The Insurance Doctor

Year: 2017

5 reasons seniors should sell their life ins. policy in 2018
Many seniors are creatures of habit and are holding onto their large life insurance policies with expensive premiums that they may no longer need or afford. Based on the new Tax Law Reform, 2018 could be the best time to sell their policy.
1. The Estate Tax has been increased: The tax exemption has been raised to $11,200,000 per person, $22,400,000 per couple hence the policy may no longer be needed to pay any estate tax.
2. Tax law change on selling life insurance policies: People who sell their policies will now receive the same treatment as those who cash surrender their policy. In many cases, selling the policy can net 2-4 times more than the current cash value!
3. 20+ settlement companies bid on your policy: We have access to 20+ settlement companies that will bid on buying your policy for much more than the current cash surrender value.
4. Term policies can also be sold: Even term policies with zero cash value can often be sold for cash.
5. Receive money instead of paying expensive premiums: Many seniors are on a fixed income and struggle to pay premiums. This way they can receive a lump sum of cash and no longer have to pay those premiums which should improve their quality of life.
Reach out to us to find out how it works and to obtain a no cost, no obligation quote on how much money you, your parents and/or grandparents can get by selling their policy!
December 27, 2017
6 Reasons Insurance Companies Know Everything About You
You may want to think twice what you tell your doctor on your next visit. Medical records are now online. When you sign a HIPPA (health ins privacy) form to apply for life, disability and/or a long-term care policy the following information is available with a few mouse clicks:
1. On-line medical records: Insurance companies can and will be able to see what medications you take by doing a pharmacy scan.
2. Driving record: Companies can pull up an MVR (motor vehicle report) which can show drunk driving etc.
3. The MIB: Medical Information Bureau: This isn’t the Men in Black movie, LOL. Companies can see whenever you apply for other insurance policies whether or not you take them.
4. Criminal Record: Databases are linked and they can check on your prior arrest records.
5. Memberships: Companies can see what type of groups, clubs and or organizations you belong to.
6. Social Media: Some companies will look you up on Facebook, LinkedIn, etc to see what type or person you are and your public posts.
December 6, 2017
Six Tips to Save on Dry Cleaning
Proctor and gamble did a study in 2008 and found the average woman spends over $1500/year in dry cleaning. Men who wear suits daily would spend more than half that amount. Can these bills be eliminated, probably not. Reduced, for sure!
1. Take off your work clothes and hang them up immediately upon returning home from work. Let clothes “air out” for a few hours before putting them back in a cramped closet.
2. For men, wear a washable t-shirt under shirts and jackets to prevent perspiration stains.
3. For semi-wrinkled clothes either use Downy wrinkle releaser or actually hang garments in your bathroom while showering, close the door and let sit for 10 minutes.
4. Search and clip coupons and choose a dry cleaner who is located close to your home.
5. Launder versus Dry Clean. Many dress shirts do not require dry cleaning but can be professionally laundered and pressed instead for a reduced price. Check your tags and try laundering items that don’t require special treatment. Your shirts will look just as good.
6. Travel tip: when on a business trip leave shirts/suits/dresses in the dry cleaning plastic when folding in half to pack. This will reduce most if not all of the wrinkles from movement in flight etc.
November 28, 2017
10 Dirt Cheap Places to buy a Vacation Home

This article looks at places both in the USA and around the world where you can purchase a home and live in relative luxury on a poor man’s salary.

1. Argentina: Argentina has been a tourist mecca for generations and is a great producer of wine. A 1500 sq, foot home can be had for about $140,000. The cost of living is a fraction of anywhere in the US and it has the amenities that many Americans and Europeans expect.

2. Mexico: Americans have known for a long time how inexpensive Mexico is as many Americans relocate, vacation and get medical treatment there. For about $700/ month you can find a nice 1-2 bedroom home near a tourist area including internet and sightseeing.

3. Quito, Ecuador: Some great things about Quito is that it’s already an ex-pat US destination and is uses the American dollar for currency. There are places along the coast which are similar to US places. Also, food is so cheap that it costs less to eat all meals out in restaurants than it would cost to go to the supermarket and cook for yourself at home.

