web analytics
January 31, 2015 / 11 Shevat, 5775
 
At a Glance
Blogs
Sponsored Post


The Safety Net You Need

For this reason, it’s important to make sure you have a safety net in place. In terms of personal finance, this is a two-pronged approach: making sure that you have adequate insurance and having an emergency savings account.

The last time you were at the circus did you gasp as the trapeze artist swung through the air?

Even though his antics might be scary, there’s a strong safety net catch him in the event of a fall. Hopefully, the trapeze artist won’t ever need to use it. But it is always there – just in case.

Even the world’s best acrobats have safety nets to catch them if the unfortunate occurs. So what does that say for the rest of us, who aren’t the world’s best?

Even if you’re not a trapeze artist, you need a safety net. As long as you have dependents, you need a safety net to save you from fiscal free fall.

Sometimes, the “fall” can be the result of poor financial planning and decision-making, but often it’s due to circumstances that are beyond your control.

For this reason, it’s important to make sure you have a safety net in place. In terms of personal finance, this is a two-pronged approach: making sure that you have adequate insurance and having an emergency savings account.

If you have young dependents, insurance is absolutely vital. What would happen if your family’s breadwinner(s) died or was seriously injured? While insurance won’t solve every problem, it definitely helps alleviate some fiscal concerns.

And in a situation that is far less drastic, but still costly, emergency savings can make all the difference between being unable to put food on the table or repairing the car.

Review your insurance portfolio to make sure that your family is covered in the event of a possible disaster, and evaluate your bank accounts to ensure that you have an emergency savings plan in order to catch you in case you fall. And like the trapeze artist, let’s hope that you never actually need to use it.

About the Author: Douglas Goldstein, CFP®, is the director of Profile Investment Services, Ltd, a financial planning and investment services firm located in Jerusalem. He specializes in working with clients who live outside of the United States and want to maintain a U.S. brokerage account. Doug’s newest book, co-authored with Susan Polgar, about how using chess strategies to improve your finances, Rich As A King can be purchased at www.richasaking.com. He is a licensed financial professional both in the U.S. and Israel. Securities offered through Portfolio Resources Group, Inc., Member FINRA, SIPC, MSRB, FSI. Accounts held at Pershing LLC., Member NYSE/SIPC, a subsidiary of The Bank of New York Mellon Corporation. Neither Profile nor PRG gives tax or legal advice. Before immigrating to Israel, it is advisable to consult with a tax attorney who is knowledgeable about Israeli law. Contact at doug@profile-financial.com


If you don't see your comment after publishing it, refresh the page.

Our comments section is intended for meaningful responses and debates in a civilized manner. We ask that you respect the fact that we are a religious Jewish website and avoid inappropriate language at all cost.

If you promote any foreign religions, gods or messiahs, lies about Israel, anti-Semitism, or advocate violence (except against terrorists), your permission to comment may be revoked.

One Response to “The Safety Net You Need”

  1. Myriam Obadia says:

    Talking about safety net, do you have a suggestion for me. I'm a new immigrant, but having arrived a year ago, I no longer receive misrad ha'klita allocation. I'm disabled and my SSDI disability check covers for my rent + utility (thanks to the 223 nis Israel send me for housing, the vad is also covered), but if I want to pay the Arnona I already owe, I won't be able to eat, and if I eat, I can't afford my medications. I have applied for disability in Israel too, but I have 2 more months to wait before I get an answer. I keep on being asked for help for the poor, and I do know there is even worse off than me, but I don't know how to tell Kupat Ha'ir and Meir Panim that I need their help. Do you know how I could contact them (in English since my Hebrew, while getting better, isn't fluent by any stretch of the imagination) At this point, according to the social services lady, I fall through the net: no public program for me until I'm certified as disabled in Israel too.

Comments are closed.

SocialTwist Tell-a-Friend

Current Top Story
Kenji Goto Execution
ISIS Beheads Kenji Goto
Latest Blogs Stories
Ultra Orthodox Jewish youths studying religious texts at a Yeshiva in Jerusalem

In the Hareidi world, Torah study is worshipped to the exclusion of all else. Nothing else matters

IDF vehicles attacked by Hezbollah with anti-tank missiles at northern border.

Chances are, like in the South, terrorists are building a sophisticated network of tunnels in North.

Hezbollah shooting at Har Dov

9:31pm The Mt. Hermon ski resort on the Golan Heights will be open for business tomorrow morning — having receiving permission from the IDF. 8:03pm Channel 2 reports that Hezbollah terror cell was located 5 kilometers from Israel, and not within Israel as originally thought.Soldiers in 2nd vehicle were saved after they jumped out of […]

Jordana Brown: Ready, willing, and able!

I need a job, my friends. A real life, full-time, pay-the-bills, up at 7, home-after-nightfall JOB!

Ha’aretz claiming Glick is “far from a household name to non-English speaking Israelis” is erroneous

Distinguishing between manipulating and influencing people + 3 steps towards positive communication

Despite “excuses” about not wanting to influence Israel’s election Netanyahu’s views should be heard

Israeli leaders deny reality: Nothing we can do will make the Arabs accept a viable Jewish state

How do we make sure the Holocaust is relevant to new generations?

In 2006, Amona kids saw their teachers and rabbis being thrown from windows as if they were garbage

No money should go to terrorists or their families; anyone involved in terror must pay the price

Responsible Jewish outreach encourages BTs to retain and to enhance their relationship with parents

Israelis will vote for Likud because of Caroline Glick, but she’ll just be Right window dressing.

What are the dynamics of running a family business and what are its impact on family relationships?

The Hareidi paper HaMevaser wanted to have their cake and eat it too: use the photo; lose the women

Producer Chuck Wang explains how you can learn from mistakes and move on towards success.

More Articles from Doug Goldstein, CFP®
Doug Goldstein

Distinguishing between manipulating and influencing people + 3 steps towards positive communication

Doug Goldstein

What are the dynamics of running a family business and what are its impact on family relationships?

Producer Chuck Wang explains how you can learn from mistakes and move on towards success.

What is the “rookie mindset” and what can new trainees offer to the workplace?

What is the “latte factor” and why do women need to be in control of their finances?

In our first podcast for this week, 4 healthy money habits that you can adopt.

Can you trust your children to run your finances when you get older?

How does humor help you reach out to your clients and succeed in business?

Printed from: http://www.jewishpress.com/blogs/goldstein-on-gelt/the-safety-net-you-need/2012/10/28/

Scan this QR code to visit this page online: