We all aspire to buy the car we love, the house of our dreams or take the trip of a lifetime and lose ourselves for two weeks in our favourite destination. The question is how to achieve this. Today we will explain why savings insurance is the perfect way to accumulate enough money to be able to fulfil our wishes.
Current savings capacity
When we talk to a customer about whether or not he or she saves, in many cases the answer is yes.
Indeed, there are many of us who are fortunate enough to be able to saving a remainder of our salary for the future.
This article showed how most young people save every month (more than 100 euros on average).
The problem lies in what formula we use to save: most of the time, money remains tied up in the account. We talked a few weeks ago about how inflation was making a comeback and the mistake we make if we do not invest for some return.
The problem of loss of purchasing power
If with our money, we do not look for alternatives to make it profitable, we will be losing purchasing power. We explain it in a very simple way:
- 2% inflation: goods are more expensive than before
- I don't invest my savings: they appreciate 0%
- I lose 2% of purchasing power due to the immobility of my money.
This must be avoided if we do not want to «impoverish» ourselves by being able to buy less with the same money.
Savings insurance: the solution to the problem
In response to this need to encourage people to save for their future, products were developed to help people start saving. These products are called:
- PIAS(Individual Systematic Savings Plan)
- SIALP (Individual Long Term Savings Insurance, also known as Savings Scheme 5)
- PPP or IPP (Guaranteed or individual pension plan)
These are the 3 types of products that have a number of common elements:
- All of them have some form of tax advantage (either in the contribution or in the ransom)
- They have a annual contribution limit
- These can be guaranteed or investment fund-linked products (whichever the customer chooses).
Our Savings and Investment Department can help you choose what best suits your personal situation, write to us. We specialise in insurance to save money in Zaragoza You will find us there.
