Insurance Admin

Dedication to helping consumers make smart insurance decisions


Is the 4% Rule broken?

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Is the 4% Rule broken? -
Have you heard of the 4% Rule? This is the amount of money could be safely removed from an investment account without exhausting during the lifetime of the individual.
William H. Byrnes, Esq., And Robert Bloink, Esq., LL.M. recently wrote an article, "Are Annuities Old Rule 4% pension solution" in AdvisorOne in saying that for years, the rule of 4% provided the baseline from which the advisers determined strategies for retirement account withdrawals. The rule is simple, well trusted, and until recently, relatively little chance of failing. But the authors point out, in low interest rate environment of today, strategies that have worked over the past 20 years are simply not working, meaning that councilors and customers must create alternative solutions to provide a sustainable retirement income.
people who have traditionally sought aggressive investment returns and has not looked favorably on annuities can not ignore the evidence. New studies suggest that annuities are a competitive alternative to the old rule of 4%
The authors go on to say that :. the 4% rule suggests that if you withdraw 4% of a retirement account balance each year, you will be able to create a flow of sustainable retirement income with virtually no risk of exhausting the active accounts. This strategy has worked for years, more or less, but there has always been problems, such as failure to take account of the actual investment performance in a given year. It was generally a safe bet, however, that you will not be short of money, which is the biggest fear for many retirees.
With a low interest rate environment today, the 4% rule is no longer a safe bet. A study by Texas Tech professor and research magazine contributor Michael Finke shows that because interest rates are about 4% lower than the historical average, the failure rate expected for the 4% rule is past 6% to 57%, which means that if 4% assumption is used, your chance of running out of money before life expectancy is 57% of the time.
The authors add that study found that the failure rate would remain at 18% even if interest rates rise over time in five years, but there is no evidence to suggest that we go back to the interest rate of the 20th century soon, if ever. The bottom line. It is time to change the 4% withdrawal strategy
retirement accounts are not yielding the returns they have in the past, and the potential for a failure rate of 57 % following the 4% rule is something you should pay attention. annuity products may not look so attractive when the failure rate of 4% rule was 6%, but the current landscape puts rents in a new light. They should be seen as more attractive than ever because they can guarantee a lifetime income stream, no matter how long you live, and they should be part of planning your retirement income.
Contact your financial advisor for more information officer.

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Have you insured your most valuable asset?

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Have you insured your most valuable asset? -
People regularly make their asset value, but many do not ensure their ability to generate income. During your working years, your greatest asset is often the ability to work and generate income.


The two main risks to be able to generate revenues of premature death and disability. You can ensure yourself against the impact these risks.
The life insurance can replace your income if you die too soon, while disability insurance can replace lost income due to illness or accidental injury that prevents you from working.
When planning for retirement, your most valuable asset may be savings from which you can generate a retirement income life. But there are three major risks to be able to generate this income:
  • longevity risk (living too long)
  • market uncertainty (market risk and fluctuations )
  • a prolonged period of low interest rates, such as we are experiencing now
The impact of these three risks can be serious and retirees can end up with a deficit substantial income should their assets be sold too early retirement.
good news, however, is that you can protect yourself against the impact of these types of risks too. products of guaranteed lifetime income (annuities) can provide this protection, and, like other types of insurance, they can also help provide peace of mind.
Although the goals and needs may change during your life, income can be and must be protected at every stage along the way.

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Beginner in your career? Here the Council of Boomer Esiason you

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Beginner in your career? Here the Council of Boomer Esiason you -
Accordingly can often be difficult: the labor market, get married, buy a house, have a child. Are all first steps that can be as nerve-wracking as they are exciting.But it is important not to forget a critical step during that time put a solid financial foundation in place with proper planning of the life insurance. Neglecting this step can have devastating consequences.
Boomer Esiason, record fourth MVP and spokesperson for Life Insurance Awareness Month, knows too well. He was 7 when his mother died without life insurance. His father fought not only with grief but with maintaining finances, work, home and children in balance. "They gave me a life lesson early," Boomer said. "It was not the easiest life of my father sacrificed much. There is a lesson that Boomer is passing to his children.
His daughter, Sydney, just graduated from college and is in transition to the world of work. "It is important that captures the entire image, including the financial responsibilities that are his now," says Boomer. "She needs to understand that life is not just tomorrow, but over the coming years, when she is a mother herself. And life insurance is an important part of that."in addition, young and healthy are on the side of Sydney. Life insurance at this point is very affordable, much more affordable than most people think.
The 25 and under-estimate the cost of life insurance 10 times, according to the Barometer 2014 study by insurance Life Happens and LIMRA. In fact, a 22-year-old in good health can get a life insurance policy $ 250,000 20-year level term for about $ 12 per month.I am pleased to Sydney adopted these new responsibilities, "said Boomer," and I would encourage those starting out in the way of a career, marriage and the family to take the time to look at get coverage for life insurance, so they have this important financial foundation in place. "

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Disabilities affect entire families

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Disabilities affect entire families -
Over 54 million Americans have a disability, so the likelihood of caring for a brother with special needs or disabilities is high . According to the brothers and sisters Easter Seals study sponsored by MassMutual, only a third of respondents feel financially prepared to assume the responsibilities of being the role.
"There is an undeniable link between siblings, which can be particularly close when you have special needs, but this relationship has a unique set of circumstances and a great responsibility, "says Joanne Gruszkos, founder and director of the SpecialCare program, MassMutual." to the brothers and nursing sisters, it is essential not only to set realistic expectations, but also prepare financially, emotionally and physically. "
commissioned in 2012, the brothers study and Easter Seals sisters revealed insecurity and caregivers siblings potential costs faced throughout their lives.
  • 60% wish they knew more about care planning and finances of their brothers and sisters.
  • 40% say caring for a brother with a disability caused financial stress on families.
  • 29% spend up to 20 hours per week providing care
"The results help us shape our support to families caring for a disabled person and raise awareness on challenges caregivers face, "says Patricia Wright, National Director of Easter Seals autism services." There are more than 65 million family caregivers in the United States and the brothers and study sisters paints a better idea of ​​their needs, particularly those who care for a brother. "
These 65 million people-29% of the US population, provide care a family member of the chronically ill, disabled or elderly or friend during any given year and spend an average of 20 hours per week providing care to their loved ones, according to the study "Caregiving in the US "by the national Alliance for Caregiving in collaboration with AARP, November 09.
If you want to make sure you will not become a burden to your brothers and sisters, take personal financial responsibility and make sure that you took advantage of disability insurance through your employer and / or have purchased individual disability insurance from your insurance agent or financial advisor.

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Day gift a father for the whole family

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Day gift a father for the whole family -

Finding the right gift for your husband this Father's Day? Forget the expensive silk tie, do-it-all-yourself tool or the latest high-tech e and get your husband something he really needs :. The additional life insurance
Maybe your husband, like most men, wearing a life insurance. One study showed that nearly 74% of husbands have life insurance coverage (LIMRA Person-level trends in property insurance Life USA, 2011) with most men under 55 more likely be covered by life insurance by employers than by individual life policies.
But having life insurance and having enough life insurance are two different things. The same study showed that, overall, the average insurance coverage of men decreased by approximately $ 45,000 over the past six years, with men between 25 and 64 carrying less life insurance by compared to their older and younger counterparts. This means that their beneficiaries spouses, children and other family members for whom they provide support-could find themselves at financial risk for the unexpected.
If it has been some time that you and your husband had the "life insurance talk," then let Father's Day serve as the incentive to sit down and do the numbers. Use the following scenarios as starting point for assessing the type and amount of coverage your husband currently door and consider whether it is enough. (More questions can be found here.)
  • If your husband is the sole breadwinner, is there sufficient insurance to cover the mortgage, provide living expenses and pay for the education of your children?
  • If you have added some "bundles of joy" since the last time he bought a policy of life, is the par value sufficient to meet the needs of your extended family?
  • If one, or both, you are responsible for other family members-aging parent or a special needs siblings, for example, the money will be there to continue to provide financial support once your husband is gone ?
These are serious questions, but essential to discuss, since life events are unpredictable, as Brigette Hunter discovered. At 27, Brigette was widowed when her husband, Matt, was killed in a car accident. Because he had no life insurance, Brigette had to borrow money to pay for her funeral expenses. When Brigette remarried, she and her second husband, Anthony, both bought life insurance policies because they had three children and to support their own business. Unfortunately, Anthony died at 34 from melanoma. And while nothing can replace the love of a husband, the product of its policy Brigette allowed to keep the business running and to cover the needs of the family. You can watch his story here.
I do not know how many or what type to buy? LIFE life insurance needs calculator will help you estimate both the amount of money your family will need if the financial contribution of your husband is no longer available. Then use the Life Insurance Selector interactive product to help you evaluate what is the right kind of insurance for you: term, permanent or a combination of both. Finally, an appointment with a qualified insurance professional can still learn about the options and provisions available.
It may not be as exciting as a new power tool or as delicious as a steak dinner with all the fixings, but a new or increased life insurance policy will continue to ensure peace of mind for both of you for every day of the Father to come. And it is a gift that your husband really deserves.

