Question

This is the last chapter of Part 6 and of the text The text provides a good basis for your financial future but is only a start. However, the financial world is changing and government rules and regulations are changing Health Care will change, taxes will change, salary reduction plans will Discussion Unless develop plans and take to accumulate, preserve and distribute your wealth upon your death, chances are that your heirs and beneficiaries will receive only a part of your estate. It would be a shame if your lack of action reduced what your dependents are due. It would also be a burden to your loved ones if you died early and they had unexpected expenses and responsibilities What do you believe your responsibilities should be now to meet your goals.? Post your comments and be specific. For those of you who have not read the syllabus, there is a final that you must take to pass the class. if you

Answer 1

My responsibilities now will be take proper insurance – both life and health care insurance. This will ensure that my family, who is financially dependent on me – remains financially independent after my death. The life insurance cover will provide them with adequate money and in case I wall ill with a chronic disease then my family will not be burdened to meet my health expense as it will be covered with my health policy.

Secondly my responsibility will be to save wealth for future milestones like education of my children, their marriage etc. For this I have started saving a part of my earnings on a regular basis and am investing them in equity schemes and debt schemes.

Lastly I am doing estate planning in an active manner. It should be noted that estate planning is the process of anticipating and arranging, during a person's life, for the management and disposal of that person's estate during the person's life and at and after death. Proper estate planning on my part will ensure minimization of various taxes like gift, estate, generation skipping transfer, and income tax. I will be making use of a “will” as a part of my estate planning tool and will see that my estate is fairly distributed between my spouse and my children.