Five Financial Threats to Your Financial Security
By Sherrell T Martin
 There are 5 financial threats to your financial security. Everyone will encounter at least one of these threats within their lifetime. Are you ready?
Premature Death. What happens if you or a family member dies too soon? Are you prepared? Many households say they own life insurance. But most only own enough to replace their income for two to three years. For example, if your salary is $50,000, you more than likely own about $150,000 in coverage. When those three years are up, will you still be financially secure? Or will your family have to be uprooted from their normal day-to-day life?
Illness. What if you become sick and don’t die? How will you pay for your medical expenses? Are your savings enough to cover a major event? Three out of four people over the age of 40 will experience a critical illness at some point in their future. Every 40 seconds someone in the US suffers from a stroke. Every minute an American will die from a coronary event. * Most Americans savings are wiped clean due to the amount of the medical expenses that are incurred to cover these costs. Fact: One of the leading causes of bankruptcy is due to illness, which leads to major medical expenses. This is turn, causes Americans to not pay bills so they can afford health costs.
Disability. If you become disabled, do you have coverage that you can use to maintain your living while being temporarily disabled? One in five working Americans suffers the effects of a disability for more than six months during his/her working career. ** Be sure your coverage doesn’t run out.
Long-Term Care. The U.S. Bureau of Census estimates that by 2060 as many as 24 million people will need long-term care services. In the event that your disability restricts you for more than six months, you need to be prepared for the unexpected. Be sure your coverage doesn’t run out. Fact: Long-term care is very costly. Nurses make on average approx $40/hr= $320/day= $9,600/month. This is for in-home nursing care. What if you need to go into a long-term care facility?
Outliving Your Income. People are living longer and longer, but they are saving less and less. It’s hard to believe you could “live too long.” Financially speaking that is. Most Americans retire in poverty. 73.8% of Americans 65 and older retire on a combined income of private pension and social security of $10,000 or less a year. Think about it. With the average life expectancy for men and women being 86 and 92, respectively, no one ever considers when they retire at age 55 or 60, that they will life for another 30 years. How will you continue to maintain your daily living? Social security is fading fast and 401K accounts have taken major hits the past few years. Are you prepared to live a fruitful life or a life of “retirement poverty?”
About the Author
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| Sherrell T Martin, Empower 2 Thrive, LLC
145 Fleet Street, Unit 180
Oxon Hill, MD 20745
888-851-6130
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