In the past few decades, people have fallen prey to the myth that risking everything is far more valuable than safety, steady long-term growth and predictable income. Wall Street firms had much to gain by supporting this contrarian belief. Since the advent of the 401K, the stock market has almost quadrupled in total assets. This was a huge payday for Wall Street firms, but was just as much a loss for working class Americans. Prior to this, it is estimated that as much as 50% of people's savings went into High Cash Value Life Insurance.
The possible losses from market risk has to be taken into consideration. The larger this investment grows, the more you have to lose in a down market. In 2008 alone, the average employee lost 14% of their account's value. That may not seem like much to a young person just entering the workforce, but people that were near retirement and had more money invested, suffered a a disproportionate loss. Accounts for these individuals saw a 25% loss. This certainly affected some people's retirement and some either had to continue to work or accept less money during their retirement years.
In addition to market risk, tax risk could be even worse. With our National Debt on the rise, government spending, Social Security and Health Care costs, raising taxes is the only way for our government to to pay for pay for these costs. In addition to higher taxes, you will have less writeoffs and deductions. You will not have your mortgage interest, 401 tax deduction, or child credit/exemptions - inflation alone could bump you into a higher tax bracket. In coming years, taxes could consume as much as 50% of your income, or more.
It doesn't have to be this way...
America's large banks, corporations and super wealthy don't put their money where everyone else does. They use a wealth concept that has been able to stand the test of time, even during our country's most darkest hours. High Cash Value Life insurance is used for it's Tax-Free cash accumulation, liquidity and the Tax-Free, probate free death benefit.
An Indexed Universal Life (IUL) allows withdrawls of your money at anytime with no penalty, there are no losses in a down market and there are no RMD's (Required Minimum Distributions) to consider at age 70 1/2. Also, there is no maximum limit on the amount that can be contributed.
Only a professional should be trusted to assist you with properly structuring an Indexed Universal Life policy for Tax-Free Retirement. There are many ill-informed and untrained agents when it comes to this product. Selecting the appropriate death benefit, payment amount, indexing strategy are what make this the most powerful tool to build retirement income as well as leave a legacy for your family for generations to come.
Our agents at Family First Life are trained directly by our Annuity and Retirement Division and are skilled in this concept. Contact us today to meet with a professional that can show you how much money you can retire with, TAX-FREE!
Michael Pfeil Licensed Agent Family First Life mpfeil@familyfirstlifemd.com
Life Insurance is more more important than ever, the day a child is born. According to the U.S. Department of Agriculture, the cost to raise a child is now approximately $245,340 / $304,480 (adjusted for Inflation) according to the "Cost of Raising A Child" report.
This is approximately $12,800 - $14,970 per child, per year in a two parent household with an income between $61,530 and $106,540. This can vary depending on location of the family and other factors. This number has grown significantly since the original report that was conducted in 1960 by the USDA's first "Cost Of Raising A Child" report.
“In today’s economy, it’s important to be prepared with as much information as possible when planning for the future,” said USDA Food, Nutrition and Consumer Services Under Secretary Kevin Concannon, per a written statement issued alongside the report. “In addition to giving families with children an indication of expenses they might want to be prepared for, the report is a critical resource for state governments in determining child support guidelines and foster care payments.”
With so many other factors to consider when determining the amount of Life Insurance that is needed, the number of children and their ages must also be factored in. In addition to the number of children, the mortgage, daycare costs, private school costs, college tuition and other debts the surviving spouse will have to endure, should a premature death occur, must be considered as well. It's important to contact a professional in the business to understand all of your options and have a plan in place, should the unexpected happen. Your family is too important to not take the time to make sure they are protected.
Most people don't plan to fail, they simply fail to plan.
President and Founder, Shawn Meaike, just announced that as a company we are well on our way to a record breaking week for production! Many agents have helped 10+ families and the week is just starting. "We have over a dozen people that have helped 10+ families and we are only 2 production days into the week". The bar has been raised! There are agents producing at a record pace and have only been with the company less than a month.
We have a significant amount of momentum...!!!
As our company expands, we are always looking for new agents, with our without experience. If you like helping people, not afraid to work and build your own business, Family First Life may be a fit for you! We are hiring in all states, either part-time or full-time. Contact our office at hr@familyfirstlifemd.com to schedule a confidential interview, today!
Last week I took my daughter to the mall. While walking in, she saw someone she knew from school and he was smoking. My daughter said, "Dad, that's gross!". I then replied, "That will probably cost him over a million dollars, too!". Today I wanted to run an Indexed Universal Life (IUL) Illustration just to see what this seemingly small amount of money each day would really cost a person in lost potential income gains.
The boy we saw was 16 years of age. If you use a cost per pack of cigarettes of $7.50 and assume a pack-a-day habit, you will spend $2,737.50 in one year or $228.12 per month on your habit. If you were to invest $228.12 per month into an IUL from age 16 to age 65, you would be able to draw $183,766 per year, TAX-FREE, from age 65 to age 100! All of this without your money being at risk, like a 401K or IRA and then having to pay the IRS tax on your money. This investment also provides your loved ones with a TAX-FREE death benefit!
The assumptions used in this Illustration, are as follows:
20 Year Backcast of the S&P 500 with an average rate of return of 8.10%.
Top 5 of the 7 Indexing Strategies used to provide diversification.
Increasing Death Benefit Option used to Age 65 and Level from 65 to 100.
Minimum Death benefit selected to increase cash accumulation.
Premiums stop at age 65, as account will be fully funded.
Withdrawls taken from age 65 to 100.
Illustration
This is a perfect example of how small, consistent actions can compound into something huge over time! Insurance companies don't advertise anything flashy, but what they offer are risk averse products that consistently perform, year after year.
High Cash Value Life Insurance is one of the most under utilized investment vehicles, used today. With people like Suze Orman and Dave Ramsey telling everyone how terrible this product is and that no one should buy it, it's no wonder this product is so misunderstood. All financial products have their place, each for a specific situation. For anyone to have a one size fits all solution is incomprehensible. With the insurance industry being such a highly regulated industry, they would have discontinued offering the product, long ago.
If High Cash Value Life Insurance did not exist, the landscape of American business would look very different today. Below are a few famous companies that were either started or saved by Life Insurance.
Stanford University
Leland Stanford was the company's first president in 1868. He died in 1893 at which time the university fell upon difficult times financially. His wife, Jane L. Stanford, tried unsuccessfully, to raise the necessary capital to avoid a temporary closure of the school. She was, however, able to use the proceeds from her husband's Life Insurance policy to continue funding operations and to keep the school open.
Disneyland
Before Disneyland there was Walt Disney Studios, founded in 1923 in Los Angeles, CA. Eventually, Walt wanted something more and began to dream of opening an amusement park. Achieving traditional forms of financing proved to be difficult, so Walt decided to provide his own financing. In 1955 Disneyland was opened, in large part to his Life Insurance. He mortgaged everything he had, including his High Cash Value Life Insurance policies to fund the $17 million dollar venture.
JC Penney
James Cash Penney started working at a Golden Rule Store in 1898. He was eventually offered a partnership with the original owners. By 1907, the partnership was dissolved and and Penney purchased complete ownership of all three stores. Following the stock market crash of 1929 and the Great Depression, Penney found himself unable to meet payroll and day-to-day expenses. He was able to borrow from his two Life Insurance polices to help the company weather the storm.
McDonalds
In 1955, Ray Kroc decided to buyout his then partners Richard and Maurice McDonald. During the first eight years, Kroc did not take a salary. He had to overcome ongoing cash-flow issues and payroll expenses. He was able to borrower from two of his Life Insurance policies, in addition to borrowing money from his bank.
Foster Farms
Max and Verda Foster started Foster farms in 1939. They were able to do so with a $1,000 that was borrowed from their Life Insurance. They made an investment in an 80-acre farm close by Modesto, CA. They started out raising turkeys and then eventually, chickens. They now have over 10,000 employees and their products are sold globally.
The Pampered Chef
In 2002, The Pampered Chef was acquired by Berkshire Hathaway Corporation for $1.5 billion. Today the company has over 12 million customers. All of this started from $3,000 that Doris Christopher borrowed from her Life Insurance policy. She was able to use the cash to start the business from her suburban Chicago home in 1980.
To Learn More About High Cash Value Life Insurance, Call Family First Life Today!
Mortgage Protection Insurance is simply a Life Insurance policy taken out on the life of the borrowers of the property to cover the balance of the loan, should one of the borrowers die during the term of the mortgage. This is more important than ever in today's economy where both incomes in a family are generally needed to run the household. It is even more important if the household is able to make it on a single income and the other person does not work.
In more cases than not, Mortgage Protection Insurance is a plan where no medical exam is required and has a Cash-Back Option. A professional agent will generally structure a plan to allow you to pay your home off 5, 10 or even 15 years early! This would in effect save you thousands of dollars over the life of your loan. Many people today are using some sort of early acceleration method - either by-weekly or sending in extra money to principal - in an attempt to pay the home off early, already. By simply diverting the current money already been spent to accelerate the mortgage, to a Mortgage Protection Plan, the borrowers can now accomplish two things at once without spending any additional money: 1) Ensure the family is protected in the event of an untimely death; and 2) Accelerate the mortgage.
Do I Need Mortgage Protection Insurance?
This is a very simple question to answer. If your death would create a financial burden on your loved ones and they would no longer be able to live in the family home, then the answer is "YES!". Many families are already underinsured and quite frankly do not want to discuss or plan for an unexpected death. This however, is the worst possible thing to do. Any type of Life Insurance that either builds cash value or comes with, what is known in the industry as a Return of Premium option, should not be viewed as an expense, but an investment. Anything that is put in place to make sure your loved ones are protected, whether you are here are not, is the most important thing that you could possibly do.
I Have Employer Sponsored Life Insurance. Do I Need Mortgage Protection?
Absolutely! Insurance provided at work is very inexpensive. But if you think about it, you are entrusting your most valuable asset, the most important people in the world to you, to something that costs between $8 to $10 a month. This is not a sound financial solution that you should expect to be there should your death occur.
I Have Life Insurance. Do I Need Mortgage Protection?
Absolutely! Your current Life Insurance policy, generally was taken out to replace your income for a certain period of time. If that policy is used to take care of the mortgage, how will your children go to college?, who will pay for your daughter's wedding?, how will your children's child care be paid for?, how will your children's private school be paid for?
All too often, we find that the general mindset of America is quite different from Wealthy. The Wealthy stockpile life insurance to pass wealth on to future generations and do so Tax-Free and ensure their family is taken care of should something unexpected happen! Life Insurance probably has more living benefits than death benefits, but avoiding speaking to a profession will keep you in the dark about what is the most important financial decision you will ever make! Give Family First Life a call today to discuss what options are available to you!
Many of the clients that our agents meet with are frequently telling us that they don't need any additional Life Insurance because they have insurance through work. When it comes to my family, anything that costs $8 per month, is just not something I can put all of my faith in! In addition to it not being close to what someone needs, it can be taken away in a heartbeat. Last week, I met with a gentleman that was in HR for a large company in the Baltimore region. He was explaining to me that 2 employees in the company where he works are responsible for 90% of all of the company's healthcare costs . This was due to both of them having children born with birth defects and having medical bills of over a million dollars when the children were born. The ongoing care of these children is very high, so he said in HR they had a meeting and are trying to figure out a way to fire these employees, so they could get them off of the company's health care. Imagine if an agent met with either of these men and talked to them about the importance of Life Insurance and they were to tell one of our agents that they were "good" or "there were covered at work". Imagine if that were an acceptable response and one of our agents left their home without advising them on why Employer Sponsored Life Insurance is not even close to enough or can be counted on. The talks taking place behind close doors could cause each of these men to lose their jobs and all of their benefits will be gone! Not only will the health care be gone, but if an agent did not help them, their Life Insurance will be gone too! Then imagine that as a result of the stress from losing their job, they have a heart attack and die? What does the wife do now? No Life Insurance, No husband to work and make money and No Health Care? Let me assure you, Employer Sponsored Life Insurance is never enough! It's good to have, get more, but it may or may not be there when you need it. Your family deserves more.
Many people will say their family is their #1 priority, but...
Here is how they usually rank in order of importance...
Home Insured For $250,000
If home burns down, it is replaced because of Home Owner's Insurance.
Car Insured For $45,000
If car is totaled, it is replaced because of Car Insurance.
Cell Phone Insured For $680
If you drop your cell phone, it is replaced because of Cell Phone Insurance.
Family Insured For $0
If Mom and/or Dad doesn't come tomorrow, as a result of death, the ability to pay for the home, car and cell phone cannot be replaced because there is no Life Insurance! You and your ability to earn money, IS YOUR #1 ASSET! Your Family deserves to be put 1st!
