Have you ever wondered what the difference is between a regular whole life insurance policy versus a whole life insurance policy designed for cash accumulation? Well, there are a few differences in the way the policy performs and their design.
So, you’re purchasing a whole life insurance policy specially designed for cash accumulation, and you’re wondering how much money exactly is going to be available within the policy during those first few years. If that sounds like you stick around to the end of this blog post because today we’re going to do a deep dive and you’ll know exactly what to expect going forward.
When it comes to specially designed whole life insurance policies aimed at cash value accumulation, understanding the order of operations for your premium deposits is crucial. Should you prioritize paying your base policy premium first, or allocate funds toward the paid-up additions rider?
Are you a firm believer in the mantra that “cash is king”? It’s a common adage, deeply ingrained in many of us, advocating for the virtues of paying cash and avoiding debt at all costs. We’re told to clear our mortgages, credit cards, and student loans as swiftly as possible, freeing ourselves from the clutches of external financial burdens. But what if this belief, seemingly prudent on the surface, is actually holding us back?
When it comes to specially designed whole life insurance policies designed for cash accumulation, you hear us talk about the cash value as well as the death benefit. A question that we’ll often get at the death of the insured is, “Are both the death benefit and the cash value, paid out to the named beneficiary?”
When a life insurance contract is issued, a lot of times there isn’t a lot of built in flexibility within the contract. So when people come into windfalls, whether it’s an inheritance, a bonus at work, or a raise, and they have extra money and want to put it into the policy, you may be wondering where does it go? How do we get this money securely in our life insurance contract?
Total household debt is up to $16.9 trillion for Q4 of 2022, and of that, nearly $1 trillion is credit card debt.
A lot of people don’t have the time or the motivation to do a deep dive into their finances. Learn how to make your cash flow more efficient with the concept of the five areas of wealth transfer. Discover how to identify leaky holes in your personal economic model, build a pool of cash, and achieve short term, intermediate, and long term financial goals. This blogpost explains how to get started with saving and investing your money, and the importance of consistently putting away money to benefit from compound interest. Plus, find out how specially designed whole life insurance policies can help you achieve your financial goals.
As a young business owner, it could be simple to fall into the trap of reinvesting all of your profits back into your business to help that business grow and expand and hopefully grow your income as you go.
With the New Year often comes a refresh and what better way to start off the New Year than refreshing your finances so that you have more cash flow to do the things that you want to do, especially in these times of rising inflation and interest rates.