One of the first things that come to mind when you become financially independent is the excitement of finally having your own money to spend. As you age, the responsibilities start coming in, and slowly, you no longer feel that it’s yours. It just passes through your pocket and straight to the monthly expenses. That’s the sad reality of life. As your income increases, the expenses grow in parallel, sometimes even more than what you earn.
But no one wants to live like that. And it doesn’t have to be. We all want to look forward to a future where there’s enough left over to spend on non-essentials that make life more enjoyable. The secret is by achieving financial freedom. How? Here are four tips to help you create the future that you want.
1. Make some changes to your current budget so you can set aside savings for your future plans.
Having enough budget to spare for the niceties of life comes at a price. If you want to be able to afford those, you need to have a delayed gratification mindset: make sacrifices now to get what you want later. For most people, this means cutting one’s budget to the bare minimum, and with 20 percent of their earnings going into their savings. This also means wiping out debts, and only taking on ‘good’ debts like mortgage and car loans.
AIA Philippines recently launched AIA A+ Signature, their product that lets you create a worry-free future with guaranteed benefits and cash payouts equal to 10 percent of your plan’s face amount. With the flexible payment terms of paying for your policy within five, ten or twenty years, you are assured that there is an option that can allow you to work it into your budget, so you can set aside money to make your future plans happen.
2. Determine your vision for what you want in the future.
How do you plan to live? Do you want to travel every year? Do you want your children to study overseas? Are you planning to retire when you hit 50? However you envision the future, it’s important to have a continuous income stream that will augment either your savings or your present earnings.
AIA A+ Signature provides guaranteed cash payouts, where you can get 10 percent of the face amount (the total amount of your coverage) starting at the end of your fifth or sixth policy year (depending on the payment term selected) and then every two years thereafter. If you’re an early retiree, having additional money on top of your retirement funds coming in on a regular basis will help you sustain the lifestyle you used to have, plus allow you do all the other things you’ve always wanted to do but couldn’t afford!
3. Ensure that you are protected from life’s many risks.
Imagine how life would be for your family if you met an untimely passing. If you are the family breadwinner, the wisest course of action is to protect them from untoward life events as soon as you can. Nothing expresses your love more strongly than making sure that no matter what happens to you, your loved ones can continue to fulfill their dreams.
Should you live a long and happy life, life insurance can also be another way to leave behind an inheritance for your loved ones. Either way, you will leave behind a legacy that can take care of your family.
With AIA A+ Signature, your beneficiaries will receive twice the amount of coverage of the plan. This means that if the coverage is for one million, the two million that your loved ones will receive will go a long way towards ensuring that their needs are cared for.
4. Invest early and often.
Time is always on your side in investment. If you start early and invest for the long-term, you are in a better position to weather market volatility.
Do not leave your eggs in one basket. Study the pros and cons and determine your risk appetite in investing. After ensuring you’re protected with life insurance, explore other ways to grow your money through variable unit link (VUL) products, bonds, equities, properties, and other financial instruments.
If you’re on the lookout to get a multipurpose insurance product that has the potential to give you additional gains, you might also want to check out AIA A+ Signature. Aside from the guaranteed cash payouts, you can also have added savings from non-guaranteed dividends.
You need to make smart decisions today that will help you achieve your lifestyle goals if you want to create the future that you want for yourself and your family. By investing in AIA A+ Signature, you’re one step closer to enjoying the life that you’ve always wanted, and look forward to a healthier, longer, better life ahead.
Want to know more about AIA A+ Signature? Click here for more information. Click here for more information about AIA Philippines, or here to visit the AIA Philippines Facebook page, email customerservice.ph@aia.com or call (02) 8528-2000 to know more.
Spotlight is BusinessWorld’s sponsored section that allows advertisers to amplify their brand and connect with BusinessWorld’s audience by enabling them to publish their stories directly on the BusinessWorld website. For more information, send an email to online@bworldonline.com.
Join us on Viber at https://bit.ly/3hv6bLA to get more updates and subscribe to BusinessWorld’s titles and get exclusive content through www.bworld-x.com.