Many people in Middle Class America listen to and follow the advice of both Suze Orman and Dave Ramsey. People expect that the advice they are giving is accurate based on their celebrity status. However, the worst possible advice they could give, is their opinion regarding High Cash Value Life Insurance. They are both either ill-informed regarding the product or maybe think that Middle Class America lacks the intelligence to understand an advanced wealth concept such as this.
If High Cash Value Life Insurance was the "worst possible investment" (Dave Ramsey) anyone could make and "NO" one should ever buy it, then why are all of the major banks and large corporations in America invested so heavily in this product. Banks hold so much of this type of Life Insurance that it has it's own name, BOLI (Bank Owned Life Insurance). The assets are so strong that the FDIC allows banks to classify their High Cash Value Life Insurance holdings as Tier I capital because of its ability to be easily converted into cash.
In 2012, there were approximately 1,110 BOLI cases sold for approximately $4.4 billion in assets. Many of these policies are single premium purchases with an average premium of $2 million dollars. In 2012, approximately 55% of all banks held BOLI assets.
Banks hold High Cash Value Life Insurance for the same reason that we advise our clients to do on a daily basis. Below are the major reasons why this is a great product to invest in:
1) The interest earned is typically significantly higher than other investments with similar risk.
2) Money grows Tax-Deferred.
3) Money can be withdrawn Tax-Free.
4) Investment diversification.
5) Provides a death benefit.
6) There is no waiting period to withdraw money from account.
If our banks, corporations and super wealthy in America use High Cash Value Life Insurance, then why is it not an acceptable investment vehicle for the middle class? This is a Wealth Concept that needs to be shared and understood by everyone!
Michael Pfeil
Family First Life Asset Protection, Wealth Preservation & Wealth Accumulation
This whole week, Singapore seem to come to a stand still as the nation mourns on the passing of our first prime minister Lee Kuan Yew. The scenes were touching, the support unwavering and the unity is strong. Everyone came or is still coming to express their gratitude in one way or another.
How could one man's death have such a huge impact on a country and even impacted the international realm as well. Former U.S president, Bill Clinton, will be coming with a few other US officials to attend Mr Lee Kuan Yew's funeral service on Sunday. Why did so many people respect him so much?
Photo Credit: Remembering Lee Kuan Yew Facebook Page
This whole week, most of the usual TV programs on all Singapore's media channels were cancelled. Instead, they broadcast documentaries of Singapore's history and how Mr Lee Kuan Yew brought Singapore to this current stage. I've been watching some of these programmes and just a few hours ago, there were a broadcast on Mr Lee Kuan Yew's various speeches from the 1950s all the way to the 1980s. From those speeches, I could really sense his heart for Singapore and his concern for the people of Singapore.
So many people have came to queue up just to pay their last respects to him. People are queuing up for up to 10 hours just to personally pay their respects to him. This is really amazing.
Photo Credit: The Straits times
His Worry For Singapore and it's People
A few issues were brought up in his speeches. Low birth rates and low marriage rates were among the problems that had to be resolved. In 1975, 10 years after independence, there was also complacency seen in the people of Singapore. Life was better, spending habits have changed where people are spending more money. He was worried that parents would pamper their kids too much and spoil them in the process. In 1975, he urged the people not to be complacent and not pamper their kids too much just because they could afford it.
Every year from 1975 onwards, he keep rallying the people of Singapore together and reminded them how far they had come. He keep asking the people of Singapore not to take things for granted as they could lose all these in a very short time. In the late 1970s, he said the current generation have not experienced an economic crisis before but they will experience it soon in the 1980s. He warned and prepared the people for it. I guessed such reminders were taken to heart by Singaporeans back then as Singapore grew even stronger after the crisis.
The Most Touching Speech in 1980
The most touching speech I saw was a PAP rally in 1980. This was the scene which most of us would be familiar with where Mr Lee Kuan Yew said
"This is not a game of cards, this is your life and mine. I've spent a whole life building this and as long as I'm in charged, nobody's going to knock it down".
What I did not know was what he spoke before this familiar scene. I was watching the whole 20 mins rally and realised he was speaking in the rain.
