Matias Bravo
Personal & Family Financial Planning
Dr. Dwayne Wilson
May 7, 2015
Financial Plan
Lifetime Projections
1. A list of your top five financial priorities for the rest of your life.
My top $ve $nancial priorities for the rest of my life are: being able to buy a car, being able to
buy a house, being able to get married and maintain $ve kids, being able to have enough money
to help all my family and friends, and being able to have enough money to help my whole
country and the most people I can.
2. Short-term, intermediate term, and long-term financial goals, which are specific and
measurable.
Short term goals are to graduate and get a job. Intermediate term goals are to get an MBA in
Germany and then come back to the US and get a job. Long term $nancial goal is to being able to
create a big institution in Chile where people can study and have a great education for free.
3. A description of your a!tude toward risk.
We can $nd risk in almost anything in life. Financially, risk is fundamental to investing. Any type
of return or performance has at least a li1le of risk involved. Normally in an investment, higher
risks are accompanied with higher returns and vice versa.
Personally I am a low risk person. I prefer to take low risks, even though the return might be
smaller and long term. I a li1le bit scared of higher risks, but I know that sometimes you have to
take a bigger risk to get what you want, in life and in finance.
4. A description of your a!tude toward debt
My a3tude toward debt is very simple and I do not think it needs too much explanation. I think
can be good and bad. It will all depends if you are responsible and mature enough to ask for
loans. Also, sometimes being in debt can be because of emergency and unexpected reasons. If
you or a familiar has an accident, being in debt based on medical conditions is more than
understandable, because life has to be priority number one.
If someone is just spending money that does not have (in material unnecessary things) using
credit card and loans, is an irresponsible behavior that should not be done.
I cannot said if I will never ask for loans or I will never be have debts, but I can say with certitude,
that I will try my best to always buy what I can a7ord to buy and only ask for loans if the reasons
are very important.
5. A summary of the investment strategy you plan to follow.
With my discretionary income I would like to save money for my family’s education, savings
account for any type of emergencies, retirement, and a special savings account to start my own
company in the future, and also I would like to invest in stocks with the le9 over income.
6. Lifetime projections including marriage plans, children, planned career, income level at various
career stages, plan for trading automobiles, plan for purchasing houses, and planned loans.
I am planning on buying a car a li1le bit before graduating or right a9er graduating. Then sell it
when going to Germany. In Germany I won’t need a car. When coming back to the U.S in 2019,
buy a car. Every 4-5 years I would like to renovate my car.
I am planning on purchasing a house in Chile in the year 2020 and planning on getting married
around 29-35 years old. I want to have my $rst kid at the age of 28, second kid will be adopted at
the age of 29, third kid will be at the age of 30 and forth and last kid will be adopted at the age
of 31.
If I have a good economic situation, hopefully, the only situation I will have to ask for a loan, will
be when I purchase my house.
Planning to create an institute or small university in my country, when I have enough money
saved. In this case I would de$nitely have to ask for a loan to be able to create what I want to do.
7. A personal income statement for the current year, a personal income statement for the year
you become 65, and a personal income statement for years in between, which are no more
than ten years apart. The projected income statements should reffect your career plan and
expected income as well as expected expenses. The general format of an income statement is:
Income – Expenses = Net Income.
Personal Income Statement
For The Year Ended 12/31/2015
Income:
School Job: $200.00
Tax Return: $500.00
Summer Job 1: $2000.00
Total Income: $2700.00
Expenses:
Flight ticket: $350.00
Food: $200.00
New Cleats: $150.00
Extra Expenses: $500.00
Total Expenses: $1200.00
Net Income: $1500.00
Personal Income Statement
For Age 25-26
Income:
School Job: $800.00
Tax Return: $400.00
Job a9er Graduating: $8,000.00
Job in Germany: $1,000
Total Income: $9,300.00
Expenses:
Food: $300.00
Car: $2,000
Flight Tickets $1,500.00
Housing in Germany: $800
Car Insurance: $500
Car Tag: $300
Extra Expenses: $600.00
Total Expenses: $6,000.00
Net Income: $3,300.00
Personal Income Statement
For Age 26-27
Income:
