Aetna Medicare

2010 Aetna Medicare Plan information is now available

Great news! We have new plans available for 2010! Enter your zip code above and click “Submit” to see what’s now available in your area.

Not eligible for Medicare?

See what other Individual plans Aetna has to offer.

Health Insurance and Products for Individuals

Are you struggling to find good health insurance coverage for you and your family? Running your own business or working for a company that doesn't offer health insurance? Perhaps you've been laid off. Believe it or not, you may have more options available to you than just COBRA. Whether you are a recent graduate, or early retiree — or perhaps you are just new to buying insurance on your own — we can help. Aetna Advantage Plans for individuals, families and the self-employed are designed to make it easy for you to find and choose the coverage that's right for you and your family. Are you a small business looking to insure 2 to 50 employees? If so, please visit the Small Group Employer section of our website. Questions? Please send us an e-mail, we're here to help. Not sure which health insurance plan is best for you? The NEW Aetna Benefits Advisor can help guide you. What is the new Aetna Benefits Advisor? It's a tool that is interactive. And it's easy to use. Get started now.

Aetna Advantage Plans for individuals, families and the self-employed are underwritten by Aetna Life Insurance Company (Aetna) directly and/or through an out-of-state blanket trust. In some states, individuals may qualify as a business group of one and may be eligible for guaranteed issue, small group health plans.

These plans are medically underwritten and you may be declined coverage in accordance with your health condition.

This material is for information only and is not an offer or invitation to contract. An application must be completed to obtain coverage. Rates and benefits vary by location. Health insurance plans contain exclusions and limitations. The Aetna Personal Health Record ("PHR") should not be used as the sole source of information about the member's health conditions or medical treatment. Information is believed to be accurate as of the production date; however, it is subject to change.

Universal Life Insurance

Universal Life Insurance is a form of permanent life insurance. It can provide affordable guaranteed protection and flexibility.

A Universal Life insurance policy provides flexibility that allows you to change, within limits, the death benefit and the timing and amount of your premium. You can build your policy's cash value, or pay a lower premium and focus more on guaranteed protection.

MetLife's Guarantee Advantage Universal Life insurance can be right for you if you want:

• Protection that can last a lifetime
• The flexibility to choose between two policy designs:
  • Protection plus cash accumulation, or
  • Focus on affordable guaranteed protection
• An option for a lifetime of guaranteed monthly income for your beneficiaries

Some things to consider about Universal Life Insurance:

• Cash value growth is based on periodically-declared fixed interest rates. Should rates fall, cash accumulation could suffer, and higher premiums may be needed
• Changing your policy's premium or death benefit can affect your policy's performance and guarantees, possibly requiring higher premiums later.

Your MetLife representative can help you determine whether Guarantee Advantage Universal Life insurance makes sense for you and your family.

¹ In the Guaranteed Protection policy design, departing from the payment schedule or making other changes to your policy may affect this guarantee and higher premiums could be required to keep the policy in force.

² Withdrawals or loans will reduce your policy's death benefit.

³ Reducing or stopping premium payments can affect your cash value and death benefit, and may cause certain benefits to be lost.

⁴ Some riders may not be available in all states. Optional riders are generally available for an additional fee and are subject to underwriting, contractual terms, conditions and limitations as specified in the policy. Most riders can be selected only when you apply for your policy.

Guarantees apply to certain insurance and annuity products (not securities, variable or investment advisory products) and are subject to the insurer's claims-paying ability and financial strength.

Like most insurance policies, MetLife's policies contain exclusions, limitations, reductions of benefits and terms for keeping them in force. For complete costs and details, see your MetLife Financial Services representative.

Guarantee Advantage Universal Life Insurance is issued by Metropolitan Life Insurance Company, New York, NY 10166 in New York State (policy form #1E-34-07-NY) and by MetLife Investors USA Insurance Company, Irvine, CA 92614 in all other states and jurisdictions (policy form #5E-34-07).

Business insurance

Do you own a business? If you do, our staff can coordinate all of your insurance coverage to be certain that your family, your business, and your employees have peace of mind.

IPG can coordinate coverage for your business and personal life.

• Builders risk
• Business owners policy
• Business auto
• Commercial property
• Directors & officers
• Employment practices liability
• General liability
• Professional liability
• Umbrella
• Workers' Compensation
• Group Benefits

Life Insurance Types

There are several different life insurance types and products available. These are the most common:

Life Insurance Type One: Term Life Insurance

Term life insurance type provides protection for a specified period of time. If you do not currently have life insurance, term can be a good place to start. It's generally less expensive than permanent life insurance, and is available in varying term periods with fixed premiums from a one- (annual renewable term) to 20-year period (level term). Furthermore, term insurance is sometimes convertible to permanent coverage, providing you with flexibility as your needs change.

