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June 2016  Volume 9, Number 6        
 

long term care

Financial Planning and Insurance for Millennials

Ten years ago, the baby boomers were the largest segment of adults in the population. That’s not the case anymore. Recent census data show that the Millennial generation has stepped up to the mike.

This is the generation that’s just entering the workforce and beginning lives that are twice as long as they would have been 50 years ago. Just because the boomers are on the decline doesn’t mean they’re irrelevant. The oldest Millennials are entering their thirties, and the youngest baby boomers are entering their early fifties. Now is the time for everyone to think about the future and the consequences of our choices today

What’s Your Plan?

Ordinarily, financial planners talk about retirement plans. But life spans are extending far beyond what’s been achieved before, and many so-called ‘retirement-age’ people are choosing to stay in the workforce. And many are not choosing at all; they simply don’t have the resources to retire even when it comes time to do so.

In 2022, the Social Security retirement age will be upped to 67, and there’s talk of bumping it up to 70 after that. Will you have the resources, both physical and financial, to keep going if Social Security benefits are taken off the table completely by the time you get there?

It’s time to play the long game. This isn’t a ‘50s sitcom where you work the same job for 30 years, retire and live off your pension until you die before age 70. Living to 100 isn’t just a distant possibility; in the next decade it’s likely to become a probability. Will you be prepared?

Make a Plan

Set up your life to build wealth and sustain your health. Protect yourself and your family’s future. If you don’t make the right choices now, you might find yourself facing more difficult choices later in life.

Here are a few topics to start you off:

Retirement/estate planning – It’s not about getting old and dying; it’s about figuring out where you want to end up financially and setting up the systems to get there. If you don’t have access to a 401(k) or other retirement plan through your employer, consider setting up an IRA, or Individual Retirement Account. The type you choose affects your taxation — please contact us for more information on your options.

Life Insurance – Any kind of life insurance will provide financial support for your family if you’re not there to do it. It can also protect your assets. Certain types of life insurance, such as permanent life, universal life and variable life, can also build wealth.

Annuities – In many ways, annuities work as a mirror image of a life insurance policy. A life insurance policy (generally) pays benefits after you die; an annuity pays benefits while you live. Annuities provide a specified income for a defined period of time, which can be as long as your lifetime.

Health Insurance – Many young, healthy people don’t see the need for health insurance, but it makes sense to take care of yourself. Most health insurance plans cover preventive care, including check-ups, wellness plans and vaccinations. Some will even cover your gym membership! Read your policy, and if you don’t understand it, ask a licensed agent to go through the language with you. If you’re going to be required to have coverage, you should ensure you get your money’s worth.

The point is to think about how you’d like to spend your life and the manner in which you’d like to live it. If it includes providing for your family or even just getting yourself past the point of needing to work, then you need a financial plan. Please call us if you’d like some help putting together a personalized plan.

 

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In this issue:

This Just In...

Health Insurance by the Numbers

Financial Planning and Insurance for Millennials

Credit Insurance: Should You Buy It?

Bowie’s Last Gift and Prince’s Mistake

 


The information presented and conclusions within are based upon our best judgment and analysis. It is not guaranteed information and does not necessarily reflect all available data. Web addresses are current at time of publication but subject to change. SmartsPro Marketing and The Insurance 411 do not engage in the solicitation, sale or management of securities or investments, nor does it make any recommendations on securities or investments. This material may not be quoted or reproduced in any form without publisher’s permission. All rights reserved. ©2016 The Insurance 411. www.theinsurance411.com Tel. 877-762-7877.