Four Tips to Solid Financial Health

A healthy lifestyle includes more than staying active and eating right, it also includes your financial situation. Nothing eases stress and helps you sleep better than solid financial health. So, like an exercise routine, it may not always be fun, but a plan for your future needs to be done.

1.       Will and Power of Attorney

Everyone knows the importance of having a will and appointing the right people as power of attorney – so why is it that the majority of Canadians do not have these things in place? Most believe that they are still ‘too young’, some just don’t know how to get things started, while others think it too costly. If you find yourself without a will and chosen power of attorney, book an appointment with a lawyer and get that done today! The costs average in at a few hundred dollars, or less, which can save huge costs down the road after the fact.

2.       Life and Disability Insurance

Do you need life and disability insurance? The easy answer is yes. More complex is how much. People often get their heads around Life insurance when they start a family. Ironically, disability such as a heart attack or cancer is much more common than death, but very few people have disability insurance! Life and disability insurance needs vary depending on your specific life needs. That is a good place to start with your insurance broker. If you are hoping to retire early after winning the lottery – well, your odds of winning big are mighty small. If you really want to be a winner, get insured and have a basic estate plan.

 3.       Savings

Savings accounts can be a valuable tool in learning about, and changing, the way you look at and spend money. As a general rule, you should have at least three months (and up to six months) of household spending in your savings. To be realistic, no one does this! But we all should, so start small and grow it slowly. You may need to reassess your spending habits – how about looking at your daily coffee habit for starters. Once you have the minimum of three months savings, you can then look at other ways to make your money work for you.

 4.       Hire a Professional Financial Planner

These money coaches are your best bet in helping you make your money work and assisting with your financial game plan. A properly done plan will guide you on your best path to meeting your personal financial goals. Many argue they cannot afford to pay for these services, and it is estimated that just 20% of Canadians follow a financial plan. Hire a professional –you are more likely to follow the advice that you pay for – really, it is money well spent!

There is no better time than now to do something about your financial plan. As they say ‘laughter is the best medicine.’ Take these easy four steps towards your own financial health and you will be laughing all the way to the bank.

About ten years ago we added the words & Financial to our name, as in: McDougall Insurance & Financial. We have all sorts of financial products, from Life Insurance to Disability, Group Benefits, Mortgage Insurance… to name a few. We also have three Certified Financial Planners on staff. Call McDougall Insurance & Financial at 1-800-361-0941 to get started today to meet your financial goals.