Uncategorized — Page 2

Sodium: The Basics

March 24, 2016 by Frank West

When it comes to a healthy diet, it’s important to keep sodium levels in check. Sodium is a mineral that plays a very important role in the human body. It carries or pumps fluids into cells throughout the body. Potassium, another mineral, carries away the byproducts. If you were to completely eliminate sodium from your diet, you would be in trouble. By the same token, however, excessive sodium is dangerous too. A healthy adult should consume 2,300 milligrams of sodium or less per day, which is roughly equal to about a teaspoon of salt. If sodium levels in the body become too high, or if a person has a sensitivity to salt, the risk of hypertension, cardiovascular disease and stroke all increase. Research also suggests that too much sodium can weaken the bones. Learn more about sodium below. Where is Sodium Found? In general, natural foods contain very little sodium. The majority of sodium that is consumed on a daily basis is found in processed foods. Examples include deli meats, baked goods, prepared condiments like sauces and dressings and canned goods. Fresh fruits and vegetables generally contain very little sodium. In countries where very few processed foods are consumed, rates of hypertension, stroke and cardiovascular disease are noticeably lower.

How does Sodium Interact with the Body? As mentioned above, sodium works to carry or pump fluids into cells in the body, By doing so, it maintains the body’s balance of electrolytes. It also maintains the body’s acid-base balance. Sodium also plays an important role in the contraction of muscles, and it aids in nerve transmissions as well. Without it, your body would be unable to function properly. As with so many other things though, it is possible to have too much of a good thing. In fact, modern diets make it extremely easy for people to exceed their maximum daily allowance of sodium, which largely explains the many health crises facing people today. How Much Sodium is Found in Common Foods? You’re sure to be shocked when you learn how much sodium is found in everyday foods. To put it into perspective, keep in mind that you should try to consume 2,300 milligrams or less of sodium per day. A few examples include:

Peanut Butter – 600mg Processed Cheese – 1,100mg Dry Cereal – 700mg to 1,100mg Milk – 50mg Fresh Salmon – 65g Canned Salmon – 400mg Raisins – 30mg Crackers – 1,100mg Canned Soup – 350mg to 450mg Yogurt – 50mg

Reading Labels to Check for Sodium If you’re trying to maintain a low-sodium diet, you’re going to have to learn how to read nutrition labels effectively. It’s not just listed as “sodium” in ingredients lists either. It may also be called sodium phosphate, monosodium glutamate, or MSG, sodium citrate, sodium alginate or another complex-sounding chemical name. When reading a list of ingredients on a nutrition label, keep in mind that they are listed in order from high to low. In other words, the ingredients that are the most abundant in a type of food are listed first. If you see sodium near the top of the list, you can surmise that the food has a lot of it.

The nutrition label should also list how many milligrams are contained in a serving. Make note of what constitutes a serving size too. If you consume three to four servings, for example, you could easily exceed your daily allowance of sodium in one sitting. It may also be listed as a percentage of the daily calorie intake of a healthy adult. Forms of Salt In addition to regular table salt, salt may be sold as sea salt, rock salt, kosher salt or iodized salt, which is infused with iodine. Keep in mind that sodium bicarbonate, or baking soda, is also a form of salt. Prescription Medications Another thing to be aware of is that many prescription medications contain high levels of sodium. Laxatives, antacids and non-steroidal anti-inflammatory drugs, or NSAIDs, are all prime examples. By law, information about sodium must be included on the label. If you take a medication that has a high level of sodium, check with your doctor to see if low-sodium alternatives are available. In many cases, they are. Tips for Reducing the Amount of Sodium that You Consume Whether you’ve been ordered to consume less sodium by your doctor or not, it’s smart to limit the amount of sodium that you consume on a daily basis. It will help to keep your blood pressure in check, and it may help if you have been experiencing bloating and water retention too. A low-sodium diet may help you feel better in general. Here are a few tips for limiting the amount of sodium that you consume:

Limit Salty Snacks – As delicious as potato chips and crackers may be, they are loaded with sodium. Reserve them for special occasions. Eat Fresh Fruits, Veggies and Other Unprocessed Foods – Keep plenty of fresh vegetables and fruits in the house. Stock up on other unprocessed foods. These types of food tend to have very low amounts of sodium. When the mood to nosh on something strikes, you’ll have a low-sodium option on hand. Choose the Right Dairy Products – Many dairy products are loaded with sodium. Stick with dairy products that are low in fat and sodium. It should say so right on the label. Stick with Unsalted Broths – When a recipe calls for broth, buy the unsalted variety. It’s an easy way to keep sodium levels in check. Use Pepper Instead – In addition to spicing up your foods without the need for sodium, black pepper contains piperene, which some researchers believe may work to block the formation of new fat. By getting into the habit of using black pepper, you can keep sodium levels low and potentially lose weight too. Getting into the swing of a low-sodium diet isn’t easy at first, but you’re sure to get the hang of it in no time. The health benefits that you’ll enjoy make it well worth it. – See more at: http://www.healthinsurancequotes.org/articles/#sthash.ogBFFAkL.dpuf

Filed Under: Uncategorized Tagged With: Diet

Tax Advantages of Life Insurance.

