Viking Magazine - December 2017 - 13

5
Review Retirement Plans
Did you know that 38 percent of
Americans don't save for retirement?
A good retirement plan includes a
review of your assets, expenses and
future income. Before December 31,
be sure to max out contributions to
your retirement account, if possible. If
you are under 50, you can contribute
up to $18,000 in a 401(k) and,
depending on your income, $5,500
into an Individual Retirement Account
(traditional or Roth). If over 50, you
can put $24,000 into a 401(k) and
$6,500 into an IRA.
6
Provide a Legacy
This holiday season talk with
your FBC about buying a meaningful
and lasting gift for a child
or grandchild - life
insurance. Premiums
are affordable on
young people and
you can lock in
their insurability
while they are
healthy. It's
also a teachable
moment to
talk with your
family about the
value of coverage.
important, " says Bartness. Once
the child or grandchild
is through college or
newly married, say to
them, " Here is your
policy, I have been
paying for it for
years and now it's
yours, " says Bartness.
Handing your child or
grandchild a permanent
policy gives them a firm
foundation upon which to build
their financial security. The policy(s)
will have cash value which will continue
to grow and can be used for whatever
needs your child or grandchild chooses.
In the event of a tragedy, the death
benefit can be used to pay for final
expenses.
Calculate Your
Needs
The Life Happens website has a
calculator to help you predict how much
life insurance coverage you need. The
tool helps you consider the cost of final
expenses and estimates future income
needed to keep your household running.
lifehappens.org/insurance-overview/
life-insurance/
calculate-your-needs/
Required Minimum
Distribution Each year, you
need to withdraw money from your
401(k) or Traditional IRA if you are
over 70 ½. This is called an RMD
(Required Minimum Distribution).
If you just turned 70 ½ in 2017, you
have until April 1 of 2018 to take your
RMD. Carlson adds, " If you don't have
an immediate need for the cash
from your distribution,
consider putting it
into a life insurance
policy where the
beneficiary can
then receive the
money taxfree
as a death
benefit. "
7
8
Borrowing
Options
" Passing on these values is
Sons of Norway offers life insurance and annuity products in the United States only. Not all products are available in all States.
If you need access to
extra money next year,
sonsofnorway.com VIKING DECEMBER 2017 13
Before
December 31,
2017,
be sure to max out
contributions to your
retirement account.
but don't want to take out
a typical bank loan or
use a credit card,
talk to your FBC
about borrowing
against the cash
value of your life
insurance policy.
" You don't have
to be approved or
have credit history, "
says Bartness. The
interest rate is typically low
and the amount borrowed is merely
deducted from the death benefit if the
policyholder dies before the money is
paid back.
Which Insurance
Is Right for You?
Permanent insurance:
Provides protection for an
entire lifetime.
i Builds cash value
i Higher premiums
i Provides guaranteed income
after retirement
Term insurance: Provides protection
for a specific amount of time, such as
10, 15, 20 or 30 years.
i Does not build cash value
i Lower premiums
i Appealing to singles and young
families on a budget
For a complimentary consultation
with your Sons of Norway
Financial Benefits Counselor,
visit sonsofnorway.com.

http://www.lifehappens.org/insurance-overview/ http://www.sonsofnorway.com http://www.sonsofnorway.com

Viking Magazine - December 2017

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