My Personal Financial Plan
Currently I am a full time student, and senior, at majoring in Accounting and Finance. I do not have a part time job and do not plan to work until I graduate. I currently have taken out student loans to support myself through the rest of my college education. My parents pay for insurance payments for my car, cover my phone bill, and provide me with medical insurance. I pay for all the rest of my expenses, including rent, food, gas, and all other daily expenses. I currently have no investments and no substantial assets with a value of over $1000. I graduate in May and have signed a contract with KPMG to start work as an auditor in August after I complete the CPA. I …show more content…
Due to my large amount of student loans a large chunk of my money will go towards my student loans over the next couple years. I am highly leveraged right now because of my student loans. I also cannot make any investments right now because I do not have very much extra cash flow that is not going to be put into my loans. I enjoy living a life that takes risks as well as has a lot of cool experiences. This can be a problem if I injure myself and I spend a lot of money on fun trips. The first couple years my savings percentage will not be as good as normal due to the need to put funds into other areas. I have a personality of wanting the higher quality things that last longer. The better the quality, the more expensive the item is, which makes me spend too much money sometimes on items.
Opportunities The stock market is highly undervalued right now, which makes a good opportunity to make money at some point in time in the future. The accounting and finance profession has more jobs then any other industry in America. I should not have a problem always having a job no matter what the market is like. Threats Due to the poor economy, salaries are a little below the normal average for students just out of college. This will affect the ability to fund capital outlays that I will take on over the next year. The economy is predicted to continue to perform poorly for at least a few more years with no end in sight at this point. The