FINANCIAL WELLNESS SEMINAR

The Rock Unit Blue Horizon Branch

Objectives
By the end of this program, you will be able to:
Know the different financial priorities and needs at

certain life stages and how it relates to you.

Develop and start your own financial plan

Know about Manulife and the services we offer.

Who is Manulife?

Today we are the Largest Life Insurance in Canada 2nd in North America and Among the Top 10 Largest in the World for Market Capitalization
Market data as of January 2011 Thomson Reuters
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Manulife in the Philippines

Established 1907

Wholly owned subsidiary of

Manulife based in Toronto, Canada

With a dynamic management

team composed of more than 2,200 financial services experts With 250,000 in force policies of financial protection and wealth management products
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I could give my child the best education without having to cram for a loan.

I could do the things I want when I retire.

I am saving and investing to enjoy my future.

I could leave my family a legacy when I die instead of a financial burden.

I could leave my estate to my family without them worrying about the taxes.

I could take care

of my family even
when my health gets impaired.

Believe You Are More Than Your Wealth

Living beneath your means is the only route to take to enjoy a secure and comfortable standard of living throughout your working and retirement years. Living beneath your means isnt a suggestion. It is an imperative. Question:

Are you living beyond or beneath you means?

Do you feel a need to impress others by what you wear?

Do you feel an attachment to material things?

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LIFE STAGES IN THE SALARY RAT-RACE.

Single Family Start a family Retirement

Marry

Retire

Educate children

Leave School

RIP

Buy a house

Age
7

20

30

50 40 Disposable Income

60

70

Commitments

The Sad fact is

Out of 100 young men at age 25

4 are independent
5 are still working

54 are dependent
36 are dead

40 years later

1 is Rich
From the recent SSS survey
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On The Issue of Education

Only 1 out of 10 children finishes college 1 in every 4 youth is out of school due to the high cost of education

Tuition Fee Projections Per Year

SCHOOL
UST MIRIAM ASSUMPTION SAN BEDA DLSU ADMU

SCHOOL YEAR 2012 71,540 99,087 133,860 101.849 175,349 143,859

SCHOOL YEAR 2018 143,111 198,213 267,774 203,739 350,738 287,776

SCHOOL YEAR 2024 286,279 396,506 535,656 407,560 701,679 575,669

Projected Cost of a Four-Year Course Starting SY 2024

P 1,373,249 P 1,901,985 P 2,569,471 P 1,955,011 P 3,365,866

P 2,761,431

* Source: CHED in Q4 2008, as quoted in PDI: Tuition fee Increasing by 12.25%/year

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On the Issue of Retirement

What if I OUTLIVE my MONEY? What if I OUTLIVE my DREAMS? What if I OUTLIVE my PURPOSE? Who will I be in that next stage of life?

Who can I count on to fund it?

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Living With Impaired Health

Health has always been a major concern because of the cost it entails when someone gets sick.
But most are still caught unprepared

And social health insurance is almost always not enough

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Income and Expense

-----------------

Income level

We get older

--------------------

Expense level

Inc>Exp

Economic Crisis

----------------------

--------------------

Expense level

Income level

The strong & young person that you are today is the only person who can help the disabled or financially problematic person that you may be someday. Would you like me to show you how ?
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Estate Planning

Wealth Management

Investments

Financial Growth

Savings

Financial wellness
Protection

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FINANCIAL HEALTH INDICATORS

An overview of the different financial dispositions of individuals.

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I can retire anytime.

Money not a problem. Managed to acquire
properties and items to
live comfortably.

Future already covered.

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Blissful Willy

I can go on sabbatical for 6 to 12 months.

Managed to save an
emergency fund.

In case of job loss, money

available may shoulder needs for several months (under normal circumstances).

Risks: getting sick

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Tranquil Living

I have money to spare

for emergencies.
Stashed some cash for
basic emergencies.

Minimal worries about the

future.

Risks: job loss and

getting sick.
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Just Chilling

Ill be OK until the next payday.

Expenses = Income. Risks: job loss,
emergency expenses, getting sick
Contented Disposition
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Credit card companies

are after me.

Salary wiped out as it
reaches the ATM.

No savings. Risks: future, job loss,

emergency expenses,
getting sick
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Restless Attitude

Death

Critical Illness

Accident/ Disability

Financial Uncertainties ?????

6 0

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Emergency Fund
Ideal: 6 months of monthly household expenses Initial goal: 3 months

Pay Off Debts

Tally all debts. List down. Make a monthly program.

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Peoples Behavior on Money

BEHAVIOR 1 BEHAVIOR 2 BEHAVIOR 3

INCOME
LESS

EXPENSE
LESS

INCOME
LESS

EXPENSE
EQUALS

INCOME
EQUALS

SAVINGS
EQUALS

SAVINGS

DEBT

EXPENSE

Which one are YOU?

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The key objective of

The value of the peso declines over time due to inflation: 2009 2019 2029 2039 2049 2059 2069 2079 2089 2099 : : : : : : : : : : PhP100,000.00 PhP 53,861.51 PhP 29,010.62 PhP 15,625.56 PhP 8,416.16 PhP 4,533.07 PhP 2,441.58 PhP 1,162.00 PhP 625.87 PhP 381.51

investments is
to maintain / enhance the purchasing power of money over a longer period of time.
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Assumed inflation rate: 6.0%

FINANCIAL BASKETS YOU CAN CHOOSE FROM

Our Job is to help YOU ENVISION YOUR FUTURE and PUT THE ELEMENTS TO FUND IT.

DIVERSE RANGE OF FINANCIAL INSTRUMENTS

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Life Insurance: A CUSHION FOR TWO POSSIBLE HAZARDS

1. DIE TOO SOON

COMPLETES FUTURE PLAN

2. LIVE TOO LONG

PROVIDES CASH FOR RETIREMENT

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Variable Life
FOR INCOME PROTECTION AND INCOME GROWTH

INSURANCE PROTECTION

INVESTMENTS

MAXIMUM SAVINGS AND PROTECTION

1. 2. 3.
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BOND FUND invests in government and high-quality debt instruments STABLE FUND - invests in diversified portfolio of bonds and equities EQUITY FUND invests in high-quality listed stocks

Savings and Protection

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The Next Step:

5 STEPS To Meet Personal Goals
STEP 1: Know what you want STEP 2: Know how much you need STEP 3: Know where you are now and the options you have STEP 4: Prepare and implement a plan NOW! STEP 5: Evaluate your plan

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REMEMBER: Income and Expense

-----------------

Income level

We get older

--------------------

Expense level

Inc>Exp

Economic Crisis

----------------------

--------------------

Expense level

Income level

The strong & young person that you are today is the only person who can help the disabled or financially problematic person that you may be someday.
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