Ron Doerksen

Recently I sat in on a couple of seminars sponsored by Ash Brokerage, one of my privileged partners. One of them was about a complimentary business valuation and buy-sell review which would also look at the underlying insurance for the buy-sell agreement. This is a free service for the business owner. This information can be very useful for future planning especially in regards to an exit stratedgy and might pick up on things that are not correctly in place.

So if you know business owners (clients, friends etc.) who would like to take advantage of this service I would love to speak with them.

Thanks

“There’s something about life insurance that just freaks some people out. For one thing, it forces them to confront the notion of dying. For another, it demands they think about tomorrow when they don’t know what to do about today. So instead, they stick their heads in the sand.”

Read the rest of the story >>> Dispelling the Top 12 Myths About Life Insurance – DailyFinance.

Did you know that many things change over time?

For example, when I look in the mirror I can see that this is true. I just get better looking as time goes on!!

Question: Do you own life insurance? During the purchase of your life insurance policy, you probably made certain assumptions about your future needs, interest rates, planned premiums and other issues. But life constantly changes. The original reason for your purchase may still exist; however your needs may have changed requiring more or less coverage.

That’s why it is so important to regularly review your life insurance coverage. A new family situation, a different career, a shift in financial status, a change in health – any of these common events, as well as many others, prompts a re-evaluation. Do the life insurance choices that you made years ago still make sense now? Is the policy you own the most efficient policy today? A Life Insurance Audit answers these questions.

Ash Brokerage whom I work with does Life Insurance Audits. Ash Brokerage is a family-operated insurance brokerage general agency based in Fort Wayne, Indiana. This service that we offer is free of charge to you.

About 75% of the time a life insurance audit will allow you to improve on what you currently own.

A Life Insurance Audit may:

• Increase death benefit
• Lower premiums
• Extend coverage duration
• Increase projected cash accumulation
• Ensure financial strength of carrier

Now that you know, call or write today to schedule your free Life Insurance Audit!

Anybody reading this play cribbage? I do, usually every Monday evening. Currently I am experiencing a spectacular losing streak. When I complain about this, my fellow players remind me that it is all in the cards one is dealt.

Segway: When assessing the building of wealth in relationship to your income and net worth it is all about what the numbers tell us. This post is inspired by a continued re-reading of THE MILLIONAIRE NEXT DOOR by Stanley and Danko.

In one of the case studies that they do in the book they compare 2 women who earn about the same amount of income but whose net worth varies dramatically as does where the bulk of their net worth resides. The first person has the bulk of their net worth in realized (taxable income) income. Therefore most of what she earns is taxed. The second person has a large part of her financial assets in investments that do not realize an income. Therefore much of what she earns is not taxable.

Question: What percentage of your net worth is made up of realized income?

The greater this percentage the greater the percentage of your net worth that is taxable i.e. the greater the drag on the accumulation of your net worth.

• Based on this information one should attempt to have a high percentage of financial assets that generate wealth but not realized income.
• It is a good thing to become a master at minimizing realized income.
• The more you earn the less it matters how much more you make and more what you do with what you already have.