Whether planning for retirement or to ensure the longterm health of your company — or both, hedge your bets with insurance and a diversified portfolio of securities. Fraud, market swings, natural and man-made disasters, and international volatility are but a few of the many risks each of us faces. These risks can, and should, be minimized through careful planning.
Protecting Your Financial Future with Insurance
According to Milton Barbarosh, a South Florida financial services provider and president of Stenton Leigh Group Inc., “Before you invest in anything, be it real estate, stock, bonds, or other securities, make sure that you’re adequately insured. This includes professional liability insurance, disability insurance, property insurance, and health insurance. Sadly, many of us are just one accident, one unfortunate illness, or one ‘act of God’ away from financial catastrophe.”
Barbarosh recommends reviewing your insurance coverage at least once per year. “Schedule an insurance review when you turn your clocks back in the fall,” Barbarosh suggests. “This is right before open enrollment for most medical insurance plans, making it the perfect time to examine your existing and future insurance coverage options.”
Protecting Your Financial Future with a Retirement Plan
Milton Barbarosh also explained that this is a good time for most employees to review their 401K choices. “If your company matches your contributions,” he said. “By all means, take advantage up to the match. It’s free money up to that point.”
What if you don’t have access to a company-sponsored retirement plan? “Start your own,” Barbarosh said. “Traditional and Roth IRAs are relatively easy to set up. If an IRA is not an option, get in the habit of socking away funds specifically for your golden years. The sooner you start, the better.”
“While you’re at it,” Barbarosh added. “Start building that 6-month emergency fund.”
Funding a retirement plan requires discipline, as does avoiding the temptation to tap into it when a crisis arises. “That’s why you need adequate insurance — and an emergency fund,” Barbarosh says. “They all work together to secure your financial future.”
Protecting Your Financial Future with Diverse Securities
In addition to insurance, a retirement plan, and a healthy emergency fund,” Barbarosh recommends investing in a mix of securities. “Once you have the basics in place, you can focus on building wealth by investing in various securities. Again, you have to balance all of the risks (volatility, securities fraud, political instability and so on) involved so that should one of your investments fail, your entire portfolio isn’t wiped out.”
The future is inevitable. Are you financially prepared for it? The time to protect your financial future is now.