Term insurance comes in two basic varieties: level term and decreasing term. These days, almost everyone buys level term insurance. The terms ���level��� and ���decreasing��� refer to the death benefit amount during the term of the policy. A level term policy pays the same benefit amount if death occurs at any point during the term.

Common types of level term are:

• yearly renewable term
• 5-year renewable term
• 10-year term
• 15-year term
• 20-year term
• 25-year term
• 30-year term
• term to a specified age (usually 65)

Yearly renewable term, once popular, is no longer a top seller. The most popular type is now 20-year term. Most companies will not sell term insurance to an applicant for a term that ends past his or her 80th birthday.

If a policy is ���renewable,��� that means it continues in force for an additional term or terms, up to a specified age, even if the health of the insured (or other factors) would cause him or her to be rejected if he or she applied for a new life insurance policy.

Generally, the premium for the policy is based on the insured person���s age and health at the policy���s start, and the premium remains the same (level) for the length of the term. So, premiums for 5-year renewable term can be level for 5 years, then to a new rate reflecting the new age of the insured, and so on every five years. Some longer term policies will guarantee that the premium will not increase during the term; others don���t make that guarantee, enabling the insurance company to raise the rate during the policy���s term.

Some term policies are convertible. This means that the policy���s owner has the right to change it into a permanent type of life insurance without additional evidence of insurability.

Life Insurance Type Two: Whole Life Insurance

Whole life insurance type covers you for your entire life, not just for a specific period such as term insurance. Your death benefit and premium in most cases will remain the same. Whole life insurance also builds cash value, which is a return on a portion of your premiums that the insurance company invests. Your cash value is tax-deferred until you withdraw it and you can borrow against it.

Unlike term life insurance, a portion of your premium money goes toward your cash value which in turn could pay off your entire policy only after a few years. Also, your premium will remain constant during the time you are covered unless you choose otherwise. And, unless you make a change to your whole life insurance policy, you have lifelong coverage with no future medical exams. Whole life is also a good choice because of the tax savings.

The rate of return on a whole life insurance policy is very low compared to other investments, even with the tax savings factored in. Most investment professionals would agree that life insurance should not be used solely as an investment tool and you should judge your policy choices on the protection and not the rate of return. But, if you are in need of life insurance, the tax benefits and cash value is an added bonus when purchasing protection for your loved ones.

Life Insurance Type Three: Universal Life Insurance

Universal life insurance type is also called adjustable life insurance. Remember that, with permanent life insurance, some of your premium is invested. Features of universal life include:

Flexible premiums. After you pay an initial premium, universal life insurance provides flexibility in paying your premiums. For example, if the portion of invested premiums is growing, you can pay future premiums from this buildup in value.
Of course, the investment performance determines how much, if any, flexibility you have to modify your premiums. With universal life insurance, you invest a part of your premiums in a money market account or similar investment that earns a stable, positive rate of return. Insurance companies also offer universal life insurance with a guaranteed minimum rate of return.

Cash value feature. The portion of invested premiums accumulates a cash value. This cash value is held in an accumulation fund. You can withdraw the cash value from a universal life insurance policy. You can also claim it as an asset when you apply for a loan. Any withdrawals from the accumulation fund are deducted from the policy's cash value.

While the invested premiums of a universal life insurance policy are generally restricted to safe, low-yielding investments, a variable universal life insurance policy lets you invest a portion of premiums in riskier investments such as stocks and bonds. Variable universal life is a hybrid. It combines features of universal life and variable life insurance.

Death benefit. With universal life insurance, your beneficiary receives a death benefit when you die. Your beneficiary generally does not owe federal income taxes on the death benefit. Death benefits are also free from probate costs and can be protected from creditors in case of bankruptcy. Because of these features, universal life insurance is often used in estate planning.

Life Insurance Long Beach - Kelly Williams Insurance Agency

Life Insurance

Life insurance is a crucial step in planning for your future and the future of your loved ones. It can fulfill promises made to your family if you are no longer around by providing a death benefit to your beneficiaries in return for premiums paid to the insurance company. Life insurance can also provide benefits while you are living.

Advantages of the Death Benefit

• Life insurance provides income tax-free money to your named beneficiary(s) that can be used to pay funeral expenses, debt, tuition, estate taxes or virtually any financial need you leave behind.

• Life insurance can provide business security by enabling partners to buy out the interests of a deceased partner and prevent a forced liquidation.

Advantages of Living Benefits

• The cash value growth of a permanent life insurance policy is tax-deferre1, which means you do not pay taxes on the growth of the cash value unless the money is withdrawn.

• Loans or withdrawals can be taken against the cash value of a permanent life insurance policy to help with expenses, such as college tuition or the down payment on a Long Beach home.

Note: Accumulated growth may be taxable upon withdrawal. If the policy is a Modified Endowment Contract (MEC), tax penalties may apply prior to age 59. Consult a tax advisor on your specific situation. Policy loans and withdrawals reduce cash value and the death benefit and may be subject to other charges outlined in the contract.

Estate Planning for Unmarried Couples

by Brian Redhead

In his article entitled “Estate Planning Tips for Unmarried Couples”, author Randy Hecht illustrates the profound challenges faced by unmarried couples in the realm of estate planning. Though he recognizes that the obstacles faced by such couples are comparatively major to those faced by married couples, he asserts that these obstacles are not insurmountable. Through careful strategizing and a thorough awareness of the legalities surrounding state-specific estate planning, unmarried couples can ensure that they have the same rights as their married counterparts.

Indeed, it is beyond unfortunate that, in the eyes of the law, couples that are unmarried, whether they’ve been together for one year or fifty years, are synonymous with strangers. According to the US Census Bureau, the number of unmarried couples is increasing by several million each year (Reeves, “Financial”). Such couples have no legal rights when it comes to property or healthcare, often creating painful circumstances when one partner is in extremely poor health or has passed on unexpectedly. Hecht offers the following suggestions for unmarried couples to effectively plan their estates to protect themselves against such dire circumstances: create a concrete power-of-attorney for each other, prepare a durable health care directive, and maintain updated beneficiary designations on all insurances. Additionally, unmarried couples with children need to often make special accommodations for all family members to ensure no one is slighted in the event of an unexpected death (Reeves, “Living”). While some states are trending toward broadening the rights of domestic partnerships, most states still require that unmarried couples take substantial precautions to ensure their rights are adequately protected.

References

Hecht, David (2004). “Estate Planning for Unmarried Couples”. Retrieved on March 18th, 2009,
http://www.aarpmagazine.org/people/Articles/a2004-03-19-mag-estateplan.html.

Reeves, Scott (2005). “Financial Tips For Unmarried Young Couples”. Retrieved on March 19,
2009 from
http://www.forbes.com/2005/08/02/finances-investing-livingtogether-cx_sr_0802shackingup1.html.

Reeves, Scott (2005). “Living Together Makes More Sense”. Retrieved on March 19, 2009
From
http://www.forbes.com/2005/08/03/marriage-finances-money-cx_sr_0803middleage.html

How to spend $700 billion in 6 months

Post By: Dana Sunderlin

NEW YORK (CNNMoney.com) -- Remember that $700 billion financial sector rescue plan from October? It's all but spoken for.

After Treasury Secretary Tim Geithner promised to spend up to $100 billion on a toxic asset purchase plan Monday, only $10.2 billion remain unallocated in the Troubled Asset Relief Program.

After former Treasury Secretary Hank Paulson determined how Treasury would spend up to $460 billion of the funds in his tenure, the new administration has committed another $230 billion in just two months. But with the government's rescue programs still incomplete, Geithner may need to ask for more.

(For a look at how Treasury and other government agencies have used taxpayer dollars to rescue the economy, click here.)

"Secretary Geithner is going to need to go to Congress and ask for more money sooner rather than later," said Anne Vorce, policy director at the New America Foundation, a public policy think tank. "He's done everything possible not to go back to Congress, but now the amount left is a worry."

Click to Read More

Top lenders pull plug on small biz loans

Copied and Pasted by Daniel Powell

NEW YORK (CNNMoney.com) -- At a time when small business owners desperately need loans and credit lines to help them weather the recession, some of the industry's most active lenders have bolted shut the doors to their vaults.

Temecula Valley Bancorp (TMCV) and Capital One Bank (COF, Fortune 500) have stopped taking applications for new loans through the Small Business Administration's flagship 7(a) loan program, and Bank of America (BAC, Fortune 500) has slowed its lending volume to a trickle. Small Business Loan Source, a non-bank SBA lender that specialized in commercial real estate financing, is closed to new applications and leaving all new SBA lending activity to its parent company, First Bank in Clayton, Mo.

These four institutions were among the 30 largest SBA lenders in the 2008 fiscal year, accounting for 4% of the program's loan volume, or $524 million of the $12.8 billion that waslent to nearly 70,000 businesses, according to data compiled by Coleman Publishing, which monitors small business lending trends.

The article talks about how banks are slowing and some are altogether stopping to loan to small businesses at a time where they may need it most.

View the original article HERE

Toxic Asset Plan

Post By: Dana Sunderlin

President Obama’s administration recently drew up a plan to use capital injections as an incentive, in order to get private investors to buy up a trillion dollars worth of bad assets from those banks who are currently reluctant to give out loans to different consumers and companies. Along with these incentives, private investors would receive federal loans to buy the assets. Treasury Secretary Timothy Geithner feels that it would be “cheaper to provide taxpayer financing than have the government buy the assets outright.”

