What is your biggest asset?

Most Australians consider their three biggest assets to be; 1) their home, 2) their car, and 3) their home contents – in that order. At least that’s what insurance statistics say. These 3 assets are the most highly insured.

Following this logic then, your home should be your biggest asset. Right? I don’t believe so.

Don’t get me wrong, your home is a valuable asset that warrants insurance, but I question whether it is your biggest asset.

Ask yourself this question. What has allowed me to purchase and maintain my home?

MY INCOME.

Without your income you wouldn’t have what most consider to be their biggest asset. And ironically, you wouldn’t be able to pay for the insurance policy to protect it!

Back to the statistics – less that 20% of us have our incomes protected.

Does this not make our logic flawed? Are our priorities out of whack?

We’re happy to protect the asset we need income to buy, but we overlook the bigger risk – loss of income! What if your income stopped yesterday? Would you be able to keep your house?

It seems not even a tax deduction for insuring income has provided enough incentive to take this risk seriously.

This is an accident waiting to happen, because in many cases it’s not until you do lose your income that you realise the importance of it. But by then it’s all too late.

Financial Planning Expert can help you to protect your income. Contact us to find out how.

 


This advice may not be suitable to you because it contains general advice that has not been tailored to your personal circumstances. Please seek personal financial and tax advice prior to acting on this information.Opinions constitute our judgement at the time of issue and are subject to change. Financial Planning Expert Pty Ltd does not give any warranty of accuracy, nor accept any responsibility for errors or omissions in this document.
© Copyright 2011-2014 Financial Planning Expert Pty Ltd

ABN: 71 545 756 841 Australian Financial Services License: 402042

Phone: (03) 9708 8126

Email: info@financialplanningexpert.com.au

 

 

This entry was posted in Investment Platforms, News Blog. Bookmark the permalink. Both comments and trackbacks are currently closed.
  • Send Us Your Enquiry Today!

    Name *

    Email *

    My enquiry relates to:

    Additional Information

    Enter the CODE below:
    captcha

  • FPE on YouTube

  • About Financial Planning Expert

    Financial Planning Expert is an independent financial planning business based in Melbourne. We provide genuinely independent and conflict free financial advice. We’re experts in self-managed superannuation fund (SMSFs) advice and strategy, retirement planning, property and share investment advice, life and income protection insurance, tax planning, asset protection, estate planning and advice for Australian expatriates.