If you are an adult and earning your own money, you should be seriously thinking about looking into pension insurance funds. Your pension is one safety net that you really cannot afford to overlook. One day, when you are older and would like to (or are forced to) retire from your job, you will no longer be earning a salary and you will have to find some way to get money in.
When you have worked your whole life, you will not want to live under the constant stress of finding income from somewhere. If you have the right pension fund set up, there is no reason you should ever have to worry about money once you have retired.
Why is a pension insurance fund so important?
When you have worked for fifty or sixty years without more than your usual two to three weeks holiday a year, you will find yourself really looking forward to your retirement. The idea of enjoying your golden years, perhaps with your spouse, doing the things that you really enjoy and having the time to watch your favourite television shows and read books and the newspaper every day.
You will not want to be in a position where you have to worry about where your money is going to come from next and how you will pay your medical expenses and your other living costs. It will add anxiety and stress to your life if you are constantly searching for income and if you can never relax and enjoy yourself.
After a whole life of stress and hard work, of fighting to make a name for yourself and never letting the ball drop, you will deserve a happy and comfortable retirement. Your retirement could end up being very expensive. When we get older, our bodies naturally need more care and we suffer from more ailments than before.
This means more medical expenses and doctors’ visits. You must be sure that you will have enough money saved in your pension fund to cover all of these expenses as well as your living expenses. You do not want to have to drop your standard of living when you retire and you will undoubtedly still want to have enough money to be able to visit and spoil your grandchildren and children.
You may also need to move into a retirement village or complex, which can also be very expensive. Having the right pension insurance fund will help you to have the retirement that you deserve.
Who offers pension insurance funds?
Most insurance providers offer pension funds. You should take your time when looking through the available funds to choose one that suits your needs and that is tailored to what you can afford and the lifestyle you have. Some of the companies that you can approach to discuss pension funds are Allan Gray, ABSA, Hollard, Outsurance, Old Mutual, Alexander Forbes, Liberty, Sanlam and more.
It is a good idea to go with a large, reputable and well-known insurance provider that has good reviews and a base of happy and satisfied customers. Speak to people who have already retired and ask them for advice on what you should focus on with a retirement plan.
They may have some very good advice that will help you make the right choice. It is also a good idea to research the plans and funds that are offered by the different insurance providers before you make a choice as their plans are probably very different and some may be completely wrong for you.
What to remember when setting up your pension insurance fund
It is important to start as soon as possible in setting up pension insurance funds as that way, you will accumulate the most possible money to support yourself and your family once you have retired. Most retired individuals look back and think ‘I could have saved more money’. Don’t set yourself up to live with regrets one day.