We all are running in a rat race and our end goal is to earn money. But rarely do we define our financial goals! Such as the following
- Fund for our retirement.
- Funds for spouse’s retirement.
- Funds for kid’s education.
- Funds for kid’s marriage.
- Emergency fund
- Life insurance cover
Typically when we reach the age of 35-40 we realize our kids are growing up very fast and that we have not saved enough for their education/marriage.
Another area which lot of us ignore and take very lightly is Life Insurance. In fact, we take our vehicle insurance more seriously than our OWN life insurance.
The rat race keeps us so busy that we don’t get time to think “what if our current source of income stops, how we will support our family then?” This could be due to various reasons such as an accident, some serious illness, global depression and we loseour job, outsourcing, technology sweep etc. The possibility of any of the above happening to anyone today is pretty high. Hence the need to plan in advance!
Take a pause here for a while and imagine your family’s life without you being there (God Forbid that happens). Most likely the answer is you don’t have sufficient life insurance which can support your family for 10 years if not more with the current life style. This sounds scary, but of course it can be planned for and we can then live tension free.
So the question is now where to start!
One way is we try and do it ourselves (trust me if we were capable of doing it, we would have already done it by now), the other is to find a financial planner and listen to him/her.