Finances: Planning for the future

Have you planned for your loved ones’ later years?

Some say our golden years are the best of our life, and we all want to see our parents and grandparents living comfortable but stimulating later lives. With a bit of planning, we can rest assured knowing that our older loved ones are financially secure. For those responsible for planning their parents’ or grandparents financial future, it might be worth looking into equity release. This technique allows the elder generation to unlock a steady cash flow when they need it most, by releasing some of the money locked up in their property.

What to consider?

Many elderly homeowners find themselves property rich but cash poor. When you reach a certain age, having your money tied into a property is not ideal for your needs, and releasing this capital could allow you to spend a little money on the activities you have always wanted to try.

This could be anything from long and leisurely golf holidays to a trip to a paradise beach or regular cinema dates, dance classes and other entertainment-filled activities.

How much money is tied up in equity?

British people over the age of 50 are estimated to own over £750 million pounds of equity in various buildings. Equity release schemes are a great option for those that wish to unlock some of that hard-earned cash. Once this has been unlocked, your loved ones are free to spend it on anything they desire. It can also be a valuable option for those looking to downsize from a larger house to smaller, more secure accommodation.

There are a number of safe income plans available, many of which boast numerous benefits. It is important to aid your loved ones in choosing a system that can reduce the risk of inherent equity sums, so seek independent, qualified financial advice when making this decision.

Once the collateral has been released, the world becomes your oyster. Your parents and grandparents can concentrate on living their later years to the fullest, knowing that many years of work have finally paid off.

Helping your loved ones to follow their dreams is the best feeling; especially now that they have all of the time in world! Such a plan will allow them to reside in a comfortable home, whilst still being able to enjoy a healthy bank account.

  

*This is a post from McCarthy & Stone.

Swiper Noooo Swiping II

Well we made it to November. I can't say it was frustration free but we made it. This month we are staying with our cash only system. This new way of looking at our money spending habits has been so eye opening. In October I wasn't sure how I was going to make it. It's the fourth day of November and I have to say I am confident about conquering this month.

When we filled up our envelopes last month I had so much doubt. At the end of the month when there was still money left in the grocery envelope I felt such a strong sense of achievement. Knowing that I had saved my family money was a great feeling. I know this month will present it's own set of challenges. Thanksgiving is coming up. I'll be buying some food items that I wouldn't normally purchase. Christmas shopping has got to get done and I can already here that "retail devil" on my shoulder telling me to buy Savannah every cute little thing I see.

Luckily, I have come up with some pretty crafty (at least I think they are) ways to keep our spending in check this holiday season. I created a wish list on Amazon full of all the items that we plan to get her for Christmas. I have done price comparisons all over the web. For me, shopping online keeps me out of the stores and away from temptation. Between the decorations and the Christmas music I am a sucker for impulse shopping. When it's time to pull the trigger for her Christmas gifts I'll be going to her pre-made wish list, filling up my shopping cart and checking out. The "retail devil" won't stand a chance.

Yesterday, that "retail devil" was on back hard. I wanted to buy myself some clothes. Instead of heading to the mall with itchy palms I decided to clean out my closet. I organized all the like items together so that I could really see what I had. By the time I got finish doing that not only did I not feel like going shopping but the desire to buy new things had dwindled. I could clearly see in my closet that I had everything that I "needed".

Of course I want to get in on some of the latest trends for the season and now I know exactly which items I'm looking for. I was able to take an inventory and plan how I'm going to spend my money. I built outfits and made a list just like I would if I were meal planning and making a grocery list. This was a huge step for me. I'm learning that it's about more than limiting our purchases to a dollar amount. It's about giving value to the money that I am choosing to spend.

How has everyone else been doing with their switch to a cash only lifestyle?