Taking control of your future means taking the necessary steps before it's too late. Whether turning 65 years is something that will happen in years to come for you or you have a few years before it does, it is crucial to have these three things in place when creating a financial safety net.
Age is nothing but a number, right?
Setting a financial plan leads to good money management, but it also means you need to think ahead. There are financial plans for a month, for five years and ones that will see you well into retirement.
However, when it comes to investments such as policies there may be an age limit due to the level of risk that comes with ageing. Starting early means securing your finances and also having access to some of these important policies while they are still affordable. The three things to have are:
Life cover
Some things are best left for tomorrow but having life cover is the building block to creating financial security for you and your loved ones. Furthermore, the sooner you have it, the more affordable it is as it becomes more expensive as you age.
According to statistics, South Africans are underinsured by R1.6 million, leaving many people financially exposed. Furthermore, 44% of people tend to overestimate the cost of life insurance delaying the process. It is possible to have access to cover starting at R149 in South Africa. You can also get an obligation-free quote to find out how much you could be paying.
Retirement fund
Retirement brings up thoughts of hanging ten at home, having paid off or travelling to places and doing things you have been longing to tick off your bucket list. However, only 6 out of 100 people in South Africa will be able to retire comfortably. If you are a woman, you will likely face a retirement that last seven years longer than the average man.
Not only does this mean that you will need enough saved up to sustain you without a salary, but it will also have to cover the needs of someone who may develop medical conditions that will need to be provided for.
Having a retirement plan is created to take care of your needs and sustain your lifestyle long into retirement. Furthermore, it will bring peace of mind knowing that you will not be exposed financially when it comes to taking care of your ever-changing needs as you age.
Funeral cover
Funeral cover is one basic thing anyone can have to create a financial safety net when it comes to financial planning. It will help you and your loved ones shoulder the funeral costs that can create a financial blow if not planned for.
Having these three things in place are the basic foundations for anyone looking to protect themselves financially along with their loved ones. Securing your future doesn't have to be overwhelming but can be achieved through the small steps you take today. You can request an obligation-free quote to have one of our consultants walk you through a plan that will be best suited to your journey of protecting your future.