Many people feel that the toxic asset plan is not the answer for a revival of credit markets. It has been found that this new prospect that taxpayers may need to pay for underperforming assets is making banks reluctant to sell these bad assets off to lower bidders. The plan has made banks afraid to buy and to sell, since the government’s plan for these toxic assets has created additional value for them; “As long as there’s the prospect the federal government will overpay for the toxic assets…these banks would be insane to sell in the private market.” As a result, the plan is not resolving anything.

However, President Obama’s take on the plan is that it is a critical element in the revival of our economy and he is confident that it will work. Treasury officials reportedly have no solid forecast on when these asset purchases will actually begin, although many believe that it will be within a few weeks.

Sources:

http://www.msnbc.msn.com/id/29817617/

http://www.reuters.com/article/newsOne/idUSTRE51B27A20090212

http://www.financialexpress.com/news/us-could-use-capital-injections-for-bad-asset-plan/434279/

Today's Job Market and Your Work-Life Balance

By: Jeremy Radnor

Everywhere you look today, it seems there is more evidence of the poor job market and weak economy. The media would lead you to believe that things cannot get any worse and we are facing the end of the world. This is obviously an exageration but the current situation should not be taken lightly. It is time to take a closer look at the job market and how people are coping and behaving.

To begin with, recently the unemployement rate has reached a 17 year high. As terrible as this is, people are quick to forget that still over 90% of the US is employed. This means that more than 9/10 people have a job. None-the-less, as things seem to turn increasingly worse, the work-life balance that has been stressed in the past is quickly being forgotten. Employers and employees used to promote a balanced approach to work and life. This has benefits for both the employee and employer. Employees have more free time and feel better. This leads to better work in the work place. Today, there is no balance. It would appear the work force has been divided into two segments, work and life.

The work group can be divided into two additional segments. The first group being those who work to ensure they are employed. This group consists of employees who work ridculous hours in a day just to ensure they arent fired. The second group are those who work out of love. With the job market as it is, many people have been forced to try new and different careers (careers of passion). Employees are finding themselves feeling happier and more fulfilled.

As for the life group, these people have decided to simply ignore the current situation. This is extremely evident within generation-Yers. Many generation-Yers are taking the current situation as an opportunity. Yers have been using their severance pay or unemplyoyment aid to simply live it up. Yers have been quoted saying they are gonna take their severance and backpack through India or they use it to go out and party. Although these may not be good fiscal decisions, they are definitley enjoying life.

This leads me to the point of this article. Just because things are a little worse than usual, it doesnt mean everything changes. Work-life balance is still a vital aspect of a successful life (professionally and personally).

Links:

http://www.msnbc.msn.com/id/29832932/

http://www.msnbc.msn.com/id/29306449/

http://www.msnbc.msn.com/id/29662606/page/2/

Toxic asset plan nears completion

By: Jeremy Radnor

WASHINGTON - Treasury Secretary Timothy Geithner could announce as soon as Monday his much-anticipated plan to get toxic assets off the books of the country's struggling banks, administration and industry officials said.

The plan will use the Federal Reserve and the Federal Deposit Insurance Corp. to make the resources of the government's $700 billion financial rescue fund go further, the officials said Friday.

Geithner is being forced to tap the Fed and the FDIC for support because the prospects for getting additional money from Congress for the bailout effort have dimmed significantly given the recent uproar over millions of dollars in bonuses provided to troubled insurance giant American International Group Inc., the largest recipient of government support.

To read more click here.

Link:

http://www.msnbc.msn.com/id/29807119/

How to become an estate planner?

Written by: Liwin Troy Lee

An estate planner is someone who plan for individual or corporate estates. Estates are collection of assets a person or entity obtained during their lifetime. Estate planning include drafting a will or trust fund, tax planning and planning for the amount of money you contribute to charity after you die.

1) Complete an advanced degree in law, finance or accounting. All three of those degrees gives you an education to make you qualify to work as an estate planner.

2) Enroll in a Certified Estate Planner Program. One of the most prestigious programs is National Institute of Certified Estate Planners.

3) Complete the course work to receive your Certified Estate Planner Degree. Some of the coursework will cover estate planning, gifting, joint ownership accounts.

4) One you pass all your coursework, you are qualified to sit for the Certified Estate Planner Exam. the exam consist of 100 multiple that covers all the material you have learned in your course work. You can take the test as many times a you want. There is, however, a $10 retesting fee.

5) After you get your certification. You must meet all the degree requirements. Generally you have to take 8 to 16 CPE credits every two years. An example of a CPE course includes advanced estate planning.

6) Agree to follow ethics set by the National Institute of Certified Estate Planners. This includes reading issues on professional ethics held by the organization such as not revealing you client's confidential information or engage in illegal activities. You have to sign a statement saying you have read the document.

7) Start promoting yourself as a certified estate planner.


Sources
National Institute of Certified Estate Planners
How to become an estate planner
Accredited Estate planners

Estate Planning: Online Information

By Nicholas Vanikiotis

Let’s face it, pretty much everyone and everything today is online, whether it is banking information or social networking sites. Who will control such sites and gain access to them when you pass away? This is a question people should ask themselves, especially when we are living in a digital age. Putting account IDs and passwords in either a safety deposit box or a virtual deposit box is not a bad idea.

Imagine if you did not have any of your accounts or passwords stored for your beneficiaries. This would make it very tough for them to gain access to money and any other delicate information. In most cases they will have to get a court order that will cost your beneficiaries time, money, and the hassle of going through the process.

There are many online deposit options available. For example, Wells Fargo offers an online protection service of all your financial documents, which can include your will and any other estate plan documents you may have. They are also not very expensive at all. For example, keepyousafe.com only costs $50 per year for up to 5 gigabytes of storage. Thus, placing your account information in a secure place is a valuable investment and will ensure that your beneficiaries can gain access to your accounts after you pass away.

http://online.wsj.com/article/SB124796142202862461.html?mod=relevancy

http://www.atelier-us.com/consumers-and-ecommerce/article/wells-fargo-to-offer-online-safe-deposit-box-for-the-security-minded

http://www.nolo.com/legal-encyclopedia/checklist-29472.html;jsessionid=2CC16BF05710149684C5A4BCBDB28D42.jvm1

http://www.keepyousafe.com/pricing.php

Estate Planning Help

In these economic times more and more people are worried about their money and what will happen to it. There are a few options for you to explore. One of these is to visit a financial planner or specialized estate planner. Another option is to go to a seminar to learn what you can or should be doing.
The seminars have lawyers and professional planners who speak and answer your questions. They speak on topics from your estate to long term care (and LTC Insurance). Many seminars are free, while some are at a cost. It is a smart idea to attend one to get some basic information to mvoe you on the right track, but visiting a planner is still a must to ensure your estate and needs are met in the most efficient manner.


Posted by Chris Keeler






http://www.bristolpress.com/articles/2009/09/13/news/doc4aadb6a03741a150155695.txt

http://www.themorningsun.com/articles/2009/09/13/business/srv0000006367756.txt

http://pr-usa.net/index.php?option=com_content&task=view&id=262441&Itemid=33

Life Insurance: A Component of Estate Planning

By Nicholas Vanikiotis

Life Insurance is one of the many components when planning your estate. It plays a slightly different role than the other assets in your estate. It is intended to make sure your estate has value at the time of your death. Thus, it is important to understand the different options available and to make sure it is included and given the proper attention when planning your estate.

The two main types of life insurance are whole life and term life insurance. The main difference is that whole life is permanent while term life is not. Term life insurance is a short-term option, which is usually taken by people who are younger since it is inexpensive relative to whole life insurance. Term insurance is taken out for a specific purpose and only last for five to ten years. This may be a good option for a young doctor going to work overseas in a hostile area where death is more likely than at home. Another aspect of term insurance is the premiums increase over time.

Whole Life is the other option of insurance. This one is a lifetime commitment and attached by a savings component, which you have the opportunity to invest in different investment vehicles of your choosing. There are variations of whole life insurance that give you more freedom regarding the terms of the policy and how the savings component is handled.

http://www.investorguide.com/igu-article-348-life-insurance-types-of-policies-and-provisions.html

http://www.rhondasherwood.com/pdfs/EstatePlanning.pdf

http://www.newyorklife.com/nyl/v/index.jsp?vgnextoid=c4bc2f5a919d2210a2b3019d221024301cacRCRD

Estate Taxes for Estate Planning

A lot of the estate planning process focuses on reducing or trying to eliminate taxes. The government imposes a tax known as the Unified Gift and Estate Tax which puts a tax on the transfer of your property to others both during your lifetime and when you pass away. But not everyone will have to pay federal estate taxes. According to estateplanninglinks.com, “If your estate falls under the government exemption your trustee/executor does not have to file an estate tax return (Form 706) and pay the required tax within 9 months of your death.” It’s important to know what property will be included in your estate for federal estate tax purposes. The estate includes all property owned by the decedent at the time of death: investments, cash, real estate, vehicles, personal property, life insurance proceeds from policies owned by the decedent within three years of death, life insurance paid to the estate, retirement assets and business interests.

