As parents, we want to do everything possible to protect our children. You remind them to look both ways before crossing the street, to always wash their hands before eating and to never take anything from strangers. But many of us have not taken the proper steps to protect our children financially. Here are a few things you that you should be doing to safeguard your children financially.
Create a will and keep it updated:
This is a subject that people generally try to avoid talking about. However, it is one of the most important things a parent can do in order to protect their children. To some people, a will might just be a way to divide personal belongings like your family antiques or other valuable assets. However, as a parent, a will is the document that designates who will be responsible for taking care for your children should you die before they reach the legal adult age. A will is important because it can help make sure your children will be taken care of no matter the circumstance.
Start educational funds for your children:
In today’s age, receiving a university education has become the norm. However, this is becoming increasingly expensive. Unless you plan on raising a genius or superstar athlete, it is important to start saving for your children’s higher education as early as possible. Every little bit counts, so even if you can only put a small amount away from every salary, it is definitely better than nothing. Whatever you do, make sure you are taking the proper financial steps to ensure your children will receive the education they deserve with as low a financial burden to you as possible.
Invest for the future:
One of the greatest gifts you can give to your children is ensuring that you as parents are financially independent so that they won’t have to financially support you in your old age. The best way to do that is to make a plan and start investing now. Start by making a very simple retirement plan to determine how much money you should be saving. Then you can work out how to start investing. The best part of investing for your future is that you’re not only increasing your family’s financial security, but you’re also bringing yourself closer to financial freedom. Imagine a day when you and your family can live your life without financial worry and also have the time to enjoy it. Now that’s something worth working towards.
Make sure you have insurance:
No matter how good you are at saving, it’s almost impossible to save up enough to protect your family from life changing unforeseen circumstances. This is when insurance can truly be a life-saver. Insurance makes sure that your family is financially protected from uncommon but potentially devastating events. Life insurance can pay off debts and replace your income if you were to die.
Disability insurance will ensure that income remains steady in the event of long-term sickness or injury. And of course, a good health insurance plan will help your family get the care it needs, no matter what the cost. In fact, insurance is really one of the main ways you can afford to provide a truly stable financial environment for my family, so it’s one area where you shouldn’t cut corners.
AIA understands that while your needs may evolve at different stages of life, your desire to protect you and your loved ones will always stay the same. That’s why it is important that you review your policy every now and then to bridge the gap between the protection you have, and the protection you need. To ensure your family is protected against unfortunate events in life such as accident, illness, disability or death, AIA’s life insurance plans can help avoid financial strains should the needs arise. For individuals seeking to protect their health, AIA offers a comprehensive range of health insurance plans ranging from medical, hospitalisation and long term care to critical illness.
This advice on family living is made possible with support from