| Prepaid Legal Service Plans |
| |
| More and more, prepaid legal service plans are offered to help consumers access legal services at a reduced cost. These plans are often described as a form of insurance because a monthly premium is typically paid in exchange for the right to receive some forms of legal services free and others at a reduced fee.More... |
| |
| Asset Management - Viatical and Senior Settlements |
| |
| In a viatical or senior settlement, a person who owns a life insurance policy sells the policy for a lump sum payment, usually a percentage of the policy's face value, to a buyer. The buyer of the policy then becomes the beneficiary, pays the premiums, and receives the full amount of the insurance when the original owner dies. Viatical settlements can be risky for both the sellers and the buyers and should be evaluated carefully.More... |
| |
| Social Security - Supplemental Security Income |
| |
| Due to divorce, teenage pregnancy, and many other factors, relatives, especially grandparents, are increasingly called upon to take care of children. Whether a formal, legal relationship or an informal one, this is known as kinship care.More... |
| |
| Nonqualified Annuities |
| |
| A nonqualified annuity is purchased outside of an employer-provided retirement plan. After-tax dollars are used to fund a nonqualified annuity, so contributions are not deductible from gross income for income tax purposes. Taxes on interest or earnings in a nonqualified annuity are deferred until withdrawal. In a lump-sum distribution of a nonqualified annuity, the monies may be transferred into an IRA or similar vehicle to defer taxes additionally. Only a portion of a monthly annuity payment is taxed because each payment is partially principal that has been taxed and partially interest earned. The portion of the monthly payment that is excluded from taxes is determined by an exclusion ratio. The exclusion ratio is the total amount of premiums paid divided by the total expected payment amounts. If the expected return is based on a life expectancy or joint life expectancy, the Internal Revenue Service has tables and multipliers that are used to determine the total expected return. If the expected return is not based on a life expectancy, the total expected return is the sum of all amounts to be received. More... |
| |
| Using Medicines Safely |
| |
| Despite advances in medical knowledge and technology, an increased number of adverse health conditions often come with age. Tracking appointments with specialists and all of the medicines prescribed to treat health conditions can be taxing, at best. Worse, mistakes in taking medicines can be costly, especially as more Americans are combining over-the-counter medicines and supplements with prescription drugs. However, asking the right questions and proceeding cautiously can help ensure that medicines provide their full benefit, can help prevent the risk of taking the medicines incorrectly, and can help prevent an adverse reaction with other medicines.More... |
| |