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5 Ways critical illness insurance can be a Life Saver Financial

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5 Ways critical illness insurance can be a Life Saver Financial -

He was a world renowned heart surgeon Dr. Marius Barnard, who created critical illness insurance, as he saw how the financial crisis stress that accompanies cancer, heart attack and stroke was killing his patients. This type of insurance usually gives you a lump cash payment if you are diagnosed with one of the diseases specified in your critical illness policy.

No matter how you use the money, critical illness insurance is always one thing: It reduces the financial stress

But one of the challenges of Critical illness insurance. is to understand the many ways you can use the advantage-of the money paid, if you ever need them. Here are some of the ways that I have seen:

1. To pay deductibles, copays and other reimbursable costs related to health care. This is the most obvious use, especially as deductibles and expenses out-of-pocket for health insurance plans continue to increase.

2. The costs are not covered by health insurance as travel, hotels, childcare, etc. I know a person who had great health insurance plan. He was diagnosed with colon cancer. His doctor told him... "You have to go to MD Anderson" To complicate the issue, he and his wife had just had a child So they took her father-brother along to watch his son he had to loading airfare, meals and hotel expenses to his credit card. a few years later, he was still paying the credit card.

3. the income protection , especially for the self-employed. If a self-employed person has an income protection plan, including disability insurance, it is likely will be a 0-day washout period before benefits are paid. a self-employed person I know has been diagnosed with cancer. she would take her chemotherapy treatments on Friday. Then she would use the weekend to recover and try to be back at work on Monday or Tuesday. it has not failed enough working days to respond to his elimination period. She has cancer impact on income? Significantly!

4. Mortgage Protection. Many people buy life insurance so that if something happens to them, the family home will be refunded and the family will be able to stay at home. But what is most likely to occur while paying on a mortgage in the death or serious illness? By age, you might be up to four times more likely to suffer from a serious illness while paying a mortgage than to die.

Generally, the insurance that covers two to five years of mortgage payments will help significantly by the transition. Much reflection question is: "Would it reduce your financial stress if you are diagnosed with cancer to know your mortgage will be paid for two years"

5. Renovation of a house or? a car. I had a woman tell me that her husband had had a stroke. The couple had to take a second mortgage to make changes at home, including a ramp, changes . important in their bathroom, and widening doors to the chair

No matter how you want to use cash, critical illness insurance is always one thing: It reduces stress financial. There is always emotional stress for families with a family member who has a serious illness. emotional stress increases directly with financial stress. a critical illness plan reduces the financial stress, which reduces stress emotional. If you wish to learn more about this important coverage, contact your insurance agent or advisor.

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Does It Matter How Your advisor is paid?

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Does It Matter How Your advisor is paid? -
The short answer is no. And I'll tell you whyEllen Schultz The Wall Street Journal recently wrote the article "Big Five retirement mistakes." These include :. Do not pay for financial advice, invest in something you do not understand, support your adult children underestimate the costs of elder care and underestimate how much you'll need in retirement.
While I agree with most of what she said, I disagree with his comments about agents and advisors who accept commissions (instead of charge) and, in opinion, have a conflict of interest. Really! All professionals know that I always recommend what is in the best interest of their clients, regardless of the commissions. Yes, there may be a few "bad apples" out there, but they are rare and do not represent career agents, brokers and financial advisors who accept commissions.If Schultz had read the codes of ethics of the financial industry organizations such as the National Association of Insurance and Financial (NAIFA) or the Million Dollar Round Table, she would have seen that the members these organizations must put the interests of customers when making recommendations. commissions do not create a conflict of interest. Bad judgment made. Just look at Bernie Madoff.
In his case, there was no commission involved, only costs.And speaking of costs, the rich may be willing and able to pay the fees charged by investment advisers, but research has determined that those who earn what is considered income of the middle class feel the appropriate fee for advice would be $ 100. Councillor paying only typical a minimum of $ 2,500.Accepting commissions are not automatically a counselor unethical or create a conflict of interest. It allows many more people to have access to advice and products they can not otherwise learn about or heavy use.For those seeking impartial advice of an agent or advisor who adheres to a strict code of ethics, you can use this agent locator, which will give you the names of Naifa in your area.

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Gen Xers Finance DIY become a DIY Do not

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Gen Xers Finance DIY become a DIY Do not -
If you are Generation X, born between 1965 and 1980, research everything you buy, and I mean all . So it makes sense that you should be able to manage your own retirement savings.
But this is not the case, according to a recent article by CNBC.com Cam Marston, president of Generational Insights and author of "Motivating the" What's in it for me? " labor "and" Insights generational, "the only thing that Generation X proved capable of doing little to prepare for the future.
DIY investors success While some Gen Xers are became, most not as the article points out:.. "They bring an attitude of" I'll understand it someday when I have time, and then I will make intelligent decisions that catch me "But what is simply not true. It is time for this generation to start looking for financial experts to help.
Gen Xers bring an attitude of "I'll understand it someday when I have time, and then I'll make some smart decisions that make it up" but that is simply not true
generation X face a dilemma. .. they must be trying to build retirement assets at the same time they are spending them This is a mistake of generation X will pay for down the road, says Marston.
the study 2014 "preparing for retirement generation X" by the Insured retirement Institute shows the difference between this number this generation think it can accomplish and reality . According to the report:
  • Generation X who work with a financial planner showed a median of $ 0,400, which is double that recorded by the Generation X that
  • More . four in 10 are not confident they will have enough money to live comfortably in retirement.
  • Just one in nine say they have high levels of knowledge on investment.
  • 77% of Gen Xers say not to consult a financial planner to help them plan for retirement.
Furthermore, a recent report by Cogent Research found that more than half of Generation X felt their advisor Financial is not necessarily on their side, something their elders are not to agreement. There is confidence levels much higher among older investors. But these investment decisions "self-managed" do not seem to be panning for most of Generation X. The proof is in the numbers above. This means that it may be time to put yourself aside and reach out to a counselor or planner.

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Celebrate those you love with the Insurance Your Love Photo Mosaic

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Celebrate those you love with the Insurance Your Love Photo Mosaic -

In anticipation of Valentine's Day, there is much discussion (and advertising) focused on love. Usually it is the romantic genre, which is great. But the LIFE Foundation, we also like to use this festival to celebrate all kinds of love. That's why we created the Insurance Your Love Picture Mosaic. People can upload photos of someone they love! Here are some great pictures of people shared (one for me!).


The image mosaic is also recalled that, while we do a lot throughout the year to show our families and friends how much we appreciate and love them, there is one important way that we should not forget ... and protects with life insurance.

Are any of your relatives suffer financially if you were to die prematurely? If so, is this the right time to be thinking about getting life insurance or increase the amount you.

Taking this step does not have to be difficult. You can start by learning a little more about life insurance, then talk to an agent or counselor in your community to get the right amount of coverage. You can find one here.

And make sure you join the mosaic by adding a photo of your own. It only takes a few minutes and in doing so, you can help spread the word about the importance of protecting those you love with life insurance. For every photo that gets uploaded to the mosaic, LIFE will donate $ 1 to fund scholarships for life lessons studies, giving tuition to college-age students who have lost a parent.

