You've worked hard to be where you are today so you can provide a more comfortable life for your loved ones. Unpredictability, however, is a part of life, which may have a huge effect on your income, business, health, and relationships. When you have an asset to protect, it only makes sense to start planning how to preserve your wealth should the worst happen regardless of your age and financial status.
This is where the concept of generational wealth comes in. It refers to a person’s financial assets that are passed down to succeeding generations. Here are three ways you can secure generational wealth:
- Educate your heirs on managing your wealth and business
When we talk about wealth transfer, it’s not simply a question of how seamless or fast the transfer is, but also about how the wealth can be sustained by your heirs.
Consider passing down not only your financial assets, but also the values and philosophies that helped you grow those assets in the first place. Without these foundations, your family could lose what you worked hard for many years. Forming one’s values and beliefs takes years, so the sooner you teach your children these, the better.
Also, equip your family with financial literacy to help manage your wealth effectively. Your family, for example, could join short courses and training programs to help them build a good understanding of different financial topics.
Your wealth has a bigger narrative and storytelling is a powerful means of transferring values. Have those family conversations, create healthy connections, and lead a life consistent with what you teach. When the right time comes, you’ll have the peace of mind that your wealth will be in capable hands. - Protect your health in case of emergencies
While you may do everything you can to live healthily, unforeseen health emergencies could significantly impact your wealth. Mounting hospital expenses could dry up your savings, which could create financial strain on your loved ones and put their future at risk.
This is why having a comprehensive health plan is important. It will allow you to continue leading a healthy life while ensuring you're adequately covered and can get the best healthcare when you need it.
For example, AXA Philippines offers Global Health Access. It's ideal if you're looking for comprehensive health insurance in the Philippines for your healthcare needs. From common and serious illnesses to life-threatening pandemic diseases, Global Health Access has you covered whether here or abroad.
Global Health Access offers up to P175 million in global medical coverage, along with the freedom to choose your doctor. You can also enjoy cashless transactions in over 1,400 hospitals and clinics in the country and 9,000 abroad. Also included are value-added services such as international emergency medical assistance and 24/7 access to health support and a global concierge. - Plan your estate immediately
Nobody knows what the future holds. Because of this, lay out a detailed plan for your wealth and estate while you are still young and able. This will help ensure a smooth transition of your assets to your rightful heirs who will properly preserve, manage, and distribute your wealth. Doing so avoids potential legal issues that may arise after you're gone. More importantly, careful estate planning will give you peace of mind knowing you'll be able to take care of your family whatever happens to you.
Consider getting a product like AXA's Asset Master. This single-pay or one-time payment insurance and investment plan allows you to protect your legacy via its insurance coverage and providing access to various high-performing funds in the Philippines and abroad in both Peso and Dollar currencies.
AXA’s Asset Master has a guaranteed death benefit of 125% of your initial investment. You can also use it to fund estate tax settlement. The death benefit will be released immediately to ensure your heirs don't have to worry about sourcing or liquidating assets upon your demise. Since insurance payouts are tax-exempt if the beneficiaries are final and irrevocable, getting Asset Master can aid in preserving your estate.
By combining a comprehensive health plan, smart estate planning, and well-prepared and educated heirs, rest assured that your legacy will remain intact whatever the future holds. These are important investments you need to make together with your other financial decisions. Because whatever you do today will impact the life your loved ones will have tomorrow.
Know you can game plan your way towards seamlessly passing on your hard-earned wealth to your family. Get started by talking to an AXA financial advisor.
