We’ve all written a bucket list at some point, haven’t we? In our last blog post, we introduced you to the first step of better financial planning to help you achieve the goals on your list — creating a budget. But have you ever thought of writing an anti-bucket list? Contrary to a bucket list, an anti-bucket list consists of the things you would never want to experience during your lifetime.
Here’s an anti-bucket list that consists of experiences you could potentially face if you don’t start your financial planning journey soon.
1. You toss away your financial future
Securing your financial future is important whether or not you have a family. If you are single, that means you can’t turn to your significant other to offer you financial support if you lose your job or are faced with a major unexpected expense. If you are married and/or have children, you may have the responsibility of sponsoring their college education in a couple of years. According to Forbes and other leading business magazines, you can’t fulfil these or any of your other goals if you don’t figure out how much money you need to accomplish them and find a way to earn it.
2. Financial and Emotional Stress
Several people might have told you that money doesn’t buy happiness. It may not, but the lack of money is a big source of financial and emotional stress in the lives of many. Of course, it is important to embrace the simple joys of life, but you can appreciate these fully only after you’ve achieved a certain level of financial security. Further, if you have a family that’s dependent on you for their financial goals, you will pass on this stress to your family members, which could take a toll on your relationships and health. And while we hear this often enough, we don’t always fully appreciate that health is wealth.
3. Missed opportunities
Have you ever looked back and regretted not taking that trip to Spain with your best friends? We know that feeling. And that’s why we want to help you make sure you don’t keep forming new regrets. Most people believe that you need large amounts of money to save or invest for your future. On the contrary, you don’t. According to The Balance, you can start with as little as thirteen euros per month. In fact, the cost of not investing thirteen euros per month is huge. If there is a 10% annual return when you invest, you will miss the opportunity to grow your money to 15437 euros by the end of twenty-five years if you don’t invest.
4. You reach retirement age with barely any money in your bank account
A lot of people believe that their pension will be their savior post retirement. But not many realize that if they want to maintain their current standard of living post retirement, their pension alone is far from sufficient. It is important to recognize your post retirement needs early on and to plan, save, and invest for them. Otherwise, you will hardly have any money in your bank account when you are at the retirement age. Also, not all of you may be eligible to receive a pension. Further, the looming European Union pension crisis makes things worse. To know more, look out for our next blog post.
5. You need to work till you die
Naturally, if you don’t have enough money for retirement, you will have to work until you die. Nobody wants to slog during the period of their lives they hope to relax and enjoy. You may have children who are grown up and have their own jobs, but it is highly likely that they have their own responsibilities to deal with, which means that you don’t want to be an additional financial burden to them. In such a situation, you have no choice but to be your own source of financial support. But when there are younger and more dynamic people competing for the same jobs in the labor market, your chances of holding on to a high-paying job are bleak.
Hey, the purpose of our post isn’t to scare you out of your wits! We just want to help you open your eyes to the realities of our world and to help you prepare for them so that you can live your bucket list and not your anti-bucket list. Meanwhile, come have a friendly chat with Beemo and let him help you start your journey to a secure future.