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One of the biggest myths about the long-term care

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One of the biggest myths about the long-term care -
Many people do not plan for their needs LTC coming because they think the government will pick up the tab. In reality, this is simply not true unless you are eligible for Medicaid (generally those with less than $ 2,000 in assets). Since 70% of people over 65 will require some type of long term care in their lifetime, according to the U.S. government, this is a serious mistake to be made. That's why.
Medicare limits coverage of long term care services. In general, it will cover home care if it is part of the recovery is that you are supposed to get better soon. If you receive care in an institution, they can only cover the first 20 days. 21-100 day you are responsible for a large daily copayment, currently just over $ 150 per day. Medicare does not provide benefits after 100 days. So what?
Who_Will_Pay_for_Care_Infographic_from_LifeSecure
This is why it is so important to consider the long-term care insurance. It pays for a wide range of services and support that are generally not covered by medical insurance or Medicare. The type of care it covers fall into a range of services to have help at home all the way to nursing home care. In addition to protecting pension assets and provide options for care, most long-term care insurance policies come with care coordination benefits. This means that at the time of application, a specialist will help you find appropriate care and establish a plan to suit your needs and preferences.
Because this type of insurance can be complicated, it makes sense to sit down with an expert LTCI, who can guide you through your options and find a solution that suits your budget.

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The New Retirement: 3 Things to Think About Now

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The New Retirement: 3 Things to Think About Now -

If you think that your retirement will look like your retired parents or grandparents, think again. Here are three things you should consider:

1. The Bank of Mom and Dad will not always open. There are two sides to this. If you're supporting your adult children, you are not alone. A study by BMO Wealth Institute, 81% of parents say they have provided their adult children with financial support. However you want to assess whether it is possible to maintain in the long term. Ask yourself: Does my adult child help (buy a house, pay for holidays, the transition to a new job ...) to my own financial future in danger?

If you answer "No, it will not affect my financial well-being," then it is OK to continue your support as long as you have the assets to back it up and your financial situation will deteriorate in the future. But if you realize that your children continue supporting means financial sacrifices from you, and lowering your own standard of living, then you need to have a frank conversation with them. I would also suggest that financially support your long-term adult children sends the message that you do not really trust them.

Now, the other side of it. If you are on the receiving end of money from your parents, just know that the escalating costs of retired health care, market volatility and other factors, can stop the largesse of your parents, or potentially erase any legacy they would like to pass along, if you or they like it or not. Less than half of respondents in the BMO survey said they would sacrifice their own financial well-being to financially support their children. Bottom line: Based on your parents are not a solid financial plan.

2. the costs of health care will be an important factor in retirement. This year, premiums for health insurance have increased significantly, while the social security benefits declined for those making more than one individual, although limited, amount of money. I found that most people are not planned for the rapidly escalating costs of medical care in retirement. future medical expenses of a person will be the great unknown. But here's a number that can help you put things into perspective. retirement health care cost estimates Fidelity shows that a couple, both aged 65 years and retired this year, can now expect to spend about $ 245,000 on health care throughout retirement . Are you ready for this?

3. You may or may not need life insurance. If you have enough assets, and do not try to replace them if you or your spouse or partner were to die, you may not need as much life insurance you once had. But when looking at the direction of the economy, you have to ask yourself: "If anything happens to me, my spouse or partner to change their lifestyle because of insufficient assets" If so, keeping your insurance? -Life can make sense Think of it this way. with the assurance of life, it puts you in the position to "be the bank" instead of "having to go to the bank" when the need money arises.

The bottom line is that you approach retirement, you need to look to the future with clear eyes, considering all the "if." Next, make sure you sit down with an advisor or agent that can help mitigate these what ifs with the type and the appropriate amount of insurance and planning. If you do not have an agent or adviser, you can use our Agent Locator here.

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The true cost of long term care

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The true cost of long term care -

Paying for long-term care can have a significant financial impact on families. It is a big reason why each more than 65 million Americans year provide long term care to an adult family member. However, costs for family carers are still steep.

A recent study found that nearly half of caregivers spend more than $ 5,000 per year on out of pocket health care delivery costs, and about a third spend more than $ 10,000. If a loved one needs care in a facility or assisted living nursing, these costs can skyrocket quickly erase a lifetime of savings.

The real cost of long term care, however, goes far beyond dollars and cents out of pocket costs. Indirect costs can have a significant impact on physical and emotional health, career caregiver and even family relationships. This is something I learned firsthand in my experience as a caregiver.

Many caregivers say you do not plan to be a carer often to you.

many caregivers say you do not plan to be a carer often to you. Here's how I ended up taking care of my mother. A plan was not in place, and since I was the only one of my siblings who still live in the same state, I became his caregiver.

A delicate balance of priorities
The next seven years required a delicate balance of responsibilities, as I continued to work full time and my husband and I raised our three teenage children. Inevitably, the priorities changed and sacrifices had to be made to provide my mother with the care she needed, which affected all areas of our lives. While I fortunately had a strong support system to help get me through it all, my experience has convinced me that long term care insurance is the right solution for my family so that my children should to go through a similar situation.

But my story is not unique. Like many of those who took care of a loved one can tell you, this is a common experience for caregivers. Unfortunately, most families will explore long-term care options when care is needed, which amplifies the effects of caregiving. Consider that for caregivers working:

• 60% say that their duties had a negative impact on their employment
• 68% brand working accommodation
• 64% arrive late at left early and / or take time off in the middle of the day
• 17% have taken leave
• 9% reduction of hours or took a less demanding job
• 5% refuse promoting
• Those who leave the workforce to provide care lost an average of more than $ 300,000 in income and benefits.

the ripple effect of caregiving can also quickly reach other areas of the life of a caregiver, including the relationship of health and family. When you are so focused on caring for a loved one, it is easy to forget to take care of you. Sometimes it may not be sufficient enough time in the day, so it's easy to understand why about one in five caregivers believed their health had worsened because of their responsibilities.

In addition, between 40% and 70% of caregivers of seniors have significant symptoms of depression. Other common health problems of family caregivers include anxiety, heart disease, hypertension, sleep disorders and fatigue increased.

Between 40% and 70% of caregivers of seniors have significant symptoms of depression.

It changes family dynamics
When you take care of a parent, having less time for yourself also means there is less time for your family. Caregiving changes the dynamics of the family, which can strain your relationship with your spouse and children. It can also create stress and conflict with siblings when it comes to matters such as financial support and the sharing of family responsibilities.

If you watched the Real Life Stories videos to life happens like Mollicone family, you understand that through a long term care situation will always emotional and often stressful experience for families. Plan ahead with solutions such as insurance of long-term care can mitigate the impact protecting the finances of the family, offering choices for where care is received, completing the provision of family care, and to help a family to maintain their lifestyles and careers. It can also provide peace of mind knowing that their care needs will be met without requiring difficult decisions and unimaginable sacrifices of their families.

is Long Term Care Awareness Month, I encourage you to spend some time reviewing the future of your family. Take the first step in learning the planning of long-term care and how solutions such as long term care insurance can protect you and your family.

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Just use a tiny percentage of what you already spend to protect your children

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Just use a tiny percentage of what you already spend to protect your children -
Do you know how much it takes to raise a child today?
Are you sitting down?
It would be nearly a quarter of a million dollars.
It costs $ 245,000 to raise a child born in 2013 until they reach 18, according to the US Department of Agriculture.
There is no mention of a luxury education. It's no baby Kardashian-esque fitted cashmere onesies. We are not talking of a privileged college education, because these figures do not understand the cost of college. That's extra. Add approximately $ 18,000 per year for the public and $ 41,000 per year for the private college.
This Number- $ 245,000-is a place to live, food, clothing, health care ... the basics.
The family of medium average income spends about $ 13,000 per year on their child.
You are here to take care of these expenses now. But what happens if something were to happen to you? If an average middle-income family spends about $ 13,000 per year on their child (see infographic below) that the money should come from somewhere.
This is where life insurance comes in. If you take between 1% and 2% of what you already spend on your child each year, or about $ 0 he would pay the annual premium for $ 250,000 in coverage for term life insurance. Something happens to you, your child is OK financially.
We used a 30-year-old dad or healthy mom (who does not smoke!) Who gets a long-term policy in 20 years for the example above. Age and health vary the amount of your premium increases as your age or health decreases, the price goes up.
But the truth is, apart from 1% to 2% of what you spend on your child already is a small price to pay to protect them. No reason to wait. You can determine how much life insurance you might need this easy online life insurance needs calculator.
CRC2013InfoGraphic
Source computer graphics: USDA

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Do you really need 10x your salary in life insurance?

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Do you really need 10x your salary in life insurance? -

If you have spent time looking at the information on choosing the right amount of life insurance, you find a fairly standard answers, but also a lot of ambiguity . Indeed, the amount of life insurance a person needs varies from case to case. Yet, as with other types of financial management, industry experts have weighed on what they feel is best for the average consumer.

One of the basic rules is to take the life insurance coverage equal to five to 10 times your salary. For many of us, it sounds like a lot of money. It is only when you get into the details of how people use money over time that you realize that five to 10 times the salary can actually be a pretty conservative estimate.