4. Cambodia: Cambodia is super cheap! A full-time housekeeper costs about $120/month. A 4 room villa with a pool costs about $600/month and about $7/day to eat all meals out in most areas. About $20,000 will buy you a nice 3 bedroom home on 1 or more acres.

5. Vietnam: Vietnam has become a tourist destination. You used to have to own a business to buy property however those rules have been relaxed. For $25,000-$50,000 you can find a nice home in or near a resort area. Food is very cheap as is labor so you can have a cook when there. Also, because of demand, it’s easy to rent the house out.

6. Thailand: Thailand is a legendary tourist destination for food, nightlife and amenities. Like Vietnam, it’s easier to buy property now. For $30,000 you can buy a high-rise condo with amazing views. For $60,000 you can buy a 2-3 bedroom home with a beautiful garden and pool.

7. Bulgaria: Bulgaria is stunning from the ancient architecture to the surrounding hills and countryside. For $1,000/month you can live in comfort and like a king for $1500/month. The average monthly salary is about $800 and for $20,000 you can buy a very nice home.

8. Budapest, Hungary: Hungary is one of the oldest and architecturally stunning places in the world. A $1,000 sq. foot home with some land runs about $90,000. The people are kind and hospitable and there are about 50,000 ex-pats living in Budapest alone.

9. Mississippi, USA: Mississippi offers comparable prices to Budapest and Bulgaria. A plush 3 bedroom house can be had for $80,000. The north offers music and jazz while the south has beaches and gambling. There is great weather year round and cultural diversity.

10. Louisiana: Louisiana offers a combination of southern charm and Cajun flavor. You can buy a fully renovated historic 1800’s home for under $100,000. There is fantastic wildlife and you can hire a cook for half the price of eating out.

November 15, 2017
5 Tourist Traps to Avoid
There are so many fabulous places in the world to visit. Avoid the hype as these 5 tourists traps that are a waste of time!
1. Stonehenge, Wiltshire, England: This mysterious site may date as far back as 3000 bc. More than 1.3 million visited in 2014. It takes hours to get there and you can longer go into the central ring of stones. It’s a ton of tour buses with tourists walking in circles aimlessly!
2. Mall of America, Bloomington, Minnesota: Receives over 40 million visitors from around the globe each year. Expect heavy crowds and over-priced goods. Unless you are going on rides it’s a waste of time!
3. La Boca, Buenas Aires, Argentina: It’s a brightly painted neighborhood that attracts tourists looking to take tango lessons and photograph crayola-colored houses. It’s basically 1 fake-looking street painted to get tourists to visit the over-priced coffee shops, bars and restaurants.
4. Walk of Fame, Hollywood, California: It’s comprised of 15 blocks of Hollywood blvd and marked by commemorative stars in the sidewalk. Seedy sin city type crowds with hookers, dirty streets and solicitors everywhere.
5. Manneken Pis, Brussels, Belgium: Manneken Pis depicts a naked boy urinating in a fountain. For some this 17^th century sculpture is a work of art. For most this is a small statue that’s a waste of time!Are you prepared for your financial journey? Avoid the traps by contacting Robert today.
October 25, 2017
6 Fun Facts about Major League Baseball

The 2017 major league baseball season opened on April 2nd with the Tampa Bay Rays hosting the New York Yankees. Some MLB teams cater to fans with discounted tickets and food while some play hardball with very high prices. The average price of 2 tickets (cheapest seats available) 2 small beers, 2 hot dogs and parking is about $78. Prices vary greatly from ballpark to ballpark. Fans who enjoy a game at the cheapest stadium ($48 Angels) will pay $110 less than the most expensive ($157 Red Sox). Enjoy some of the these facts:

1.Tickets: The least expensive tickets available are surprisingly the LA Angels at $9.80/seat and the most expensive are the Boston Red Sox where it will set you back $48 for Fenway Park upper deck seats.

2. Hot Dogs: At the Great American Ballpark in Cincinnati a hot dog will set you back only $1 whereas it costs $6.25 for a dog at Citi Field to watch the NY Metropolitans.

