I was scanning some of my facebook newsfeed today and I came across a good friend from Tacloban, Ms. Grace Berino. She posted in her facebook how she started saving at when her son was only 1 year old. Fast forward today her son is now 17 years old and she just received her maturity benefit from the company where she invested – Insular Life.
Below is the post of Ms. Grace Berino:
Last Monday, I finally received the maturity of my son’s educational fund. I remember getting the College Provider plan – (a college cash fund that matures on the 17th birthday of the child) from Insular Life, when my son was just 1 year old. I am grateful I did. Now, I don’t have to worry where to get the money for his tuition and other school related activities. I wonder, what if I did not discipline myself to save 16 years ago? What if I didn’t practice budgeting and apply delaying gratification? So many what if’s and am glad I practiced what I preach. With the high cost of tuition fees and cost of living now, delaying ones plan to save is a recipe for failure.
If I just saved my son’s college fund in the bank, one of the biggest problem is inflation. With the average yearly inflation hovering between 3.5% to 4% and savings rate of 1%, very clear I will not earn. My savings will just be eaten by inflation. (The current tuition fee increase every year is 10 to 15%! Vs. Your bank saving interest of 1% a glaring fact of how inflation wipes out your hard earned money.) When I decided to invest it in Insular Life, I paid only half (50%) of the maturity fund (the younger the child is, the cheaper the cost), beating inflation in the process. It pays to really SAVE and INVEST. I am going to reinvest half of the maturity in the stock market thru Insular Life’s newest fund, the SEF fund. When the time comes that he graduates he will have a fund that will help him start his independent life or we could use part of it in our travels abroad.
I believe in planning and having a goal. It’s not just a goal, but a goal with a deadline. I evalute and re evaluate my life’s goal every year. This is very important to me. I do it to my clients. I recommend the family financial planning and for the last 20 years or more, it works for them. Thank you again my beloved Insular Life ikaw ay talagang maaasahan. Friends, set aside a portion of your income, have a plan: either for retirement etc… Erase procrastination, practice regular saving no matter how small. Isang magandang araw mga kaibigan. In Insular Life, magandang araw ngayon, magandang buhay bukas!
Thank you grace for your positive post in facebook and for inspiring us to start planning and saving early!