Financial Planning for Newly Weds

As newlyweds, priorities and lifestyle changes. Any advice on what type of insurance coverage is necessary? What is the estimated monthly premium on such coverage? as u know.. many newly weds are also on shoe string budget.

I can truly understand what’s going through your mind now. When we are individuals, there are really not so much of responsibilities. However, things change when we become couple. Suddenly, we have to be more cautious, we tend to think and plan more because you are “formally” in charge of your own destiny now. This is especially so when there is a shoe string budget!

For a start, I believe communication between couple is very important. For example: You got to decide what kind of lifestyle you want to lead? That includes your type of dwelling, eating habits, how you want to spend your free time etc. Also ask yourself some of these important questions about your future such as:
-What are your priorities in life?
-Does your job gives security or prospect?
-Do you think you are adequately covered in terms of insurance?
-How many children you wish to have?
In short, list down what are important to the both of you. Do respect each other’s thoughts when both of you are in discussion. (Plus pt: This is a good starting point for couples to know each other even better!)

Then decide, what is comfortable budget for the couple. It is always difficult to advise on premiums and coverage because the couple is the one who valuate their life and not the advisor. The advisor is there to facilitate in the decision-making process, clear doubts and to present solutions to the couple’s needs.

To conclude, have a good and serious talk with your spouse, decide what both want, then seek professionals for solutions to cater to your needs. We can always discuss further after the couple has decided on what they intend to have in the future.

I hope that I have given some directions on head start to a better future.

Here are some important insurance to consider:

1) Life protection
A Life Insurance covering each other's life with each other as beneficiary.

2) Saving plan
Its good to start a saving policy in term of investment to ensure adequate funds for retirement and emergencies. You will be surprise on the amount of $ needed for retirement even if you decide to retire at 60. So it is recommended for the couple to talk to their Financial Advisor as soon as they settle down after their wedding.

3) Property
Property insurance to protect your most expensive spending. Many find this not necessary but to think about it; can we easily fork out another S$50K for reno again if anything would to happen to our property?

4) UnForeseen Circumstances:
Accident Policy

Lastly,
5) Hospital and Surgical coverage
With the rising medical fees in Singapore, this policy will help to lighten the 'bill load' if the person would to be hospitalised.