RETIREMENT MADE EASY
The low financial literacy rate in the country has been largely blamed for Filipinos' inability to plan for their retirement. Studies show that less than 20 percent of the household heads in the country have insurance policies and only about 10 percent of Filipinos actually prepare for retirement.
And so much have been said about the millennials, the largest high-earning population group in the country. They range from good to the unsavory ones, but there is one thing unique about the millennials because while they are optimistic about the future, financial planning is not among their priorities.
Preparing for retirement is something people tend to decide for later. But a wise advice is to start early.
Nowadays, one will never run out of choices of
financial instruments that are bound to give higher returns to ensure a comfortable retirement. There is an array of products depending on one’s time horizon and risk appetite. It can be investing in bank savings, mutual funds, pension funds, the stock market, or investing in a business.
Since products have different characteristics, one has to be careful in shopping for the right investment instrument to be able to obtain the desired life in the future.
Retirement savings can be placed in any of these financial instruments, but these do not provide an individual of protection from uncertainties in life such as death, permanent and total disability, or critical illness, which may happen even before the person retires.
This is where insurance companies come in handy with products for retirement savings. There have been various investment-linked insurance products being offered at very affordable premium.
Pension fund Social Security System (SSS) also offers retirement packages to ordinary Filipinos.
These products ensure that future needs are met and that loved ones are well taken care of, no matter what life may bring.
Investing for retirement is all about the long game. Now is the best time to start investing for the desired future.