There are some estate tax exemptions that can be helpful. The first is personal exemption, The "personal estate tax exemption" allows a certain amount (or all) of a deceased person's estate to transfer free of the estate tax. Next, there is a marital deduction. According to findlaw.com. “A deceased person's estate can pass tax free to a surviving spouse, as long as the surviving spouse is a U.S. citizen and his or her interest in the estate is not a nondeductible terminable interest. A nondeductible terminable interest is an interest in the property that is held by someone other than the surviving spouse.” And lastly there are other deductions which include; against the gross estate include certain administrative expenses, funeral expenses, claims against the estate, certain taxes and other indebtedness and charitable bequests.

With everything that has to do with estate planning, you should always consult a professional. According to Forster, “Should you realize that your assets do fall under the category of taxable, you should start looking for an estate planning tax consultant. There are a lot of ways you can protect your possessions from taxation laws. Most of these methods include different types of trusts that will give you estate-tax exemption. Living trusts also allows you the freedom to control your possessions while living, and care for your spouse and/or heirs without having to go through months of probate.” It is best to have an estate planning adviser who can regularly update your trusts and will. He can also monitor any amendments in estate-tax laws and make any necessary adjustments. This way, your beneficiaries will be protected from any new laws that may prevent them from receiving your bequests.

Sources: http://www.estateplanninglinks.com/epl_course/taxes.htm

http://estate.findlaw.com/estate-planning/estate-planning-taxes/estate-planning-taxes-overview.html

http://www.streetdirectory.com/travel_guide/143756/taxes/the_benefits_of_estate_planning_tax_advice.html

Tax Friendly Places for Retirement

Posted by: Janielle Viggiano

No matter where you live, the federal taxes will be about the same. But you'd be amazed at how much your state and local tax burden may vary. And if you itemize deductions, how much you pay -- and deduct -- in local property taxes could affect the bottom line of your federal return, too.

People planning to retire "often use the presence or absence of a state income tax as a litmus test for a retirement destination," says Tom Wetzel, president of the Retirement Living Information Center. "But higher sales and property taxes can more than offset the lack of a state income tax."

Seven states -- Alaska, Florida, Nevada, South Dakota, Texas, Washington and Wyoming -- have no state income tax. Two states -- New Hampshire and Tennessee -- tax only dividend and interest income that exceeds certain limits. But many of the remaining 41 states (and the District of Columbia) that impose an income tax offer generous incentives for retirees. If you qualify, moving to one of these retiree-friendly areas could be cheaper than relocating to a state with no income tax.

Click here to read more!

Insurance for Your Future

By: Laura Reginelli

Losing a loved one is emotionally devastating. On top of that, families then have to endure the financial burden of losing someone as well. According to State Farm, life insurance “is protection against financial loss resulting from death. It is an insurance company's promise to pay your beneficiary a specific amount of money when you die in exchange for timely payment of premiums.”

Although the subject of death is a touchy one, it is important to make sure that your family will be covered if you are to pass away. On top of losing someone that you deeply care about you could also possibly lose a substantial source of income on top it that. With that being said, it makes sense to purchase life insurance before any medical problems occur and when you are healthy. Generally the older one becomes, the more expensive his or her policy will be due to the increased chances of death or medical problems. There are two specific types of life insurance offered, term and permanent. With term insurance you gain coverage for a set amount of time, pay a lower rate in the short run and find it easier to comprehend. However, with permanent life insurance the protection spans a lifetime, has higher premiums but in turn can help you build up equity. Whichever you decide is best, it is important to make sure that both you and your family are insured for the uncertainty of the future.

Sources: http://money.cnn.com/magazines/moneymag/money101/lesson20/
http://www.statefarm.com/insurance/life_annuity/life/life.asp
http://www.metlife.com/individual/insurance/life-insurance/index.html#types

Probate

Probate is how an estate is distributed in court or the legal process of administering a deceased persons estate as per their will. This process is usually only gone through when there are significant assets to be transferred. This does not include life insurance or retirement benefits which have a set beneficiary. A living trust is not subject to probate.
The court appoints an executor who will be in charge of managing the estate. When there is no will then the court names an administrator. Either of these hold a fiduciary duty to the family and the court to act on another's (the deceased) behalf. AS an executor you do get paid for your service, depending on the size of the estate.The will can be contested and this begins another process to resolve it.

Trusts vs Wills

By Jessie Bruyn

A trust is an agreement between two people in which one person manages the property and assets of another person - the beneficiary. There can also exist a living trust in which the specified person manages the assets of the other person in the event that they are disabled and cannot manage their property by themselves. When the person dies, the trustee becomes responsible for the assets and allocates them to desired individuals.
A will, on the other hand, is a legal tool used only after the individual is deceased. The only say in the division of assets with a will is the creator, whereas with a trust the trustees have access and rights as well. When creating a will, the person appoints an Executor to handle the business and distribute the assets. Wills usually require Probate, or court involvement. However, having a responsible Executor helps eliminate the court's involvement in distribution after the death of a loved one.
Initially, a will is less expensive but can require more expenses after the death. On the otherhand, a trust is more expensive at first, but requires less expenses after death.

http://www.premack.com/columns/2003/2003-03-04.htm
http://legal-dictionary.thefreedictionary.com/will
http://legal-dictionary.thefreedictionary.com/living%20trust

Estate Planning

The Benefits of Budgeting

Post by Shawn Chandok
Article by Paul Sullivan

Now Even Millionaires Can See the Benefits of Budgeting

SOMEONE with $100 million has nothing to fear, not even fear itself. But not long ago, a client with such assets called and asked Bruce Bickel, her wealth adviser at PNC Wealth Management, to put her on a budget.

