Sanlam : Five Steps to Prepare for Life’s Surprises

1 February 2018

They say two things are certain in life; death and taxes. But if there is one thing that the 'Life Surprises' survey conducted by Sanlam a while ago has taught us, it is the fact that life will also throw us some curveballs.

This survey conducted among South Africans over the age of 50 found that 78.5% of South Africans had faced at least one unexpected life surprise.

It also found that the events felt most severely - both financially and emotionally - were financial events such as loss of savings, a business closure or a retrenchment. And it further showed that most people were not well prepared financially for these events.

Here are some respondents' experiences:

• 'I lost my job because of illness. I couldn't provide for my family when I lost my job,' Father from Pretoria.
• 'Losing my job put me into uncertainty, and depression followed afterwards,' Man from Cape Town.
• 'My father's death at a very young age left us with no breadwinner,' Woman from Cape Town.
• 'I lost my house and savings and had to start again at 42,' Man from Johannesburg.

So with the likelihood of something big and unexpected coming your way over the course of your lifetime, what can you do to mitigate the financial and emotional impact of these events? Karin Muller, head of Growth Market Solutions at Sanlam, suggests these five steps as good starting points: