My wife and I love tax refunds. It feels like free money to us. I know we paid into it all year, but compared to everything else coming out of our paychecks, we barely notice the small amount we overpay on our taxes from week to week. But, man, there is just something about the government sending me a check that feels so good.
In the past we have gone on vacation, remodeled a bathroom, or sometimes we each take a couple hundred and do something fun and squirrel away the rest. Whatever we end up doing, I still enjoy what feels like a splurge for us on Uncle Sam’s dime.
I know a lot of you feel the same way and like to spend your refund check on something for which you otherwise would not have found room in the budget. Something that you have been meaning to buy for a while. Maybe something that some of your friends already have and keep telling you that you need to buy.
Life Insurance. Did you know that you can pay a year up front for your life insurance? So, if you want to buy life insurance sometime in the next month or so, you can just pay for it out of you tax refund every year. Don’t worry; you do not need to sacrifice your whole refund. You don’t even need to pay that way every year. You can pay a year up front this year and next year if you want your refund for something else you can switch to a monthly plan. visit their official posts at http://www.sdgoldsmiths.com/use-your-income-tax-refund-for-debt-consolidation/ for additional tips.
How much are we talking here? It all depends on you and your needs. Right now, for $1000 a year I can get a 30-year-old male $862,000 in Term Life or $200,000 in Whole Life, but we would probably do a blended plan after sitting down to discuss the needs of that person and his family.
You want to wait until next year? Okay. But the difference of one year means for the same cost you are going to get $16,000 less of term and $10,000 less of whole life.
There are few guarantees in life, but a couple hard truths are involved in life insurance.
1. It will never be as cheap as it is right now. The older you get, the more expensive life insurance becomes. Also, if you are in good health, buy life insurance before anything changes. There is nothing worse as an insurance agent than to get a call from someone that was just diagnosed with COPD or diabetes or a number of other conditions and they want to buy life insurance and we cannot help them.
2. Everyone needs life insurance. Some people go their whole lives without ever getting into a car accident or having a claim on their house but everyone dies. Make sure your family is protected when that happens.
Insurance agents get painted as people that just will not stop bugging you about needing more insurance, like Ned Ryerson from the movie “Groundhog Day”, but they are really just trying to save you the hassle of finding out too late that you cannot get the insurance you need. No one wants to buy it when they are young because they do not think they need it yet, but then when they are ready, they either do not qualify for as much as they need or they do not qualify at all due to some condition. Learn more details at this website.
It is a great feeling when you treat yourself a little with your tax refund. Just imagine how great it will feel to know that your spouse or kids or grand kids will be protected when you are gone.