The rain got heavier and heavier and he was wiping the rain water off his face with his hands as he was speaking. His shirt was all wet. The people who were listening to him speaking still stayed on listening to him in the rain. The other PAP members sitting behind him were in the rain too without umbrellas. Their shirts were also wet and throughout the whole speech, I could see those PAP people behind him also wiping the rain water off their face and some took off their glasses to get rid of the rain water. This was the kind of government which Lee Kuan Yew led and the kind of people we had who could endure and stay united together.
Below is the video of the whole speech. The particular scene is towards the end of the video:
A Frugal Man with a Simple Life
Apart from the firmness and ruling with a iron fist which we know, Mr Lee Kuan Yew was actually just another simple man with a simple life.
I read on the New Paper yesterday that his frugality was well known in Tanjong Pagar where he served the residents for the last few decades.
I quote: "He maximised all resources available and there was never any wastage. Where there was no need for resources, he would never put any there."
Mr Lee also lived in a modest home. His house is still filled with olden days items dated back to the 1970s and the house remains largely unchanged as compared to the multi-million dollar, multi-storey bungalows that sprang up around it.
You see, a man with great stature and still lives humbly shows that he doesn't need to prove anything. He has got no need or desire to show off what he has achieved. Yet, he has gained the respect of many by staying humble and passionate for a good cause.
The Love Of His Life
As we all know by now, Mr Lee Kuan Yew loved his wife a lot. The death of his wife a few years ago was devastating for him. When his wife was bed ridden but still conscious, he would read to the love of his life every single day. Defence Minister Dr Ng Eng Hen said when he was travelling overseas with Mr Lee Kuan Yew for official duties, he still never fail to call back to his home and read to his wife everyday.
Below shows a very touching video of the soft truth of Mr Lee Kuan Yew:
What Can We Learn?
It is heartening to see so many people showing their gratitude to a man whom they may have never even met before. The once often negative landscape of the social media has transformed into a place where people show support and gratitude. I'm sure we are much happier when we think about how fortunate we are to live in a country of peace and prosperity instead of complaining and sinking down into negativity.
After studying economics in university, I know a country's success or failure does not come by chance. It is the deliberate planning and policy implementations which made Singapore to where it is today. We should never be complacent and take all these for granted. The future of Singapore will depend on all Singaporeans, whether we are still united and stand together as one people and one nation. A divided nation can never survive long.
The reason why we can live in harmony with each other is because an identity has been built painstakingly by our founding father, Mr Lee Kuan Yew. We should never lose this Singapore identity and I'm glad that we are showing the whole world the strength of our unity at this current moment. May Singapore be an ever greater nation for many generations to come.
Uncle Sam loves Qualified plans. He basically has your retirement money mortgaged and holds a lien against it with a tax liability.
Here is the main issue with Qualified Retirement Plans that no one talks about:
With a Traditional IRA or 401K, you are simply deferring taxes to an unknown amount on the entire growth of your account. If you are at a 33% tax rate and put $6,000 (the seed) into an IRA/401K, you would have received a $2,000 deduction. However, if that account were to grow to $100,000 (the harvest), you will now have a $33,000 tax liability.
You have basically traded a $2,000 deduction, today, and converted it to a $33,000 tax liability, tomorrow.
Contact Family First Life of Maryland to meet with an advisor to discuss a Tax-Free Retirement option!
In Singapore, financial advisers are often associated with the insurance industry. My first encounter with a financial advisor was when I was still a student around the age of 19. I was starting to get curious on financial planning and wanted a higher interest rate for the little money I had in my bank account. You see, many years ago, the interest rates the banks gave were already at a low of less than 1%. One day while I was walking on the streets, a financial adviser approached and asked me whether I'm interested in a plan that will give me 3% (more than 3 times higher than the bank interest rates), it naturally got me interested.
Throughout the years, I've met more than 10 financial advisers from many different companies. Some were good while some were not so good. Some were so well trained in their sales pitch that I've heard different advisers saying the same thing. I started doing sales when I was at the age of 16 so I could recognise that it was just a sales pitch right away. Even though its a sales pitch, one good advise that I constantly hear is that we should have protection before investments. It is true that insurance is important for us as well as our loved ones.
However, over the years, I've heard some friends saying they were having a hard time paying for their insurance premiums because they bought too much. Some even had to cancel their insurance policies and lose money just because they couldn't keep up with the payments. Having a wrong financial advisor can be disastrous. So, do we really need a financial advisor?
