How to Finance Your Retirement Insurance Plans in Philippines
If you are still in your active stage of career development or raising kids, the last thing to consider is the retirement plan. However, this is something every Philippines should keep in mind and start financing their insurance plans so as to enable them to achieve financial stability and a peaceful mind in your golden years. In most cases, the majority of Filipinos find it challenging to prepare for their retirement. Therefore, the following are simple yet helpful ways to help you finance your retirement insurance plans.
Get into Real Estate
As a golden rule of thumb, retirement from work doesn’t mean retirement from life. And the best way to continue with your life as normal is to invest in proper financial management. One thing that can always enable you to finance your retirement insurance plans is through getting into the real estate business. Sometimes you can find it difficult financing your retirement insurances simply because your income isn’t enough. Therefore, if you have a condominium or you own a house that isn’t used presently, you can always rent it to supplement your meager income. When your children move out to settle with their families, their residence can be left unoccupied. You can, therefore, use this as rentals to provide you with some additional incomes- hence funding your retirement insurance plans.
Start Investing
Another great option to fund your retirement insurance plans other than real estate is investing in insurance funds. Get some time and learn how the stock market works. Luckily enough, there are new emerging online investments and trades such as bitcoin and the rest.
Set Up Untaxable accounts
Also, always make sure you save all your accumulated income in a non-taxable account. Usually, some accounts charge monthly deductions as well as income tax. Therefore, to stay on the safe side, always maximize your savings by going for untaxable accounts/saving accounts.
Work Longer
In as much as this option may seem difficult for many, postponing retirement period provides you with many years for saving. Also, if you work for many years, you will reduce the amount of tie your savings have to last. Therefore, once you have retired, you can still find some part-time jobs to finance your retirement plans.
Open a Savings Account
Another crucial thing to do is open a savings account. This should be done way back even before you start thinking of retirement. Saving helps to boost your financial goals. Therefore, you can develop a habit of saving, let’s say on a monthly, weekly, or yearly basis. Remember, start small, and with dedication, you’ll eventually get amazed by how far you’ve gone.
Final Thoughts
Generally, the elderly Filipinos are one generation that is always affected by the increasing cost of living and the economy. Remember, pensions are always meant to provide financial assistance. However, with such a tough economy, they aren’t enough. Therefore, it’s always advised for those approaching retirement to start investing in various retirement insurance plans to help secure their financial status. The good news is that there are a number of activities that you can engage in to boost your retirement insurance funding, as mentioned above.
