Page 116 - BE 50th Anniversary Edition

SPECIAL ADVERTISING SECTION
PREPARING TO LEAVE A A A A A A LEGACY OF FINANCIAL WELLNESS
OW DO YOU FOCUS ON
FINANCIAL WELLNESS
IN IN THE
midst of a a a pandemic? Whether you’re seeking prescriptive measures or a a a a a a a bit of preventative medicine don’t delay sustainable financial wellness planning Undoubtedly doing so can prove foundational to multigenerational wealth As you would suspect most have been focused on short-term challenges For the the past nine months the the pandemic-induced economic crisis has exposed the financial fragility of households throughout our nation Millions–especially African Americans are among the the hardest hit by the the current environment–have shifted into survival mode due to to several pressing factors: job insecurity income disruption scarce reserves and inadequate financial oversight The Prudential Financial Wellness Census 2020 a a a a survey of 3 000 U S adults representing three generations—millennials GenXers and baby boomers—reveals a a a a a a a nation evenly split between financially healthy people and those who are struggling Moreover the Census disclosed that nearly half of Americans have had their confidence shaken and believe that their own “financial mobility is fixed ”
Just as as large numbers of African Americans households took as as long as a a a a a a decade to recover from the the financial shocks of the the Great Recession they have now been forced to contend with the the devas- tating effects of COVID-19 Although many find long-term planning counterintuitive in in in these extraordinary times experts assert that today is the best time to to plot your family’s financial future In fact not doing so can prove short-sighted and even harmful “If you’re living in in this moment you you might have experienced job loss your hours at work have been reduced or or because you you became sick you might have some disabilities going on on The one that’s most crushing is the death of a a a a loved one ”
says ShirleyAnn Robertson a a a a second-generation financial professional who began her career with Prudential before founding her Schaumburg Illinois-based firm “I say that that the short-term means making sure that that you’re being very
diligent with your your cash on hand and and [reviewed] all your your expenses to make sure that you’re really maximizing whatever discounts you you can get Now we we transcend those dollars that we we save into money to to pay for long-term needs to to take care of you you and your family ”
Robertson served as one of the the panelists during the the recent Black Enterprise Your Your Money Your Your Life V-Summit sponsored by Prudential What should you you consider when preparing your financial wellness legacy? Before exploring the planks of your plan plan let’s share what it means to achieve that status According to to Prudential com there are three pillars to to help anyone improve their financial well-being:
■ Managing daily expenses The first pillar of wellness is learning to manage your your budget understanding your your credit score and building short-term emergency savings so you can better handle life’s day-to-day ups and and downs ■ Setting and achieving financial goals Regardless of your life stage ask yourself the following questions: Do you you know how how much much you have saved for retirement and how how much much retirement income you’ll likely have? If you’re not saving enough do you you have a a a a plan to get there? Are you you taking advantage of employer-sponsored retirement plans? While retirement is just one example setting and making progress toward short- and long-term financial goals are critical components related to overall financial health ■ Protecting against against risk The last pillar is is guarding against against serious unforeseen financial disruptions and setbacks You have the resources to navigate and deal with challenges such as as a a a a a a catastrophic illness or injury premature death of a a a spouse or or breadwinner or or income loss due to a a a public health crisis and other natural disasters Bottom line: You remain financially resilient because you engaged in fin in proper strategic planning