March 23, 2016 by Frank West

Top 6 Tax Benefits of Life Insurance:

Life insurance premiums are paid with after-tax dollars: Because premiums are typically not a tax-deductible expense, taxes have usually been paid on these funds and they are able to GROW tax-free.
Tax-deferred cash value accumulation: Growth of policy cash value in excess of the cost basis are typically income tax-deferred while they remain in the policy.
FiFO (First In First Out) tax-free distribution: For Non-Modified Endowment Life policies, cash can be withdrawn from the policy tax-free up to the adjusted cost basis.
Tax-free death benefit: IRC Section 101(a) provides that death benefits of life insurance are income tax free when paid to the policy beneficiary.
Not subject to 3.8% add-on tax for “passive” investment income under the Affordable Care Act (ACA).
No deposit limits: There are no restrictions on how much can be placed in a policy versus Qualified Retirement Plan/IRA Limits (see chart below).

Life_Insurance_Tax_Benefits_v4

Filed Under: Life Insurance, Universal Life Tagged With: Universal Life

How Much Life Insurance Do I Need?

March 21, 2016 by Frank West

You can’t pinpoint the ideal amount of life insurance you should buy down to the penny. But you can make a sound estimate if you consider your current financial situation and imagine what your loved ones will need in the coming years.

In general, you should find your ideal life insurance policy amount by calculating your long-term financial obligations and then subtracting your assets. The remainder is the gap that life insurance will have to fill. But it can be difficult to know what to include in your calculations, so there are several widely circulated rules of thumb meant to help you decide the right coverage amount. Let’s look at a few of them.

Rule of thumb No. 1: Multiply your income by 10.

“It’s not a bad rule, but based on our economy today and interest rates, it’s an outdated rule,” says Marvin Feldman, president and CEO of insurance industry group Life Happens.

The “10 times income” rule doesn’t take a detailed look at your family’s needs, nor does it take into account your savings or existing life insurance policies. And it doesn’t provide a coverage amount for stay-at-home parents.

Both parents should be insured, Feldman says. That’s because the value provided by the stay-at-home parent needs to be replaced if he or she dies. At a bare minimum, the remaining parent would have to pay someone to provide the services, such as child care, that the stay-at-home parent provided for free.

Rule of thumb No. 2: Buy 10 times your income, plus $100,000 per child for college expenses

Education expenses are an important component of your life insurance calculation if you have kids. This formula adds another layer to the “10 times income” rule, but it still doesn’t take a deep look at all of your family’s needs, assets or any life insurance coverage already in place.

Rule of thumb No. 3: The DIME formula

This formula encourages you to take a more detailed look at your finances than the other two. DIME stands for debt, income, mortgage and education, four areas that you should consider when calculating your life insurance needs.

Debt and final expenses: Add up your debts, other than your mortgage, plus an estimate of your funeral expenses.

Income: Decide for how many years your family would need support, and multiply your annual income by that number. The multiplier might be the number of years before your youngest child graduates from high school.

Mortgage: Calculate the amount you need to pay off your mortgage.

Education: Estimate the cost of sending your kids to college.

The formula is more comprehensive, but it doesn’t account for the life insurance coverage and savings you already have, and it doesn’t consider the unpaid contributions a stay-at-home parent makes.

How to find your best number

Follow this general philosophy to find your own target coverage amount: financial obligations minus liquid assets.

Calculate obligations: Add your annual salary (times the number of years that you want to replace income) + your mortgage balance + your other debts + future needs such as college and funeral costs. If you’re a stay-at-home parent, include the cost to replace the services that you provide, such as child care.
From that, subtract liquid assets such as: savings + existing college funds + current life insurance.

To illustrate, let’s look at a fictional couple: Jason and Heather. They have two children, ages two and five. Jason makes $75,000 a year, and Heather is a full-time stay-at-home mom. They have a $150,000 balance on their home mortgage, owe $16,000 on two car loans and have $3,000 in credit card debt.

