11 million reasons why long term care insurance works
In the world of long term care insurance, it seems like a broken record when it comes to the press: we will report what is wrong and what does not work, as this time online article. I guess if you take a broader look, which is what happens in all areas of life. Negative seems sell more newspapers (or get more eyeballs online).
I do not want to emphasize this part. I tried to balance a side information about long term care insurance that appears in the press in the posts on this blog, as when I addressed the hue and cry about the premium increase. Instead, I want people to hear what works specifically on long-term care insurance 11 million reasons distributed throughout the country.
Nearly $ 11 million that is how the top 10 long term care insurers pay on every day benefits to 5, 75 million insured, according to a new study by the American Association for long term care insurance (AALTCI). This adds to nearly $ 4 billion a year in money that goes into communities across the country to help people get long-term care they need.
Sometimes the numbers that large can make your head spin, so I'll make it personal to you. I have a colleague, Dave, who made a comprehensive financial planning for many years. Because he was not an expert in long term care insurance, he came to my aid. I helped Dave place long-term from nine households care insurance to many of them friends and neighbors. To date, seven customers have achieved their long-term care benefits. And there is not too long, Dave, now 85, called me to tell me it was time for me to help him with his request so that his wife has Alzheimer's disease. Two million of long-term care benefits sank in the neighborhood and the community of Dave because he helped plan every eventuality customers.
These are some of the numbers I wish the press would report. Until they do, however, I will continue to write and talk about them.
Save less, work longer
Researchers tell us that the age of the intended retirement for American workers increases and people planning to work longer, as opposed to saving more.
Mathew researchers Greenwald & Associates, Inc. and the Employee Benefit Research Institute reported that only 68% of American workers said they or a spouse had tried to save for retirement , down from 75% in 09. the percentage of workers who said that it is reasonably possible for them to save $ 25 a week for retirement fell to 62% from 66% in 04.
only $ 100 a month or $ 10 per year. At this low rate, these workers do not expect to be retired for long. The percentage of workers who expect to retire after 65 years increased to 36% from 25% in 06, and the percentage who expect to work in retirement has increased to 74% from last year. The researchers found that workers with less than $ 100,000 in savings are especially nervous about retirement.
This is a truly incredible number of this research. More than half of workers (56%) indicated that the total value of savings and investments in their household, excluding the value of their primary residence and any defined benefit plans, was less than 25 $ 000, and only 42% of workers said they or their spouses have tried to calculate how much money they might need to save to live comfortably in retirement.
Although the report does not give income range of people involved in the study, I found the lack of understanding and preparation for the shocking retirement. As an industry involved in financial and retirement planning, we must do a better job of providing financial literacy to guide people in these decisions and to motivate them to take action. This is the purpose of the LIFE Foundation.
Well-educated, but not when it comes to retirement
I am often amazed at how bright, well-educated, wealthy professionals have little notion of what should be considered as part of their retirement and future financial planning.
recently a friend of mine in his late 50s told me he was retiring in about a year from his position as senior manager with a fairly large regional company. He said, "Joe, you're a CPA. Can you recommend someone who can help advise and manage my investments for retirement?"
I I explained that it is not so simple. I said, "By opening, you need a caring counselor who can meet all your financial needs and how they mesh with your lifestyle, your family and your dreams. It is not only on the main management and provide an income stream. You must ensure you do not outlive your assets, your spouse and family are protected, you can handle a situation of long-term care, you can leave a legacy, and frankly, you can load the bases of bucket list you and your spouse have set for your retirement years. "
I told him that I help him find a counselor that he and his spouse would feel comfortable with and with whom he could develop a relationship based on trust. Meanwhile, I gave him a few websites to browse for information. I told him an absolute "must check" was www.lifehappens.org retirees and pre-section / retirees. People really need some basic understanding of the options to consider before you even start the retirement planning process.
This Moment made possible by My Paycheck
Quick! Give me the first answer that pops into your head. What is your most valuable asset?
