Have you thought about how your passing will affect your family’s financial life? During this time of grief, you want to make sure that loved ones won’t have to worry about paying for your final expenses. Funeral expenses alone can exceed $10,000 in most states and final medical expenses can add thousands more. Final expense or so called “end-of-life” insurance policies can provide you and your family with peace of mind. These “end-of-life” policies cover your final funeral, legal and medical expenses, and they are a type of whole life policy. They offer affordable premiums, fixed interest rates, and can never be terminated due to age. You will have to answer a few – or in some cases no – health questions to qualify and most offer a free “Accelerated Death Benefit Rider” that allows you to access up to 50% of the death benefit while alive. To find out more about final expense insurance, call us today. Benny Levy 303-946-8992 [email protected] Insurance in Denver Colorado
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These days it’s tough to decide to stay invested in the stock market, while you hope for gains… but fear a market loss. A Fixed Indexed Annuity can offer you protection against stock market losses, while offering you the potential to profit from the market’s gains. Indexed annuities offer a minimum guaranteed interest rate, combined with an interest rate tied to a stock market index, such as the S&P 500 or the Dow Jones Industrial Average. So, instead of counting on the performance of a single stock, you can select a single index for your funds or spread your dollars across several indexes. Depending on the annuity, some crediting strategies allow for greater upside potential, while others lock in a gain up to a certain percentage. Most importantly, while you’re free to participate in market gains, you will never lose a dime due to market loss. Fixed Indexed Annuities are a great way to diversify your portfolio, mitigate risk, and stay positioned for the next market gain. To find out more about Fixed Indexed Annuities, call us today. Benny Levy 303-946-8992 [email protected] Insurance in Denver Colorado https://bennylevy.annuity.com/As the tax deadline approaches, the rush to make last-minute retirement contributions becomes familiar. This annual ritual highlights a widespread financial pitfall: procrastination. Financial experts warn that putting off funding your IRA carries a significant price tag – the "procrastination penalty." Understanding the Procrastination PenaltyThis penalty isn't a literal punishment but rather the substantial opportunity cost of delayed investments. The magic of retirement savings lies in compound growth – the snowball effect where your earnings generate more earnings over time. Delaying contributions means forfeiting years of this powerful cycle. Additionally, procrastinators risk missing out on overall market gains. While short-term fluctuations are normal, the stock market historically trends upward over the long haul. By waiting, you might end up buying into investments at higher prices if markets rise in the interim. While catch-up contribution options exist for older savers, there's a limit to how much you may make up for lost time. Real-World Consequences of ProcrastinationThe procrastination penalty has real-world consequences. Consider two investors: one consistently contributing from an early age, the other chronically delaying. Over decades, even small annual contributions, when compounded, may lead to a massive disparity in their retirement nest eggs. Strategies to Combat the Procrastination TrapA hypothetical example could easily illustrate a six-figure difference, underscoring the profound impact of time on your investments. So, how can you combat the procrastination trap and ensure a comfortable retirement? Here are a few key strategies:
The takeaway is clear: while tax deadlines offer a prompt for IRA funding, the real goal is consistent action year-round. Procrastination isn't just about missing a deadline – it's about sacrificing the life-changing potential of investing early and often. By adopting proactive strategies and prioritizing your financial future, you may build a retirement fund that supports your goals and eliminates the regret of missed opportunities. Don't let time slip away; start taking control of your retirement savings today. As the tax deadline approaches, the rush to make last-minute retirement contributions becomes familiar. This annual ritual highlights a widespread financial pitfall: procrastination. Financial experts warn that putting off funding your IRA carries a significant price tag – the "procrastination penalty." Many people have learned about the power of using the Safe Money approach to reduce volatility. Our Safe Money Guide is in its 20th edition and is available for free. It is an Instant Download. Here is a link to download our guide: Safe Money Guide - Annuity.com
Dealing with market volatility can be a maddening exercise, and it’s made financial planning more difficult. An Indexed Universal Life Insurance policy can help turn that volatility to your advantage, while delivering some unique tax-saving benefits. With an IUL, the cash value of your policy will follow the performance of an index or blend of indexes that you select… not an individual equity.
