How to protect your life insurance policy while going through a divorce

Written by Matt McWilliams


Continued from page 1

However, transferring an existing cash value policy (as opposed to a term policy, may carry with itrepparttar burden of federal gift tax, unless you transferrepparttar 138400 policy prior to divorce. Be sure to discuss this option prior torepparttar 138401 finalization of your divorce.

- Don’t overlookrepparttar 138402 possibilities life insurance may provide for dealing fairly with children from your previous marriage. If you’re paying alimony to your previous spouse and have a second family with your new spouse, adult children from your first marriage may sue your estate after you’re gone if they aren’t dealt with at least as fairly asrepparttar 138403 children from your subsequent marriage(s).

A permanent life insurance policy can be an immediate "estate replacer" to children from your first marriage -- it helps you replicate accumulated assets that you wish to pass on torepparttar 138404 children of your first family -- but can’t afford to without neglectingrepparttar 138405 needs of your new family. Essentially, you purchase a permanent life insurance policy on yourself and designate your adult children as beneficiaries. When you die, proceeds bypassrepparttar 138406 probate process and pass directly to your adult children. Your immediate spouse and any children from that marriage are left with your accumulated property and assets -- so you’ve provided for both families.

If you’re contemplating divorce, don’t forgetrepparttar 138407 options you may have with respect to your life insurance coverage. Divorce is tough enough -- don’t overlookrepparttar 138408 flexibility and security this valuable asset can provide..

Matt McWilliams is one of the co-founders of HometownQuotes.Com, an online insurance quotes web site. He is originally from Pinebluff, NC and graduated from Middle Tennessee State University in 2002. He is considered an expert in the field of online insurance shopping and finding new ways to help consumers save money on their insurance. For more information visit http://www.hometownquotes.com.


Roth IRA secrets - 7 reasons why a Roth IRA trumps a Traditional IRA

Written by S.A. Smith


Continued from page 1

ESTATE TAX REDUCTION

Your heirs will not be required to pay tax onrepparttar benefits received from your Roth IRA plan. In contrast, taxed would be need to be paid by your heirs to receiverepparttar 138399 benefits of a traditional IRA plan.

EARLY WITHDRAWALS

Inrepparttar 138400 event you need to access funds inrepparttar 138401 event of an emergency,repparttar 138402 Roth IRA plans treat withdrawals differently that a traditional IRA. You don't pay tax on withdrawals from a Roth IRA untilrepparttar 138403 amount exceeds your actual contribution amounts paid in. This is not true of an IRA, and you will also face an additional early withdrawal penalty in many cases.

IS A ROTH IRA RIGHT FOR YOU?

In this article we have covered 7 ofrepparttar 138404 powerful investment benefits you can reap holding a Roth IRA plan. Only your professional investment advisor can advise if a Roth IRA is right for your circumstances. Takerepparttar 138405 time to learn more aboutrepparttar 138406 power of a Roth IRA plan and contact your advisor today. It may berepparttar 138407 best investment move you ever make.

Aboutrepparttar 138408 Author

S.A. Smith is a freelance writer, contributor, and editor ofrepparttar 138409 http://www.rothira401k.com/ information portal.

About the Author

S.A. Smith is a freelance writer, contributor, and editor of the Roth IRA 401k information portal.


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