We need to admit it: life is full of uncertainties.
No matter how careful you tread, the unexpected will
eventually come. This is the reason why people try to prepare for
the unexpected from early on – for instance; many usually
prioritize having a decent amount of savings
in their bank account or get some of those insurances.
What makes it more difficult, however, is the fact that the
“unexpected” comes in many forms. So let us help you out a
little.
Here are the 6 financial situations every woman should
always be prepared for.
Why it’s important: No matter how healthy you may be
right now, it’s a big, wild world out there. From over-speeding
drivers to cases of flu spreading like wildfire, it is almost a
sure thing that you will need medical help in the future. This is
why it is one of the most important things you should always
prepare for.
Other than the high probability of getting sick in the
future, medical fees are usually expensive. Without saving for
events like these, you might end up digging yourself another hole
of massive
debts.
How you should prepare: The first step is simply to
save and allot money for medical
emergencies. If you are really tight on budget, you may start
small. Just make sure to do it consistently. It is highly
recommended that you make a budget plan for every time you earn
money.
By doing so, you can easily divide these to the
different things you spend on or save for without going beyond what
you actually have. You may also decide to get insurance; remember,
however, to study which one provides the best insurance, and make
sure it’s foolproof.
Why it’s important: We get it: life is short. Why
would you want to prepare for something you are not even certain
of? You should know, though, that this kind of reasoning works two
ways. Since you are not certain that it will not happen, why not
prepare for it, right?
Retirement is one of these things. This is especially true
for women, as studies show that women generally live longer than
men. This means we have to have more funds for the future because
we have to prepare for a longer retirement.
How you should prepare: Work as long as you can, and
save as much as you can while you are still working. It is better
if you can actually allot a separate account for your retirement
money alone.
Why it’s important: While your parents might have
retirement plans or savings on their own, it is still important to
have funds to assist them. Instances might come when what they have
is insufficient. These are the times when you need to have their
backs. Other than that, making sure they are regularly getting
their check-up and treating diseases from early on can help cut
down future hospital bills and other expenses.
How you should prepare: Start early. Keep your
parents and grandparents healthy ahead of time. Avoid saying things
like “I’ll do it next time since they seem to be healthy and young
right now”. Allot a portion of your income just for your
parents/grandparents, if you can.
Why it’s important: Although you might think that you
are safe and sound in your current job position, always consider
the possibility of losing it. Not to be negative or anything like
that, but in order to actually prepare for when it happens. Just
because your income stop coming, do not mean that your expenses and
bills would stop as well.
How you should prepare for it: We suggest that you
set up an emergency fund. According to financial, it is best to
have 3 to 6 months’ worth of your income in an emergency fund.
Why it’s important: The main reason this matters is
because natural calamities, as we all know, are inevitable. We
actually cannot do anything to stop them from happening. The best
thing we can do is to prepare for them. Other than having enough
knowledge on what to do during fire, earthquakes, storms, etc., it
is also an imperative that you are financially ready for when they
come. Many families lose their houses, cars, and even loved ones to
these. Just imagine how difficult it would be to stand back up from
such tragedies without savings.
How you should prepare for it: Research on what you
should do when the different calamities strike. Regarding financial
preparation, you can choose between allotting another portion for
this and merging it with your emergency funds.
Why it’s important: This might not apply to some,
considering not all of us want to get married and/or have kids.
However, for those who do, know that marriage and children are no
piece of cake. Your wedding is not the only thing that will weigh a
lot for your pocket. Remember that in marriage, you and your
partner should go through things together, ‘through thick and thin’
as they say.
Now, you already need to save for and secure two
people. When your partner goes through a financial crisis, you go
with him/her. It even becomes more challenging when you want to
have kids. Consider not just the food and other things you have to
buy for them; think about how much you will have to spend up until
their college tuition and allowances.
How you should prepare for it: Actually think of what
kind of wedding you want and how many kids you are planning to
have. Think of the different expenses in the future once you do get
married and have kids. It is better to do this with your partner if
you already have one. After that, budget and save accordingly.
Even if it means altering your lifestyle a little and
cutting down your usual expenses, it is always better to be
prepared than sorry in the end. Do all these, and your future self
would definitely thank you and give you a pat on the back for the
convenience these preparations can bring to your life.
thenewsavvy