There are some upside limits on index performance, but the goal is to provide you with 0% floor. That means you can’t lose a dime due to poor index performance. And because these policies are life insurance, they offer unique tax benefits not available with other investment strategies. By properly following policy guidelines, distributions are tax-free and death benefits are always a tax-free distribution to your beneficiaries. Having an Indexed Universal Life policy in place can also help with estate planning, by avoiding probate or distribution disputes. Few products offer the liquidity, flexibility, tax advantages, excellent accumulation potential, and market loss prevention quite like an IUL. To learn more about IULs - and our risk mitigation strategy to build wealth- call us to set up a free consultation today. Benny Levy 303-946-8992 [email protected] Insurance in Denver Colorado
Most people start to think about life insurance after they’ve married and had children. That’s because the main goal of buying life insurance is usually to replace income if the buyer’s earning power is taken away by death. The industry standard on how much life insurance you need is five to ten times your annual salary. But it really depends on several factors such as your age, the ages of your spouse and dependents, your income, and your debts. Premium rates go up as you age, so it’s more cost effective to buy life insurance when you’re young, and also allows you to purchase more coverage.
You can use the ages of your dependents and spouse to judge the amount of income replacement they’ll need if you die. This will vary per individual as some dependents may need support temporarily, but others could have special needs that require support for life. If you’re just starting out, there will be many years of income to replace versus someone who’s near retirement or has no debts. A 50 percent income replacement is a starting point suggested by some experts. Your mortgage, car loans and any other debts should be included in your insurance planning. Also factor in future education for your children. Life insurance is an important investment that can help substitute your income and maintain your family’s current standard of living upon your death. If you’d like to learn more about the right life insurance policy for your family’s needs, give us a call or stop by our website today. Benny Levy 303-946-8992 [email protected] Many people don’t know that a whole life insurance policy can be a source of income for retirement. With a whole life policy, your premiums don’t change, and coverage lasts for the rest of your life. Whole life policies also accrue “cash value” over time, because a small percentage of the premium that you pay for insurance costs goes into a savings account that earns interest. The rate of return varies from company to company, and the cash value of the policy can be withdrawn as an additional source of retirement income. If the amount withdrawn doesn’t exceed the amount you’ve paid in premiums, that money will be tax-free. Of course, withdrawing these funds will reduce the death benefit to your beneficiaries, and withdrawing any dividends earned could be taxed as income. Before deciding whether a whole life policy is right for you, you should understand all your options by speaking with a financial professional. To learn more about smart retirement savings strategies, give us a call, or visit our website today. Benny Levy 303-946-8992 [email protected] A fixed index annuity is a contract between you and an insurance company that may help you reach your long-term financial goals. In exchange for your premium payment, the insurance company provides you with income, either starting immediately or at some time in the future. Most fixed index annuities have two phases. First, there’s an accumulation phase, during which you let your money earn interest. This is followed by a distribution or payout phase, during which you receive money from your annuity. Your annuity can earn a fixed rate of interest that is guaranteed by the insurance company, or an interest rate based on the growth of an external index. With a fixed index annuity, you defer paying taxes on your contract’s interest until you receive money from the contract. This tax deferred growth in your asset can really add up. These annuities provide for additional growth in value by sharing in stock market growth, often without market risk. Fixed index annuities vary in their benefits depending on the company offering them. To understand which fixed index annuity may be right for you, give us a call today. Benny Levy 303-946-8992 [email protected] A dangerous phenomenon is happening within the financial services industry.For years marketing gurus taught the masses about niche marketing. We listened and drank the Kool-Aid. It happened across almost every industry and worked like a champ. Specialists homed in on their craft and focused their energy on profitability by focusing on specific segments of the population. From plastic surgeons to cosmetic dentists, time not wasted on non-customers turned out to be genius. My father used this tactic in the 1980s, called pre-screen credit. He helped companies market credit cards to those with higher credit scores and, therefore, more likely to be good customers from a usage standpoint and qualification metric.
I want to caution the public about using this type of advisor as we enter the next two decades. Let me explain. Due to our current entitlement programs and their eligibility combined with a workforce aging well into their mid to late sixties, you have a perfect new storm. Most Americans don’t realize that Medicare is mandatory at age 65. There is one exception, but do you know what it is? In addition to Medicare, Social Security gives you an 8% guaranteed bump in pay from full retirement age until age 70. More people are attending seminars to get information about Social Security and learning if it makes sense to wait. But does it make sense to draw down assets to earn delayed credits? This, of course, doesn’t factor in the health or simple economics of needing the money. Most advisory groups apply conventional wisdom when about retirement income withdrawal strategies. "A la carte" planners can’t efficiently suggest to a client how to marry wealth management, tax logic, asset location, and Social Security Optimization.Details matter, and niche investment firms or asset gathers aren’t interested in doing the grunt work due to their business models or level of expertise. If you aren’t working with experts in retirement planning as an overall niche, you’re exposing the future to a la carte planning. Seek qualified experts who specialize in all aspects of retirement planning and avoid investment managers and insurance agents posing as one. Don’t be a victim.https://bennylevy.annuity.com/article/acom/a-la-carte-planning-dont-be-a-victim If you have the Original Medicare Plan, you might find gaps in your coverage that you want to address. Luckily, there are options to help supplement your Medicare: Medigap and Medicare Advantage. However, Medigap and Medicare Advantage can’t be used together. You have to decide which plan works for you. Discover what the difference between the two plans are and which option will best serve you.
