Not only are the death benefits important for surviving family members, but many plans enable policyholders to borrow against it for other monetary needs such
as college funding and retirement.
Interesting article reviewing three issues to consider regarding
college funding when you are going through divorce.
We worked out the huge budget, complete
with college funds, electric bills, investment accounts... the whole, ugly bunch... and my weekly household budget.
Borrowers who take out private student loans to bridge
college funding gaps typically need a cosigner.
This timeframe often coincides with a mortgage payment, how long until a child's
college funding needs last, or how long a person is providing for their spouse with their income.
Those benefits can be used to help pay for funeral expenses, unpaid debts, or be put to a
future college fund for your children, just to name a few things.
Anything above your insurance limits becomes your responsibility, which could put your assets like retirement savings, summer homes and
college funds at risk.
Now the trust has revealed it is
using college funds to pay for extra maths lessons, extra IT equipment and leadership training.
Other policy benefits
include college funding, retirement income and death benefits and tax free transfers to your heirs.
The 2nd important fact to know is how comfortable so many divorce lawyers are in spending their client's
college fund instead of quickly and economically helping the couple to negotiate a fair deal.
Often, students that are in need of additional
college funding turn to loans, and may need a cosigner to get approved for some.
Their goal is to reduce their consumer debt over the next few years and start saving for retirement and
establish college funds for their children.
In addition you can also save for your children's
college fund if you choose to or save for your dream vacation on your special anniversary.
Or are there any other expenses like mortgage, debts and
college funds which are to be taken care off?
It explains the tax treatment for the most common forms of
college funding types, such as scholarships, fellowships and grants.
We have been financially smart in terms of savings,
i.e. college funds, pay off our home in a short amount of time.
The sooner you begin saving, the more likely you are to make saving a habit and create a
nice college fund for the future.
Keep it simple: mutual funds (preferably index, low fee or ETF linked funds) do make a nice start for your little
princess college fund.
Unlike a
standard college fund, policyholders have access to the cash value at any time, without penalty.
Cash value can be taken out of the policy as loans, and used for any purposes you can think of,
like college funding, supplement retirement, large purchases.
Often times there are other debts that would be left to a beneficiary,
college funding goals that might not be reached, lost income, etc that need to be considered.
If you are a member of a protected class, check to see if there is an advocacy group that can provide help
with college funding.
Those men and women with a growing family to protect are called upon to make all sorts of financial decisions,
from college funding to retirement planning.
Other policy benefits
include college funding, retirement income and death benefits and tax free transfers to your heirs.
Those benefits can be used to help pay for funeral expenses, unpaid debts, or be put to a
future college fund for your children, just to name a few things.
With a paid - off mortgage, we'll fund our kid's
college funds so they will have the freedom to attend college and not worry about student loans.
Although they have the disadvantage of needing to repaid, loans are one of the easiest types
of college funding to secure.
Encourage your friends and family to consider making contributions to your child's
college fund for special occasions as an alternative to giving other gifts.