Fast Payday Loans Fast Payday Loans

Retirement Planning – Preparing for ‘Guaranteed Income in Life’

Monday, October 4th, 2010

In the thick of the stock-market catastrophe in November 2008, Craig Smith, a new retiree at 58, was seized with dread and anxiousness. He wasn’t aware of retirement funds, he was too young to collect Social Security benefits, and he was banking wholly on his savings.

In his mind, he was aware that he couldn’t cash out his stocks because he might live another 30 years or so and would want higher investment returns that would come in from stocks, but emotionally, he was completely scarred.

As retired folks watched their account balances drop sharply, most of them were counseled to cut down their retractions or head back to work to maintain their steady income. The thought of turning into a Wal-Mart welcomer or McDonald’s counter person was certainly not appealing to Craig as he found impossible to sleep at night.

Probabilities are alright — till you become a data point. The recent global recession that gripped the world in fear and horror was so serious and so uncommon (since nearly every asset class, save treasury bonds, endured grievous losses) that it has challenged the accuracy, integrity, and propriety of every conservative strategy.

The biggest source of danger to retirement income lies in removing too much money from a shriveling nest egg, for there may not be adequate left to gain from the unavoidable market backlash. Making the most of all the financial assistance you have at the moment and setting a plan in place that will take care of unforeseen outcomes into consideration is the most crucial and primary step in insuring against them.

Over the next few days we will touch topics such as how to map your time and how you can look out for while looking for a Fulfilling Retirement.

Why Do You Need a Cobra Cover?

Tuesday, May 11th, 2010

Aside from one’s livelihood, a job provides people and their families a paramount security – Health Benefits & Coverage. However, circumstances through one’s career, brought about voluntarily or involuntarily, can have adverse effects on this Health Coverage. COBRA, which is the Consolidated Omnibus Budget Reconciliation Act is a legislature that provides workers who lose their jobs the opportunity an option to extend their group health benefits.

You now have a chance to protect your family and yourself under COBRA, and some of the circumstances that entitle you to extended benefits are:

1. Termination of employment (voluntary or otherwise) for reasons not including gross misconduct
2. If an employee already enjoying Health Cover becomes entitled to Medicare
3. In case of Legal Separation or Divorce
4. Status change other than Dependent
5. Demise of employee
6. Reduction in Work Hours

As a rule under COBRA, employers with over twenty employees are mandated to offer a chance to temporarily extend health coverage in circumstances where health cover would otherwise be null & void. This is also known as Continuation Coverage.

The specific time-frame and conditions of Continuation Coverage varies on the basis of ‘reasons for job-loss’. For example, in the case of Termination or Reduced Work Hours, the employee, spouse and dependent child can qualify for an extension of 18 months. Similarly, if the employee becomes entitled to Medicare, or undergoes Divorce, or passes on; the spouse and dependent child are entitled to a 36 month extension on health cover.

While the COBRA presents many benefits, in order to fully utilize the Act; one must carefully plan its engagement. There are several stringent Notification Requirements that work both ways. There is certain information regarding COBRA that the health cover administrator must furnish to the employee. Likewise, the employee/beneficiary must keep the administrator updated of changing status (of employment and beneficiaries) – reduction in job hours, loss of job, legal separation etc.

One’s Continuation Coverage may be cut short in some cases for example reduction of your hours of employment or termination. Hence to avoid such a situation, and make the best of the COBRA; one has to tread cautiously and seek the help of a financial advisor to reap it’s deserved advantages. It is designed so that it can become a huge relief to your life and well- being; provided it is used justly.