Do you know how much it takes to raise a child these days? Are you sitting down? That would be almost a quarter of a million dollars. It cost $245,000 to raise a child born in 2013 until they hit 18, according to the U.S. Dept. of Agriculture. This is not about a luxury upbringing. This is no Kardashian-esque baby outfitted in cashmere onesies. This is not about a privileged college education, because these numbers do not include the cost of college. That’s extra. Add on about $18,000 a year for public and $41,000 for private college. This number, $245,000, is a place to live, food, clothes, health care—the basics. More >>
Can You Afford Just 1% to Protect Your Kids?
26
Feb
Permanent life insurance is one of the most confusing topics in personal finance. This makes a discussion of whether to buy term or permanent insurance a daunting task. Term insurance provides a level premium and a level-death benefit protection for a stated period of time, such as 10 or 20 years. Permanent insurance typically provides both a death benefit and cash savings. There are different types of permanent insurance, including whole life, universal life, index-universal life, variable life and variable-universal life. The initial premium for permanent insurance is higher than for term insurance with a comparable death benefit. A portion of the premium may be invested, eventually providing a buildup of cash value.