Here are some considerations that you'll want to think about and consider :.

When you get into the details ... you realize that five to 10 times the salary can actually be a pretty conservative estimate

1. wage replacement home. One of the most fundamental ideas about life insurance is that you have enough to last a number of years, when your salary will not come. This involves calculating "time in retirement" of a person and how much money they are projected to win in five, 10, 15, next 20 years or more.

Another way to this is that you can try to understand how the household will have to deal with in terms of expenditure each year, and multiply that by the number of years you'll need coverage for. This is a fairly simple way to make calculations life insurance.

to have a working idea of ​​your life insurance needs based on a few simple inputs, try using this easy life insurance needs calculator.

2. Living on interest There is another interesting idea that many experts have put there. the idea that, with great performance death enough (what the policy pays), a family would be able to live on the interest a long time.

Take a death benefit of an even $ 1 million. Using a very simple calculation, you will see that at an interest rate of 5%, that $ 1 million would generate $ 50,000 per year. Then take a look at your stock opportunities, trust funds and existing investment funds, and see if you can get something close to 5%.

After adjusting to market conditions, you can understand how your household could achieve capital gains on a product of life insurance policy that is about even with the projected wage.

3. Age of dependents. Another major problem is the age of dependents in your household. For example, if your two children aged 15 and 17, you may only want a few years of coverage. On the other hand, parents with new babies and toddlers want policies that provide for a much longer time.

All of this is to suggest that when it comes to life insurance, you may need more than you think you do. Additionally, with the low cost of premiums for most life insurance policies, it makes sense to get an amount that will really pay if necessary. After all, that is exactly what it is insurance.

If you are unsure, talk with a qualified insurance agent or counselor to learn how to get the coverage you need at prices you can afford. And the cat will not cost you a dime.

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4 mistakes you make when it comes to protecting your Paycheck

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4 mistakes you make when it comes to protecting your Paycheck -

Determine if you need to protect your check-really, your ability to earn income with disability insurance is easy enough. If you have a job and you depend on your paycheck to meet your monthly bills and financial obligations, you need them.

In essence, disability insurance is if you suffer an injury or illness and can not work for a long period of time. It will replace a portion of your income until you are able to return to work again.

But most working people do not have this basic protection for the long term, and often it is because they assume they do not need. Here are four common mistakes that people make when it comes to understanding disability insurance and its importance in protecting your ability to earn an income

Error # 1 :. Do you think the odds are low that you 'D never need because you do not work in a dangerous profession, so you go on the cover
reality :. The truth is, one in four now 20 become disabled at some point in their career, according to the administration of social security (7 February 2013). It is true that people in occupations like agriculture, implementation and construction of the right face greater risks, the chances of suffering a long-term disability are high for all workers because disease, no accidents account for 0% of disabilities that prevent working people (Council for disability awareness "long-term disability claims review, 2014)

mistake # 2: .. you think the government will provide assistance if something happens
reality it is possible, but most of the time as it will not or will not be for long, long time. According to the National Safety Council, 73% of long-term disabilities are the result of an injury or illness that is not work-related, and therefore would not be eligible for compensation programs based state on workers.

And if you were hoping to rely on disability social security benefits, know that about 45% of those who apply are initially denied, and those who are approved receive an average of about 1100 $ per month. In addition, they often have to wait several years before these benefits start. Could you wait several years while receiving no pay and live and $ 1,100 per month

Error # 3: Think you could count on your savings until you could return to work.
reality most people overestimate the resources available to cover bills and expenses if they suffered from an illness or injury that prevented them from earning a paycheck. According life happens Survey on Disability in 2012, half of American workers say they could not do a month before they feel the pinch financially.3 Keep in mind that disabling illnesses or injuries often last for months or even years.

error # 4 :. you think you have a disability coverage through work
reality most people do not: According to the US Department of Labor, more than 70% of employers not offer long-term disability coverage. And short-term disability insurance or partial coverage would not be enough to meet your current and future financial obligations if you were unable to work for a long period of time. So talk to your benefits manager at work to see if you have coverage and what type it is

The bottom line :. Do not let these errors trigger your future financial well-being is. Sitting with an insurance agent is the best way to work through the questions you might have, and they can help you find the coverage you need to fit your budget with any obligation. You can also get a working idea of ​​what you might need before you sit down with someone using this calculator needs disability insurance.

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Here is what the trust is and why you might need one

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Here is what the trust is and why you might need one -

The word trust is applied to all types of relationships, both personal and professional, to indicate that a person trusts another person.

for our purposes, a trust is a legal device for asset management. Through a trust, a person (the constitute or trustor ) transfers the ownership of property to another person (the trustee ), which then handles property in a manner determined in favor of a third party (the trust beneficiary ). A separation of legal and beneficial interest in the property is a common denominator of all trusts.

In other words, the legal rights of ownership and control remains with the fiduciary , who then is responsible for property management at the direction of component in the trust document for the ultimate benefit of trust beneficiary .

a trust can be a living trust , which takes effect during the lifetime of the settlor, or it can be a testamentary trust , which is created by the will and does not become operational until death.

In addition, a trust can be a revocable trust , which means that the grantor has the right to terminate the trust in the life and recover trust assets, or it can be a irrevocable trust . this means that the component can not change or terminate the trust or recover assets transferred to the trust

trusts may be used:

  • to manage the assets for the benefit of minor children
  • to ensure the grantor that children benefit from the trust assets, but will not have control of these assets until the child is older
  • to manage assets on behalf of a disabled child or special needs, without disqualifying the child to receive benefits Government
  • to provide children from a previous marriage constituting
  • As an alternative to a will (a revocable living trust)
  • to reduce property taxes and, possibly, income taxes
  • to provide a surviving spouse during his / her life, with the remaining assets of the trust from other designated beneficiaries of the component to the death of the surviving spouse

As you can tell from the description, trusts are complex legal documents and are not appropriate in all situations. Therefore, you should consult a qualified legal counsel if you think trust will help your overall financial situation.

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Do you need life insurance when you retire?

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Do you need life insurance when you retire? -

Once you turn 65 and retire, you do not need life insurance, right? Not so fast!

The traditional thinking about life insurance is that you need only when you have an income to protect, when you have a mortgage or when you have children.

And while it is true that having life insurance after 65 years is not right for everyone, there are some good reasons why you might want to consider.

1. Complete your retirement income. If you have an existing permanent life insurance policy, for example, you may be able to tap into the accumulated cash value as a form of retirement income. You can integrate the funds inside your permanent life insurance policy to supplement other forms of retirement income such as Social Security, 401 (k) plans and IRAs.

Drawing on the cash value of a permanent life insurance policy allows people to use other resources to guarantee an income for life.

There also comes a time when people are becoming concerned about outliving their retirement savings. Drawing on the cash value of a permanent life insurance policy allows people to use other resources to guarantee an income for life, as a longevity annuity or a guaranteed benefit of life

. 2. wealth transfer. Life insurance can be an effective way to transfer wealth to your heirs while avoiding inheritance tax. Although the federal exemption for estate taxes were raised to $ 5,430,000 for 2015, there is still the inheritance of the state to consider. There are several states where you would not be caught dead in a perspective of estate planning.

Of course, these policies need to be implemented properly. life insurance payments are generally tax-free income, but they are still subject to inheritance tax if the property of the insured. In other words, if you have a policy on yourself, then it is considered part of your estate

Three examples of permanent life insurance can be used to transfer wealth :.

  • Set up an irrevocable life insurance trust. you would then gift premiums confidence as donations are tax exemption on annual giving, you would not have to worry about paying the gift tax. The beneficiary of the policy would trust rather than your estate, so that the policy would not be included in your estate for purposes of estate tax. The proceeds of the trust would then be distributed to your children or grandchildren, but you configure it. The disadvantage of this approach is that, because the owner of the policy is an irrevocable trust, you have access to this policy. You give all access in exchange for tax benefits.
  • Use a survival policy. If you might need to access the policy cash value, you can use a survival strategy, which covers more people and does not pay until the last person dies. Initially, the policy would be owned by one of the insured, but when the first passes insured, the policy then goes into a trust. Trust becomes the recipient, avoiding the estate tax because the survival of policy pays a death benefit on the death last, not the first death.
  • Ensuring children the benefit of grandchildren. This can be a cost-effective even for people in their 60s or 70s to use life insurance to transfer wealth in a strategy of "skip generation". Generation 1 is the owner of the policy, so they can have access to money if they want, but when they die, the policy goes into a trust for the generation 3.

these are complex questions, so you'll want to discuss these with your financial and legal advisors to determine the life insurance post-retirement strategies are meaningful to you.

