financial management section 1 examining risk management

8/10/2019 Financial Management Section 1 Examining Risk Management

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Financial Management: Section 1Examining Risk Management

www.free-retirement-plan.com


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Worries Delays

Regrets

Confidence

Actions Goals

Why is money a problem for some people?WorriesDelaysRegrets

And a solver of problems for others?Confidence Actions

Goals problemfor some people?

Financial Security - What Is It?

inancial sec!rity means different things to different people.

A n d a p r o b l e m - s o l e r f o r o t h e r s ?


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A feeling of confidence thatyo! will a A feeling ofconfidence that yo! willachieve yo!r financial goals

thro!gh the actions yo! areta"ing today.chieve yo!r

financial goals thro!ghthe actions yo! areta"ing today.

Financial Security - Defined

Ris! "anagement

WealthAccumulation

Wealth#reser ation

$ Distribution

#nowledge and actions wor" together to b!ild financial sec!rity.


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Do %ou &a e Financial Confidence 'o(?

Disc!ssing yo!r concerns can help b!ild financial confidence.

Things that concern manypeople HealthcareHealthcare Real EstateReal Estate Taxes Taxes InvestmentsInvestments Job Sec rity Job Sec rity

SavingsSavings !isability!isability Social Sec ritySocial Sec rity Ins ranceIns rance In"ationIn"ation #ollege costs#ollege costs ealth care

Taxes Investments Job sec rity Savings !isability Social Sec rity Ins rance In"ation #ollege costs


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A Structure for )ifetimeFinancial Security

Ris! "anagement

WealthAccumulation

Wealth#reser ation

$ Distribution

inancial sec!rity can be achieved across all life stages.


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$ife ins!ranceRis" %anagement &tems

'.$ife &ns!rance

(.Disability &ncome&ns!rance

).$ong-term Care&ns!rance

*.+ealth &ns!rance

,.A!to and +ome wner s

&ns!rance sins!rance

Ris! "anagement* A Strong Foundation

$ifetime financial sec!rity is b!ilt on a fo!ndation of ris" management.

Ris! "anagement



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$%& 'hat are yo going to accomplish(ith this money) Spen* it) Save it) + t

it to(ar*s yo r goals ,or the , t re) -$%.%%% &1.$%%.%%% &/.%%%.%%%

#otential come to Age +,

#rotect %our "ost aluable Asset

/o!r ability to earn an income is yo!r most val!able asset.

+otential Income to 0ge $Age $50K Income $100K Income $200K Income

30 $1,750,000 $3,500,000 $7,000,00040 $1,250,000 $2,500,000 $5,000,000

50 $ 750,000 $1,500,000 $3,000,000


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&is &ers2b3ective His Hers Income Replacement +ay 25 Mortgage E* cation F n*s Emergency F n*

Income Replacement

+ay 25 Mortgage

E* cation F n*s

Emergency F n*

T2T06

??

&o( "uch )ife Insurance?

0he answer depends on what yo! want and need to accomplish.


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'hat are yo r #hances o,7ee*ing !isability Income

Ins rance)+ere are the odds of needing Disability&ncome replacement.

(((8,ree9retirement9plan8com


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'hich Job is more 0ppealing

Job 0&$./// month as long

as yo are able to(ork

;;;;;;;;;;;;;&% i, yo nable to(ork as a res lt o,an illness or in3 ry

Job .1$% per month a,tertaxes i, yo are

nable to (ork * e

to an illness or in3 ry

!oes it make sense to ins re a 3ob8 Ho( (ill yo, n* yo r retirement in Job 0. in the event o,illness or in3 ry)


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I, (e ass me an ann al increase o, $8=? in costs

How will you cover the cost of c re foryourself! "or your s#ouse! "or %&H of you!


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Risk Management S mmary

Addressing $ife s

inancial Ris"s1remat!re DeathDisability defined assic"2 h!rt or !nable towor"Cost of Care associatedwith in3!ry2 illness ordeclining health


financial management section 1 examining risk management

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