WILL YOU NEED
LIFE INSURANCE WHEN YOU RETIRE?
1. Your surviving spouse’s annual living expenses:
after
income taxes and multiply by a percentage, perhaps 67% to 75%,
to
reflect reduced expenses after your death.
(You may want to allow for
inflation
currently 2% to 3% per year.)
$______________
2.
Your survivor’s annual
income:
Add
expected income after taxes from all sources, such as pension,
retirement
plans, annuities, Social Security, investments, a job $______________
3.
Your survivor’s annual
income need:
zero.) $______________
4.
Your survivor’s lifetime
income need:
survivor’s
life expectancy…at least to age 85, if he or she is in good
health. Allow for loss of income when an employed
survivor stops
working. $______________
5.
Your own final expenses:
burial
costs, estate taxes and settlement costs, medical bills, and debts,
such
as a mortgage, that you want to have paid.
$______________
6. Funds for additional concerns:
These
may include cash for emergencies (about $15,000), completing
children’s
or grand children’s education and at least a year’s nursing
home
care for your spouse. $______________
7. Your survivor’s estimated protection need:
8. Your survivor’s existing protection:
value
of assets, such as real estate or collectibles, that could be sold to
produce
income not reflected in Step 2. $______________
9.
Additional need for
insurance on your life:
upon
the information you have provided, your protection is probably
adequate. $_______________
183597 HO