CASH FLOW MANAGEMENT

What is cash flow management?

Cash flow management is more than just a budget. It is a mechanism by which individuals manage the flow of income and expenses to ensure their non-discretionary obligations are met (e.g. bills, living needs), and empower them to understand discretionary spending patterns which ultimately provide a framework aimed to achieve the balance between debt management and wealth accumulation. For this reason, cash flow management is at the core of quality strategic financial advice. 

Ultimately, cash flow management will provide clients with the following outcomes: 

  1. Vision and Goal Setting – Not withstanding that some clients are under more financial stress than others, setting some lifestyle attainment goals is important. Through cash flow management, your clients should start thinking about what it is they want to achieve in life. 
  2. Identify Gaps – what does their current cash flow look like? Where is the money going? 
  3. Create Structure – provide clients with a framework to manage the flow of income to ensure obligations are met. By setting budgets, your clients can track their actual vs. target spending habits. Ultimately over time, this will drive behaviours. 
  4. Create Balance – Life is not just about survival! Good cash flow management looks at setting a balance between non-discretionary obligations and the attainment of lifestyle goals. Goal attainment – Through cash flow management, clients are more likely to create the capacity to achieve their lifestyle and financial goals.

Let us help you with your Financial Plan + Wealth Creation.

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Call 1300 061 818

Visit The Master Plan, servicing Sydney (based in Sydney's Inner West)

Suite 13, 136 Marrickville Road, Marrickville NSW