As women, it is extremely important to build our personal financial support systems. There is an emphasis on making or saving money, but it’s important to understand other options that can provide your life with a system of financial support in joy, circumstance or an unexpected event.
Let’s look at these as examples:
Joy: I call this a “Lifestyle Factor.” You have all of your ducks aligned. Your career is on track, money is in the bank, your retirement is being funded and you have your home, family, friends, activities and hobbies.
Circumstance: I call this an “Influencing Factor.” This is a space where anything is possible, good or bad. Are you set up with the correct tools to provide you with what you need in either factor?
Unexpected Event: I call this an “Abrupt Factor.” You thought you were prepared for this, or you have put off planning for it. This can also be the loss of a long-time job, family member or illness.
How do we leverage what we have to handle our lifestyle in all of its forms? It’s important to take a moment and think about your biggest asset. It is not your property. It is your ability to earn.
Did you know it takes a minimum of $30,000 – $50,000 annually to run a household in its entirety? If you needed time away from your business to heal (mentally or physically), can you access that without complete depletion of your assets?
The key “Support System” today is having access to insured investments where your principle is contractually guaranteed never to be lost. Also, make sure you have a business exit strategy in place.
This is how the rich stay rich. It can protect your home, your family and yourself.