(This information should not be construed as legal advice or tax applicable to each individual. Please consult a qualified advisor regarding your personal situation. All guarantees are based on the ability the issuer application fee. Access to cash values ​​can result in costs and expenses redemption, may require the payment of additional premiums to maintain coverage, and will reduce the death benefit and policy values.)

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Insurance What serious diseases You should know

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Insurance What serious diseases You should know -

When we hear the word insurance, most of us tend to think of things like car or health insurance . The most likely critical illness insurance is not one of the types of insurance that comes to mind.

There is logic-often we do not want to think about the risks scarier health especially not life critical illness. Unfortunately, this tends to divert too often leaves us vulnerable and unprotected we should be diagnosed with a serious illness.

The reality is by the time we reach retirement age, one in four of us will be out of work due to illness or injury for more than we paid time off accumulated allows.

What counts as a serious illness?
The disease can happen to any of us at any time. They could be as simple as a common cold, or one of several serious diseases affecting Americans. The top three serious diseases:

  • Cancer
  • Heart attack
  • Stroke

Other serious illnesses can include:

  • Blindness
  • MS
  • organ transplants
  • kidney failure
  • Paralysis
  • replacement heart valve

According to the American Association for Critical illness insurance, statistics show every year:

  • Some 1.4 million Americans are diagnosed with cancer
  • Every 40 seconds, someone in. United States has a stroke; . 0,000 people will experience their first race
  • Every 34 seconds, an American will suffer a heart attack; 785,000 will have a new coronary attack
  • 1.5 million Americans will declare bankruptcy this year. 60% are due to medical bills (up to 50% over six years).

These figures are alarming and that's why protecting your income with disability and / or critical illness insurance is so important. Naturally, when we are familiar with certain types of insurance, many questions come to mind:

• Why do I need a critical insurance
• If I already have insurance -invalidité should I get critical illness insurance as? good?
• Which is the best option?

Differences between critical illness insurance and disability insurance
critical illness insurance pays you a cash lump sum if you are diagnosed with a serious illness covered by your policy, even if you make a full recovery. Disability insurance, on the other hand pays you a regular payment when you are sick or injured and can not work. It protects your income from the very real possibility you will become disabled for a period of time during your career, whether due to injury or illness.

There are several differences between critical illness and disability insurance.
income protection: critical illness insurance is designed to provide a source of income to pay your medical expenses if you are diagnosed with a serious illness, while disability insurance is intended to pay part of your income in the If you can not work

payment Frequency :. critical illness insurance generally provides a lump sum payment as specified in the policy as disability insurance pays you a monthly benefit, usually a percentage of what you earned before becoming disabled

Qualification benefits :. critical illness benefits depend upon the diagnosis of a policy of listed diseases, while disability insurance benefits depend on your inability to work.

tax implications: serious diseases gives you free lump sum tax payment in cash, while the disability coverage is calculated as a percentage of your income after tax and is paid for a certain quantity of. time

requirement of proof of loss: critical illness insurance generally does not require proof of a permanent loss of income, and is not affected by other income you do while disability insurance requires permanent proof of loss of income. The disability insurance payments may stop when you go back to work and start earning an income.

What political criticism of the disease is right for you?
Each policy serious illness has specific terms and conditions, which must be examined very carefully. Make sure you understand what types of diseases are considered critical and will qualify for payment.

If your diagnosed disease is not on the list of policies, your application may be denied by the insurance company. Also, be aware of the survival period of your policy. critical illness policies usually have a survival period or waiting period, this is a period of time that indicates how long you should wait after you have received your medical diagnostics to collect the lump sum of the company 'insurance. This period can vary from one policy to another.

sure to ask all your questions before buying a critical illness policy. This is where an insurance agent can be a valuable resource. They can help you understand the language in your policy, explain the specific terms and conditions, and guide your decision about which critical insurance policy is right for you.

This post originally appeared on the Council for blog outreach to people with disabilities http://blog.disabilitycanhappen.org.

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You want to develop your financial brain children? Use this game

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You want to develop your financial brain children? Use this game - Council

I wanted to remind everyone of a single financial education tool but very effective :. Monopoly

There are few better lessons in life that ON- job training. Monopoly is a great tool for simulating financial lessons. I recommend that you expected a rainy day to get the popular board game, but that day, you will find tons of excitement for children of all ages.

The inherent financial lessons in the game include:

Math and counting: in our house, there seems to be a lot of competition for knowledge happens to be the banker. A child's change that makes the stone really fly their math skills. And for younger players, they get practice counting the spaces after each roll

Budgeting :. As a child develops strategies their way through the game, they eventually learn that buying all the property they land on is usually a quick way to nowhere.

If a player spends his time buying the railways and construction on properties such as the Baltic and Mediterranean Avenues, they usually will run out of vital funds later in the game.

There is no doubt that the Monopoly game can pay big dividends in the development of the financial brain of your child.

also delayed gratification concepts are taught when they are waiting for "Go Go" and collect $ 0 before making that buying a house on property they own, which becomes a strategy they will take with them for life

Investing :. investment in the property. and strengthening of these properties

risk / reward: Sometimes it makes sense for a player to stretch financially in the short term to reap long-term gains on your investments. Landing on Chance or Community Chest adds to the unknown

Chance :. Cash windfall to land on "Free Parking" is a common addition to the rules that some players choose to add. Many large strategy was spoiled with this huge pile of money in the middle. There always seems to be that lucky person who lands the perfect roll just before landing on Illinois Avenue of opposition with two hotels on it.

Guess what? This is real life. He called the lottery and legacy and we're all going to meet someone in life who has been blessed with such luck found wealth they landed on

Bankruptcy "free parking" .: a great lesson is learned when a defenseless player is short of cash and must start selling properties to the bank just to hang. We have all heard countless stories of people who had to go through this exercise after the Wall Street collapse in 08 just to be able to make things meet.

There is no doubt that the Monopoly game can pay big dividends in the development of the financial brain of your child.

you can even make it more interesting if you go on vacation somewhere like most destinations have their own version of Monopoly, which will serve as bait amazing historical monuments of your holiday destination before takeoff travel. You will probably find your family doing Monopoly references throughout the trip, too.

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5 financial mistakes millennium make

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5 financial mistakes millennium make -
Although the US economy as a whole has the Great Recession, Millennials (those born from the early 1980s until early 00s) are still struggling with student debt and slow growth of employment. The sluggish economy and student debt are not the only things that keep Millennials to achieve financial independence and success.
Let's take a look at five millennium money mistakes tend to do and how we can fix them.
1. Avoid a budget.
One of the most basic mistakes, not from the budget may lead to live beyond your means. This puts pressure on your plans and future financial goals, even if you have a good eye for things like groceries or car insurance typically cost. Do the math and find out if you break even or be able to save more each month is crucial to building a buffer against the debt. It can be as easy as starting to use a new budgeting tool online or mobile. You do not even need to leave your desk.
2. Abusing credit cards.
According to a study by the credit reporting agency Experian, Millennials have a hard time paying credit card bills, while having one of the highest rates of the four listed credit utilization generations. The use of credit, also known as the debt-to-credit ratio is the ratio or rate of your balance (what you owe) from your overall credit limit.
From the study, the Millennium average rate is 37%, which is above 35% or less that creditors prefer. Following these payments two late-factors and high-use credit Millennials have the lowest credit scores in four generations. Consider a credit score as a financial report card, which means you have to turn all the time and pay the balance in full each month.
3. Location forever.
There is no secret that Millennials are not active buyers. Homeownership is important to consider because ultimately it costs more to rent a home than to buy one in many areas. Moreover, Millennials do not build equity while renting indefinitely. Of course, many Millennials are still traveling and exploring no plans to settle down yet, but if a reasonable agreement on the property back on the road, it would be wise to consider buying.
4. Registration little to nothing for retirement.
Surprisingly, two out of three Millennium intends to retire at 65, but about 70% have not started saving for retirement, according to a 2013 survey by MainStreet.com and GfK Roper public Affairs & Corporate Communications. Even more worrying is that half of all Millennials expect to make money from social security, even if full payment reserves are to cease in 2033.
The journey to retirement starts with a payment unique, then another. If you are lucky to have 401 (k) plan corresponding to the employer, to take full advantage of it and make above average contributions. Alternatively, build your own IRA, choosing a Roth IRA or traditional, and set aside a percentage of your monthly income towards it.
5. Life insurance jump.
Get insurance in general can seem daunting, but it is good to examine the different types, even those you do not think you need to first . Life insurance is one that may not have yet found, but there are reasons to consider it.
One of the advantages of getting a life insurance policy early is that it will probably cost you less now than later-life insurance is highest younger and healthier that you are. In addition, you do not know if your health could change, which could make the cover to get much more expensive, if not impossible, later. And remember that the co-signatories on the financial accounts you may have responsible for your debts should you get nothing.
From the basic act of budgeting to consider life insurance, these actions can help ground your financial future. Registration for later in life is the foundation to have a life without debt and securing pension plans. In Millennial you can always find your way in this economy, but you can help prevent one of these five financial mistakes to add to your burdens.