Buying Insurance Online?
I thought to myself, what if I could buy insurance online? This is possible now with Do-It-Your-Way-Insurance (DIYInsurance), a web portal by Providend Ltd. The web portal allows us to compare different insurance products from different companies and they provide 30% commission rebate on all purchases when we buy from them.
The good thing about this web portal is you get to learn all about insurance and compare the different insurance products all at the comfort of your own home without having the pressure to buy. They are also licensed and regulated by the Monetary Authority of Singapore. Let's see how DIYInsurance works.
How DIYInsurance Works? With DIYInsurance, you have full control over your insurance purchases. The comparison tool gives you access to a wealth of information on a wide range of insurance products in the market, and you are free to compare and choose the lowest premium or best value product for yourself without any pressure from a salesperson.
Compare & Request Quote Online
Use their comparison tool to find the product you feel best suits your needs. Request for a quote from them.
Personalised Consultation
They'll call you to provide you with cost information and answer any questions you may have about the product.
Get Help with Documentation
They'll assist you with application forms and documents required and submit them for you.
Receive Insurance Policy
After the insurer approves your application, you'll get the policy contract via mail. They'll also return you 30% of the commissions they get from the insurance company, where applicable.
Educate yourself on Financial Planning
What I like about DIYInsurance web portal is they also provide educational materials on financial planning in the form of infographics, articles and videos.
This life stage planning chart shows us clearly what insurance we need at different stages of our lives:
They even have various calculators for protection, for savings and for retirement for us to plan our financial life better.
Check out some of their educational videos on financial planning here.
With DIYInsurance, all of us can be financial advisers for our own life and decide on what we want without any pressure. You still can get quality financial advise from them any time when you're not sure about any products. From what I know, their staffs do not have any sales incentives so you won't get pressured to buy anything. You get cheaper insurance but at the same time you also get quality advise.
Check out their website and start your own financial planning today!
A survey conducted by financial-services company, Allianz, found that of people in their late 40s, 77 percent worried more about outliving their money in retirement than any other issue!
At Age 65:
56% Need Help Financially
11% Still Work
25% Have Passed On
------------------------------
92% Are Either Dead or Broke
Of the Remaining 8%:
3% Are Ultra Wealthy
3% Have 50K or More
2% Are Comfortable
We have a Tax-Free Retirement solution and a Wealth Accumulation vehicle to help you in your retirement years. Contact Family First Life of Maryland for a FREE consultation, today!
Have you ever looked at where our National Debt is going? Here is a live Debt Clock.
Currently our country is at one of the lowest tax rates, ever. However, there are issues at hand that have to be considered to determine where taxes are headed:
National Debt
In 2008, our country's “official” national debt was 9.6 trillion and in 2010 that number rose to 16.9 trillion. This was a 7.3+ trillion dollar increase.
Spending is now triple what it was 20 years ago. The “real” national debt is 70+ trillion. This is equivalent to $147K per household.
Social Security
Was not meant to be permanent source of retirement. By 2017 the government will be paying out more benefits than revenue going in.
By 2041 funds will be exhausted.
Health Care
Who is going to pay these costs?
If taxes go up and you have a significant amount of money in a 401K or IRA, you could end up spending a significant amount of your retirement money on TAXES! Contact Family First Life of Maryland for a better solution. We have a Tax-Free Retirement alternative for you!
The decisions you make today will determine where you are tomorrow.
The issue we see most is people over fund their "Free Money" (company matching 401k's) and then jump to #3 and begin to accumulate Tax Deferred Money which can be disastrous for your retirement!
Free Money
Matching 401K
Inheritance
Tax-Free Money
Roth IRA
High Cash Value Life Insurance
Tax Deferred Money
401K
Traditional IRA
TSP
SEP IRA
Retirement Accounts
Taxable Money
Wages
Capital Gains
1099 Interest
Contact Family First Life of Maryland for a no obligation review of your current plan.
For the past few weeks, Singaporeans have been coming together to show support for our first prime minister, Lee Kuan Yew who is still warded in the intensive care unit of Singapore General Hospital. As a Singaporean myself who was born and raised up in Singapore, I do respect him as a founding father who brought Singapore to where it is today.