“She said we’ve never done this before, and we think we should,” said Mr. Bickel, managing director of private foundation management services at PNC. “It’s all relative. Their loss has put them in a fear response.”

That mindset is a direct result of the financial panic that turned one year old this week. At this time last year, Richard Fuld was center stage in the financial crisis; Ken Lewis, chief executive of Bank of America, was being hailed as Merrill Lynch’s savior; and Bernard L. Madoff was little known beyond the financial world.

None of that is true today. And even though a year has passed, wealthy investors remain cautious.
The Boston Consulting Group predicted this week that worldwide wealth would not return to 2007 precrisis levels until 2013. It also said it found that the number of millionaires was down 18 percent and that, across the board, clients of wealth management firms had lost trust in their advisers.

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Estate Planning: Why is it important?

Article by Pat Perkins

Post by Shawn Chandok

What is an Estate Plan?
Simply put, an estate plan is a blueprint designed during a person’s life for the purpose of specifying the manner in which a particular estate will be disposed of after death. An estate plan typically attempts to conserve estate assets by reducing tax liability and other expenses as well as eliminating uncertainties with respect to the administration of a probate. (A probate is the process of certifying the validity of a will by judicial means.) Depending on your goals, your concerns regarding the legacy you want to leave behind, your family structure and the number and kind of assets you own, your estate plan could be simple or complicated. The process of estate planning usually entails the input of one or more specialized, professional advisors including your lawyer, financial planner, accountant, life insurance agent, banker and broker

Why Do I Need an Estate Plan?
If you don’t own anything of value and have no living relatives, pets or children, then you probably don’t need a will. You can die “intestate” (without a valid will) and your personal items will be distributed according to your state’s laws. However, this description applies to a very, very few. The rest of us whether married or single, young or old and with or without children need to have some sort of estate planning in place in the event of our deaths.

As Ben Franklin once opined, “In this world nothing can be said to be certain, except death and taxes,” but with good estate planning, you may be able to at least reduce some of the taxes your estate will be required to pay upon your death. These taxes, called estate taxes, are determined by an assessment of the total gross value of your estate; they are levied when you die and can eat into the value of the estate you leave to your heirs or beneficiaries. If you want to control the disposition of your assets–home, car, pets, money, stocks & bonds, life insurance, personal valuables–as opposed to letting Uncle Sam decide for you, then you need a proper estate plan. You might not be able to take it with you, but you sure can decide who gets what you leave behind.

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Your Financial Future: Getting Your Will Right

Post by David Held

Your Financial Future: Getting Your Will Right
You may need legal help to have things turn out the way you want
By: Martha M. Hamilton

It’s easy enough to understand why most of us are reluctant to write a will. Who wants to confront mortality?

I finally drafted a will about 10 years ago after my lawyer sister insisted. I realized that if I were to die before my pending divorce was final, everything would go to my soon-to-be-ex-husband unless my will said otherwise, and that turned out to be just the motivation I needed.

Now things have changed, and I really need to pull together a new will. It has been on my to-do list for more than two years.

And yet, I haven’t done it, and I suspect I’m not alone. So I turned to Edward L. Weidenfeld, a highly respected lawyer whose specialty is estate law, to ask how people can get themselves motivated to prepare for the inevitable. And what he said was persuasive.

First, when you die there is going to be “a division of your worldly goods, and if you don’t say with some precision how you want it done, the court’s going to apply standards that may not reflect your wishes, and be more expensive,” he said.

But, more important, he added, “it’s really the caring thing to do. Just like you don’t like a houseguest who leaves everything in a mess, most people really don’t want to pass on a mess for their family.”

One legacy you don’t want to leave behind is a family fighting over your assets.

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Death Panel

Post by David Held

Everyone knows that planning estate is a tremendous task that most people do not want to do. No one wants to plan his/her death, but it has to be done! Planning is not only done with your family, but physicians and lawyers, as well. Planning an estate does not only have to only be about distributing belongings, it also has to do with how you are treated when you are in the last stages of life. Do you want a do not resuscitate clause, meaning if you flat line in the hospital or anywhere you are getting treated you do not want them to bring you back to life(no paddles/electric shock to the heart).