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Your donation can help change the life of a young adult

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Your donation can help change the life of a young adult -
The article, How to divide your charitable Pius by the New York Times columnist Ron Lieber made me think to charitable donations. I am always open my checkbook an ad hoc basis throughout the year whenever events or causes that are meaningful to me happen, like Race for the Cure.
But something Lieber wrote me think, "Many of us would not be where we were it not for the educational institutions that took over the bill when we could not pay full freight. In my view, this not only creates a debt of gratitude, but a running tab that hopefully clear long before I die. "
This is certainly true in my case. And I think there are very few of us who could say otherwise. But the University of Wisconsin-Madison really need my check? I guess my friend in his development office would say yes. But this year, I'll start paying that "running tab" by donating to the scholarship program life lessons studies.
This program helps young adults who have lost a parent and who are in tight (sometimes desperate) financial difficulty paying for school. I think my fight back and could have met the draft education law, but also includes their move after losing a parent, and often become a parent to other siblings, as Brittney LaCombe.
Brittney is amazing. She raising her two teenage sisters while getting her degree in social work. You can watch the moving story here. As she says: "I work full time, go to school full time and taking care of my full-time sisters" This is not to life plus 20 years to imagine themselves that's why I just online donation to the LIFE lessons Scholarship Fund. and I ask that all who read this donation can they-as well. Skip this donation link on (www.lifehappens .org / donate-to-life-lessons) and we will help Brittney and other young adults as they realize their dream of obtaining a college education.
Happy holidays!

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The One Personal Finance Topic that may be too personal

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The One Personal Finance Topic that may be too personal -

There is an issue of personal finances that may be too personal. It is the subject wants to write because reading about it leaves you feeling down. This topic is death. Death is the only thing we all have in common. No matter how much time we spend reading all the ways to ensure that you have a healthy financial future, you can not have a foolproof plan until you address the inevitable.
Why do you need? Life Insurance
Unfortunately, the best way I can explain this is to talk about those who do not have life insurance

Story 1 :
Today I was sent a Facebook invitation to help a family in need. They have a wonderful story, full of difficulties, but also with great joy. A husband and his wife had a heart for foster children, and went through the process of making twins who had been through the host system and placed with horrible abusive guards the two previous times. This time they were placed with a loving family who would do what was necessary to give these children a permanent home. The kids had a very difficult time adjusting, but after several years of relentless pursuit, parents love them as their own, the children finally felt part of a family for the first time. They were adopted into the family, a family that was now their forever.
A few months later, the husband went to the doctor because of some alarming symptoms, and it was discovered that he had a brain tumor at the end which was inoperable. In one year, he died, leaving his wife and two adopted children behind. As sad as this story is, what is most distressing is that they have spent all their savings fight against cancer, and were left with no money. There was no life insurance policy in place to cover the cost of his wife having to raise two children on her own without income. They have set up a donation page (which is the best way to help a family in this position), I wish this story could have been raised by the financial burden of a life insurance policy, but unfortunately, This is not the case.

Story 2:
When I was 5 years old, my father died of melanoma skin cancer. He was only 31 years old. When they found the cancer, it was already in step 5, meaning it had metastasized, entered his blood stream and was himself the whole plantation on his body. His diagnosis of terminal cancer put our family in a whirlwind, especially my mother. She had three children under 8 years old and her husband, the mainstay of the family, was about to die.
Fortunately, my father was an insurance salesman living who knew the value of getting a good long-term life policy in case something devastating thing should happen. Unfortunately, it also underestimated when he would leave this earth, and only signed for a $ 75,000 policy. My mother was able to pay for medical expenses and funeral with money, and not much to live.
The doctors made a mistake on his diagnosis a few years before, and called a mole "benign," when in reality it was stage 3 melanoma. A kind of trial arose, and my mother received money that ended up taking care of us for years to come (I even received an inheritance from him and blew all). But if this trial never came, the money to take care of us would not be here, and my mother would be in a financially desperate situation. We probably would have lost everything and moved with his parents or relative who could help as she tried to get back on its feet.
Why do not more people have life insurance?
According to an article on USA Today in 2010. "Only 44% of households have an individual life insurance policy, and 30% have no person or life insurance offered by the employer ... "They said that there were 11 million households with children under 18 who has no life insurance policy in place. The common refrain from those who chose not to buy a life insurance policy was that there was no financial priority. Whether the Downed economy, lack of knowledge, not wanting to face their mortality or just plain procrastination, it is clear that people do not feel that life insurance is enough to throw a few dollars priority one month.
What have we done?
We ended up signing me to a term life policy from 25 years to $ 1 million to $ 43 a month. I came up with that number by calculating how my wife would need to live indefinitely at an interest rate of 4%. It should first pay off the house and invest the rest, be able to live in interest alone and leaving out the main to provide passive income. After tithing, her monthly income would be $ 2,100 per month to the interest rate of 4%. Based on our budget, it covers all the line items in our budget, with some leeway as it gets adjusted to life without me. And believe me, just typing that sentence makes me feel sick to your stomach, but reinforces that we made the right decision in getting this policy.
This is important
You will die. This sentence should make you uncomfortable. I hope it makes you uncomfortable enough to get off your butt and look into getting a life insurance policy. It is one of the ways you can tell your family that you love them, and can continue to love, even if the worst happens imaginable. Please do not expect that my father did, and do not ignore that 30% of US households do. Set aside $ 30- $ 50 per month and give your family a reason to sleep well at night.

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Backing up your income the impact of a disability is

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Backing up your income the impact of a disability is -
Decades, the traditional family unit is composed of a husband and wife with 2.5 children. Most women were stay at home mother, able to call on members of the extended family in case of illness or injury has affected their ability to care for their children.
But these days, there is more of a "traditional" family unit (and, by extension, an extensive support network), the following figures show:
  • in 2010, 43.6% of all residents of the United States aged 18 and over were single-more than half of all women-seniors comprised 16.5% of all unmarried and single people 18+.
  • 45% of households in the country were held by men or single women, while many single parents living with their children in 2010 reached 11.7 million. (Almost a third of grandparents raising their grandchildren.)
  • There were 6.5 million unmarried-partner households that included 581.300 same-sex couples.
  • Finally, the number of people living alone totaled $ 31.4 million in 2010, comprising 27% of all households against 17% in 1970.
What this mean for you? Well, if you fall into any of the categories above, a single parent or grandparent raising a child, an adult living alone, or an unmarried couple you need to do a bit of thinking "worst case scenario ". Specifically: If you have an illness or injury resulting in a disability (temporary or permanent), what kind of impact it will have not only on your finances but also to anyone who depends on you
during disability insurance awareness Month? , Ask about the reality of the impact of disability can have on your budget and your life.

disability coverage facts
If you think you have your bases covered with health insurance, workers' compensation or social security, the following information may change your mind.
  • Although health insurance will cover medical costs, it will not provide income to cover your needs if you are unable to work, even for a short period of time.
  • the workers' compensation coverage applies only if the disability is only occurs in about 5% of cases related to the employment, according to the Council for Disability Awareness. (If you play the odds, you might want to reconsider, since 30% of those entering the workforce today will be disabled for three months or more during their careers, the average request long term disability lasts 31.2 months.)
  • Although social security provides coverage, eligibility for benefits can be difficult (60% are first denied) and, just over $ 1,100 per month, the average monthly payment is barely above the poverty level.

