The prospect of suddenly having to face life with a disability that limits your ability to work in the way you’re used always seems unlikely. Disability is something other people face, maybe in old age, but not you. While disability insurance may seem unnecessary right now the facts give cause for the preemptive action. Approximately 12% of the total American population and more than 37 million Americans are categorized as disabled; more than half those...
If you have read any literature on retirement planning or have received advice from a financial professional, chances are you were presented with the 70% rule, the one that suggests that retirees will need between 70 and 80% of their pre-retirement income in order to maintain their standard of living. There are several flaws with this formula, the least of which is that it doesn’t consider your actual income and expenses at the time of...
If given the choice, most people would choose financial freedom over financial servitude. Who doesn’t want to be financially independent where their money is working for them as opposed to them working for money? The problem for many is that kind of choice is an abstract exercise of futility as they struggle to navigate the waters of daily living paycheck-to-paycheck or in a clash of priorities where spending tends to win out over saving. The...
For some a car is simply a means of getting from point A to point B. For others it’s a status symbol. Cars are a hobby, a passion, for some and necessity for others, but whatever the level affinity toward automobiles there comes a time where just about everyone needs to start shopping for a new (or used) one. But, don’t run down to the local dealership just yet. Depending on your finances, lifestyle, and...
Think back to those early days in life when it seemed like everything in the candy aisle was free if you begged your parents hard enough. Not a fleeting thought was given to the expenses of a vacation or the copay costs at the doctor. There’s something beautifully unburdened in the way which children experience the world: recklessly present and innocently ambivalent. Teaching your children lessons about money from a young age won’t crush that...
All investors – be they conservative, moderate or aggressive – need to understand that the level of returns they expect to generate is directly related to the amount of risk they are willing to assume – the higher the return, the higher the amount of risk one needs to take. It probably doesn’t dawn on most people that, regardless of where you put your money, you assume some element of risk. For instance, if you...
For most of us the conversation isn’t whether or not we’ll need long term care, but rather when. According to the U. S. Department of Health and Human Services as many as 70% of those turning 65 years of age are likely to require long-term care, meaning that it probably makes sense to start planning for this as an eventuality rather than a possibility.* Professional help with daily tasks like bathing and eating doesn’t come...
An increasing number of Americans are facing an uphill battle just trying to save enough and earn enough on their savings to be able to retire on time. Carrying much higher debt burdens than previous generations, many pre-retirees have had to put their savings on the back burner to focus on debt reduction, which, for practical purposes is smart, but it is also the primary reason why some will need to delay retirement or drastically...
For anyone who has dealt with an aging parent or grandparent the concept of long term care is likely a familiar one. Those unfortunate enough to suffer from Alzheimer’s or other cognitive illness can end up requiring nursing care that can reach and exceed $80,000 per-year depending on the quality of care. With modern medicine it’s entirely possible to live 10+ years after the diagnosis of a permanently disabling illness, meaning that a protracted period...
Business owners have a tremendous opportunity to generate significant rewards from a business in which they have invested heavily. However, as with any opportunity with the potential for great rewards, there are great risks, many of which have the potential to create a serious financial hardship on a business. Transferring those risks to an insurance company makes the most sense for business owners. However, because of the myriad risks business owners face, the world of...
Here’s a thought: retirement doesn’t mean the end. It doesn’t mean an end of self-importance or purpose, it just means a new chapter—a paradigm shift of what life is beyond long days and meetings and bosses. Unless you own your own business, and even then, you are not your business. You’re not solely defined by the question, “What do you do?” But, it doesn’t mean you should stop defining the answer for such an inquiry...
With credit card interest rates ranging between 11 to 22%, it’s no wonder people are looking for alternative ways to handle and pay off their credit card debt. This is where a personal loan might come into play. Using a personal loan to pay off your credit card debt can help you manage your overall debt once and for all… if you know how to navigate the pitfalls. Find out what you need to know...
