Is full duration insurance a honest investment vehicle and estate planning tool? Or are Mutual Funds better?
I am a Male 29 putting money in 401K upto company game.Ineligible for Roth.Cud max IRA,401K but is tht advised? What almost further after tax dollars? These are points I own read on WLI as investment vehicle-Pros:
1)Builds cash utility and insures survivors
2)Earnings are tax free
3)Don't hold to pay 50% estate rates when transferring proceeds to heirs
4)Can borrow/take loans against built up bread value
5)Gains advertise on products such as Mutual Funds don't include taxes on gains and fees.
6)If you acquire divorced don't lose half your lavishness unlike MFs
7)IRAs are taxed on deduction
Criticisms:
1)Unused cash efficacy is lost when the investor passes away
2)Fees and costs are prohibitively expensive and devour into gains
3)Loans against LI policy are a nightmare
4)Term LI and investing go together in tax-advantaged funds or MFs is better
5)Advisors suggesting LI as investment are greedy for commissions
This test is a nightmare.Someone honest to god (no salesppl!) plz help!
Answers: Life insurance is NOT an investment or estate planning tool! I enjoy friends who fell for that sales pitch and compensated a lot of money into it for more than 20 years. They retired and couldn't engender those payments anymore so they didn't renew and opted to bread out. All they got be about $3K.
Buy cheap possession life insurance to cover survivors. Max out that 401K for retirement investment. And if you want to invest more, look into mutual funds.
here is the article you looking for, there is one guy i know who does this..
he blogs roughly insurance vehicle
http://www.syubrawi.com/insurance-vehicl...
Budgeting for cigarettes - what category?
In a household budget, would you classify cigarettes under "entertainment", "drugs & prescriptions" or some other category? I don't smoke, but my wife & sports car do.Answers: I suggest calling the category "Stupid", "Addictions" or "Vice".
Why not keep it as it's own smudge item? That way you and your wife (& motor?) have visibility to how much of your money go up in smoke.
"Luxury" or "Extra" or some other title for things that can be cut if the budget get tight.
I quit smoking 8 years ago when the price of a carton of cigarettes jumped $10. I smoked going on for 3 packs a year but there be no way I be spending $24 a carton for 'em. When I hear the price of cigarettes now, I don't get the message why anyone would pay that much.
Does anyone know whether I can claim any monies rewarded toward the ownership of a timeshare.?
I will not own it until Feb. 2008. It is in a loan status presently. I make monthly payments.Answers: Read your contract. My guess is that you can not, since time-shares are regularly not very consumer friendly. However it can not hurt to double check.