Jason has group life insurance equal to double his annual salary, and Heather has none. Together, they have $20,000 in a savings account and $10,000 in their kids’ college funds.

The couple decide that they want 30-year term life insurance policies. By the end of the term, their children will be adults, their mortgage will be paid off, and, if they stick to a savings plan, the remaining spouse will have a retirement nest egg.

To calculate his life insurance needs, Jason would add his obligations:

$1.2 million for income replacement ($75,000 times 16, the number of years before his youngest child graduates from high school)
$150,000 for the mortgage balance
$19,000 for debt ($16,000 in car loans, plus $3,000 in credit card debt
$200,000 for two childrens’ college educations
$7,000 for final expenses — approximately the median cost of a funeral with a casket, according to the National Funeral Directors Association

This totals $1,576,000. From this, Jason would subtract:

$20,000 in savings
$10,000 in the kids’ college funds
$150,000 of group life insurance

This means that Jason should buy a $1.4 million ($1,396,000) term policy.

Here’s how a calculation would work for Heather. Her obligations would include:

$100,000 to replace the child care that she now provides, until the kids are teenagers
$150,000 for the mortgage balance
$19,000 for debt
$200,000 for two children’s college educations
$7,000 for final expenses

This totals $476,000. From this, she would subtract $30,000 to account for the couple’s savings and their kids’ college funds. Her final estimated life insurance need is $450,000 ($446,000).

Heather might also want to figure income replacement into her policy, says Johanna Fox Turner, a partner of Milestones Financial Planning and president of Fox & Co. CPAs, Inc., in Mayfield, Kentucky. She notes that the surviving parent might want to quit work to take care of the kids for a few years — in which case, the stay-at-home parent’s policy should include income replacement, rather than child care costs, for those years.

Filed Under: Life Insurance, San Diego Life Insurance, Universal Life Tagged With: Universal Life

What is an Explanation of Benefits (EOB)?

March 21, 2016 by Frank West

After visiting the doctor, most people receive an explanation of benefits, or EOB, from their insurance company. But what is it? Usually it’s labeled “not a bill,” but it looks like one. If you’ve received an EOB and your initial reaction was confusion, you’re not alone. Here’s a breakdown of a typical EOB.

Information at the top of your EOB

The top of the EOB includes the address and customer-service phone number of your insurance company, so you can call them with questions. Also near the top is your name, the name of the primary policyholder and your patient identification (ID) number. If you are the primary policyholder, your name might be there twice.

The other part at the top is your health care provider’s information. In many cases, this will be your doctor, but if you had imaging or lab work done, it could be the name of the facility. This section will also have a process date and a claim number. The claim number isn’t your ID number or your policy number, since each service billed to your insurance has a different claim number. The process date is the day your insurance finalizes its decision on the claim.

Information in the body of your EOB

Below the identifying information, your insurance company usually includes a short statement, or a table, summarizing the claim. The table is confusing, so let’s go over it in detail. Keep in mind that insurance companies don’t organize their EOB tables the same way, so the columns you see might be in a different order than they are here.

Date of service: Each line usually starts with the date of service — the day you saw the doctor or when the procedure was performed. If your EOB is for an outpatient procedure, each line will have the same date. But if you were admitted to the hospital and stayed overnight, or if you had a complex series of services, there could be more than one date listed.

Medical billing codes: Each service you receive is identified by a code, which determines how you are billed. There are four kinds of codes that could show up on your EOB.

HCPCS Codes: Five numbers that identify supplies and drugs used during an outpatient visit. HCPCS is the Healthcare Common Procedure Coding System.
CPT Codes: Five numbers used to identify procedures or tests performed by a provider. CPT stands for Current Procedural Terminology. CPT codes are part of the HCPCS.
ICD-9 Codes: System of codes assigned to every diagnosis and procedure. ICD-9 codes are from the International Classification of Diseases, Ninth Revision.
Revenue Codes: System to identify the location of an inpatient procedure or service and the dollar amount associated with the procedure. Revenue codes are attached to the other three codes and help group similar charges.

It’s important to note that not every EOB will have all four codes. If your EOB is for an inpatient claim, it will have ICD-9 Procedure Codes, ICD-9 Diagnosis Codes and Revenue Codes. If the EOB is for outpatient services, it will have HCPCS, CPT and ICD-9 Diagnosis codes only.

Place of service: This code identifies the facility you visited. Your insurance company may not cover certain procedures unless they’re performed in a specific setting, such as a hospital or urgent care facility.