Did you say: "My home!" Or perhaps, "My car!" The two answers is logical, but neither is correct. If you are like most people, your most valuable asset is actually your paycheck. It's what pays for your house and car and all the other things you have in your life.
at the lIFE Foundation, we believe it is time to pay a little tribute to this underrated asset of your check pay. this is why, in may, which is disability insurance awareness Month, we are running the "this Moment made possible by my Paycheck" photo competition. Right after a photo with a caption a special moment that your paycheck is made possible, and if VIE chooses your photo as the winning time, you will receive a gift card for $ 500.
if you just take a couple minutes to reflect on the magnitude of what our wages help us do, it's amazing what we can find. Watch these two entries:
Now imagine if your paycheck was to stop due to an unexpected illness or injury. You would probably encounter most likely problems earlier, rather than later, trying to make ends meet. That's why we believe it is important to not only our paycheck accessories, but to protect it with insurance Disability consider it as insurance for your paycheck. To learn more, visit www.protectyourpaycheck.org site.
Women continue to underestimate their own value
In 3rd Annual Worth Penn Mutual for Survey women were asked to women and men to place a monetary value the work they do away from their jobs. Both groups put the estimate in dollars to about $ 25,000 per year. Respondents were then asked to list the hours spent doing a variety of jobs or services, such as laundry, meal preparation and child care. When Penn Mutual calculated the value reported actual hours doing housework, they found that men overestimate the value of what they do almost 13%. However, women were found to underestimate the value of everything they do for their homes and families.
When the actual median value of services has been calculated, the contribution of women in the home was $ 34,256 against $ 19,322 for men. Men were 9% more likely to overestimate their contribution of $ 30,000 or more. Remember, this is for domestic activities. The person most likely to underestimate its value is the mother of a minor child. Its calculated penalty is $ 44,913 while its perceived value is only $ 29,000. More than half (52 percent) of these women underestimate their value by at least $ 10,000; 36 percent do so by at least $ 30,000.
Although the survey may suggest that men have started to make more significant contributions to household operations, there are serious consequences for women and men who underestimate the value of what are women next to a job outside.
Penn Mutual says they often see evidence that women underestimate their value to their families-with serious consequences or tragic when that work has to be replaced by strangers after the untimely death of wife or mother. The survey revealed that women have much less coverage than men, with the amount of the median individual coverage for women was $ 100,000 compared to $ 150,000 for men.
Although it may be possible for other family members to fill the gap of a missing mother, there will still be costs associated with that. So, how is the wife or mother is worth? Suppose it is 15 years before the children leave home. At $ 40,000 per year of service would require $ 400,000 of capital with a rate of 10% per year invested 5% annual withdrawal to replace its services for 15 years. At the end of 15 years, the capital is fully utilized.
How to create $ 400,000 when it is most needed? Life insurance. Talk to your agent or advisor about it today. And if you do not have it, you can use the Agent Locator tool.
Graduates of the College Feel "Empowered" by debt
But that's not what shocked me. Many students need loans to pay for college. No loan does not mean education. I understand. It is what they said next that lead me to think that I'm living in a parallel universe. Instead of feeling overwhelmed or stressed by debt, they feel "power." Yes, you read correctly. According to a study by Ohio State University, many students feel empowered by reason than money.
The article continues: "More college loans and credit card debt that young adults 18-27 have, the more self-esteem and control more they feel they have on their lives. They tend to see the positive debt, rather than as a burden. "
Where is the reality check? Where are their living relatives this? Where were they the message the debt, especially credit card debt, is a boost self-esteem?
Although it seems strange college education graduate something so fundamental, they need to understand these three basic principles- and hopefully start practicing:
- Get debt under control
- start saving
- Protect your assets
this page for singles, and this page for those with young families can help with information and links the bottom line. There is no debt financial security
.For all stages of the life of a woman
The life of a woman can be defined in stages, from childhood to the reproductive years and beyond. And while each woman deals with these life stages differently and made choices that were made for her, all women should have adequate insurance to protect their needs and those that may be based on them.
Life Insurance
life insurance is a key component of financial planning, the protection of those who remain in ensuring that they are not burdened by debts or can not cope with financial costs being after the loss. But according to LIMRA, a third of women are not covered by life insurance, while those are assured carry only enough to replace their income for three to four years (depending on their personal income) compared to the experts recommendations. seven to 10 years
studying statistics lifejackets Genworth Financial 2011 is equally alarming 6 million households (10% of families with children under 18 years) have no insurance life, and in single-parent families, more than half of single mothers are not insured.
But the numbers tell only part of the story. It is the impact of these figures on spouses and children who really emphasize the importance of having adequate life insurance. Be it a housewife or career woman or a combination of both, a woman makes an important contribution to his family. However, too often the work of the dollar value do women in their homes-calculated $ 34,256 a year and up to $ 44,913 for a mother of a minor child, according to Penn Mutual Worth for Women Survey, is rarely into account when choosing the amount of coverage of life insurance.