In the meantime, the bills continue to rise and your financial situation becomes even more precarious. According to a study, over 62% of bankruptcies in 07 were due to medical issues-a significant increase over 01 of 46.2%.
Fortunately, you have several options to help protect yourself and those that depends on you. coverage (short-term disability insurance, long term disability insurance, or both) sponsored by the employer can replace a significant percentage of your income, perhaps up to 40% to 60% of your income before taxes. (In some states, employees can also buy short-term additional disability coverage on their own, paid through payroll deductions.)
If you're self-employed or if you want a thread stronger security, individual disability insurance policy is the best choice. Start by calculating the amount of income you need to maintain your current standard of living in case you are unable to work. Next, look at your situation in life and work. Do you have children, a spouse or an elderly parent who depends on you for support? Is there a cap on the benefits offered by your employer and you get close to this level? Finally, your standard of living has increased or you have taken a significant amount of new debt?
Once you have a clearer picture of your "worst case" schedule a meeting with your insurance advisor to review your disability insurance options: by your employer, a professional organization or on your own. This will help you make the best decision for your budget, your future and those who are part of your "family unit". For more information on people with disabilities, visit www.protectyourpaycheck.org.

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Tips for Reviewing Your insurance policies

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Tips for Reviewing Your insurance policies -
October is the Month Organize your medical information when consumers are encouraged to create a detailed medical information and health history of the family. The goal is to help prevent medical errors and to give people the knowledge they need to make positive changes on health. (To help you in this process, download My Portrait Family Health of the US Department of Health and Human Services and your family health and medical record service A & M AgriLife Extension Texas.)
There is also the ideal time to take a look at your insurance policies, which you understand this and extent of coverage you have and assess if you need to make updates based on changes in your personal situation. I do not know what you should be looking or? Here are some tips to help you in the process.
insurance and life stage
When you are on the continuum of life has some impact on your insurance needs. For example, if you are a bride-with-children some struggling to balance income with outgo, college and retirement may seem far in the future. But time passes quickly, so you want to develop a strategy that includes insurance, savings and investments to cover all bases.
You also want to be sure that the family will be provided in the event of a catastrophic illness or premature death of you or your spouse. Even stay at home spouses must have coverage, as their contribution to the functioning of the family home should be covered in the event of their death. (For an example of why this is so important, watch Dennis and history of Jodie Danduran). Policies can be economic at this time in your life, from the youngest insured, plus the cost of the premium for the same amount of benefit.
For people The living environment -Kids left, but retirement is still a decade or more away, you are probably now in your earning years. Your goal is to make the most of this time to increase your financial stability by saving aggressively for retirement, while protecting you from unexpected setbacks, assessing the extent of coverage of life insurance you have and if the amount would be sufficient to support your spouse in the event of your death.
disability insurance and long term care insurance are two other options you should consider. Disability insurance provides an income for you and your family if you are unable to work due to illness or injury. According to a study conducted by LIFE, half of American workers could not do a month before financial difficulties would be set, with almost one in four unable to do one week. Also, keep in mind that accidents at work only pays for accidents at work, while the vast majority of long-term disabilities are not job-related.
Regarding the cost of long term care, a growing concern for middle-aged and older Americans, the average cost per year in a nursing home is $ 80,000, with home care costs $ 20,000 to $ 30,000 per year for only five hours of care per day. Add to dependents of skilled caregivers such as therapists, and you could see your retirement and savings wiped out before you know it. Your professional financial adviser or insurance can help you assess whether long term care insurance is appropriate for your income bracket. (For more personal experience with disability insurance, look at the history of Barry Shore and insurance long term care, look at the history of Lynda Striepe.)
is retirement just around the corner ? Or maybe you have already closed this chapter of your life and you are preparing for a new one. With this step potentially for decades, you want to ensure that you have enough to keep your "golden years" of tarnish. A life annuity can function as a pension plan do-it-yourself, providing regular payments in exchange for an investment of a lump sum of money.
For 65 years or more, while Medicare is now your primary insurer, there may still have expenses that are not covered, such as coinsurance for skilled nursing and stays palliative care or medical treatment abroad in case of emergency. Consider purchasing additional insurance, or Medigap policy to supplement your Medicare coverage. (For more information, visit this page.)
What to Consider
Although your stage of life certainly has an impact on the type and extent of insurance coverage you have, there are other factors that can have an impact. Here are some additional questions to ask when evaluating your current policies and future needs.
  • Do I have less load that would be financially affected by my inability to work or to more-or my death?
  • Do I need to update the beneficiaries on my policy?
  • there riders or options I have to add my political life as an accelerated death benefit option or conversion?
  • do I increase my amount of coverage to ensure the current lifestyle of my family is protected
  • If I'm a small business owner, am I following this instead: disability insurance policy, buy-sell agreement and key person insurance?
to make the right choices when it comes to vehicle insurance, planning a review of the policy with your insurance agent or financial professional.
Finally, make two copies of your insurance policies, storing a home in a safe or fireproof file and other off-premises such as a case of bank security. Create a master list of your policy (policy number, the amount of benefits, the insurance company and contact the information agent) and provide a key member of the family and / or your executor and their location.
Now is the best time to get your insurance "house" in order!

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A sad reality: Burials funded by taxpayers upwards

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A sad reality: Burials funded by taxpayers upwards -
I recently read an article that really bothered me. He said the taxpayer-funded funeral in Delaware County, Ind., Ont risen sharply in recent years. In 05, the county has paid for 15 burials for those who could not afford to bury their loved ones. In 2011, the number of spikes Graves 38 and this year they are on a similar pace.
The article started with the story of Richard Keafer, who died on Christmas Day in 2011. Richard was one of the 38 people whose relatives could not afford to pay for a burial. His fiancee, Joann, felt terrible to have to turn to government assistance. But she has no choice. Richard has not set aside money for his funeral, and he did not have life insurance.
It would not take much to have spared Richard Joann pain and embarrassment of having to turn the government for something as basic as a dignified burial. A small amount of face life insurance policy would have been the case. What it would have cost to buy Richard a political long-term 25 000 30 $? A few dollars a month?
As difficult as the past years have been for many Americans, almost everyone can afford a certain amount of life insurance. He returns to set the right priorities. And unfortunately, life insurance is not high on the priority lists of most people. I guess Richard and Joann sometimes went to dinner. They were probably a cable television service. Surely they could have found a few dollars in their monthly budget to buy a small life insurance policy.
If funded funeral taxpayers are on the rise in central Indiana, I can very well make sure they are on the rise in most parts of the country. The number of uninsured Americans has increased sharply over the past six years.
Today there are 95 million Americans adults who do not have life insurance.
If you are one of them, do your loved ones a favor and please learn from the experience of Richard. It's pretty hard to lose a loved one. Do you really want to aggravate their pain by leaving them without the means to pay, even for your funeral?

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If my father had life insurance ...

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If my father had life insurance ... -
When my mother told me that I look like my father, it is a rapid realization of what he left behind . You see, my father was struck by a semi-when merging on a highway truck; her fish tail truck in the rain and he lost control
The day he died, distant relatives began arriving home. they received the devastating news before me. Everyone was silent for a while, hoping to leave a 12 year old boy, enjoying life as he knew her for a few moments. My aunt finally told me when the tears kept rolling and the truth could not be hidden any longer. Suddenly my world was turned upside down. I knew from that moment on my life will never be the same.
My father was in his mid-40s when he died and had certainly not expected it to be so soon. At the time, he owned a business, paying a mortgage on their first home and was raising a family. From the beginning, people feel as if they should not take death in their equation of life, but death comes unexpectedly, sometimes sooner rather than later. It is not something to fear to the point of negligence, but rather something to plan accordingly.
After feeling as if we were lost at sea without hope, my mother finally found a job as a civilian at Camp Pen dleton Marine Corps in San Diego. But it meant that we had to go-with no friends, family or father. Being away from my grandparents, my mother had to register me and my sister in a program after school while she worked long hours to keep a roof over our heads and food in our stomachs .
strength
Emotionally, we won and were able to accept this unjust reality. Financially, the death of my father still haunts us 12 years later. After high school, I was accepted at the University of Fresno State, but had to turn down because of financial instability. I started working full time as a front desk clerk. I quickly realized how difficult it is to get a degree without promoting college, so I'm determined to find a way back to the university.
I am able to get financial assistance for low-income students, and found a new restoration work that worked with my schedule. This allowed me to get back on my path to success, the balance between education for myself and a part-time job to help my family.
If my father had life insurance, we were able to pay off our house, instead of being life-long renters. If my father had life insurance, I graduated college now, instead of jumping through hoops to make ends meet. We can not predict our dead, but we can predict our financial well-being family after we left. If you take something from the story of my life, whether the importance of the future of your family and life insurance provides financial security.

