Insurance Tips for Soon-To-Be Retirees

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Over the many years, you have probably paid your homeowners insurance just by routine. Today, experts with the AARP have begun to warn people that this routine continued without a lot of thought can be a huge financial mistake. All homeowners policies aren’t the same and not all companies charge the same costs and premiums. Retirees need to think about the fact that the coverage they bought many years ago may not be what they need today.

What Is Covered
Of course we all know that homeowners insurance is a type of coverage for homes in case some damage happens. The policy you bought many years ago on your home may have been complex or simple. The variations are going to be in what types of damage are covered. There is fire damage, theft, flood, and earthquake damage. Then you have the policy chose that offers a cash value, discounting the depreciation, or the one that offers complete replacement coverage with no depreciation taken out. Then, you have to take into consideration the value of what’s inside your home. For retirees, that may have changed a lot today from what you had years ago.

Retirement Needs Change
When we reach the age of retirement, our needs may change quite a bit. You may scale back on the items you have in your home. This is when you have to think about your homeowner’s policy and the need to ensure that what you have worked so hard over the years to accumulate. You want to be sure those assets are protected and covered. While so many retirees are focusing on their health insurance, they let their homeowner’s insurance slip through their minds.

Value of Home
Most retirees don’t even remember what was covered or not covered years ago when they took out their policies. Start to ask yourself some questions. Do you know what is covered and what’s excluded? Do you have coverage for being burglarized or for an act of God that could occur? Dig out your policy and start crunching some numbers. You have to think about what your home is worth now. Check out the values of homes in your neighborhood that sold recently and compare. Come up with a pretty good figure and ask your insurance agent to have an analysis done on what the cost would be if you had to rebuild your house.

Retirees Accumulate Stuff
Make a list of all the items in your home. It’s going to take a while but go one room at a time and account for everything. Some people like to use a camcorder to go through the house and record by voice what is in each room. Regular cameras can work as well. When you come across things that are very valuable, take a close up photo and write a description of the item with the date on the back. Be as specific as you can be and note the condition of your items as well. Model numbers or serial numbers should be written down as well as all your art, antiques and jewelry. Give your kids a copy of your information or put a copy in a safe deposit box. By now you should have a pretty good estimate of the value of items in your home. Remember as well that most homeowner’s insurance policies cover up to a specified amount of the home’s contents. You may need to look into a separate insurance policy for items of great value.

Always be sure to notify your insurance agent when you retire. They can assist retirees in determining any types of discounts they may be eligible for. Living on a fixed income may cause you to think about how to cut down on items and insurance can be one of them. Keeping your home safe with burglar alarms and smoke detectors can reduce rates as well. Think about everything when you are retiring and don’t forget about your homeowner’s. You can probably save a lot of money and protect your assets as well.


Kelly Clarion writes about finance, economics & homeowners insurance quotes.

Storage is a Necessity for Every Business

Extra Space Storage (Photo credit: Wikipedia)

No matter what your business is you have a need for storage. You may need to store items necessary to manufacturing. You may have a fleet of vehicles that need to be parked somewhere. All businesses generate documents that must be stored long term. Business storage is just a part of operating a company. 

The problem the business owner has is, it can get costly to maintain and keep a storage facility. You have the expenses of the building, maintenance , and cleaning costs. Add to that, personal to run it and a security unit to keep things safe. These costs can add up over a years time, it's better to lease storage in a on demand fashion. Leasing for a short period of time allows you to move your goods in and only stay for a few weeks or even days. 

Business can now keep costs down, saving money on building and personnel costs. Business storage comes in many different forms to accommodate the many different types of goods stored.

Businesses have many different kinds of items to store and facilities that cater to the businesses needs will be the ones that will help the company save money.

Bulk Storage

A need for storage of bulk goods may arise on short notice. You could of purchased to much or gotten a good deal on a larger quantity, and you need storage now. If you already made arrangements prior to the need you only have to transport the goods and then start paying storage costs. It's not necessary to keep long term warehouse facilities standing idle when you can take advantage of business storage that is used on demand.

Document and Archive Storage

Over the years businesses can accumulate a vast amount of paper documents consisting of invoices, catalogs, brochures and other important papers. Using your office as a storage solution does not make financial sense. You are paying high leasing fees for your offices using them as a storage location just wastes money. It's better to use a much cheaper cost storage facility that charges less than an expensive office suite.

Container Storage

When flexibility is required for business storage the storage container is perfect. Steel storage containers are ideal for business customers who want extra space quickly to keep goods clean and dry. Storage container rental is not expensive, and for businesses, works out a lot cheaper than finding and leasing new premises. To make your move run smoothly, you should arrange for a forklift and trolleys to be on site for loading and unloading bulky goods.

Pallet Storage.

Storage solutions for pallets on rack storage systems provides clean, dry, and secure storage solutions for short-term or long-term needs. Flexibility of space and shelving requirements means you only rent the space needed at the time. 

