Anne is 49 years old and, as an executive director for a top 50 ASX-listed company, she is the primary breadwinner at home. Her husband owns a successful business and the household’s annual income is $400k. With no kids, no mortgage on their home, close to $2M in super, cash and shares, Anne’s financial situation would seem under control.
However, sadly, she lives with inoperable cancer.
Anne was given the option to take voluntary redundancy and she contacted Equitas Partners with one question in mind: “Can I afford to leave the company and chase my dream of volunteering for the community?”
The first step Equitas Partners undertook was to better understand Anne’s financial situation and help her understand it too. Fortunately, Anne already had good insurance she could rely on if her health was to deteriorate. She and her husband had also followed the golden formula of spending less than they earned during the middle part their working lives.
Equitas Partners helped her to protect key assets as part of an overall risk mitigation strategy so that if anything happened to herself or her husband’s business, it wouldn’t affect their household’s assets.
The financial strategy involved cashflow planning and asset structuring to ensure sufficient cashflow to support their lifestyle over the long term and in the absence of Anne’s salaried income.
In the end, Anne could take the voluntary redundancy offer and pursue her dream of giving back to the community by getting involved with a number of charities, local not-for-profits and advocacy groups.