Charge amount: This is the amount that your provider billed your insurance company. This is what you would have been charged if you didn’t have health insurance.

Allowed amount: If the provider is in your insurance network, this is the amount for each service that has been agreed to by your insurance company and health care provider. If a line is blank for this column, your insurance probably doesn’t cover this service.

Not covered amount: This is the amount that your insurance won’t pay for a service. If it is equal to the charge, your insurance probably doesn’t cover this service.

Reason code: This code explains why a service wasn’t covered or how a claim was processed. Reason codes are usually on a separate page or after the EOB table.

Copayment or Copay: The fixed amount that you pay upfront for each service. For many services, this is the only amount you’re responsible for, and you probably paid it when you received the service. The copayment doesn’t count toward your deductible.

Deductible: The amount that you pay before your plan covers the service. The deductible may not apply to each service. Some services may be covered and you’ll be responsible only for a copayment. You’ll be responsible for services that aren’t covered by your health plan, and those payments don’t go toward your deductible.

Benefit amount or percent covered: This is the percentage your insurance covers for a network provider. Not all EOBs have this column, since it is usually fixed for in-network providers and explained in your summary of benefits.

Due from patient: The amount that you are responsible for paying to the provider. If the amount is equal to the copayment and you already paid it, the costs have been covered for this service by you and your insurance company. If it is more than the copayment, or you haven’t already paid a copay to the provider, you should expect a bill from the provider.

Filed Under: Uncategorized Tagged With: medical expenses

When Should You Buy Life Insurance?

March 3, 2016 by Frank West

If no one depends on your income for support, you probably don’t need life insurance at all.

Your need for life insurance changes with the stages of your life, starting with no need when you’re young, progressing to greater and greater need as you take on more and more responsibility, and finally beginning to diminish as you grow older.

When you’re single

Sad though your death would be, it’s unlikely it would create financial hardship for anyone. Any honest financial assessment of your situation would have to conclude that you have little or no need for life insurance. An argument could be made that you should buy a policy now while you’re young and rates are low. And if someone — a parent, say — depends on you for financial support, then by all means, consider life insurance. But consider the interest you could earn by saving and investing your money instead of spending it on insurance premiums. Still, if somebody — a parent, a grandparent — wants to buy you a policy now to lock in low rates for later in your life, accept it gratefully.

Love and marriage

Married couples with no children may need little or no life insurance, especially if both spouses contribute equally to the household income.

The death of either spouse would not be financially catastrophic; the other could presumably survive on his or her own income. Still, it could be a strain. Perhaps the survivor couldn’t afford the mortgage or rent payments on a single income, or maybe you have big credit card debts. Also, there would be funeral costs.Each of you should probably buy a modest amount of life insurance to protect the other.

Married with children

A one-income family with young children is the classic high-need situation. Basically, all of these people are dependent on one breadwinner for their total support , so insurance on that life is vital. And if the nonearning spouse should die, the other would have to pay for child care — a very expensive proposition that argues for insurance on both lives. This same high-need situation exists for dual-income households with children, for single parents, and for those caring for elderly parents who have limited resources of their own

The golden years

The kids have grown and are making it on their own. You have a pension and considerable assets that can be used to generate a good income after you die. In circumstances like this, you clearly don’t need as much life insurance as you once did.

The one caveat here is estate planning. If your estate is large enough to be subject to the estate-tax when you die, your heirs can use the death benefit to pay the IRS. If the policy is held by a trust, the benefit would not be counted as part of your estate.

If you fall into this category, consider a whole life policy. Since you don’t know when you will die, you’ll need to hold on to your coverage indefinitely.

Filed Under: Life Insurance, San Diego Life Insurance, Term Life Insurance Tagged With: Universal Life

A Life Lived Fully but Wisely.

February 17, 2016 by Frank West

A Life Lived Fully but Wisely

Filed Under: Life Insurance, Term Life Insurance, Universal Life Tagged With: Term Life Insurance

Keeping a Family and a Business Afloat.

February 17, 2016 by Frank West

Keeping a Family and a Business Afloat

Filed Under: Life Insurance, San Diego Life Insurance Tagged With: Term Life Insurance

Life Happens: Life happens in a heartbeat.

February 17, 2016 by Frank West

https://www.lifehappens.org/videos/life-happens-in-a-heartbeat-30-second

Filed Under: Life Insurance, Universal Life Tagged With: Term Life Insurance

Life Happens: Never Miss A Moment.