Things to look for in business storage is a facility that has security personal 24 hours per day. Also a closed circuit camera system assisting the personal. Be sure the facility is open 24 hours each day to accommodate after hours shipping and receiving. 

On-site pallet trucks, forklifts, and trolleys should be always available and included in your rental agreement. Wide entrance ways, wide corridors, and loading bays are essential for quick pickup and delivery at the facility. Lastly, be sure to secure adequate insurance for your storage goods, it's required by law. Many facilities can provide it if the need arises.

How to Teach Your Grandkids About the Value of Money

As a grandparent, many assume the role of teaching valuable life lessons to their grandchildren. While this responsibility also falls on the shoulders of the parents, it takes a village as the expression goes. So the question becomes, how can you teach them important lessons that can really benefit them as they grow up? While it might not be easy, teaching them an ideal like the value of money is a great place to begin.

The trouble is, many people do not know how to express this to younger children. This can prove to be a difficult point to get across, especially when there are similar ideals missing from the equation. However, this article should introduce you to a few ways that you can begin teaching them this priceless lesson.

Chores
Many experts suggest that one of the most effective ways to introduce children to the importance and the value of money in their lives is to have them earn it somehow. Chores are a great way to exercise this point. You simply map out age appropriate tasks for them and in exchange, offer an allowance at the end of the day or at some appropriate time. This can teach them responsibility and the exchange of working for the money they can later spend.

Rates of Pay
An important thing that children seem to take a long time understanding is the amount of money an adult has at any given time. This can be a lesson that is taught by explaining a daily rate or an hourly rate (for older children). This can allow them to start putting together the fact that the amount of money someone has is relative to how they have worked. If they make 100 dollars a day for instance, and they only work 4 days one week, then they will have no more than 400 dollars.

Paying Up
Allow your grandchildren to witness you paying bills or buying things at the store. Help them to find the appropriate amounts for the order. Show them that each bill has different values, and that within only a few activities, this collection of money can be gone. This can help them appreciate that a lot of money goes to bills, utilities, food and more every month.

The Goal
Allow them to choose one larger item from the store that you are willing to buy them if they were to work off the amount that it costs. This will help them to appreciate the exchange of working for monetary amounts, and the amount of work that is relative to purchase even one thing. If this is a new game, a CD, a toy or whatever the case might be, it is not going to be something they barely do anything for. Consider monetary amounts for different chores and activities around your house and their own house. Get the parents involved in keeping track of their progress when you aren't there. When they have reached the goal, they can get the item. You can start over with a new item, and continue the lesson.

While these seem a lot like introducing children to working for money, that is a huge part of valuing amounts and what those amounts can purchase. It keeps them from making mindless purchases as often growing up, and helps them to be better stewards of their own finances because they remember working hard for what they have.


Johnathan Rodriguez writes about parenting, finance & health insurance quotes.

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Help Your College Graduate Decide - Work or Grad School

Graduate School of Education Diploma Ceremony (Photo credit: fordhamalumni)

Your son or daughter just graduated with their four year degree. You are relieved because the financial stress of paying college is over. Your happy that your child got a great education. Your planning and hard work has paid off and now you can use your money to do something to better your own life. Think again.

Dreams of grad school have been pervading the thoughts of your new graduate and they are thinking of continuing college to pursue a graduate degree. Maybe jobs are scarce and now would be the perfect time to get that masters degree.

I am about to face this decision in my own home. My daughter has one more year to go with college and she thinks her chances of being hired would increase if she went for a masters degree. In her field, there are jobs that a bachelors degree would be adequate. We have been discussing it for a while and no decision has been made yet. 

If you are experiencing this same dilemma I want to offer you a few things to think about before making a final decision.

1. Make sure the extra degree will payoff. Going to grad school is no cheap proposition. You can invest 10's of thousands of dollars pursuing an advanced degree. Be sure it's going to make a real difference. 

Seek out people who already have the degree and inquire if it really is necessary. Talk to hiring managers, ask them if the grad school degree is something they see as valuable. 

When considering grad school be careful not to rule out working for a while in your field in an entry level job. There could be jobs available. Sometimes we get caught up in the education process and put to much weight into the schooling and not working.

2. Consider going part-time.

The cost of grad school, according to Money Magazine, can average $22,000 a year for a public university. With a private university costing $34,000 a year. Why not cut down on these costs by attending part-time. This way you may not have to take student loans and you will be able to work. Depending on your employer, you may even be able to have your employer help pay for your education. You trade a future commitment at your job for a free education.

3. Government assistance.

If you are so determined to go to grad school you are still able to qualify for student loans. You need to fill out the FASFA form and go through the process but you will have the money needed to attend grad school.

4. Take all available tax breaks.

There are many tax breaks for returning students. If you make under $57,000 you can take advantage of the Lifetime Learning Credit. Even the use of 529 college savings plans are still available to you so you can shield earnings dedicated to funding education.

There is a continual controversy whether the parents should pay or the student should pay for post bachelor degree college. Some parents believe that a four year degree is their only obligation to their children and further studies is on the students dime.

