I love my wife and kids more than anything else in this world.

I know that when I say this, I’m not the only person in the world who feels this way about his/her family.  And I hope this is true for you as well.

One of the difficult parts of being a financial advisor is that I often get into stories with people about how they or someone close to them, lost a family member long before it should have been their time.

Unfortunately, every year I hear about someone who left this world too soon.  I believe all of us hate to hear about someone’s death, and for some reason, even when we don’t know the person, it affects us deeply.

As a financial advisor, I talk a lot about the future with people.  We talk about retirement.  We talk about making sure the money we saved lasts long after we retire.  And unfortunately, we talk about dying too soon.

We set up our plans for retirement, because one fear many of us have is living longer than our money.

We unfortunately need to also discuss what would happen if we leave this world too soon.

My hope for my family, friends, clients, and for everyone for that matter, is that when someone passes away too soon, the last thing on any loved one’s mind is money.

A while back, I wrote about The Top 2 Reasons People Don’t Have Enough Life Insurance.

It is scary how many people don’t have enough life insurance.

And it’s crazy how inexpensive life insurance has become over the past few years.

Ask yourself:  If something were to happen to you today, how long could your family financially survive without your income?

For example:  if you make $100,000 a year, and you have $500,000 of life insurance policy, most likely your family could only survive about 5 years without your income.

During those 5 years, your family would have to make some drastic changes to their lifestyle before the money would run out.

It’s important to know how much life insurance you actually need.  It’s also important to learn about the different types of insurance, and which one is best suited for you and your specific situation.

Don’t listen to the financial “gurus” on TV who might say there is only one type of insurance that everyone should buy.  And don’t buy your life insurance from some website just because it may be the cheapest.

Life insurance is a very important decision that should be taken seriously!

Educate yourself and talk to a qualified life insurance advisor who cares about your specific situation.

If you do ever need life insurance, tax, or financial advice focused on your specific situation, feel free to contact me anytime.

*Please keep in mind that all the information I post on this site is for general purposes only.  I understand that every person’s situation is unique and should be treated as such.  If you would like more information about how something listed in any of my posts specifically affects you, please feel free to comment below, email me, or call me anytime. 

Did you know that the number of U.S. households with no life insurance coverage at all has grown to 30%?  That’s 35 million households!  Among households with children under age 18, 11 million have no coverage – this is according to LIMRA’s 2010 Life Insurance Ownership Study.

Unfortunately, these numbers don’t even discuss the number of households that are under – insured in the US.  Just because a family has life insurance, doesn’t mean they have enough.

From my experience, the two major reasons people don’t have enough life insurance is:

#1 – People don’t know how much life insurance coverage they need.

#2 – People don’t know where to go or who to talk to about getting the right amount of coverage. 

So, how much life insurance do you need?

Obviously this number is going to vary dramatically from person-to-person and family-to-family, but a very general rule of thumb is that you should have at least 10 times your annual salary.  So for example, if you make $50,000/yr., you should have at least $500,000 of coverage.

Remember, the main purpose of life insurance is to financially support your loved ones when you are gone.  If your family, and/or someone you love, is financially dependent on you making money, then you need life insurance.

Some major factors that need to be considered and discussed before purchasing life insurance are:

• Your Age
• Marital Status
• Health Issues
• Cost to Pay Off Mortgage
• Cost to Pay Off Major Outstanding Debts
• Educational Funds for Children
• How Many Children You Have
• Total Family Income
• Existing Assets
• Amount of Income Needed for Spouse/Loved Ones

So where can you go and who can you talk to about life insurance?

Me, of course!  (honestly, what did you think I was going to say!?!?)

Think about it though.  Life insurance is a very serious purchase that involves your loved ones.  This could be the most important financial decision you make for your family.  When you pass away, your family is going to be dealing with a million different emotions.  Do you want worrying about money to be added to that list?  Making the right decision means your family won’t have to worry about money when you pass away.  This will allow them to better deal with all the other issues of losing you.

Do you want to make this decision in haste?  Do you want to rely on the Internet or some website to make the right decision for you?  Do you want to rely on some flyer in the mail to tell you how much coverage you need?

Wouldn’t you rather talk to a qualified professional who will sit down with you, discuss all the factors that should play a role in your decision making process, and help you make the right decision?

For more information on how I may be able to help you, please call me to discuss this important decision.  For those of you that know me, you already know that there is no obligation and there is no pressure from me to talk.

Contact me anytime!