Tag: personal-finance

Managing Final Expenses: Tips for Seniors and Families.

Posted on by Maritza Osorio

An important issue that must be discussed with our families is when a member is in the twilight of life, and we do not know what to do with him or her once they die, and this is what is known as final expenses.

 Final expenses refer to costs associated with the end of a person’s life, such as funeral expenses, burial or cremation costs, and others related to the closure of life process. This may include:

1. Funerals and burials: Funeral services, caskets, cremation services, and cemetery plots.

2. Legal arrangements: Costs associated with the processing of wills, estate administration, and other legal services.

3. Debts and obligations: Pending payments of debts, taxes, and other financial commitments.

4.Memorial services: Costs of memorial services or events, such as publishing obituaries.

 How can we protect our older adults and families affected by the death of the former?:

1. Final expense insurance: This type of insurance helps cover the costs of final expenses, ensuring that family members do not face a significant financial burden. This insurance is typically more affordable and easier to obtain for seniors compared to other types of life insurance.

2. Planning ahead: Having a plan for final expenses can relieve stress and uncertainty for seniors and their families. Knowing that these costs are covered can provide peace of mind.

3. Avoid family debt: Prepaid or insured final expenses prevent costs from falling on surviving family members, who may not have the financial resources to handle them.

4. Facilitate the processing of matters: By planning and documenting final wishes, the emotional and logistical burden can be reduced for family members, who will not have to make difficult decisions in a time of grief.

In short, planning for final expenses and purchasing specific insurance for these expenses can provide a financial and emotional safety net for both seniors and their families.

If you want to delve deeper into the topic. In the links I leave below you will find more information about the costs of final expenses and other items in relation with it.

https://www.lhlic.com/es/seguro-de-gastos-finales/#:~:text=%C2%BFQu%C3%A9%20es%20un%20Seguro%20de,popular%20entre%20las%20personas%20mayores

https://www.dignitymemorial.com/es-es/pre-planning/funeral-costs/types-of-final-expense-insurance

I hope you liked this post, In my next publication I will talk about skin care of elderly people, because it can be the first sign of a health condition, and we must follow closely, to prevent it.

Personal Finance

Posted on by Maritza Osorio

In this post I will be talking to you about personal finances

When we think about buying a house, saving for our retirement, for children’s education and even to manage family budgets more effectively, today requires knowledge of personal finances, so we must train ourselves to manage our finances and achieve financial independence.

Financial independence is a term that is heard and read on social media, television and radio. It is basically to ensure that passive income, which comes from investments, is greater than expenses, through a combination of savings, intelligent investment, investments in the stock market, real estate, creating your own business, generating income from the Internet among others.

In life we ​​go through different financial stages and our decisions and priorities depend on the position we are in.

  1. Accumulation phase Occurs when we are between 30 to 40 years before retirement, here we finance mortgages for homes, our children’s education, manage cash flow and save for our retirement
  2. Distribution phase. It starts with retirement, here you create a retirement strategy, it’s about reducing taxes, and maintaining the same standard of living.
  3. Preservation phase. Here we change the focus on investments and how to protect them to maintain income and this becomes a priority. It is also very important to try to reduce the impact of inflation.
  4. Transparency phase. It is the last stage of the retreat, here we begin to think about how to   transfer our assets to our children.

For this, it is essential to have planning of financial goals and for this one of the tools further Important is the budget, trying to ensure that expenses do not exceed 75% of and achieve savings of 10 to 25% of total income.

Some advices from books I reviewed

Save, train, purchase insurance that suits your family, home, health, etc. needs.

Invest in the financial market the surpluses that you accumulate or have saved in some low-risk investments or fixed income, if you are a new investor and want financial security.

If risk is not a problem for you, increase it through stocks, variable income papers, investments in investment funds such as portfolios composed of fixed income, variables in other currencies, and highly rated bonds.

Conclusion

In today’s post I have briefly explained aspects related to personal finances, a topic of great importance if you have not achieved financial freedom yet and if you are like me at the stage of thinking about retirement.

In my next post I will talk about life insurance.