Could your family manage without your financial support?

By /Last Updated: December 5, 2024/Categories: Financial Planning/1.8 min read/
Asking whether your family could manage without your financial support touches on several key aspects of both financial independence and legacy planning.
Here are some questions to guide your thinking on this:

1. Do You Have Adequate Savings and Investments?

  • If you have built up significant savings, investments, or a retirement plan, your family may be able to manage without your ongoing support. You might want to assess whether your savings are sufficient to cover both your own future expenses and provide for your family in the event of your passing or reduced capacity.

2. Life Insurance and Other Assets

  • Life insurance can play a critical role in ensuring your family can maintain their standard of living after you’re gone. If your financial support is essential to their well-being, a life insurance policy could provide them with the funds they need to cover expenses.
  • Other assets like property or investments can also be part of a financial plan that ensures your family is financially secure.

3. Income Streams and Contingencies

  • Beyond your retirement savings, think about the income streams you have (e.g., rental properties, investments, pensions, business income). Could these continue to generate income for your family if you were no longer around or able to work?
  • You may also want to plan for contingencies—such as critical illness insurance, long-term care insurance, or other financial safety nets—that can offer your family financial protection if something unexpected happens to you.

Conclusion

By assessing your financial situation, goals, and the support your family might need in your absence, you can ensure that your loved ones are protected and prepared, whether you are planning for retirement or thinking about your legacy.
If you’re unsure about your current plan, working with us can help you create a strategy that ensures your family can manage without your ongoing support, even if the unexpected happens.

Are you financially prepared?

In these uncertain times it’s vital that you financially protect yourself, your home and your family.
It’s important to have contingency plans in place. We can help you make plans so you’re confident you’ve minimised the risk of your family losing their home and lifestyle, at the most vulnerable time.