b&b198: How to Build and Protect Your Wealth pt. 2 PROTECT

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This first part of a two part episode focuses on how to protect your wealth. This means insurance and wills, or transfer of assets. You need health insurance (the #1 cause of bankruptcy is medical bills), and disability insurance (in case you can’t work for a long period of time) and life insurance (to protect your loved ones), and homeowners insurance or renters insurance. That’s a lot, so listen and we’ll walk you through it.

For more in depth information:
b&b87 The 5-Week Financial Plan: When do you actually NEED insurance?
b&b121 What to do if you lose your job
b&b134 How to get health insurance in 2017 (we know, we know, ugh)
b&b152 Bomopregha Julius on why you need an estate plan to end generational poverty
b&b179 All of your questions about the ACA/Healthcare answered!

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Music featured in this episode:
Myself Today by Breakneck the Mage
Protecting Ground by Kwervo
“PROTECTION” by Dread Daze

Episode Highlights:

I think this excitement around making a bunch of money and becoming a millionaire and investing in the stock market and making a bunch of money in real estate–it’s something that takes just as much time to build up as anything worthwhile does….20, 30, 40 year…Creating wealth in this way is a discipline, and not a project.

Ultimately, insurance is a tool to protect your assets and assign the risk of loss to someone else, which is the insurance company. So it’s basically trying to mitigate the financial risk of disasters and catastrophes happening to your stuff, your loved ones, whatever it is.

Health insurance is you protecting yourself and your own body…You can protect your loved ones with life insurance, and you can protect your income with disability insurance.

The #1 cause of bankruptcy is medical bills. Is people not having health insurance.

The number of bankruptcies got cut in half when the ACA rolled into law. Get health insurance.

A proper estate plan is the #1 way to end generational poverty…because we’re never taught that the way to pass on wealth is to make sure you have these legal documents in place to do it properly….All of [your] assets [can get] taken up by court fees…The wealth that you’ve built up through your lifetime gets taken away by the court system almost as soon as you die.

One of the easiest ways that you can pass on assets that you’ve built up is to list beneficiaries, and the reason why is because, guess what? If you list a beneficiary directly, it doesn’t even go through court…The person who you list directly gets the money as soon as you die.

There’s a lot of predatory stuff out there, and if you can protect as much of your wealth as possible and keep as much of the money that you make as possible in your pocket and you’re able to pass it on to generations, you’re able to be generous with it, you’re able to build up your communities with it, then this is how we build the next generation of people who have to sacrifice a little bit less than we did.