Listing Down Things to Purchase with Your First Pay Cheque? Don’t Skip Life Insurance!

Nothing beats the feeling of receiving your first salary. Nowadays, employees get a beep on their mobiles, alerting them of salary deposits. Can you imagine the feeling of self-pride that comes with your first pay cheque? It is an unforgettable experience and one that you have to know for yourself to get that feeling of triumph. The first pay cheque not only brings this feeling of immense happiness, but also a feeling that the world is at your feet and you have the power of cash. In turn, you may want to splurge on a designer suit, or some sports shoes you’ve been eyeing for a while. Before you go on a wild shopping spree, you should stop to think.

Getting carried away is easy. However, if you have ever read about the world’s best investors, ones like Warren Buffet, they will always recommend that you allocate your funds to sensible investments. Moreover, their advice goes on to state that investing while you are young, grows your wealth substantially till you discover a massive corpus in the future. So, the first thing you should probably think about when you start earning an income is to financially secure yourself for the future. Although you may be in your 20s, and just embarking on a long career path, there is no way of knowing about life’s uncertainties. They can strike you without warning, and you need to deal with emergencies with solid financials on your side. Creating an emergency fund and strong investment portfolio should be foremost on your mind.

Budgeting may not be the first thing that a person in their 20s wants to deal with, but it is important to purchase financial products while you have youth on your side. Why? Honestly, the earlier you begin, the more time you will have to accumulate wealth. Your wealth, once invested in a product like life insurance, can even see significant growth. Life insurance sees that your beneficiaries are looked after financially, should an unfortunate demise befall you. You may not think of dependents at a young age, but even if you are unmarried, your parents may be your dependents. When you purchase a life insurance plan like the HDFC Life Sanchay Par Advantage, you get a number of benefits at a young age. If you buy your plan while you are just starting your career, you can get a long coverage as well as the advantage of lower premium payment. Besides this, other benefits that translate to great features include a death benefit to beneficiaries in case of your unfortunate demise. If you survive your plan’s tenure, you get a maturity benefit. You also save taxes, which is a superb plus point if you start your plan early in life. With advantages like a cash bonus (if declared) from the initial year of the plan, this plan only has the customer in mind.

Buying life insurance when you are young gives you several advantages. If you consider several milestones that require expenditure in your life, whether you buy it when you are younger or older, you will understand what life insurance brings to the table for you. Firstly, it gives you life coverage, with a death benefit for beneficiaries, and a survival benefit for policyholders. In fact, you can avail survival benefits from the very first year of availing the policy. As if these advantages weren’t enough, any benefits you or your beneficiaries get are not taxed. The most important benefit you get from the plan while you are a young buyer, is that your premiums are low. This is because you are at less risk of health problems and subsequent death while young, and have a long earning life ahead of you. With all these benefits, you should put a percentage of your paycheque aside and buy life insurance. Being prepared for any financial eventuality is not that hard. Buying insurance is the solution to the unpredictability of life and related financial costs. Therefore, #SkipNahiInsureKaro

ARN: ED/06/22/29809