Five Disability Insurance Myths

Why do Americans forget to insure their paychecks? Because they usually believe one of these disability insurance myths:

Myth #1: Social Security will cover me if I become disabled.

Reality: Social Security only pays benefits to those with total disability, which is defined very strictly. It does not cover partial or short-term disabilities.

Myth #2: I have disability insurance through my employer.

Reality: Many people are fortunate to work for a company that cares for its employees – that’s a huge benefit.
However, most group disability insurance plans only cover 60 percent of an employee’s income with TAXABLE benefits. After taxes, they receive just 42 percent of their income. If they can sustain their lifestyle on 42 percent of their income, they’re in great shape. If not, they should consider a supplemental policy.

Myth #3: Disability insurance is too expensive.

Reality: By looking at the value received compared to the cost, disability insurance is actually less expensive than auto or homeowners insurance. For just a few dollars a day, a person can insure millions in tax-free income. There’s truly no better deal.

Myth #4: I’m probably uninsurable.

Reality: Very few people are uninsurable. Carriers offer plans for medically-impaired individuals, those who work in high-risk occupations and even for those with high-risk hobbies.

Myth #5: I’m not going to be disabled. I work in an office!

Reality: Seventy-five percent of disability is caused by illness rather than injury, and statistics show that one-third of individuals between the age of 30 and 64 are disabled at least once in their lifetimes. Ask the question, can you afford to go without a paycheck for six months or more?
Now that you understand the facts, you surely agree disability insurance is an essential component of every financial portfolio. And with the lackluster economy, consumer interest in income protection is gaining momentum. There’s never been a better time for paycheck protection.

The time is now. Here are three important reasons why:

• Rates are lower now than they’ve been in some time.
• For the first time ever, underwriting is simplified. In fact, many disability insurance carriers are writing up to $5,000 of coverage each month without the need for medical exams, blood samples and income documentation!
• Limits and options are on the rise. To maximize your protection, consider a combination of critical illness and disability insurance.
Abide by the old proverb, “There’s no time like the present.” Don’t delay – Make paycheck protection your priority.

Tax Magic For Professionals And Small Business Owners

Tax Magic for Professionals and Small Business Owners

Do you INSURE all the THINGS you need too?

­How much is your CAR worth?

­How much is it insured for? And what does that cost?  ­What are the chances of your having an accident?

­How much is your HOUSE worth?

­How much is it insured for?  ­What does that cost?  ­What are the chances of your
house burning down?

­How much are YOU worth?

­How much are YOU insured for? ­What are the chances
you will die?!

The 3 Phases of Retirement

The first phase I call the “Go Go” years. These are those early years of retirement when you are golfing, playing tennis, travelling, and enjoying your retirement. Unfortunately, the Go Go years are followed by the “Slow Go” years. The Slow Go years are when you can still do everything that you did in the Go Go years, but you just don’t want to. In fact, you don’t want to go downtown after 4:30 pm because Dad can’t see when it’s dark out! The Slow Go years are followed by the “No Go” years, when you’re probably not leaving the building, until you’re “leaving the building.”

When planning for your retirement, you need to keep all three phases of retirement in mind.

“Six Steps To Financial Independence for Women”

It is said that 70% of women will head a household at some point in their lifetime. Request a copy of our ebook “Six Steps To Financial Independence for Women”

Retirement Planning Has Changed!

Retirement income planning for your parents generation was much different than it is today.

According to the US Bureau of Labor Statistics, in 1990 35% of US workers were covered by a pension-by 2011 this had dropped to 18%.

Often people with a 401(k) plan, an IRA, and Social Security mistakenly believe they have a plan.  This may be a good start, however this is not an actual plan.  In the past, employer-sponsored pension plans provided some level of lifetime income.  However, with pensions disappearing, most people will not know exactly how much income they can expect to receive from their employer-sponsored retirement plan until they actually retire.

Source: Wiatrowski, William. “The Last Private Industry Pension Plans: A Visual Essay.” Monthly Labor Review 65.1 (2012): n. page. Dec. 2012.