planning of a business’ or individual’s financial journey begins with introspecting the cash flow requirements, consolidating data on the assets and liabilities, preparing the complete list of goals and transitions, and estimating the cost involved for each goal in today’s terms. It is important to analyze the calculated future cost of goals based on inflation, mapping current assets to goals, finding the gap between required and provided amount, planning for investment opportunities and products based on risk appetite, time horizon etc. It also involves time-bound implementation and frequent monitoring.
Mehta added that unduly high levels of stress make individuals prone to contracting diseases such as cancer, hypertension, heart ailments, depression, hair loss etc. It is important for individuals to take challenges on the business and personal front positively. A positive attitude increases efficiency in the workplace and does not adversely impact relationships, whether professional or personal. Activities such as yoga, regular exercise, giving time to oneself for indulging in any of their hobbies helps everyone better manage stress.
In fact, behavioral psychologists say that 80 percent of stress is manageable. Individuals should invest time to prioritize and plan work, in order to save time and avoid stress due to last minute rush to meet deadlines. Executives should focus on business priorities, learn to delegate and shake off procrastination.
Rushabh Shah, President, TAIT said, “We make an effort conducting workshops on relevant topics that will benefit our members in their business operations. It is a pleasure to see that our members enthusiastically participate in these workshops. My key take-away from today’s workshop is that ‘failing to plan is planning to fail’.”
TAIT members who participated appreciated the workshop topics selected by the association, which aids them in managing self and businesses more effectively and efficiently.