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Mind the (cover) Gap

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Mind the (cover) Gap -

For the second consecutive year, Genworth lifejacket study highlights an important difference between the amounts of life most insurance Americans own and what they can actually need.
study suggests the gap tends to be significantly narrower for the college educated. insured adults who attended or got their college degree are 2.5 times the amount of life insurance coverage than adults who are not high school graduates or who have only a high school diploma. For adults with a high school diploma, 60% have no life insurance, while only 44% of college educated adults not. Without coverage, a single event can ultimately deny the dreams of a family of a secure financial future.
Financial literacy helps people make informed and responsible choices, and the LIFE Foundation encourages everyone to take personal accountability through ownership of life insurance and related products in their planning.
The Genworth study said that life insurers have worked hard to educate customers on the importance of periodic financial reviews to ensure adequate coverage and that the protection of life insurance is very profitable. For what it costs to buy about three cups of coffee a month, a person could add an additional sufficient coverage to meet their current needs.
Young singles who may be predisposed to buy life insurance would be wise to seriously consider locking in low prices and buying coverage today now. Life insurance is as affordable as it has ever been and prices can not be as low again. For example, a 30 year old who is in the best strength rating of "most preferred non-smoking" can buy $ 300,000 of term life insurance coverage level from 20 years to about $ 15 per month.
A financial advisor can help determine if you have a coverage gap and offer advice on the best way to ensure you have adequate coverage. In addition, an excellent tool to determine how much life insurance is appropriate is the life insurance needs of the LIFE Foundation Calculator.
Run the numbers for yourself, then pick up the phone and call your agent.

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Sometimes you

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Sometimes you -


This is one of those things you never think you arrive.
To walk into the kitchen and find the love of your life lying lifeless on the ground; death on the floor of the cold kitchen.
There have been over three years since I heard this story. A fresh widow sat in my office shaking tissue box I offered him, sharing his sad story with me.
She had been married to her husband for over 20 years. They had two wonderful children and loved to spend every day to another.

The Family Man

The husband was a hard worker. He loved his family and gave his all every day. There was no pre-existing conditions. As a doctor himself, he was very conscious of his health and took care of itself.
Stories like this happens more often than we want to believe. You see it in the news, you see in blogs, you hear the same about it on Oprah.
Some of us are lucky. We must never experience the grief of losing a loved one before it was time for them to go. I can only imagine how difficult it is for someone to go through this. And there is no hiding the pain I saw in her eyes. But as I mentioned, the husband loved his wife and loved his family and made sure they are protected.
He did this by taking a very large life insurance policy.
Having to deal with the pain of losing her husband was hard enough. If she would have had to worry about where his next paycheck would come from now that her husband, who was the clear support of family of two, was gone, I think he would have broken. Fortunately, she did not have to worry.
She did not have to worry at all.
The husband realized how cheap term life insurance has been and bought a lot. With the amount of life insurance that her husband had carefully taken upon itself, she and the children were set.
She would not have to work again.
Her children could continue to go to college they wanted. The family even without their father and husband would be financially.
It has been three years that this unfortunate day, and have a review meeting with the client, it reinforced how grateful she was that her husband had had the foresight to buy life insurance . She was sitting in my office and said, "Had he not bought that [life insurance], I do not know what I would have."
So many people do not feel the need to buy life insurance. In fact, over a third of the population of the United States has no life insurance in their homes either.
Life insurance is not expensive. Life insurance is easy; it literally takes you less than 10 minutes to get a quote . I know because I did it myself. And if you do not have it, you must.
Do you want to leave your family with the financial means to continue without worries if you must leave them before you expect to go?
What do you expect?

This is a client by Jeff Rose, a certified financial planner and Iraqi combat veteran. He blogs at Good Financial Cents Soldier Finance and life insurance by Jeff.
Jeff is orchestrated Movement Life Insurance, Wednesday, August 22 to bring more awareness of the need to purchase an adequate amount of life insurance to protect your family. It seeks to recruit bloggers to write their own personal stories of why life insurance is important to them (you can contact directly to the goodfinancialcents.com jeff) and also asking consumers to spread the word through social media. There will be gifts, so mark your calendars and stay tuned!

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Calling all moms (and dads) to the Life Insurance Movement

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Calling all moms (and dads) to the Life Insurance Movement -
When you find out you're having a baby, there are a million things you start think, to see your first picture of him on ultrasound, planning what color scheme you want for your room. What you do not think about life insurance. At least I do not have it.
But once the first shot in pregnancy wears off, you certainly start thinking about "the future." I quickly realized that I could not get life insurance coverage during pregnancy (Gulp!), But my husband certainly had its political square away.
Then this beautiful baby package came, and one of the first things I did (after sleep deprivation subsided enough that I could read a contract) was getting a policy.
Then life went on.
several years have passed and I learned how costly it is to raise a child and how it only gets more expensive as the years go on, not to mention the college in a distant future ( although it is difficult to think "campus and textbooks", while changing diapers). and then I had the opportunity to watch this video on Tracy Basden life lessons.

 
I had already seen. But as I looked again, now as a mother more experienced, I felt a hole in my stomach. I never, ever, ever, I wanted my son to go by something that remotely resembles the struggles that Tracy and her brother endured.
I do not think I will die prematurely, but how the hell do I know if this is true or just wishful thinking. the point is that I do not know. as soon as the video ended, I took the phone and called my agent. We put more life insurance in place. I wanted and want you ensure that if anything should happen to me, my husband could focus on increasing our son, who would be difficult without a wife and mother, without that being made infinitely more difficult with worries Financial. I want to assure you that my son has a bright future, whatever he chooses to do so.
When the invoice of my bonus comes, I write at this time and do it with joy, knowing that my coverage is there ... just in case.
and every time I talk to a parent-new or not so new that a procrastinating whether or not to buy a life insurance, Jenna, I send a link to the story of Tracy .
Today, the blogosphere celebrates the life insurance Movement. You can join by spreading the word through your blog, Facebook, Twitter, even picking up the phone. The more amazing prizes for those who it is simple to grasp. Check it out here. And more importantly, you can celebrate by getting life insurance coverage you need.

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I saw what life without life insurance

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I saw what life without life insurance -
The friend of my uncle had decided to end his life insurance; the form, unsigned, was sitting on his bed when he had a heart attack and died. Because it has not signed the form, his widow received the payment of life insurance, which helped her to survive and live a comfortable financial life after death.
My parents do not feel they could afford life insurance, but they took advantage of the policy without my father was eligible to work, and freedom of policy at their cash, which was a good thing. My father died of colon cancer at age 38, just four months after her diagnosis. There were enough life insurance for my mother, a housewife, to pay for the house, but there was not much beyond. A good life insurance policy would have to invest his money so she could continue to stay at home with my brother, who had cerebral palsy and needed care throughout the day and night in of his life.
Because of my experience with my father, my husband and I signed up for life insurance when our son was just a child. I saw what life is like without life insurance safety net, and it's not good. My mother has financial difficulties in the 26 years since the death of my father.
Why we pay for life insurance
My husband and I wanted to ensure that if one of us died, the other would be able to invest the money and live interest. At least, we wanted to have an amount of time where you could focus on taking care of our family and do not worry about money.
Life insurance will help pay for college for our children. If I die, the money will help my husband hire a guardian for our children; if my husband dies, the money will allow me to continue my freelance career, working from home, and supplement my income so that I can provide for children.
Death is a reality, We Just Don 't know when it will happen
Nobody wants to think about death, but we are all going. Hopefully we live a long life, but just take a minute to cope with the frightening possibility of something happening to you or your significant other. How could you survive financially? How your spouse? If you have both spent, how legal guardians support your children financially?
If you do not have life insurance, these issues become very difficult to answer. If you have life insurance, you may feel pain at the thought of losing your spouse, but you will not be concerned about the financial aspect of such a loss.
Life insurance is now more affordable than ever. You may think you do not have money to buy it, but I invite you to evaluate your spending. We try to repay the debt to a gazelle intensity. Of course, we pay $ 77 every month for life insurance would be a good deal of money to put on our debt, but that is short-term thinking. I prefer to pay debt just a little slower than I could pay our life insurance premiums and to know that our family will be supported financially if my husband or I die early.
Do you have life insurance? If you do not, what's keeping you?
This appears originally on the blog Mom plans Melissa.

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