Going to a homecoming game at your alma mater in your forties can remind you pretty quick about the ability of time to fly faster than you ever expected. Coupling that with attending the Texas State Fair on senior day within the same week only compounds the reminder about your own mortality.
We slather on sunblock and get excited about parking spaces that are near to our destination. Before eating things we think about the consequences of what eating said things might do to our digestion or sleep. We look forward to sitting down more than ever and need to stand up to stretch our legs.
We're not getting any younger, folks.
The things we put off until tomorrow can suddenly rear their heads faster than you can say life insurance. Whether you put a policy in place when you had darker hair (or hair on your head), or if you are getting in the game now to make sure your loved ones are protected, there's a few things you want to consider when it comes to death, life insurance and taxes.
Readers of Stephen Covey will know the importance of keeping the end in mind as one of the habits of highly successful people. We advise keeping the end in mind as a habit of rightly insured people.
Forecasting the future and what the needs will be at that time for your spouse, heirs and interests takes a little intestinal fortitude because it causes you to look at what life will be like without you around.
That's not easy to do and sure, you don't want to spend a lot of time there.
You'll have to ask questions about taxes and their effect on social security, filing status, and income for your spouse.
You'll have to figure out what number is sufficient to provide for the amount of years necessary to keep your family on solid financial footing in relation to income, education, retirement, etc.
There's a lot of "what ifs" to work through, and though going through these scenarios with your spouse, your family and your financial advisor/insurance agent can be grueling emotionally, the benefit of knowing what protections you have in place and why you have them in place can give you peace of mind that as a provider, if you are gone, you get to keep providing in a meaningful way to your loved ones.
Keep the end in mind while you're doing this and you can get back to enjoying the present with the assurance you have a great plan in place.
And if you're doing this while in your twenties, good for you, youngster. Good for you.
For many in the United States, death means paying taxes.
In the great state of Texas, there are some differences. Texas is one of the 38 states that does not levy an estate tax, a.k.a., the "death tax", where a tax is levied on the estate of a recently deceased person before the inheritance passes on to their heirs.
Texas also does not impose an inheritance tax on the inheritance once received by your heirs, although, if you inherit from one out-of-state, that state's inheritance tax may apply.
Texas also doesn't impose a gift tax.
But there are two-sides to this taxation coin. The federal government will levy an estate tax and gift tax based on certain thresholds.
For 2018, the taxable estate is the total above the federal exemption of $11.18 million and the gift tax threshold is $15,000. It is good while planning your future retirement and your life insurance protection with the knowledge of what the federal government tax impositions are along with the state's requirements.
At Insurance For Texans, these are the thoughts that keep us on our toes about helping others plan well when it comes to life insurance, whether it means a term or a permanent policy as an insurance retirement plan.
We, like you, are getting older and making certain we are protecting our loved ones with the right coverage. We want the same for you. As an independent insurance agency, we have access to the kind of options which fit your needs. There's no "one size fits all" mentality going on here.
If you have any questions about your current protections or would like for us to do an analysis, give us a shout. We're always glad to help.
Ok, we've been standing for awhile. I think we need to sit down.