February 17, 2016 by Frank West

https://www.lifehappens.org/videos/never-miss-a-moment

Filed Under: Life Insurance, Term Life Insurance, Universal Life Tagged With: Term Life Insurance

4 Financial Tips to Keep Your Family Safe.

February 10, 2016 by Frank West

It’s tough to get our financial house in order, not because it’s especially hard, but because it’s … boring? Tedious? The last thing we want to spend time on? To remedy that, here are four tips that you can take on and accomplish:

1. Make sure you have life insurance—or enough of it. Do you really need life insurance? Well, answer this question to find out: Would your loved ones suffer financial if something happened to you? If the answer is yes, you need life insurance. Then comes the question, how much? There are a number of factors that go into calculating how much life insurance you might need. But it doesn’t have to be difficult. Instead, use this online Life Insurance Needs Calculator, and in just a couple of minutes you can have a working idea of the amount you need. If you already have life insurance, why not use this calculator to make sure you have enough!

And don’t let cost—or actually perceived cost—stop you from getting coverage. Did you know that 80% of people overestimate how much life insurance costs? And those under 25 think it’s four times more expensive than it actually is. Let’s frame it this way, say you’re 30 and in good health, a 20-year level term life insurance policy with $250,000 of coverage may cost around $13 a month. That’s the equivalent of a few Starbucks drive-through lattes. Here are a number of ways you can get coverage or search for an agent if you don’t have one.

Would you like to your ex-spouse to get your life insurance if something were to happen to you because you forgot to change the beneficiary on your policy?

2. Review your life insurance beneficiaries. Would you like your ex-spouse to get your life insurance if something were to happen to you because you forgot to change the beneficiary on your policy? Would you like the money to get tied up in court because you named your minor children as the beneficiaries? These are missteps that happen more than you think. Add to that the fact that people may have more than one policy—for example one through the workplace (a group policy) and one that they bought individually.

This is exactly the type of thing that a life insurance agent or advisor can help you with. And it won’t cost you anything to talk to them about it. Plus, if you’ve gone through tip #1, they can double check that the amount of coverage you came up with meets you needs. Also, it’s honestly a lot less hassle to have someone who knows what they’re doing help you out, and isn’t that what we’re trying to achieve here—get it done?

3. Don’t skip disability insurance. Many people aren’t really familiar with what disability insurance is and what it does. Basically, it replaces a portion of your income if you’re unable to work due to a disabling illness or injury. Why is that important? Think about how long you could make ends meet—pay rent or the mortgage and all your monthly bills if your paycheck suddenly disappeared. A Life Happens survey found that a majority of those who work wouldn’t make it more than a month before they’d have to make some serious financial sacrifices. Again, an online calculator can help; get started with this Disability Insurance Needs Calculator.

So, how do you get it? Your employer may offer disability insurance coverage through a group plan. If you’re not sure, contact your HR department or benefits manager to find out what kind of coverage you have (if any). If you don’t have coverage or need more than is offered through work, buying your own disability insurance policy is worth considering. Unlike group coverage, privately owned insurance stays with you even when you change jobs.

Also keep in mind that most people overestimate what the government will pay or cover if something were to happen. According to the National Safety Council, 73% of long-term disabilities are a result of an injury or illness that is not work-related and therefore wouldn’t qualify for Workers’ Compensation. And if you were hoping for Social Security disability benefits, know that about 45% of those who apply are initially denied, and those who are approved receive an average monthly benefit of around $1,100, which would leave you living at about the poverty level.

4. Automate your emergency fund. While not as fundamentally critical as the above tips, this will probably have the most impact on your day-to-day life. Everyone one of us runs into unexpected events that are costly—a major car repair, a leak in the roof, a job loss … the list, as you know, can seem endless. To give yourself peace of mind and bit of cushion, set aside a certain amount each month—it could be $50 or $500, depending on your financial situation—and have it automatically deposited into your savings account. If it’s easier to track, you could even keep it in a separate account. Then it becomes a no-brainer, because that money isn’t there for you to spend. In a year, if you chose one of the above amounts, you could have $600 or $6,000 stashed away!

These tips will set you on the path of ensuring that if the unforeseen happens, you and your family will be OK financially. And what’s worth more than your peace of mind?

Filed Under: Disability Income Insurance, Life Insurance Tagged With: Disability Income Protection, Term Life Insurance

Rule of thumb No. 1: Multiply your income by 10.

Rule of thumb No. 2: Buy 10 times your income, plus $100,000 per child for college expenses

Rule of thumb No. 3: The DIME formula

How to find your best number

Information at the top of your EOB

Information in the body of your EOB

When you’re single

Married with children

The golden years

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