Hit a financial homerun and win in today's economy
Issue date: 3/22/09 Section: FYI
(ARA) - The crack of the bat. The roar of the crowd as you round the bases. While hitting a homerun in the big leagues is only the stuff of dreams for most of us, baseball can serve as a wonderful analogy for our quest for financial security.
Reaching retirement, or home plate, is the goal. So step up to the plate, take a swing and round the bases with these general, yet timeless, financial tips from Thrivent Financial.
First Base
Get on base by:
* Creating an emergency cash fund with at least three to six months worth of living expenses set aside. This fund is essential to cover unexpected short-term expenses, like a major car-repair bill or broken furnace. Keep the funds safe and accessible in a savings or money market fund, and be sure to replenish the fund later if you draw from it for an emergency.
* Purchasing property insurance that protects you and/or your business against the loss of the property or income. Auto, homeowners and business owner policies fall under this category.
* If your employer does not provide health coverage, buy your own. You can't afford to be without it. "If you fall ill and have to be hospitalized without health insurance, you will quickly realize that the cost of not being insured far exceeds the cost of premiums," says Bruce Fear, vice president of Protection Products and Solutions for Thrivent Financial.
Second Base
As you head to second base you're approaching the middle part of your life and earnings potential. Second base is about protecting your income from a long-time illness or injury, or the death of a loved one.
* Investigate disability income insurance. It's easier and cheaper to get when you're younger, and provides a benefit to replace a portion of your income if you become too sick or injured to work. It protects your most important asset -- your ability to earn an income.
* Life insurance is also essential. It protects your loved ones against the loss of income they would experience if you died. There are two main types -- term and permanent. Both help preserve the lifestyle of your surviving family members, but permanent can also allow you to accumulate a cash benefit.
Reaching retirement, or home plate, is the goal. So step up to the plate, take a swing and round the bases with these general, yet timeless, financial tips from Thrivent Financial.
First Base
Get on base by:
* Creating an emergency cash fund with at least three to six months worth of living expenses set aside. This fund is essential to cover unexpected short-term expenses, like a major car-repair bill or broken furnace. Keep the funds safe and accessible in a savings or money market fund, and be sure to replenish the fund later if you draw from it for an emergency.
* Purchasing property insurance that protects you and/or your business against the loss of the property or income. Auto, homeowners and business owner policies fall under this category.
* If your employer does not provide health coverage, buy your own. You can't afford to be without it. "If you fall ill and have to be hospitalized without health insurance, you will quickly realize that the cost of not being insured far exceeds the cost of premiums," says Bruce Fear, vice president of Protection Products and Solutions for Thrivent Financial.
Second Base
As you head to second base you're approaching the middle part of your life and earnings potential. Second base is about protecting your income from a long-time illness or injury, or the death of a loved one.
* Investigate disability income insurance. It's easier and cheaper to get when you're younger, and provides a benefit to replace a portion of your income if you become too sick or injured to work. It protects your most important asset -- your ability to earn an income.
* Life insurance is also essential. It protects your loved ones against the loss of income they would experience if you died. There are two main types -- term and permanent. Both help preserve the lifestyle of your surviving family members, but permanent can also allow you to accumulate a cash benefit.
Be the first to comment on this story