While no amount of money can replace the loss of a mother or wife, adequate life insurance policy can help provide child care, college education or replace it produces income while living.
Disability Insurance
We all want to believe we will be able to live life to the fullest, but accidents, injuries and illness can change the future in a moment . According to a LIFE Foundation survey, three out of 10 women can expect to suffer a disability that keeps them out of work for 0 days or more at some point during their working years. The result of a disability can be a crushing burden, both financially and emotionally.
• If the woman is an employee, the financial contribution may discontinue, temporarily or permanently, depending on its condition.
• If it is able to manage its myriad domestic and family responsibilities, there may be an additional expense of hiring someone to take his place.
costs • Out-of-pocket associated with disability can become an additional burden on an already depleted income.
Although disability insurance can not go back and get back some capacity has been lost, it can provide the insured with financial support to move forward in the new situation of life and reduce the burden on the family budget.
long-term care insurance
with disability insurance, long term care insurance tends to fall in the category "I'll think about it later" when women are doing their financial planning. However, "later" may be sooner than they might think. It's not just the elderly who have to worry about the need to pay for the long-term care. While 75 percent of people aged 65 and over will eventually need long-term care, according to industry estimates, 40 percent of patients receiving long term care are younger than 65.
the best time for women to consider long-long term care insurance is when they are in their 40s, when premiums will be lower. While it can be bought when a woman is in their 50s and 60s, the cost will be higher (much less than the overall cost of care) and the greatest risk that health problems can affect the qualification.
The transition through life stages can be both exciting and challenging. But with the guidance of an agent or advisor, the trip can be smoother and safer for women and their families. To help you find a counselor, if you do not have it, click here.
Silver-Ours, Yours, Mine
This is what the debt of the United States looks like in terms you can view a-building. Yet it is truly unfathomable.
Nothing like a infographic movement to bring it on home as well. Check the clock of debt.
This is infographic shows how the national debt has changed in the last decade ... greatly simplified, but it helps to pave the way to where we are.
So my googling got me into more personal territory. I wanted to see where the money of an average person goes. This shows how the average American spends his (or her) money. Housing takes an average of just under $ 17,000. Phew! (I know these data from the US Department of Labor, as we used during our campaign to highlight the importance of protecting your paycheck with disability insurance.)
Then, of course, you want to know what your kids are really cost you. Can it be? (I think they should have the class erupted just for how much diapers cost.) And you thought the life insurance to cover these costs in case something were to happen to you, right?
And just because I hate it when people talk about how much money I could save for retirement if I stopped to get a coffee mug ... I added this. Hmmm, which one to choose?
Awareness of life insurance Month starts today!
Today is September 1st and while many people might chalk up to your average Thursday LIFE here it feels a bit like Christmas morning. We waited all year in preparation for today is the official start of a very important observation. It is Life Insurance Awareness Month (LIAM), when all Americans are encouraged to ensure that they receive adequate protection life insurance.
Why do we set aside time on the calendar to ask the Americans to focus on this issue? Because we would be remiss if we did not have it. An alarming number of Americans have no life insurance, leaving their families in a precarious financial situation. Nobody knows what the future holds. Having life insurance can mean the difference between your loved ones face a future of financial security or financial ruin.
But you do not have to take me. When I talk to people who have personally made the decision to get life insurance, their feelings of safety and comfort immediately come through. Take for example the basketball and reality TV star, Lamar Odom, the spokesman LIAM this year. He lost his mother to colon cancer when he was only 12, but as he says in our new public service announcement: "I had options, because my mother had planned in advance ... life insurance gave me the foundation to move forward in my life. "The purchase of life insurance was one of the first things he did when he entered the NBA and now that he is married with two children of his own, he knows the importance of have this coverage to ensure that the people he loves will be provided for. It's a powerful feeling that only those who have a life insurance policy can really understand.
