Take control of your finances .

1 2 3 4 Use this checklist to take control of your financial security 5 6 6 THINGS EVERY WOMAN SHOULD KNOW ABOUT MONEY

WHETHER you’re 15 or 55, it pays to be financially fit. These are the top things you should know and master so you’re never in a vulnerable financial position. Know what policies you have. Chances are you already have some form of cover through your employer – for example, many companies provide group life cover. You should also already be contributing to the unemployment insurance fund (UIF). Ask your HR department about your coverage: how much and under which circumstances it’s paid out.

Sometimes parents take out policies on their children’s behalf and then forget about it. With your permission an adviser can contact insurance companies on your behalf to find out what policies are in your name. See a financial planner. Pay an expert to give you the best possible advice, whether you’re in a relationship or not. Give them the full scope of your financial situation and be honest – you’re the one who loses out if you lie, not them. They need to give you advice about retirement, savings and investments, life insurance and disability cover.

Your needs will change during various stages of your life and you should see your adviser at least yearly or if your situation changes. Have a solid retirement plan in place. The best time to start saving for retirement is in your twenties. Research shows if you start saving at the age of 25 you should set aside at least 15% of your salary annually. The longer you wait to start saving, the bigger the chunk of your salary you’ll need to set aside.

You can’t be dependant on your spouse/partner or the government when you stop working. Your employer’s HR department can tell you where your retirement money is invested and how much the company’s contribution is. Speak to your financial planner about this as you might be saving too little and need to consider additional investments such as annuities. Understand your health cover. Are you covered for illnesses such as cancer or heart conditions? Dread disease cover pays out in the event of these illnesses.

It’s important because if you do become gravely ill you might lose your income and treatment can cost a lot more than what’s covered by your medical aid.

Hennie de Villiers of the Association for Savings and Investment South Africa (Asisa) says any policy quotations should indicate the percentage paid out to you should you be diagnosed with one of the four most common serious medical conditions (heart attack, cancer, stroke and bypass surgery) as measured against the severity of your condition. The policy quotation generally includes a list of all other conditions it covers.

Some insurers offer a policy with a single cover amount, which decreases with each claim. For instance if you take out a R1 million policy and claim R250 000 for cancer, R750 000 will be left in the policy for other claims.

Other policies allow the option of reinstating coverage, which means you can put in multiple claims on the same policy without depleting the coverage amount. Have your own bank account. This can be tricky if you’re in a relationship. If you know exactly how much goes in and out and you have an equal say in the finances of your household, then a shared account can work for you.

If your partner is in charge of everything you’re in a vulnerable position if anything happens to them or they walk out. It might be wise to open your own account so you have a modicum of financial freedom and control.

Have a primary account in your name with money in it as shared accounts are frozen when the primary account holder dies. If your partner dies you won’t be able to draw anything even if you have a card to do so. Draw up a will. If you want your loved ones to inherit specific amounts or assets you must draw up a will. Don’t wait until you’re older, get married or have kids. The Intestate Succession Act takes effect if you die without having a will.

If you die intestate, weren’t married and didn’t have children, your money and assets go to your parents or their closest living relatives. You might’ve been living with someone for years but if you weren’t married that person wouldn’t inherit anything.