Don't Rely Solely on "Uncle Sam's" Help During Retirement

You can't watch television or read a newspaper without being reminded of the uncertain times we're in. Disappearing jobs, disturbing stock market losses -- we don't need to tell you, it's rough out there. This has made retirement planning more complicated than ever.

From October 2007 to last December, the market lost nearly $3 trillion in retirement savings.* Many who were counting on their 401(k)s don't even read their account statements anymore. But other factors have muddied the waters for mapping a course toward retirement.

People are living longer. An American born in 1955 was expected to live to age 69, on average. Forty years later, life expectancy was 76.** This is good news; but, we need to prepare for more years of retirement. And, if you thought Social Security would take care of you, think again. Last year, the maximum monthly benefit was $2,185*** -- not enough for many of you to live comfortably.

While there are no easy solutions, the purchase of a life insurance policy can guarantee**** the protection of your loved ones and additionally supplement your retirement savings,***** if the death benefit is no longer needed.

Life insurance's primary purpose is to provide guaranteed death benefit protection, which can provide a tax-free legacy to your loved ones. But, permanent life also carries many living benefits. Cash value is money that accumulates within the policy, tax deferred. This means you do not pay taxes on any of the accumulation within the policy. In addition, you can access that money tax free though policy loans.****** These same funds can also be used for college expenses, as collateral for a small business loan, or any other happily anticipated or unexpected event. In addition to the death benefit protection provided by life insurance, it can also be used to supplement your retirement income. As such, it can be a vital piece of the complex puzzle of retirement planning.

This educational third-party article is being provided as a courtesy by Christian Misa. For additional information on the information or topic(s) discussed, please contact Christian Misa at (201) 291-5759.

Urban Institute, Fact Sheet on Retirement Policy, "How Is the Recession Affecting Older Workers?" Dec. 2009, Richard W. Johnson, 

** Voice of America, "U.S. Life Expectancy Hits New High," Sept. 17, 2007.

*** Fast Facts and Figures About Social Security, 2008, SSA Publication No. 13-11785. Released Aug. 2008, page 2.

**** Guarantees backed by the claims-paying ability of the issuer.

***** Loans against your policy accrue interest and decrease the death benefit and cash value by the amount of the outstanding loan and interest; withdrawals reduce the available death benefit.

****** If your life insurance policy is paid up and your need for a death benefit decreases.

Neither New York Life, nor its agents, provides tax, legal or accounting advice. Please consult your own tax legal or accounting professional before making any decisions.

 The Guest Column is our readers' opportunity to write about a given issue or topic in an in-depth and educational manner.

The opinions expressed herein are the writer's alone, and do not reflect the opinions of or anyone who works for is not responsible for the accuracy of any of the information supplied by the writer.

TAP Into Another Town's News:

You May Also Be Interested In

Sign Up for E-News


A Week at the Library of The Chathams Monday, February 19 – Sunday, February 25, 2018


By Galina Natenzon

Friends of the Library are continuing their book collection in preparation for Annual Book Sale.  Kids are off from school on Monday for Presidents’ Day – bring them to the library!  We have plenty for them to do.  For adults, Professor Licklider’s second lecture on North Korea will take place on Tuesday.  The ...

A Week at the Library of The Chathams - Monday, February 5 – Sunday, Sunday, February 11, 2018

A Week at the Library of The Chathams

Monday, February 5 – Sunday, Sunday, February 11, 2018


By Galina Natenzon

Friends of the Library book collection continues.  The tax season is here, and dedicated volunteers are here to help you with you tax returns!

For information about all programs or to sign up, please call the library at 973‑635‑0603 or go to ...

Imagine a Chatham Toboggan Ride from the Top of Fairmount Avenue to Main Street

Did you know….
there was a time when Chatham kids could ice skate from downtown Chatham all the way to Florham Park? And that a toboggan ride could last from the top of Fairmount Avenue down to Main Street and beyond?

Those were the days!

This was back in the early to mid-1900s. The Passaic River meandered through grassy meadows and woods on the north side of Chatham. The marshy ...


AtlantiCast Medical Minute: Atlantic Orthopedic Institute’s Scoliosis and Spinal Deformity Center

On this episode of the AtlantiCast Medical Minute, we’ll take you inside the Atlantic Orthopedic Institute’s Scoliosis and Spinal Deformity Center, with the center’s director, Jason Lowenstein, MD.

Video Link:

AtlantiCast Episode 011

Breaking Atlantic Health System news on this week’s AtlantiCast! Plus, find out why Morristown Medical Center is one of the best hospitals in the nation when it comes to recovering from joint surgery, see the newest center for fighting brain cancer and an Atlantic Health System red-carpet premiere!


Elizabeth Silveira named to Endicott College Dean's List

February 18, 2018

BEVERLY, MA - Endicott College is pleased to announce that Elizabeth Silveira of Chatham has been named to the Dean's List for fall 2017.

In order to qualify for the Dean's List, a student must obtain a minimum grade point average of 3.5, receive no grade below a "C", have no withdrawal grades, and be enrolled in a minimum of 12 credits for the ...