Saturday, November 13, 2010

Dependers, Spenders, Accumulators & Preservers; who are they?

DEPENDENTS - Children are the joys in life and we are the key to their future. Helping them achieve their dreams by planning for their financial future. This is a very important and early Life Stage. It is an opportunity to provide security and peace of mind for those who are so near and dear to you and depend on you. If you have young dependants, you may want to start saving for their university education as early as possible. You may also want to be well protected should something unexpected happen to you, such as a serious illness, disability, accident or even premature death. Why? Because with adequate coverage, you can ensure that your loved ones can afford to go on living in the family home and maintain their standard of living, and that your children’s education is assured.

SPENDERS or Savers? You may be young and single, starting out on your career or enjoying married life before children come along. Fulfill your aspirations by planning for your financial future. You may want to provide adequate protection, especially if you have just got a place of your own. With the financial commitment of a housing loan, as well as other debts, you will want to consider whether you or your family can pay off the outstanding loan should something unexpected happen. Also, this is a good life stage to begin developing skills in the areas of saving and investment. Why now? Because this is the stage in life where you begin to think about a plan to help you fulfill the goals you want to achieve as you grow financially.

ACCUMULATORS - You have worked hard to make adequate provision for yourself and your family. Your career is advancing ... are you also advancing financially? Now you can think about saving and investing for the future — and it pays to start early. Probably, your children may have grown-up, so you can stop worrying about providing for them and start planning for improving your own lifestyle. This is the life stage where you start to think about saving and investing wisely to maximize your potential returns. You may be in a position to save and invest even more. Why? Because your financial commitments may be lessened if you have paid off your housing and car loans. Now, maybe your need for life protection will be less, although you may still want to ensure adequate protection for your health.

PRESERVERS - You want to enjoy your retirement and health is important. In addition, you would like to leave a legacy for your loved ones. Enjoy your golden years by planning for your financial future. After a lifetime of hard work, you deserve to have a comfortable retirement. In order to maintain your standard of living during your retirement years, you may want to invest in an annuity plan or income investment portfolio which will give you a regular monthly income for life. With rising medical costs, you should also ensure your medical and long term needs are well protected. Another important need you may have at this life stage is preserving your hard earned wealth for your loved ones and arranging funding for your estate planning needs.