When a financial plan is becoming developed, it usually includes the obstacles which may be encountered; hence the prudent planner will include the strategies which should be employed to overcome these obstacles. Nevertheless, numerous of us believe that the goal can only be achieved alone. Today’s advertisements are all about ‘my’. Don’t be fooled into considering that financial preparing is only about you. Here’s the great news, it’s about the ‘we’ factor. Why? Simply because one or more from the three D’s will impact your retirement plan: disability, death or divorce. There’s a Jamaican saying which highlights the importance from the ‘we’ factor: ‘one han caan clap’. The three D’s are best overcome when you will find strategies around a clearly defined ‘we’.
Disability: This can be temporary, partial or permanent. Have you ever felt so ill that when somebody visits you encounter ‘good health’ in that moment of fellowship? Recovery from a disability is a team effort: ‘we’. Even if you had maximum earnings to pay for medical treatment and other services, you’ll require someone to assist you via your period of disability.
Death: There’s a saying within the insurance industry that ‘life insurance is for the living’. The purchase of life insurance isn’t motivated by an ‘I’ plan but the ‘we’ factor. The ‘we’ factor avoids one’s assets being frittered away, and strategies will be put in place to provide enough liquid assets which pay for those final debts, provide an earnings for heirs, and there will probably be a correctly executed will and/or trust.
Apart from people, persons who own businesses should also believe of the ‘we’ factor. One such organization that readily comes to mind is Jamaica Money Market Brokers (JMMB) … everyone knows who Joan Duncan was. Clearly, her vision was not only a productive JMMB however it included the ‘we’ factor. The outcome is that not just her heirs have benefited but most importantly the people of Jamaica. A ‘we’ aspect leaves no room for family squabbles over ‘ded lef’ but focuses on preserving the inheritance for future generations.
Divorce: When one gets married the minister generally pronounces that the two are now one. From here on, the parties ought to end their ‘I’ approach and start a new considering towards life. As a result, the word ‘we’ becomes a major factor in financial preparing. When a marriage ends in divorce, some individuals see it as an opportunity to legally claim all of the assets for themselves: a sense of ‘I’ satisfaction. Others see it as an opportunity to act in an equitable manner: ‘we’ aspect. Even in divorce there is a ‘we’ factor which requirements to be planned for, particularly where kids are involved.
Arguably, your financial plan does have an ‘I’ status but only as it refers to defining your responsibilities. Otherwise, it’s the ‘we’ factor which makes preparing worthwhile. In your retirement plan, have you identified who belongs for your ‘we’ category?