Monday, January 24, 2011

Women and Disability Insurance

Disability insurance is important coverage for anyone to have. If you were to become disabled due to accident or sickness and could no longer work, would you be able to keep up with your bills? The answer for the majority of the population is no. No matter your sex, some DI coverage is very important, as it is 33% more likely that you will become disabled than die from an accident or disease.

The number of women in the workplace is growing and currently they make up about 60% of the total workforce. More and more women are becoming the major "breadwinners" and decision makers of the household. It is also important to note that a 35 year-old woman is 3 times more likely to become disabled for 90 days or more than a man her same age. I believe that most women feel that they have coverage with their employers, however in this economy DI coverage is being included in many cut backs. Or they know that they have coverage with their employers and feel that it is sufficient. Most employers plans are long term DI policies and cover only 60% of total salary after a 90 day waiting period. That is 3 months without income and an income 40% less than a household is accustomed too. A good supplemental DI policy is worth looking into. For a free analysis of your current coverage or to figure out how much coverage you need. Check out our disability calculator or click here for a DI Quote.

Thursday, January 13, 2011

Estate Tax Laws Extended

Its been awhile since my last post, since then, the Bush tax cuts have been extended for the next 2 years.
There is a 2 year change of the estate tax rate starting Jan 1, 2011. There is now a $5 million dollar exemption per person, ($10 million dollars for spousal couples), and a 35%tax rate rate. As of Jan. 1, 2011, the rates were supposed to revert back to $1 million dollars per person ($2 million dollars per spousal couples) at a 55% federal tax rate.
What this means: a un-married person may leave up to $5 million dollars worth of assets to a beneficiary without Federal estate tax. Everything over $5 million dollars is taxed at a 35% Federal estate tax rate.
A married couple may leave $10 million dollars in assets and not realize and Federal estate tax. Everything over $10 million dollars is taxed at a 35% Federal estate tax rate.

This is an improvement over the 2009 rates that were $3.5 million and a 45% federal estate tax rate.