ESSAY

Jessa Tabangin
BS Pharmacy III

1. What additional information should Daniel have available when planning

his personal finances?

 A financial plan will safeguards Daniel against life’s surprises. It includes

details about your income, savings, investments, expenditures, debt and
insurance. It helps you to pay off any debt and save for a mortgage, an
emergency found, and your retirement. Personal financial planning
requires a set of financial benchmarks to be met before you start saving
towards your lifetime financial goals. These include getting out of debt,
saving up for an emergency fund, and making sure you are properly
insured.

2. What other goals might be appropriate for Daniel?

 Creating a financial plan requires quite some time, but it’s worth it. The
first goal that might be appropriate for Daniel is to establish his own
personal financial planning goals. He must think or question himself about
what kind of life he would like to live in the future. Second is to
prioritize his goals, it’s important to prioritize your savings goals to match
the different stages of your life. Last is to create a budget, once you’ve got
an idea of where you’re headed, it’s important to take a good look at your
current financial situation.

3. What additional alternatives might Daniel consider?

 Developing alternatives is crucial for making good decisions. Although

many factors will influence the available alternatives, possible courses of
action usually fall into these categories: Continue the same course of
action, expand the current situation, and change the current situation.
 Take a new course of action. Not all of these categories will apply to every
decision situation; however they do represent possible courses of action.
Creativity in decision making is vital to effective choices. Considering all of
 the possible alternatives will help you make more effective and satisfying
decisions.
4. Daniel Keene must consider his income needs as he evaluates his
alternative courses of action. Should he go straight to the residency? Or
should he work a year in a community pharmacy first? What risks and
trade-offs should Daniel consider?

 Daniel need to evaluate possible courses of action, taking into

consideration of his life situation, personal values, and current economic
conditions. I think working in community pharmacy first would be the best
decision for him. A decision to go to school full time may mean he cannot
work full time. Daniel must need to work and pay his student loans more
quickly, because there is possible to increase interest rates, which will
have a negative impact in repaying his debt.
 Daniel should consider the risk of selecting a college major and choosing
a career field. What if he don’t like working in this field or cannot obtain
employment in it? In many financial decisions, identifying and evaluating
risk is difficult. The best way to consider risk is to gather information based
on your experience and the experiences of others and to use financial
planning information sources.

5. Daniel Keene has decided to work full time for 2 years to pay down his
student loans and to purchase a home. What are the benefits and costs of
this course of action?

 The benefit of this action is he can pay his students loan and purchase a
home quickly. The cost of this course of action is his lifestyle will be
change, he must decrease his spending in certain categories like eating
out, going on vacation and etc.

6. Over the next 12 months, Daniel Keene should review and reassess his
educational, financial, and personal situation. What circumstances might
affect his need.

 Financial planning is a dynamic process that does not end when you take
a particular action. You need to regularly assess your financial decisions.
Changing personal, social, and economic factors may require more
frequent assessments. When life events affect your financial needs, this
financial planning process provide a vehicle for adapting to those
changes. Regularly reviewing this decision making process will help you
make priority adjustments that will bring your financial goals and activities
in line with your current life situation.