Posted by admin on Apr 27, 2010 in Insurance | 1 comment
Being unemployed can be a good thing, but it has its pros and cons and can put a burden on both you and your family. With health costs that way they are today, who can afford to be without at least some basic health insurance. This type of insurance will cover an illness or accident as even a broken leg can create medical bills that you cannot afford to pay. What do the unemployed do for health insurance?
The answer is COBRA, (the Consolidated Omnibus Budget Reconciliation Act of 1986) If you were recently employed and are not now, COBRA will, for a period of time, allow most people who are members of an employer’s health scheme to continue their coverage. For about a year and a half, the typical time frame for this coverage, you will be covered and in some cases it can be stretched to thirty-six months.
If for whatever reason you are turned down for COBRA, then you will need to seek a private individual or family type coverage. You can start by looking for group plans that are similar to the ones provided by employers. The Internet can be an good place to turn if this too does not apply to you because there you can find many excellent insurance websites.
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Posted by admin on Apr 27, 2010 in Retirement | 0 comments
In the year 2010, employers will be more involved with their 401k plans. It is expected that employers will automatically sign up their employees for this retirement account. Unless you opt out, you will be automatically enrolled to a retirement account. Fifty nine percent of employees have already done this, and that number has gone up since 2009 when it was at fifty one percent.
But this automatic enrollment does not guarantee a secure retirement for all. Some companies plan on adding a feature that will also, automatically, increase the contribution rate of employees.
Employers also are looking into being more involved with helping their workers to choose investment. At this time, just fifty one percent of firms offer investment guidance where other firms will offer it in the future. They also plan to educate the workers about investing and about their fund fees of the 401k. In 2009, some companies suspended their match to the 401k but many companies say they will reinstate it this year. Eighty percent who cut the match, say they will resume it this year.
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Posted by admin on Apr 27, 2010 in Finance, Savings | 0 comments
Not many Americans know just how much money they will need to save for their retirement years. For those with a goal, one third believe that two hundred and fifty thousand is enough and another third think that one million is a good amount.
If you plan on entering retirement mortgage free or maybe downsizing at that time, then your expenses will probably stay like they are. If you have plan to travel the world or start a hobbit this will require money, then your cost of living will go up. It is generally known that people’s spending changes little once they retire. The saving process for retirement should start once you have a full time job and a minimum of ten percent of your gross is the typical amount to put away.
Each time you get a raise you could take twenty percent and put it into saving also. There are still some out there who have a pension that will guarantee them income for life, besides their social security. Social security is not something that you can use by itself to sustain you in retirement so it is your savings that come in as extra income. Healthcare costs can make a big dent in your savings and Medicare will require deductibles, copays and premiums.
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Posted by admin on Apr 27, 2010 in Featured Articles, Retirement | 1 comment
Our birthdays are age milestones and important in our life but there are also milestones for retirement. The first one is at age 59 1/2 when you are then able to get penalty free withdrawals from your traditional IRA and the same goes for Roth IRA owners, as long as you have owned it for five years or more.
At the age of sixty-two, you will run into the social security dilemma. At this time you will decide when to start claiming this income. If you claim at this age, you will lower your benefits by twenty-five percent and each year you wait, your benefits will grow by eight percent.
When you get to sixty-five, Medicare will then be a benefit of your and that just might be the best gift ever. But don’t miss the enrollment deadline. Then at seventy and a half, if you are a traditional IRA or 401 owner, minimum distributions are required. Be sure to start this two weeks before the deadline to make sure the transaction is done in time.
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Posted by admin on Apr 27, 2010 in Featured Articles, Finance | 0 comments
It is an important thing to do, to keep an eye on your finances during a divorce. Most divorces are challenging and complicated and because of this, there are details that can slip by. It is up to you to protect your financial health at this time and it is wise to have an attorney with you. It is also good for you to know the laws in your state in the case of a divorce and how these laws can effect your assets.
Generally, in most states whatever you and your spouse acquired during your years of wedlock, are subject to division and the exception to this would be any inheritances that took place. Any assets that were acquired before you were married and gifts that you gave each other are exempt also.
There are some community property states: Arizona, California, Idaho, Louisiana, Nevada, New Mexico, Texas, Washington and Wisconsin and the laws here says that almost all assets will be equally divided. Just don’t get the idea that you can hide an asset or bring it up later as this will cause a omitted asset penalty and the court will redivide everything.
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