The Life Insurance General, Richard Wesselt Shares Some Tips On Safe Secure Planning For A Young Married Couple
We have a case where young people meet and decide to get married. They now have to integrate their finances. They may also have different philosophies around money. For example, somebody came from a household where their parents spent a lot, some others came from households where there were savers involved, and these young people have developed their own value system based on their upbringing around money. So we both have to integrate philosophies as well as bank accounts and safe secure accounts.
A meeting would take place in the office with a young couple and I like to ask the following questions:
- How do you feel about the importance of accumulating?
- How do you feel about risk?
- How do you feel about putting money away on a systematized basis?
- Who have you used as role models to develop your personal opinions around money?
Usually, what we’ll help people with, is integrating finances. Perhaps, two bank accounts become one and we’ll also start a brief discussion now as a married couple, around their debt structure. We are seeing many people facing mounting student loan debt and there are different philosophies around accelerating payments or extending payments. Some people would prefer to rent, and some would like to own a home, so we’re helping people to accumulate towards a down payment.
Lastly, with a young married couple, we now start a brief introduction on the importance of life insurance to protect. Term life insurance has a component where a premium is paid for protection and there’s no cash accumulation and there’s a second kind called Whole Life which simultaneously helps clients protect and save.
A brief introduction towards human life value would say a young couple in their 20’s or 30’s who are working should have approximately thirty times their income in life insurance. Unfortunately, many times we only see two or three times income at work and sometimes we don’t see any.
So an education process around the importance of protection as well as savings is a paramount first step with a young married couple.
To get your head in the game, reach out to Richard Wesselt, The life Insurance General for more tips.