Taxes, Mortgage, Education, Debt: How Life Insurance Can Help Your Family’s Future
Dan Levenson March 27, 2020
If something happened to you today, would your family be able to survive tomorrow? While life insurance isn’t a topic that many people want to talk about, it is incredibly important for your family. By taking out life insurance now, you can ensure that your family’s future is financially protected.
Here are several ways that life insurance can help your family:
Paying final costs
Most people don’t realize how much final costs can be. Funerals can cost thousands of dollars. In addition, there may be remaining medical bills or other remaining obligations. Life insurance can help your family cover all these costs and avoid unnecessary stress from having to find money to pay these costs.
Help pay a mortgage and other household expenses
One of the largest expenses for a family is a home. These include mortgage costs, property taxes, home maintenance, and regular monthly expenses. These expenses can add up quickly and many of them are necessary for maintaining your family’s home.
Life insurance can help with these costs. Money from a life insurance policy can help pay off a mortgage or cover unexpected home repair costs. It can also help with moving or closing costs if your family is looking for a new home.
Help pay education costs for children
Life insurance can also help pay the costs of education for children. Four years of college can cost hundreds of thousands of dollars. With those costs going up every year, it’s important to plan for your children’s future.
A life insurance policy can help your children pay for college. It can cover all costs for tuition and fees, supplies, and living expenses. By paying these costs while your child is in school, student loan debt can be minimized or even eliminated. Reducing or eliminating debt will put your children in a better financial situation once they graduate.
By getting the right amount of life insurance, you can ensure that your children aren’t stuck with hundreds of thousands of dollars of student loan debt that will take years to pay off.
If there is a loss of income in the family, life insurance can help fill the gap. While the money from a life insurance policy will not provide indefinite income, it can help pay for regular expenses for a set period of time.
Set aside money for long-term projects
Just because your family receives an inheritance from life insurance, it doesn’t mean they have to use it right away. Money from life insurance can be saved for an emergency, set aside for a future down payment for a child’s house, or help a family member start a business. Having money set aside can help your family reach their long-term financial goals.
Pay off debts
If your family has debt from car payments, credit cards, or other sources, life insurance can help pay them off. Your family can feel secure from paying off debts and avoid paying interests on loans.
Pay off estate taxes
Depending on federal and state laws, your beneficiaries may need to pay taxes on any property or money they inherit. Life insurance can cover some or all of the cost of any estate taxes.
Think you need life insurance? Contact us today!
As you can see, life insurance can be used to protect your family’s future in many different ways. It can help them handle different types of expenses and allow them to build equity.
If you want to protect your loved one’s future, contact us today. We can discuss the many life insurance options and help you find the right plan to help protect your family’s future.