Neal A Deutsch. CFP

Financial Reporter for Babyboomers.TV

Since the last newsletter, I have had the joy of walking my daughter down the aisle in the course of her marriage to my new son-in-law. They spent a considerable amount of time in the planning for that memorable occasion. However, re-evaluating their insurance coverage wasn’t one of the items uppermost on their minds and neither is it in the minds of most newlyweds. But the right insurance programs can go a long way toward shielding you against the kinds of financial calamities that can strain and sometimes break a marriage. In that regard, we thought we would indicate several key insurance areas that we recommend newlyweds (and all married folks, for that matter) review.

It’s a given that couples should have life insurance if they have or expect to have children, or if one spouse earns most or all of the couple’s income. But, it is often suggested that life insurance is not needed where couples have no dependents and where both spouses work in comparable-paying jobs. This may be suitable in some cases, but you may still want to consider additional life insurance beyond what is offered at work.

The fourth advantage of getting life insurance early for many newlyweds is that they can lock in low premiums while they are young and healthy. Lastly, while group term insurance is probably available at work, it can’t go with you if you leave your job, and it often is inadequate. Also, you don’t want to need additional life insurance at a time when you’re uninsurable for an individual policy.

If either one or both spouses bring existing life insurance to the marriage, they’ll probably want to name their new spouse as beneficiary. Otherwise, death proceeds could end up going to an ex-spouse or parents.

Competing with life insurance premium dollars are other insurance needs for newlyweds, and high on that list should be disability insurance. This insurance is designed to partially make up for lost wages should you not be able to work because of an injury or long-term illness. Statistically, young people are more likely to suffer a lengthy disability than to die prematurely. Group disability coverage at work typically is not sufficient, so you may want to augment it with a private policy. While any worker, single or married, should consider this, it becomes even more important when you have a spouse, particularly one who may be dependent on your income. Newlyweds commonly live in apartments or rented houses before buying their first home or condo, yet they often mistakenly believe that the landlord’s insurance will cover damage to their personal property. Renter’s insurance is inexpensive and easy to get.

So, for newlyweds, it is clearly the time now to assess your insurance coverage and ensure its adequacy. The wedding planning came to its conclusion and the serious side of the new marriage in terms of financial planning must come into focus. If we can be of any assistance in answering your questions, please do not hesitate to give us a call.

Neal A. Deutsch is a Certified Financial Planner™ & Registered Securities Principal, offering securities through First Allied Securities, Inc., member FINRA/SIPC. Neal is President of Chestnut Investment Group in Suffern, NY, helping people with financial planning since 1984. Please feel free to call Neal at 845.369.0016 or email him with your questions at neald@chestnutinvestment.com. Visit his website at www.chestnutinvestment.com

Sandy Hustead - Wedding Officiant

Marriage Tips – Create a Mission Statement
By Sandy Hustead, Wedding Officiant

Before you get to the daily details of who takes out the garbage, how you run your finances, or which committees you’ll be on, you need to be deeply convinced of your purpose as a couple. A mission statement helps you focus on the things you value when daily life rushes past you at breakneck speed.

Creating a mission statement helped one couple, Troy and Shannon, thoughtfully say “no” to the constant moves his career demanded. Soon after, Troy began fighting cancer. Writing out their purpose and priorities kept the vision of their partnership clear in their minds as they battled the cancer. That statement was an incredible testimony to their marriage when read by those who attended Troy’s memorial service.

How to create your mission statement:

1. INVITE your husband to take time away with you to write the statement. This could happen on a weekend away or over the course of several dates. It’s OK to revise your statement several times before finishing it.

2. As you WRITE, remember your mission statement should uniquely reflect you and your husband.

3. In your statement, CATEGORIZE your individual gifts and life passions.

4. Make a LIST of mutual desires and goals.

5. PRIORITIZE your time and talents-as individuals and as a couple.

6. CONSIDER how you can use your differences to accomplish a mutual desire.

7. Above all, ASK GOD to give you a mission by which to guide your marriage.

Marriage will be only as hard as you make it. The only person you can change is yourself. Accept the others faults and accomplishments as your own and you will be much more accepting of who they are.

Remember, treat family like friends and friends like family.

Talk, Talk Talk!!!! Keep telling each other what is going on in your mind.

Never assume ANYONE can read your mind.

Remember to play. Have fun. Life is not that serious. You only have one and you want to enjoy the ride, not waste it. Would of, should of, could of always come too late. Do it now. Love alot, laugh alot, and make sure to spend time with your loved ones. You never know when your last day may be!

Sandy Hustead
Wedding Officiant
Your Day Your Way
Ministry of Light
Wedding Service
http://ministryoflightweddingservice.com

Bliss-building Money Tips for Newlyweds

(ARA) – You’re finalizing wedding plans and are eager to sip champagne with your guests. But are you and your fiance prepared to marry your financial lives together once the “I do’s” are said, and you’ve returned home from your honeymoon in paradise?

Poll after poll shows that disagreements over finances are the No. 1 cause of divorce in America. Finance and family counseling experts alike encourage couples to discuss and plan their finances together before tying the knot.

“Communicating about investing, savings, paying monthly bills and how you’ll divvy up fun money with your future spouse helps you to start your life together on the same foot,” says Scott Oberkrom, director of Community Investments at American Century Investments.

Visit www.YesYouCanOnline.info and click on “Healthy Ideas” to learn more about financial planning for soon-to-be married couples.

Some tips engaged couples can follow to get those money discussions under way include:

1. Pick a non-emotional time to talk about finances. This discussion could potentially be stressful, and doesn’t mix well with the stresses of wedding planning. Make sure you pick a quieter time without the distractions of guest lists, hotel reservations or flower arrangements to interrupt.

2. Talk about your finances. Determine if you and your fiance are spenders, savers, or a mixture of the two. Also discuss what you’ll be bringing into the marriage — debts, child-support payments, lack of credit, etc. Look up your credit reports and scores together, and determine if you’ll be better protected by joining your accounts or keeping them separate.

3. Decide how you’ll track and pay for expenses. Who is going to be paying what bills? What is your family budget going to look like? Can both of you live comfortably off that budget? These are important decisions that should be made before the grand march down the aisle occurs.

4. Establish joint investment goals. You need to consider both short-term and long-term goals, ranging from buying a new car to putting your future children through college. If you’re combining families, decisions about investing need to be taken care of immediately. For all your investing goals, talk about your time frame for reaching each goal, the different views you may have toward taking investment risks and then choose the vehicles, such as mutual funds, to invest in to help reach those goals.

5. Diversify your portfolios. The adage “Don’t put your eggs in one basket” comes into play here. As the recent economic crisis demonstrates, having finances invested in multiple areas prevents you from feeling as much pain when the markets suffer a set back. Go over your individual investments and investigate where you might be doubling up. You want to have a mix of investments to even out overall portfolio risk, although diversification cannot ensure against loss.

Time will pass by quickly, so make sure you and your intended are prepared ahead of time for financial hurdles. Visit www.YesYouCanOnline.info for additional tips.

Courtesy of ARAcontent