Project Description
Money management and financial planning are things we tend to associate with only as we begin to have financial responsibilities of our own. However the fact is that the best time to educate and train these habits is when we are young. The earlier people understand how to save and manage money, the more likely they are to make smart decisions that affect their finances and their future
Areas to focus on are:
- Earnings – Teach them to earn money and the value of it.
- Savings – Discuss saving a portion of their money for a rainy day, or for something they want to buy.
- Borrowing – One of the biggest lessons you can teach them is the cost of borrowing and how to manage it properly.
- Investing – Showing them an RESP or a Life Insurance policy purchased for them will get them actively involved in the process.
- Charitable Giving – Another portion of their earning should be set aside for sharing. They will have learned that there are others in need and that they have made a difference.
Providing them these tools early on will help make a smooth transition to the future. As well, although it does not affect them yet, it’s also good to talk about Tax, its considerations and options.
Life insurance has become a tremendous tool to educate our youth about all these key arenas while providing a security for their future. A child can lock in their insurance protection today usually much easier and significantly cheaper than when they are older and make sure they stay protected through life. Medical conditions can emerge at any time and getting a policy after that can be very difficult, if not impossible.
If a parent who is maxing out on their child’s RESP and they want to save more for their child, Life Insurance that allows you to shelter capital tax-free, can be a great option.
Contact Us for more information about how this could work for you.
