Making an effort to protect our financial future is an important consideration as we age. We are all getting older. It is, after all, a fact of life! But, how we face and deal with the aging process is a choice. Each morning we have the opportunity to choose abundance or something less. We can choose to dwell on how miserable we are, or find the silver lining in whatever perceived cloud we are living under. Having a solid financial plan in place gives us peace of mind today and perhaps a little more enjoyment tomorrow. Here’s a few steps you can take today to protect your financial future.
Build your Network
Building a supportive network of people you trust to offer advice or a helping hand when you need it is something that’s hard to measure. But, when we form strong bonds with people we know we can trust, it is a little bit easier to ask for help, should we need it. Having at least two people you can count on is ideal. Someone who can help with daily matters, or bigger concerns, such as cognitive decline is one such person. Another is a financial advisor who can provide professional advice and direction to help you meet your goals. They are also an invaluable resource should your circumstances suddenly change as they can help you adapt your plan.
Living Trust
A will is important, but a living trust is just as valuable. Where a last will and testament comes into play after your death, a living trust addresses how you to manage your money should you develop dementia or other debilitating illness. It provides for a successor trustee who will take over if needed. When selecting your trustees, think about the individuals skills and any existing conflicts. For more details and/or help in setting up a living trust, contact Montana Elder Law.
Corporate Trustees
It’s vital to have a plan that helps others to make decisions in your stead. Building a team who knows you and your situation will again give you peace of mind. If you are yet to hire a corporate trustee, now may be the time to change that. It could prove to be pivotal in terms of your financial health.
Savings
Savings is an essential part of “aging abundantly”. Having enough money provides freedom and flexibility. It is true, however, that many seniors are facing bank accounts that are not adequate. Regardless of where you fall on the continuum, start today to set money aside, even if it’s just $5. Contribute to your savings account regularly and before you know it, you will have $500. Any amount of savings will help protect you if something should happen. Whether it is a death in the family or the unexpected loss of side income, your savings will help sustain you and provide for your needs. When you have enough saved, put your money in an investment account. You can draw on this money if you need it, but it will earn interest when you don’t.
Insurance
Insurance can also protect your financial future in the event of unforeseen circumstances. Explore the various types of insurance and add what you can in areas that you feel will be helpful. Insurance coverage can help you deal with costly unexpected situations. For example, some power companies offer insurance that will cover a variety of home repairs, such as a broken ceiling fixture. For a small amount each month that is conveniently included in your monthly bill, you will have peace of mind and not have to tap into your savings for a repair.
Protecting all of your assets is also important, such as your car or even your stock investments. A financial advisor can help you with these decisions as well.
