FAMLIY : LEAVE A LEGACY Very few people know when they are going to die – usually death comes unexpectedly. Losing a loved one causes huge upheavals in our lives, so I asked Footprint, an Avocado Vision initiative, to give me their top tips on how to protect your family in the event of an untimely death. The whole thing is made worse when there is a sudden lack of funds to cover burial costs and everyday living expenses. So here’s how to plan accordingly: Help your family to cope with your death and survive afterwards by planning for it To help you plan how much life insurance your family will need, aim for ten times your annual income plus your debt So if you earn R7000 per month and have R100 000 outstanding debt, you will need about R1 million in cover If you cannot afford this amount, even a small life policy will help your family if you die Inflation makes the value of money less each year, so what sounds like a lot of money now, will not be worth the same in a few years time As a general rule, inflation halves the value of money every seven years You may have to have medical tests to check the state of your health in order to take out a life policy If you have any existing health conditions such as high blood pressure or cancer, this can also make your policy cost more at retirement age, which is 55 years If you smoke or drink heavily this will make your life policy cost more Don’t leave it till it’s too late…plan ahead! Information supplied by Footprint, an Avocado Vision initiative, delivers life skills education in communities across South Africa using micro-enterprise companies as suppliers. AMP (division of Avocado Vision) which delivers financial literacy and pension fund member education (blue collar worker to CEO) using two products money fo sho and pension fo sho. 011 614 0206, www.footprintsa.co.za, www.avovision.co.za Photo Reference: Paper Blog (2012) http://en.paperblog.com/leave-no-human-footprint-209539/ by Freeplantet Leave a Reply Cancel Reply You must be logged in to post a comment.