There’s a saying that goes “the only thing constant in life is change.” As we go through life, these changes affect our priorities and decisions. What can you do when these changes affect our finances? Consider these financial products that can aid you in your journey to every stage in your life:
- For Youngsters and Students, start with a Savings Account – Your income practically comes from your allowance, either from your scholarship or your parents. It’s important to save these funds by opening a Savings Account. This will help you out once you graduate and when you start looking for a job.
- Joining the work force – You are basically finding money to save and to grow. Aside from the bank deposits, it’s ideal to try investing in the market like stocks and bonds. But if it is too complicated for you, you might want to open a Mutual Fund account so a fund manager can take care of your investment. The simplicity and affordability of opening up a mutual fund account is advantageous to people who are starting to get busy in this life stage.
- Settling Down – tying the knot or having children are life-changing events that will prompt you to review your finances carefully – after all, it’s not just yourself you have to think about when you start to settle down. There are several financial products that can help you at this stage:
- Life Insurance – it’s essential to think about what might happen to your family or loved ones if they lost you, as life insurance will replace your income for them.
- Loans, mortgage, credit cards – having children and providing for your growing family may sometimes constrain you to seek financial aid. If the expenses are only short-term, using a credit card is ideal as it spreads the cost of bigger purchases. Availing yourself of loans can also help you a lot if you are planning to buy a new house or car for your family.
- Pension and Retirement Plan – if you want to have a comfortable retirement, it’s a good idea to start saving at this stage (or even as you join the work force). Getting VUL Life insurance during this time can help you fund your retirement through its investment income.
Life transitions are inevitable but you can always prepare for what may come. There are financial products designed to aid you in every stage of your lives so you can live life to the fullest.
Rowie Vicente is an insurance advisor and financial freedom advocate from Sun Life Financial. It is her passion to give tips and ideas on how to harness one’s financial standing. She can be reached via firstname.lastname@example.org.
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