Retirement planning is a complex process, and for most people, there is more involved than setting up an IRA or 401k and forgetting about it. Life insurance can be a great way to supplement your retirement if you do your research.

Know Yourself and Your Needs

Life insurance and retirement can go hand in hand. There are many kinds of life insurance, so asking yourself questions upfront to identify your needs and risk tolerance is important:

  • Do you want a guaranteed return or are you OK with some risk?
  • Do you want a consistent premium or does a flexible premium appeal to you?
  • Are you going to use the policy for emergency cashflow issues or as a regular part of your monthly income?
  • How much do you want to have left over to cover expenses for loved ones after your death?

If You Don’t Know, Ask

There are many life insurance products to choose from, each with its own benefits and drawbacks. If you’re not comfortable doing the research on your own, an advisor could be a wise choice, not just for the initial product purchase but for the life of your retirement plan.

Retirement is supposed to be a time of rest and fun. Having a financial plan in place can help ensure it is exactly that.

Leave a Reply

Your email address will not be published. Required fields are marked *