What Is Medigap?Medigap, also known as Medicare Supplement Insurance, is a type of health insurance that offers additional coverage for normal Medicare plans. It helps fill in the “gaps” in normal Medicare coverage by helping you pay for out-of-pocket costs that Medicare won’t cover. Some of these expenses include:
What Is Medicare Advantage?Medicare Advantage, sometimes called “Plan C,” offers an alternative to the original Medicare plans. These plans are bundled with the typical Medicare Plan A and B plans, creating more complete coverage for the insured person. If you opt for Medicare Advantage, you are still a Medicare patient. Medicare Advantage plans are typically provided by private insurance companies that are approved by Medicare, but they are funded by the government. In addition to normal Medicare coverage, the Medicare Advantage plan covers expenses for:
Medigap vs. Medicare Advantage - Key DifferencesWhile the Medigap and Medicare Advantage plans can each be beneficial, there are key differences between the two. Being well acquainted with these differences can help you choose the type of plan that works best for you. PriceThe primary difference between the Medigap and Medicare Advantage plans come at a different cost. Generally speaking, Medigap plans have higher premiums than Medicare Advantage plans. However, Medicare Advantage plans often cover less expenses than Medigap — potentially resulting in more out-of-pocket expenses. You can save money by choosing the plan that makes sense for your specific conditions and lifestyle. Choice of PhysiciansOne key difference that might influence your decision to select Medigap or Medicare Advantage plan is the choice of physicians they offer. Be mindful of the limitations of both plans if you have a chronic condition that requires you to see specific specialists. Medicare Advantage offers a limited selection of physicians and facilities within their network. Certain Medicare Advantage plans don’t cover out-of-network physicians at all. Some Medigap plans offer more flexibility. Both Medigap and Medicare Advantage will cover any physician or facility that accepts Medicare. LocationOne major determinant of which plan you choose is where you are located and your lifestyle. If you live in one state and rarely travel, then Medicare Advantage might be best suited to you. If you live in more than one state throughout the year or travel frequently, then Medigap may be a better choice. Medicare Advantage plans usually offer coverage in one region exclusively. They also don’t typically offer coverage when traveling internationally. In contrast, many Medigap plans provide coverage in all 50 states and when traveling outside of the U.S. Benefits of MedigapMedigap bolsters Medicare plans A and B by filling in the “gaps” in coverage and providing more comprehensive options for the insured person. It covers almost all of the out-of-pocket costs in the Original Medicare plan. Aside from having more comprehensive coverage in general, one of the top benefits of Medigap is the cost. While the premiums can be higher than Medicare Advantage, these premiums result in few to no out-of-pocket costs. It also offers a great deal of flexibility in terms of the physician network. Generally, any physician or facility that accepts Medicare is covered by Medigap. This stands in stark contrast to the more limited network offered by Medicare Advantage. Another great advantage of Medigap is the lack of effort involved in filing a claim. There is virtually no paperwork to deal with. Checks are automatically made to providers and facilities after Medicare pays its portion of the bill. Benefits of Medicare AdvantageMedicare Advantage is an extension of Medicare plans A and B, offering more coverage than Original Medicare. This option is very popular because it replaces the Original Medicare Plan while still remaining affordable. It often has much lower premiums than Medigap, making it an attractive option if you don’t anticipate using it frequently. For many plans, if you hit the maximum out-of-pocket costs, the plan will cover you for the rest of the year. Another benefit of the Medicare Advantage plan is that enrollment is simple. You qualify for the Medicare Advantage plan once you qualify for the Original Medicare plan, and enrollment occurs annually. Most Medicare Advantage plans also include prescription drug coverage, otherwise known as Plan D. In contrast, Medigap does not offer prescription drug coverage. This means that the person being insured must purchase a prescription plan separately. Author: Jacquelyn White Source: © 2021 TheStreet, Inc. Retrieved from: https://www.thestreet.com/ FINRA Compliance Reviewed by Red Oak: 1593464 |
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