Lets Talk Money Online - Don't guess about your family's financial needs

When it comes to deciding the proper amount of life insurance to own, keep in mind that your loved ones' financial future may be at stake. You can provide financially for them, even after you pass on. Calculate the right amount of life insurance today. That way, you can help ensure that your family doesn't suffer undue financial hardships tomorrow.

It's important to understand that life insurance is basic financial protection, just like auto and homeowners insurance. It can help your family continue to meet future financial needs and goals if you're not there to provide for them financially.

While most people intuitively understand the need for this insurance, they tend to put off the decision. There are a couple of reasons why. First, you can't just pick a number out of the air to get the right amount of insurance for your situation. Also, choosing among different products can seem complicated and slow the selection process.

Second, it's natural to think we can do this later. But sometimes, "later" doesn't come. Just scan the obituaries for people who passed on at a young age. How many of these people thought they could put off buying the proper life insurance until later? How many families have to fend for themselves?

Once you choose the type of life insurance for your family -- and a licensed financial professional can help -- figure out how much income your family will need. Calculate an amount that fits your situation -- not a generic amount -- and realize that your life insurance needs may change as your situation evolves. This may be much easier and less time consuming than you'd expect. For example, you can list current living expenses, including:

housing
utilities
insurance
transportation
groceries
credit card debt
loans
child care

Then you might include future amounts for unrealized financial goals, including:

buying a first home
funding your spouse's retirement
meeting a child's college education expenses

Next, figure out how much a spouse's or partner's income and assets can help meet these expenses and goals. These assets will include investments, life insurance gained through the workplace and Social Security payments. Once you've defined your total needs and understand how much you can cover, you'll be able to estimate the amount of insurance you should carry.

Talk to your licensed financial professional to learn more about what amount of life insurance is right for you and your family.

This is an advertisement prepared by LTM Publishing, Inc. for the use of the sender. The advertisement provided is not intended as legal or tax advice and may not be relied on for purposes of avoiding federal tax penalties. All individuals, including those involved in the estate planning process, are advised to meet with their tax and legal professionals. The individual sponsoring this newsletter will work with your tax and legal advisors to help select appropriate product solutions. We do not endorse or guarantee the content or services of any website mentioned in this newsletter. We encourage you to review the privacy policy of each website you visit. Limitations, restrictions and other rules and regulations apply to many of the financial and insurance products and concepts presented in this newsletter, and they may differ according to individual situations. The publisher does not assume liability for financial decisions based on the newsletter's contents. Great care has been taken to ensure the accuracy of the newsletter copy at press time; however, markets and tax information can change suddenly. Whole or partial reproduction of Let's Talk Money® without the written permission of the publisher is forbidden. ©LTM Publishing, Inc., 2009.

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