We fear what we don’t see
Fears are often made worse when we don’t talk about them and make them visible. Fears become stronger when we don’t see them, just like in the movie Jaws, we don’t see the shark fully until an hour and twenty minutes into the film… the shark simply is scarier for not being seen.
Does that resonate with you for some of your fears?
COMMON FEARS
I have worked with different young professionals on family wealth and retirement planning, and the most common fears I have discovered are:
Unknown couple's financial situation - because they are not able to talk about money with their spouses openly. It is often a sensitive topic.
Parents’ retirement plan is not communicated - don’t know how much to prepare to support them financially, especially when their health is not great.
Death of self, spouse and parents - unsure what to do when the time comes.
Losing job - fear of not being able to find a job quickly to pay for family expenses.
The more we fear, the less we want to deal with it, and the vicious cycle goes on without solving the problem.
WHAT WE CAN DO TO CONQUER THESE FEARS
The more we hide from these fears, the stronger they get. The best way is to acknowledge them and talk openly about them. Here are a few things we can do now to remove these fears:
Project Gracious Family Emergency File - I have worked with couples and young families to open up on their money discussions through our Project Gracious Family Emergency File exercise, which is a cleaned-up multi-company insurance plan in one file, including emergency contacts, medical history, allergies, etc. It works as an “Expense Management Book” tailored for the family, where you can see unused benefits or find relevant contacts in case of emergencies. It is clear that the file is for the good of all members of the household. By working on the same project together, the couples turn this “money taboo” in the family into love and care in action. The clearer picture we get about our current financial situation, the more suitable tools we can identify to solve the problem. Book a 30-minute free consultation to learn more via this link.
Make a life plan - It would be helpful to put together a life timeline for yourself, including things that you would expect to happen during different periods, such as getting married, having kids, kids graduating, your retirement, kids getting married, having grandkids, your parents’ retirement, your parents’ potential passing age, your own passing, etc. This is a visual snapshot of your life, and you know these things would happen at some point. From this, we can build a mental and monetary plan for each “event”. For example, I have selected the venue, decoration, and guest invitations for my funeral, and I know how much it would cost with inflation taken into consideration. I have set up a savings plan for this goal so that I don’t have to depend on anyone’s support for this.
Plan a monetary buffer for emergency cash - As mentioned in this previous article, we will need 3-6 months’ worth of our expenses in our current account for emergency purposes (6-12 months if you are self-employed). This can take away some worries and fear of sudden job loss and buy some time for job hunting. But be careful, if you keep too much money as emergency cash, you might be forgoing investment and money growth opportunities.
It is not difficult to conquer these fears, it only takes action. If there is still resistance preventing you from doing so for whatever reason, you can always seek assistance from your professional financial consultant or life planner. Be sure to be open with these professionals on your concerns, so that they can find suitable solutions and take the gentlest route to approach with ease.
If you are interested in knowing how Project Gracious Family Emergency File can help with conquering all the fears listed above, book a 30-minute free consultation to learn more via this link.
