Emotional Moments
How to manage the financial impact
We will all experience the deeply emotional moments that come with life’s big losses. These can take many forms: from a change in circumstances to the devastating loss of a loved one. While you can never be truly emotionally prepared for these often life-changing moments, you can make sure that the financial impact of a loss is well-managed.Most of us will, sooner or later, encounter life events that can trigger the most emotional moments we will ever experience: from a change in circumstances, such as losing your income or becoming disabled, to the devastation of a loved one dying.
“Don’t cry because it is over, smile because it happened” – Dr Seuss
What makes these highly emotional moments in life even more difficult is that, most often, they also have a substantial impact on our financial lives.
For example, the loss of a job is one of the most difficult experiences for most people, emotionally and financially. Similarly, the death of a parent or a partner can leave a family not only emotionally devastated, but also financially ruined.
While it is almost impossible to really prepare yourself emotionally for life’s most difficult losses, it is possible to plan ahead to manage the financial impact of these emotional events, ensuring that you and your loved ones do not also have to deal with financial hardship at the most difficult times in life.
Maybe, like Mandla*, will appreciate the wisdom of having income protection, or maybe, as Susan* discovered, a valid Will and a solid estate plan can protect your loved ones from a great deal of grief and financial hardship.
“When my sight was lost after a car accident, I could no longer work at my job. I was on the verge of an emotional breakdown, because not only my partner and our children, but also my parents, depended on my income. I had no idea how we would survive,” tells Mandla*. “Fortunately, my financial coach had convinced me to take income protection insurance a year earlier, although at the time I thought it was unnecessary! It was a great relief for all of us when I told my family that the insurance would cover my lost income, and that we would be ok!”
Susan* says nothing could have prepared her for her husband’s untimely death. “Not only was our family grief-stricken, but we were also faced with immediate financial hardship, as our joint bank account was frozen, unexpected funeral and other expenses piled up, and we suddenly had to survive on just my part-time income. Learning from this very difficult experience, and with the help of my financial coach, I now have a Will and testament in place, as well as life insurance, to make sure that when I die, my family will be taken care of financially.”
The best way to prepare for life’s most emotional events and the impact it will have on your finances, is to have detailed financial plan that takes into consideration all the financial implications for you and your family.
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Yours in financial health,
