Risk management includes working with a financial professional to prepare for unplanned events. Some risks are known, such as everyone\u2019s eventual death but not when they might occur for each person. Other risks, such as a wildfire that destroys a house may happen without warning.<\/p>\n\n\n\n
It is wise to be prepared and think about your family and loved ones who might be left behind and the chances of you needing long-term care.<\/p>\n\n\n\n
Life insurance is an investment made for the ones you love. The proceeds from life insurance may cover outstanding loans, such as the mortgage on a principal residence, so your family has the possibility of stay in their home after you die. Life insurance may replace lost income and serve as a tool for extending the operations of a family-run business even if you are gone.<\/p>\n\n\n\n
Long-term care planning is an essential consideration for Americans who are living longer. That is why we offer both life insurance and long-term care planning as part of our services.<\/p>\n\n\n\n
Wealthy people who max out their contributions to their individual retirement account ($6,000 per year in 2021) and 401(k) ($19,500 per year in 2021) may consider life insurance for further retirement and tax planning.1<\/sup><\/p>\n\n\n\n Life insurance may function in a tax-advantaged way to supplement retirement income. While paying premiums for whole life insurance, the policy may accumulate a cash value that grows over time as a tax-deferred benefit. In the event of the policyholder\u2019s death, the total life insurance proceeds from the death benefit are paid tax-free to the beneficiaries. After retirement begins, any accumulated cash value in your life insurance policies may be helpful to provide a supplement to other retirement income from your IRA<\/u><\/a>, 401(k) or any pension plans you may have.<\/p>\n\n\n\n The main advantages of life insurance are:<\/p>\n\n\n\n Long-term care planning includes evaluating the use of annuities, insurance, Medicare, Medicaid and trusts.<\/p>\n\n\n\n A single-premium annuity with one payment secures a steady income for retirement later that may be available for long-term care.<\/p>\n\n\n\n Whole life insurance and long-term care insurance may work together to cover retirement needs.<\/p>\n\n\n\n Medicare is available to anyone age 65 and older, regardless of income or assets.2 <\/sup>Medicare may cover certain short-term stays in a skilled nursing facility. However, long-term care is not an expense covered by Medicare.<\/p>\n\n\n\n Medicaid is only available for those with income and assets below a certain amount.<\/u><\/a><\/p>\n\n\n\n One strategy, which may be worth considering for those needing long-term care, is placing assets into an irrevocable trust to qualify for the asset test of Medicaid.3<\/sup><\/p>\n\n\n\n Every individual circumstance is different. These planning issues are complex and may require working with a financial professional with the knowledge and experience to develop appropriate and meaningful planning for your needs.<\/p>\n\n\n\n The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual. To determine which investment(s) may be appropriate for you, consult your financial professional prior to<\/u><\/a> investing. All performance referenced is historical and is no guarantee of future results. All indices are unmanaged and cannot be invested into directly.<\/p>\n\n\n\n The information provided is not intended to be a substitute for specific individualized tax planning or legal advice. We suggest that you consult with a qualified tax or legal advisor<\/u><\/a>.<\/p>\n\n\n\n This material contains only general descriptions and is not a solicitation to sell any insurance product or security, nor is it intended as any financial or tax advice. For information about specific insurance needs or situations, contact your insurance agent. This article is intended to assist in educating you about insurance generally and not to provide personal service. They may not take into account your personal characteristics such as budget, assets, risk tolerance, family situation or activities which may affect the type of insurance that would be right for you. In addition, state insurance laws and insurance underwriting rules may affect available coverage and its costs. Guarantees are based on the claims paying ability of the issuing company. If you need more information or would like personal advice you should consult an insurance professional. You may also visit your state\u2019s insurance department for more information.<\/p>\n\n\n\n Fixed and Variable annuities are suitable for long-term investing, such as retirement investing. Gains from tax-deferred investments are taxable as ordinary income upon withdrawal. Guarantees are based on the claims paying ability of the issuing company. Withdrawals made prior to age 59 \u00bd are subject to a 10% IRS penalty tax and surrender charges may apply. Variable annuities are subject to market risk and may lose value.<\/p>\n\n\n\n LPL Financial Representatives offer access to Trust Services through The Private Trust Company N.A., an affiliate of LPL Financial.<\/p>\n\n\n\n All information is believe to be reliable sources; however LPL Financial makes no representation as to its completeness or accuracy.<\/p>\n\n\n\n 1 <\/sup>https:\/\/www.shrm.org\/resourcesandtools\/tools-and-samples\/exreq\/pages\/details.aspx?erid=486<\/a><\/p>\n\n\n\n 2 <\/sup>https:\/\/www.ssa.gov\/benefits\/medicare<\/u>\/<\/a><\/a><\/p>\n\n\n\nLong-Term Care Planning<\/h2>\n\n\n\n
Annuities<\/h3>\n\n\n\n
Insurance<\/h3>\n\n\n\n
Medicare<\/h3>\n\n\n\n
Medicaid<\/h3>\n\n\n\n
Trusts<\/h3>\n\n\n\n
Important Disclosures:<\/strong><\/h3>\n\n\n\n