We recently sat down with him for Lamar talk about his history and his personal decision to purchase life insurance and wanted to share some of this interview with you today. you can also read the full interview here
lIFE :. you have a good story about how life insurance made a difference in your life, but why did you decide to go above and beyond by assuming the role of door floor-to life insurance awareness Month
Lamar Odom: I am honored when the lIFE Foundation asked me to serve as spokesman. My mother died of colon cancer when she was just 35. It was a very difficult time for me because we were so close. Fortunately my grandmother was there for me. If it was not for her and that we had financial stability because of the life insurance of my mother, I'm not sure I'd be where I am today. Too many Americans believe that this will not happen to them and did not make the kind of planning that my mother did. Unfortunately, they leave their families financial future to chance. I hope that by sharing my story more people will take action for themselves and their families with life insurance to protect
LIFE :. When did you become aware of how life insurance your mother has made such a difference in your life
LO: I do not think I realized until j 'approaching the end of high school and started talking to my grandmother on issues related to money. My grandmother was really amazing and kept things quite normal for me after my mother died. But I do not think she could keep things as normal as it did without the money from the life insurance policy of my mother
LIFE :. You went to college for several years before turning pro. life insurance he played a role in this decision
LO: It certainly did. Very few 18 can jump into the NBA and succeed immediately. In fact, many are struggling and frustrated, and that can be a big setback to their careers. When high school, I knew it would be better not to turn pro immediately. And because my mother had life insurance, I did not need to win a straight salary. I had the opportunity to go to college for a few years, and mature as a player and as a person
LIFE :. If you were talking to a couple with children n 't have life insurance, what would you say to them
LO: I share my story and talk about the difference that life insurance has in my life. Many people do not think they'll ever need life insurance, but how do you know? My mother did not, but look how his decision to buy a life insurance policy out to be
LIFE :. How do you feel to know that thousands of people can buy life insurance because your message motivated to take action
LO: It really is a great feeling. I am honored that the LIFE Foundation gave me the opportunity to share my story. I'm a big believer in giving back. If you are lucky enough to succeed, I think you have a responsibility to give back and try to help others. This is a great cause, and I am proud to be a part of it.
You can see why we are so pleased to have Lamar in our yard this year (pardon the pun) because, in all sincerity, we know his story is one that will resonate with a lot of. Whatever your age or situation, there are people who depend on you, you need life insurance. LIAM And this is all about -. To help educate people about the importance of proper insurance planning and encourage millions who do not have adequate cover to take steps now to protect their families
For Better or Worse, For Richer or
Despite the fact that half of marriages end in divorce, we never really do that they will divorce. 
When you go through a divorce there is so much to think about. So much to negotiate with someone you try to separate yourself from. However, once you have children, you're really attached to that other person forever ... several days I thought, "Well, this is what is meant by a better or worse part of those greeting marriage. "
So in the middle of thinking about child care, housing, child support, alimony, who will get the antique armoire that you both like (me), the grid (him), life insurance is not the first thing that comes to mind. Or at least it was not for us. We are both young (ish) and healthy. both our parents lived to ripe old ages.
what are you doing about life insurance when you decide to divorce?
We had to consider what the Average life insurance. what kind of life do we want our children to be able to have if one of us is not there? When I got married, I used to joke with my husband that I wanted he has enough life insurance so that if I were forced to live without him, it would be at least in a style to which I'd become accustomed. There is some truth in that. If my children lose one of us, I will not add to the loss by subjecting them to a financial burden.
we've added all the years of support for children who need to be replaced. The college fund , music lessons, summer camps, sports equipment, ed driver During the SAT, the list continued and so on. We examined each and had the exact even thought, "Damn these children are expensive ." Followed quickly by, "Who had the idea to have them in the first place?"
Oh, I'm kidding. Who would want to give up nights without sleep, without disturbing end paycheck deposit directly into the bank account of the pediatrician?
We added all these things and then some to our final figure. Although we are divorcing each other, we both recognize that not having financial difficulties makes us better parents. And most of all, we both want the other to be the best parents that we can be for our children.
based on my experience with friends who have gone through divorce, they allowed their animosity for their former spouse to cloud their thinking. they viewed politics life insurance benefiting somehow their former spouse, instead of children. As if they imagined the person greedily rubbing their hands over their graves while fantasizing about a new sports car.
When our youngest child reaches 21 , we can legally do what we want with our policy of life insurance and designate a new beneficiary. In all likelihood, we will always keep the other list. the amount may be changed. Maybe there will be new policies with new partners added. It is still a long absence. But one thing I am certain, and it is very little I am sure these days divorce is no one else in this world has the best interest of our children at heart the way that we do. And even in the midst of arguing, bickering, and generally fool to another, it is important to remember that.