Ep 40: Mailbag - Long-Term Care Insurance, Inheritance, and Pension Options
RetirementOn This Episode
Today we’re opening the mailbag and taking your questions about long-term care insurance, inheritance, and pension options. Is it OK to rely on a promised inheritance? What should you do if you’re too young to retire but are losing your job?
Takeaways
On today’s Saving With Silverman podcast, Mark Silverman CFP® answers your mailbag questions.
Sharon hasn’t bought any long-term care insurance because she assumes she will get a large inheritance from her parents by the time she needs nursing home care. Is that a bad plan?
This is not a great plan. The problem with an inheritance is we don’t know what year you’ll get an inheritance or exactly how much money you’ll get.
There are some other more flexible options than just long-term care insurance that we’re happy to discuss with you. Feel free to reach out, and you might be surprised by some of the other options we share with you.
Tom can get $3,500 a month with his pension, but his wife gets nothing when he dies. Or he can take $2,900 a month and she’ll get all of it when he dies. Which is better?
It depends. Women tend to outlive men anywhere from 4 to 8 years. You also need to take Social Security into account and what she would get if you died. The fact that you have a pension means you’re ahead of most people.
You may want to look at taking the $2,900 or take all of it, and we can use the extra to buy life insurance for you. You have some options.
MaryBeth’s job is about to be eliminated. She’s 55 and can’t pull money out of retirement and doesn’t think she can find a job making that much. How much should she be concerned?
There are ways you can tap into your retirement before 59.5. There’s a rule called 72(t) that allows penalty-free withdrawals from IRA accounts and other tax-advantaged retirement accounts like 401(k) and 403(b) plans.
Listen to the entire episode to hear more. Click on the timestamps below to skip to a particular segment.
It’s hard to plan for things when you don’t know when or how much.
- Mark Silverman, CFP®
The Layout
Listen to the entire episode to hear more. Click on the timestamps below to skip to a particular segment.
0:44 – Long-term care insurance
2:21 – Pension options
3:59 – Retirement money
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