Bill Thomas, M.D. of Ithaca, N.Y. says, “The entire point of doing this planning is thoughtful communication with a physician and creating some documents that can guide your care…It’s so you decide.” As I stated before not many people want to have this conversation, but it is completely necessary! This should definitely be done if you are diagnosed with a terminal disease, but it should be done in your 20’s. It is better to be safe than sorry, especially when it comes to your life.

All of this should be included in your living will. “A living will is a document that tells doctors and medical professionals your wishes regarding life-and-death decisions such as whether to accept or refuse life-prolonging treatment after a critical accident. You should complete documents recognized by your state.”

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Estate Planning: What You Need to Know

By PAUL SULLIVAN


Estate planning rarely gets the attention it should get.

Saving for your children’s education, purchasing a second home, deciding when and how to retire — these are all topics that people talk about with their friends and their financial advisers. But deciding what happens to whatever is left of your money when you die is often passed over. It shouldn’t be, though, because it is crucial to a financial plan.

But not discussing something that is going to happen will not stop it from happening. And at some point, someone is going to have to sort out your estate — regardless of how big or small it is. Here are some ofthe key issues that should be addressed:

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Poor Credit Personal Loans – Credit Report Repair Helps Lower Rates

Poor credit personal loans are a financial tool that many Americans are using to help get some extra cash. Going through a credit report repair program could go a long way towards getting you lower interest rates. Your ultimate goal in getting a poor credit personal loan should be to get the lowest interest rate you can get without having to pay any extra fees. Some personal loan companies will lower your rate but watch out for the fees up front that could end up costing more.

Many personal loan companies offer borrowers up to $25,000 if they qualify. You may not need this much money but it could go a long way towards paying off bills and digging yourself out of the hole of bills everywhere. Although most financial planners suggest not using debt to pay off debt it might be a good idea to help get some bills out of the way if you get a low interest rate on a personal loan. It would not be advisable to pay off debts with a lower interest rate though.

It should not be difficult to find a poor credit personal loan company out there as they are advertising all over the Internet and on the television. If you watch CNBC or FoxBusiness at all you know exactly what I am talking about. It seems like every single time there is a commercial break there are several ads for debt consolidation or personal loans. This is not a bad thing if you need these services; make sure to jot down the number of these companies when you do see the commercials.

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The Estate Tax: A New Conspiracy Theory

Post by David Held
By CATHERINE RAMPELL

The political fight over the estate tax, the subject of a weekend article in The Wall Street Journal, may soon be re-engaged in Congress.

In 2001, President Bush pushed through a law that gradually decreased the levy on heirs over the course of a decade, until the estate tax finally disappears altogether in 2010. In 2011, though, the tax will rebound to its pre-Bush levels.

This policy quirk has spawned lots of “throw momma from the train” jokes among tax wonks, since potential heirs stand to gain a lot by having their rich relatives die in 2010. But the estate tax law also has implications for the federal budget.

Let’s say Congress, distracted by health care reform, leaves the current estate tax laws untouched. If a rich person dies at 11:59 p.m., Dec. 31, 2010, the government won’t get a dime. But if, through the wonders of modern Medicare-financed medicine, he manages to hang on another minute and instead dies at the stroke of midnight on Jan. 1, 2011, the government collects 55 percent of his net estate worth over $1 million.

Hmm. I smell a new job for those “death panels.”

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Estate Planning Tips

By Shawn Chandok

By now, I think Dave, Ahmed and I have discussed the components of estate planning enough to say we can almost consider ourselves as experts. This is exactly why I have decided to provide some common estate planning tips that can be applied to anyone.
First and foremost, the most important part of estate planning is obviously having a will. Once this is established, you should make sure your will is notarized with the correct number of witnesses. This number varies from state to state and avoids any post death problems between beneficiaries. In addition, beneficiaries should never sign the will as a witness.

Another important tip should include naming an executor who will manage your estate from the moment you die until your wealth is distributed. Usually most people use their lawyers however this is a very important job, so make sure your lawyer is someone who is both trustful and dependable.

If you are a person with an exceptional amount of accumulated wealth, an irrevocable living trust maybe more beneficial tax wise. I say this so because in 2007 and 2008 only people with assets greater than $2 million had to pay estate taxes. In 2009 that number has increased to $3.5 million and it is expected to rise in 2011. An irrevocable living trust such as an Irrevocable Life Insurance Trust “is commonly used to remove the value of property from a person’s estate so that the property can't be taxed when the person dies. In other words, the person who transfers assets into an irrevocable trust is giving over those assets to the trustee and beneficiaries of the trust so that the person no longer owns the assets. Thus, if the person no longer owns the assets, then they can't be taxed when the person later dies.” Thus, it is clear how trusts are more tax friendly.

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