Question

Mariah is single and has a monthly disposable income of $3,200. Her monthly cash outflow is approximately $2,800. Mariah includes contributions to a retirement plan and money for investments as part of her cash outflow. She has car insurance and a life insurance policy. Mariah has saved $15,000, but wishes to use $10,000 for a down payment on a house. She has also purchased furnishings for a house, which she has in the spare bedroom of her apartment. Mariah hires a financial planner to examine her money management, and he determines that her plan needs work. What part of Mariah's financial plan would he encourage her to work on and why?

Answer 1

the part of her plan that needs to be worked on is putting 10,000 down on a car. she should start off slow

Answer 2

Mariah is single and has a monthly disposable income of $3,200 and her monthly cash outflow is approximately $2,800.

Mariah includes contributions to a retirement plan and money for investments as part of her cash outflow. (This is a good plan)

She has car insurance and a life insurance policy. Mariah has saved $15,000, but wishes to use $10,000 for a down payment on a house. She has also purchased furnishings for a house, which she has in the spare bedroom of her apartment.

When she hires a financial planner, he should encourage Mariah to protect her assets. As she is planning to buy a house, she should have renters insurance for her apartment in case of an emergency.