As a student growing up in Singapore, I heard of this great man who fought for the independence of Singapore. Despite all obstacles, he still believed that Singapore will survive even after the separation from Malaysia in 1965. That was the familiar scene where we see Lee Kuan Yew shedding tears on TV.
He was the person who transformed Singapore. During the youth Olympic games in Singapore a few years ago, there were many foreign visitors who came to Singapore for the first time and they were greatly impressed by the peace and prosperity here. I remembered a guy from Europe approached me on the MRT and told me how impressed he was with Singapore. There was a young school girl probably at the age of 13 or 14 travelling alone on the MRT and he was very surprised that kids are safe to do that here. He said in his country, it is too dangerous for children to travel alone.
Singapore is a multi racial country. Throughout the past weeks, I've seen people of all races come together to show support for him. There is a sense of unity that we as Singaporeans want to express our gratitude to this founding father. We want to wish him well. Somehow, we know that Singapore would not be where it is today without him. People of different religions also came together to pray for him. It is a scene which our pledge recites:
"We the citizens of Singapore, pledge ourselves as one united people. Regardless of Race, language or religion...."
A Facebook page called Thank you Mr Lee Kuan Yew has been set up and currently has more than 74k likes. These were the images which were shown on the page
"Overflowing with well-wishes from Singaporeans, young and old. A truly heart-warming scene at the steps of the Quad, outside Kopitiam"
As a blog based in Singapore, I want to show my support for Mr Lee Kuan Yew too. I've complied a video which shows how Singapore survived from independence to today. It is the brave words that said "Singapore will survive" and the vision of Mr Lee Kuan Yew to see it as a metropolis which made it into a reality.
Singapore will always be my home. Let's all stand united to give Mr Lee Kuan Yew our well wishes. #ThankyouLKY
*Mr Lee Kuan Yew has passed away peacefully early morning on Monday (23 March).
When looking for Life Insurance, it can be confusing due to the many different carriers and products that are available. Each product serves a specific purpose to solve a particular problem. Basically there are 3 types of Life Insurance; 1) There is Term Life Insurance; 2) There is Whole Life Insurance; and 3) There is Universal Life Insurance. Below I will go over the fundamentals of each to help give you a better understanding of what each is and what each type is used for.
Term Life Insurance
Term Life Insurance is your most simplest form of Life Insurance and is based on a specific term for either 1 year, 10 years, 15 years, 20 years, 25 years or 30 years of coverage. It is usually used to cover an asset that is financed for a specific period of time or it can be used to provide coverage for a specified period of time of an individual's life, at a very low price. You will find this to be the most cost effective coverage and the lower the term, the lower the price.
The downside to Term Life Insurance, is that once the coverage has expired, there is no cash value (unless you have term life insurance with a cash-back option) and there no more coverage, If there is still a need for Life Insurance, the individual will have to obtain a new policy based on their current age and risk class at that time the new coverage is sought.
Whole Life Insurance
Whole Life Insurance is a great option in that it provides permanent coverage, usually until age 110 or 121 years of age. Whole Life also builds cash value that can be borrower from tax -free. The cash values are usually guaranteed, but accumulate slower than you will find with Universal Life Insurance. Whole Life Insurance is a great option for folks in their later years in life as this type of insurance will generally accept a person with medical issues and on medications that are usually not accepted by Term Life Insurance.
The downside to Whole Life Insurance is the price as compared to both Term Life Insurance or Universal Life Insurance.
Universal Life Insurance
Universal Life Insurance is basically a hybrid between Term Life Insurance and Whole Life Insurance. Indexed Universal Life Insurance (IUL) is great for either providing Tax-Free Retirement either as a stand alone or as a supplemental Tax-Free Retirement option for folks, when structured properly. Your cash accumulation is based on the growth of the S&P 500, or another index, but guaranteed not to lose money.
The benefits of using high cash value Life Insurance, like Indexed Universal Life (IUL) over a 401K or a traditional IRA is that the money is take out Tax-Free and does not count against your AGI (adjusted gross income) when it comes to social security benefits. Receiving money Tax-Free provides comfort to people as the future tax rates are unknown. Generally when people are in their retirement years, they have less tax write-offs and less tax deductions, so deferring taxes is generally not a good idea.
Contact Family First Life to discuss what Life Insurance Option may be best suited for you.
