If you want to save money for your future self, let's assume that you have already decided to do soWe no longer discuss the need to save money for ourselves, and go straight to the results.
First of all, although the increase in whole life and pension are insurance, butThe underlying logic is not the sameSo let's start by talking about their logical differences.
1.Increase your life expectancy
Insurance sometimes knows what it is for by looking at the name, "whole life", which meansThe underlying of increased life is actually a whole life insurance.
Life insurance is to insure people, to ensure survival or deathLifelong life is to protect death.
So,During the payment period, there will be a certain amount of death protection and a certain amount of leverage。However, compared to term life insurance and fixed whole life insurance, this leverage is on the low side.
Nevertheless, compared to the pension, it does have a certain amount of leverage in the early stage, which is one of its major advantages.
Then,Normally, on the 9th anniversary of the policy, the cash value of the policy will exceed the total premiums paid.
Cash value, you simply understand how much the policy is worth, that is, the money you can get back when you surrender the policy. ）
That is to say,From that moment on, your money is all back.
And, since then,The cash value and sum assured of a policy increase at a rate of 3% per year, so it is called "incremental life" insurance.
As long as you don't surrender the policy, the cash value can continue to grow at a rate of 3%.
And you can do whatever you want with this money.
When you need a pension or other expenses, you can apply for a reduction in insurance and take out part of the money.
When you don't need it, you can put the money in the policy to continue to grow your value.
This is the underlying logic of increasing the amount of life, and it is not complicated.
2.Pension
Compared with increasing life, the logic of pension is simpler.
You pay a sum of money to the insurance company, which can be a one-time payment, or it can be paid in 5 years or 10 years.
Then the money temporarily "disappears" from your side.
Although it is said to be temporary, in fact, it can be a long time.
For example, a 40-year-old man buys pension insurance, and the earliest age for receiving a man's pension is 60 years old, which means that he has to wait 20 years before he can start receiving a pension.
That is, the money "disappeared" for 20 years.
When you reach the age of payment, the insurance company will start to give you a pension refundThis amount is fixed and agreed upon at the beginning of the contract.
The pension can be annual or monthly.
Well, I believe you already have a certain understanding of life enhancement and pension.
So, if you want to save a sum of money for yourself, should you choose to increase your life or pension?
It depends on your needs.
If you want flexibility, choose to increase your life.
Incremental life can be withdrawn at an earlier timeIt is generally 10 to 15 years earlier than the pension, in the degree of flexibility in the use of funds is much higher than that of pensions.
WhilePart of the insurance reduction function of the increased life also makes the use of funds more flexibleIf you need it, you will take the money, and if you don't need it, you will put it in it to continue to increase in value.
As for the pension, you need to wait for the long investment period (10 20 years) to pass before you can see the money.
For people who may need to have large expenditures for a long time in the future, an old-age pension is not as good as an increase in life.
If you want to receive money every month, every year, and want a full sense of happiness, choose an annuity.
The investment period of the pension is indeed very long, 10 to 20 years, and it is true that few people can endure the "disappearance" of a sum of money for such a long period of time.
ButAs long as you survive to the age of collection, the happiness provided by the pension is also unparalleled.
Think about it, after you retire at the age of 60, you don't have to do anything every month, and the insurance company will automatically transfer a sum of money to your bank card.
You don't have to maintain your shop, you don't have to maintain your rented property, you don't have to deal with tenants.
You don't have to reduce the insurance yourself, calculate how much cash value corresponds to the sum insured, and how much cash value is left.
All you need to do is lie flat and do nothing, just wait for the insurance company to pay you the pension every month (or every year).
Then you can do whatever you want, and you can go wherever you want.
This money can be used for travel and to buy what you want.
You can learn a musical instrument or a craft (such as tea art) to make up for the regret of being too busy at work to realize your dreams when you were young.
You can go to concerts and listen to ** meetings.
Even,The money can also be used to support one's own middle-aged unemployed children.
This kind of happiness is a wonderful experience just by imagining it, right?
And the price of all this is nothing more than the time for a sum of money to "disappear" for 10 to 20 years when you were young.
Again, let's assume that you have passed the stage of struggling with whether to save a sum of money for your future self.
Then, the question is only a question of choosing to increase the amount of life or pension.
In a word:
To be full of flexibility, choose to increase the number of life.
To be full of happiness, choose a pension.