My Realizations About Our Financial Needs

Julia was hospitalized last week due to acute viral infection.  Don left for Korea on the same day I rushed Julia to the ER due to high fever (40.9!).  It was the 3^rd day of fever and her pediatrician advised me to bring her to St. Luke’s QC.  We stayed there from Sunday until Thursday and I sighed with relief when I realized that I do not have to worry about the hospital bill.  Julia has a comprehensive health insurance plan (as a dependent) from Don’s employer.

I wished Don was there but I understand that he needed to work.  As I have said so many times, we are fortunate to have good and responsible employers.  I feel so blessed but my mind drifted to so many what-if questions.  Though it made me uncomfortable, I asked the question:  If something happens to Don, am I financially capable of supporting my daughter’s health care needs?  I remember Mr. Ricky So asking Don and I the same question during our first meeting.  He asked us about insurances and I confidently answered him that our employers provide life and health insurances for our family.  He then asked, “What if you lose your jobs?  What if you both die?  What will happen to Julia?”

I just stared at him.  I did not know what to answer.  Yes, we have stable jobs.  Yes, cash flow is regular.  Yes, we have money to pay for our daily expenses.  Yes, we have money set aside as savings.  But, the question is, if one of us will, for some reason, become unemployed, do we have enough on our savings to cover for our daily expenses?  For how long?  If we get sick, will that same fund be able to cover for medicines and hospitalization?  If we die now, we know that my mother in law and my brother will be more than willing to take care of her, but do they have enough savings for Julia’s education and health care expenses?

The Start Of Our Journey Towards Financial Stability

My life before Julia was all about me -- carefree and unintentional.  I had no clear road map but I was never anxious about the future.  I was promoted to manager at the age of 25 and started a small mutual fund investment, but that was it.  I started on a life insurance when I started working but never finished it and yes, three years of premium payments down the drain.  I really don't need it, I thought.  

My perspective changed ever since Julia was born.  I became literally scared of the future.  I ask questions like "Am I going to be a good parent?" "Will we be able to provide a comfortable life for Julia?" "Will we be able to afford the best school for Julia's education?" "What if we lose our jobs?" Judging from the questions I ask myself, it's pretty obvious that I am not well prepared -- emotionally and financially-- for the future.  Julia's quality of life will depend on how Don and I will manage our current lifestyle and how well we are prepared for the future.