Details

Autor(en) / Beteiligte

• McGuigan, Patrick J
• Eisner, Alan B

Titel

Paradoxes for Planners

Ist Teil von

• The CPA journal (1975), 2004-09, Vol.74 (9), p.14

Ort / Verlag

New York: New York State Society of Certified Public Accountants

Erscheinungsjahr

2004

Link zum Volltext

Quelle

EBSCOhost Business Source Ultimate

Beschreibungen/Notizen

• Effective financial planning requires people to forgo immediate gratification for the delayed reward of financial success. Knowledge of planning must be combined with an understanding of human decision-making. Knowing what one wants is difficult. Individuals that have problems with self-control have problems with wealth accumulation. Mental accounting describes how many people separate money into different accounts and categories within their minds and develop rules about the expenditures of money in these accounts. Planning is about process, not outcomes. There is no way of seeing 30 years into the future with any certainty; nonetheless, the planner must strike a balance between today's resources and tomorrow's needs.