Too busy to get rich?
Sounds crazy, doesn’t it? But that is exactly what 80% of people actually are… just too damn busy to be able to stop for 5 minutes and plan… anything. Most people feel like the life mouse-wheel is spinning so fast that they don’t have time for planning the basics let alone the important stuff?…Sound like you too?
Basic stuff like getting organised at home instead of having ‘piles’, getting organised in the kitchen with meal planning to make life easier, getting organised with our time so we can stop and smell the roses occasionally – let alone worry about the future! Let’s face it – it’s the future, a long way off and we are too busy with all the other stuff – we will deal with THAT later – right!
Unfortunately, it’s wrong! Most of the people that come to see me arrive at the point of time when they are staring down the barrel of retirement and realised that they haven’t got a plan for wealth creation. Now, there is usually still time to work out a plan, but gosh the plan would have been much easier and simpler had it been worked out during that crazy time when kids, school, and jobs were in the whirlwind stage… and time was an issue.
The secret, no matter what your time of life is, is to get organised. The more organised you are, the more of ‘it’ you have.
So, what is ‘it’? Whatever you are organising. Let me explain.
If you are getting organised with your time, you have more time. If you get organised with your money, you have more money! If you get your inner Marie Kondo on and get organised with your space, you have more space and I can go on and on.
The secret to wealth creation is to get organised.
As you do the rest will fall into place and better still the happier you will be. I know from personal experience, and experience from the hundreds and hundreds of clients I deal with each year that our happiness level usually is on a similar level of how organised we are.
The bigger the whirlpool of craziness around us, the lower the happiness level, and the lower the level of wealth too…
Over the years I have found there has been a definite correlation or connection between the level of wealth and level of organisation in other parts of life. Strange but true. In one of my eBooks ‘The 9 Reasons You Aren’t Rich and What To Do About It’, I covered this topic. Decluttering your life, your head and your money definitely will have a very positive outcome in the level of money or more importantly the wealth, you actually have.
While I teach Money Mastery, by using the My BIG Money Goal program designed to be a lifestyle change for your money, and Wealth Mastery – using a university-style program called Five weeks To Wealth. What I want to discuss today is getting organised with your Protection. The ‘what happens if something happens’ problem… having your protection organised is one of the kindest and most essential things you can do for those you love and those who rely on you.
Let’s face it, it is all well and good to plan for the future, but what happens if something goes a bit wrong, or dramatically wrong, what happens to the plans then?
Let’s start with you.
You wake up and it is a normal busy morning, lots of normal crazy busy family stuff and out the door, you race into a normal crazy busy day… then the world as you know it stops. Your ‘big red bus’ came around the corner and while you didn’t die, life will never be the same…
If something were to happen to you, what have you got in place right now to manage the situation?
Great news! You survived!
Would the first thing you say be… “I’m incapacitated, so I don’t really care who makes my health care decisions for me and I don’t care who is in charge of my finances, and I certainly don’t care what happens to my family…” … hmm no, I don’t think that is what will be going through your head, or through the minds of your immediate family.
Let me shake off my inner ‘Pippa Colman’ (for those of you who don’t know the dynamic Pippa, she is an amazing Sunshine Coast Solicitor who loves working with planning for your future, including Wills, Powers of Attorney, Binding Death Benefit Nominations and Family Law at Pippa Colman and Associates. Pippa looks after my client’s needs in these important areas.)
Personal and Financial Affairs.
First: We need to address the fact that if you are unable to manage your own affairs, money or care for your family and if you don’t want the next person in charge to be a government official, it is vital you need to make sure you have a VALID Enduring Power of Attorney in place and a Power of Attorney so that your trusts, companies and super funds continue to work even if you can’t. Step 1. Get legal advice and I would recommend getting a solicitor to create these documents on your behalf rather than a ‘do it yourself’ model.
Second: We need to look at how you pay for everything now you can’t go to work and earn an income! Most people live pay to pay, and if they do have some savings, they often don’t have enough to survive without an income for long. Have a specialist look at your Insurance needs, TPD – Temporary and Permanent Disability cover, Crisis or Trauma care and Income Protection Insurance.
OK… What if the worst happened?
Oh No! You didn’t survive!
Now an Enduring Power of Attorney wouldn’t work, your financial and family responsibilities lie with the Executor of your Will. What?? No will? (Pippa’s hair just went grey!)
A Valid Will.
Not having a will is just like saying, “I don’t care enough about my family to make life easier if I were to die early or unexpectedly. They will be suffering and sad, so I might as well make it as hard as I possibly can by leaving my estate in a mess that will take so much extra time and stress, it should really make them wish I hadn’t died.” Sound like you? No? I didn’t think so. So now take a long hard look in the mirror. Do you have a will? Has it been checked in the last couple of years?
If you don’t have a will, then the law of Queensland dictates how your estate is divided. Eek! Most people want to have a say in how they leave their assets and who looks after those assets.
Did you know that the assets and insurances in your super aren’t always dealt with by your will? Neither are huge “assets” like your life insurance!
Did you know that your super needs to have a Binding Death Benefit Nomination to be paid to the people YOU want to receive it? Otherwise, the trustee of your super fund will decide who it goes to?
Did you know that this Binding Death Benefit Nomination may need to be redone every three years or so or it is invalid?
Did you know that if you were to die, and your family can’t find a valid will, your assets including bank accounts could be frozen and locked away until you have an administrator of your estate appointed by the Supreme Court, which takes time, trouble and costs money? So mortgages, rents and any other assets you own can’t be used by the family you have left behind.
It gets worse. If you are a single director / single member of a company, and you leave a will, your executor has the power to appoint a new director to the company. The director will then have all of the powers, rights, and duties of the deceased director and can keep the company running. If you don’t have a will…yes, it’s off to Court for your family.
Did you know that if you took the time to create a valid will, you could help your family avoid all of this trauma and stress? And the cost of the will is so small compared to the costs of applications to the Court.
Did you know that none of us know where their BIG RED BUS is currently parked or when it will come around the corner?
Did you know it would be as simple as coming in to review your current situation and allow us to help make the necessary appointments with our success team members to solve every single problem on this list?
Let’s get organised and make a time to come and get these things ticked off your to-do list this week.
Have a great week and avoid those big RED busses.