To make it easier for you to prepare meeting materials, we’ve developed these slides on how to help a client start the process of managing her cash flow. The presentation is in a Word file to make it simpler to customize the content to your client’s needs.
Enjoy, and we hope this offering helps enhance your client meetings.
Introduction to cash flow management
Some people say managing spending is as simple as spending less than you make. But cash flow management is about more than simple math.
Like financial planning, one of the main goals of cash flow management is to achieve specific savings goals. As well, one of the main purposes of such planning is to determine whether you can change any current spending behaviours to achieve the lifestyle you want in the future.
3 reasons cash flow management is right for you
#1: Tracking cash flow works for everyone
Whatever income bracket you fall into, tracking cash flow can help you better manage your debt and spending.
Often, even advisors who are helping clients through the process commit to their own cash flow management plans. That way, they can answer clients’ questions and understand people’s challenges throughout the process.
#2: You can end bad habits
Without changes in spending behaviour, a budget does little good. The same goes for tracking spending, since that only involves recording history over the long-term.
Done properly, cash flow management involves subtly but effectively altering counterproductive spending habits.