Issue 10.11
The financial decisions that you and your spouse make today can greatly influence the outcome of your financial situation tomorrow. When you pass away, without proper planning, your spouse’s income can decrease as much as 30 – 50%. If you were to pass away and leave your spouse up to a 50% loss of income, how will they fare?
Have you ever been to a dairy farm and milked a cow? Dairy farmers wake up early ever morning, before dawn, and make their way out to the barn. In the barn, they set up a 3-legged stool and begin milking their cows. Well, what happens if one of those legs becomes too weak and breaks off? It becomes a lot more difficult for that dairy farmer to balance. The same thing happens with the financial 3-legged stool.
The three legs of the financial stool are “Pensions,” “Social Security,” and “Investments.” Guess what? You only have control over one of these legs – Investments.
Pensions are becoming rare, Social Security is going to have to go through some major changes in the future if it hopes to stay afloat…so you’re left with counting on your investments to steady that stool with all its strength.
Foreclosures and bankruptcies usually occur within the first year of a person losing even a portion of their income. What if you were to pass away tomorrow and leave your spouse behind for 10 years? What could happen in that time? If your spouse’s income decreased $1,000/month, that adds up to $12,000/year. Imagine 10 years – you’re talking about $120,000 in lost income for your spouse. It’s not a pretty picture.
I believe Life Insurance carries a bad stigma. It is such a wonderful product for this exact scenario. It can be a promising replacement for lost income.
Did you know that there are life insurance products specifically designed for retirees ages 50 – 85? These products provide tax-free death benefits, savings account on cash value, long-term-care, terminal illness and critical illness options. There have been so many changes to life insurance products. It’s something that every retiree should be looking into.
I’d love to share all the advantages of life insurance with you today but my time and space are limited. Like any financial product or service, one size doesn’t fit all. This may not be the answer for your financial situation. To find out, you need to find yourself a retirement guide whom you can trust and who is knowledgeable about all the options and benefits available to you.
Eric Scott can be reached at (435)773-9444 or you can visit Eric’s office at 352 E. Riverside Dr. Ste. #B-4 in Saint George, Utah. Investment Advisory Services are provided by Brookstone Capital Management, LLC, an SEC registered Investment Advisor. Insurance services offered by Eric Scott Insurance Agency, Inc.