Here’s how Enrich retirement can help you thrive in disaster
For many people, the COVID-19 outbreak came at a bad time. For those with life savings on the line, the crisis is a personal one, too. But still there are those who face the pandemic with quiet optimism in the knowledge that their futures, and the futures of their loved ones, are safe.
In such turbulent times as these, effective retirement planning can bring priceless assurance to your family. Let’s explore how Enrich retirement, a retirement insurance savings plan by Etiqa, can help achieve that.
Keep the essentials in mind
Categorise your expenses broadly, and you get three distinct lists: food, transportation and lifestyle (comprising hobbies and indulgences) – all essential components of a routine you would hope to keep intact after your professional life ends, regardless of circumstance.
A savings strategy that puts you close to affording your dream retirement in peacetime can resituate poorly in an afflicted economy, placing your financial goals even further from reach. Factor inflation into the mix and your cost of living surges, potentially straining your finances even further.
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Why plan your retirement with insurance?
COVID-19 took the world by surprise, and no amount of expertise or superstition can prevent similar catastrophe from befalling humanity again. This means your retirement plans must be able to withstand – even thrive, in hostile environments. Should disaster strike during your retirement, riskier investments can erode your financial security but Enrich retirement restores balance with steady income and coverage.
Statistics from December of 2018 show that an unfathomable 74% of individuals receiving CPF payouts, received less than S$500 a month.
Alone, these payouts will barely sustain a comfortable living, much less retirement. You can add value to your retirement by diversifying your sources of retirement income, such as from an insurance plan that pays out guaranteed benefits.
Room to manoeuvre
It’s your retirement, and your choice how you’d like your finances to support you through the longest holiday of your life.
Enrich retirement offers the option of receiving partial monthly payouts and a partial lump sum benefit when your policy matures (that is, after all monthly payouts have been received), or a full lump sum maturity benefit. You may also choose to accumulate your monthly payouts with Etiqa to earn non-guaranteed interest, and receive a full lump sum at maturity. If 10 years seem long for premiums, distribute your payments over 5 or even 2 years instead. You may also choose to retire later, at 65 years old instead of 60. With this much choice, the decisive power over your retirement finances reside firmly in your hands.
Calm in the eye of the storm
2020 has gotten off to quite the start. The crushing weight of COVID-19 on the economy is felt all around and panic is in the air. Retiring in this climate or perhaps a similar one decades later, can be a painful decision to make. Instead, choose today that your retirement should not be fraught with financial volatility, but a peaceful one – hopeful, graceful and well-earned. Read about Enrich retirement here or speak to our financial advisors.
Article Source: Etiqa Singapore