The effects of Islamic financial planning towards financial position: a case study in Shah Alam, Selangor / Nur Irdina Che Mohd Marzuki

Personal financial planning often known as financial planning, is defined by the Certified Financial Planner Board of Standards as the “process of assessing if and how an individual may fulfil life goals through the effective management of financial resources.” This method includes developing a financial plan with the goal of achieving the individual’s goal from one’s current circumstances to desired, future aspirations. Financial planning is a difficult process in which the decision maker must evaluate abstract and dynamic notions such as risk and financial instrument correlation. Individuals frequently make sub-optimal decisions when selecting a financial portfolio due to cognitive constraints, according to empirical and laboratory research in economics and finance. The researcher discovered that all effects are related because when they have a solid financial situation and are free of financial problems, they are able to transfer their riches to the needy while also being able to satisfy their lives with whatever they want and reward themselves. After determining what you require to live a financially healthy life, you can develop goals to help you improve your financial situation. This research conduct to know about how residents in Pangsapuri Baiduri, Shah Alam manage their finance, is it by themselves or use the services of financial advisor. Besides that, this research are very important to know about current situation financial in our society. This research was conducted using two methods which are qualitative and quantitative method. The questionnaires are distribute to residents at Pangsapuri Baiduri, Shah Alam, Selangor.