If the parents have the means to pay the cost of grad school then why not pay. But if parents have been struggling all the while and maybe even under funding their own retirement isn't time to cut the cord and let the new grad stand on their own two feet. 

In my situation, grad school will be a cost my daughter will have to provide. Luckily for her and me she will be able to find a entry level job with her four year degree. She will be able to support herself and pay for her own grad school costs. 

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How to Avoid These 7 Crucial Retirement-Planning Mistakes

Carla Carpenter Retirement Party (Photo credit: grantlairdjr)

When you are trying to plan financially for your retirement, it can be a very confusing time. This confusion causes so many people make critical mistakes when trying to work out their retirement plans. Below are seven of the most common mistakes that people make when planning for retirement and how to avoid them.

1. Signing Up
Believe it or not, so many people forget to sign up for their 401(k) and retirement benefits entitlement. That is one of the biggest mistakes a person can make. Even a 401(k) that is a bad one is much better than no entitlement at all. Most employers even offer to do a match on the amount of money you put in monthly, so by not signing up or refusing, you’re basically throwing retirement money down the drain.

2. Not Investing Enough
There is always an element of risk involved if you want to receive rewards. If you only invest a small amount into a retirement fund, you can miss out on big benefits. Take more of a risk so you can have more of a payout on your retirement fund.

3. Risking Too Much
If you have a 401(k) for retirement, some of it is probably stock invested. You have to be really careful with that as the stock market has been quite unpredictable. Don’t risk retirement funds on stocks that are iffy. Go with companies that are bigger and more established.

4. Borrowing On 401(k)
Don’t borrow money against your 401(k). These monies need to be used for their intended purpose. You need to look at your money here as an untouchable source until you officially retire.

5. Inflation
Think about inflation when you think of retiring. For example, if you retire on $5,000 a month, flash forward 15 years and you will see that you will have seen at least 3 percent inflation and will need far more than $5,000 a month to live. Don’t only invest your money on a fixed interest. Build your retirement portfolio with inflation in mind.

6. Life Spending Needs
Far too many people underestimate what their lifetime spending will really be. Back in the day, it was said that 60 to 75 percent of the money they saved pre-retirement for when they retire. This is not true. If that were the case you’d be stuck eating beans for lunch and dinner. Really think about what your life spending needs will be when you plan for retirement.

7. Years In Retirement
So many people underestimate the number of years they will be in retirement. It’s not like it was years ago when you retired at the age of 65 and were buried at 68. People today are living much longer into their 80s and 90s even. All these years are ones we have to have money to live on. Make sure your retirement plan has enough in it that will take you through all the years you live.

Your retirement should be years filled with fulfilling days and nights. It should be a rewarding journey without having to worry about finances or falling short of money to take you through the rest of your golden years.


Michelle Maltas writes about investment, finance & group health insurance.

Why Medical Insurance Does More Good Than Harm

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Medical insurance which is most commonly known as health insurance is a type of coverage that lessens or eliminates expenses incurred due to doctor visits or when individuals go to the emergency room for care. It is gotten through the buying of health plans that are customized depending on one’s needs. 

Once the individual decides what type of care they would like to receive, they sign a health insurance policy which can last for months or years. It may also be renewable after these periods of time. 

The United States is a wealthy nation but not all of its residents have access to health care and this is because it is too expensive and there is a lot of bureaucracy surrounding it. The government has intervened and has mandated that individuals and families buy medical coverage in order to lower the overall cost. There are many reasons why having a health insurance policy is advantageous.

Pros of Having Medical Insurance

• Hospital stays and doctor visits are already expensive as it is. It is almost impossible for one to go to these centers with the aim of getting care or treatment when they do not have any health insurance. For one, they will be given the run around until they get tired and go home without receiving any service that they had expected. Also, the care providers have deals with the insurance companies so that they bill only half as opposed to not having any coverage which means they bill the individual high so that they can be assured of at least collecting half the amount.
• If certain individuals have access to health care while others don't then it creates an unequal society and class levels. Because those who are in the upper stratum can afford to buy without feeling the pinch, the policy premiums would be high and would continue to rise each year as is the case in the US.

Cons

• Opponents of universal medical insurance feel that doctors and nurses would be overwhelmed by the sheer number of sick people going for treatment. This would mean the care would be substandard as they seek to meet the demands of the public.
• Because of the large numbers of people going to get care, medical malpractice insurance would be very high. This is because doctor and health care workers would be in a hurry to serve the patients and are more likely to be negligent. The high rate of premiums to be paid by the doctors would deter potential ones from entering the field. This has an effect of creating shortages of health providers when there is a dire need of their services.

To conclude, there are more benefits to having medical insurance than there are negatives. Getting access to treatment can save a life and can bring peace and happiness to a person's relatives. There are all sorts of government induced plans that low income persons and their families can use to get health insurance.

Author’s Bio: The articles of Mark Anderson have really met the needs of the users. He suggests them to visit Medicalinsurance.org for more information.

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