3. Beer: A small brouhaha costs only $4 to watch both the Arizona Diamondbacks and Cleveland Indians. It’s a three-way tie for most expensive at $7.75 to watch the Cubs, Red Sox and Phillies.

4. Parking: Parking is FREE at Tropicana field to watch the Tampa Bay Rays while it will cost you at least $35 to watch the NY Yankees or Boston Red Sox.

5. Ticket Cost Comparison: Although both teams play in California a ticket to see the San Francisco Giants costs more than double the price of a ticket to see the LA Dodgers.

6. Hot Dog Price Comparison: Although the price to see a game at Yankee Stadium and Fenway Park rank in the top 3 in baseball the price of a hot dog cost 75% more in Boston.
Keep these things in mind when you decide to visit new ballparks as pricing could be a home run or a total washout!

Ask Robert how to hit a personal financial home run with your free consultation today.

October 17, 2017
8 Family Leave Act Facts Every NY State Business Should Know
New York is the 6^th state to enact the PFL(paid family leave) act joining California, New Jersey, Washington, New Jersey and Rhode Island. We expect many other states to follow suit. To check your state’s rules go to www.NationalPartnership.org. Ignorance is expensive!!
1. It’s effective on 1/1/18: Employees can have a baby today and give 30-day notice that they are taking (50%) paid time off the first 8 weeks of 2018 to bond with their baby.
2. All employers with payroll must comply: All business owners with 1 or more employees on payroll must comply. As of 7/1/17, owners can deduct up to 0.126% of employee weekly pay to partially cover the expense,
3. There is a 4-year phase in: In NYS 2018 the maximums are 8 weeks of pay at 50% of the employee wage base max of $1,305.92 meaning $652.96/week. 2019 it goes to 10 weeks at 55%, 2020 it’s 10 weeks at 60% and in 2021 it caps out at 12 weeks at 67%.
4. A notice must be given in 2 of 3 ways: NYS will create a poster that “must be displayed in plain view where all employees and/or applicants can readily see it”. Employee handbooks must be updated to explain rights, obligations and how to file a claim. If you have no handbook, written materials must provide written guidance on the above.
5. Reasons for paid leave include: Bonding with a new child (birth, adoption or foster), care for a “family member with a serious health condition”, caring for one’s own disability and qualifying if a spouse, domestic partner or child are called to active duty!
6. Family members include: A child, foster child, parent, grandparent, grandchild, spouse, domestic partner, child of domestic partner, parent-in-law and step-parent.
7. Part-time and Full-time workers may qualify: Full-time employees who work 20 or more hours/week are eligible for PFL after 26 consecutive weeks of employment regardless of how many days/week worked. Part-time under 20 hours/week qualify after working a total of 175 days.
8. Employers face fines for failure to provide coverage: Employers face fines up to .5% of weekly payroll for the period without coverage, plus an additional sum of $500. If employers don’t continue health coverage for an employee while on leave, the employer will be responsible for medical costs incurred by the employee while on leave.
These facts are only a part of the new PFL law. Feel free to reach out to me or download a copy of our 8-page white paper on these rules and NYS DBL rate quotes.
September 26, 2017
5 Mistakes to Avoid When Applying for Your Student’s Financial Aid
FAFSA: The Free Application for Federal Student Aid. All students interested in financial aid (free endowment monies) for college will need to complete this form. Usually, the parents/guardians fill it out using their tax return.
1. Don’t include retirement assets on the FAFSA: The FAFSA doesn’t care how much you’ve got in your 401k/IRA/pension. They do ask about cash, savings and checking accounts to name a few items.
2. Don’t wait until your 2017 taxes are done to complete: Use estimated 2016 tax return numbers then adjust them later. This is one of the biggest mistakes as the FAFSA completion holds your place in line for free endowment money when the coffers are full! Complete it before the end of February then adjust it when your 2017 taxes are done. This is especially important if you file a filing extension.
3. Don’t forget to list the colleges: You can include up to 10 colleges your son/daughter has applied to. The federal processors will send the pertinent FAFSA info to the schools. You will need each college’s school code.
4. Don’t inflate your education: If both parents didn’t graduate from college, don’t list “college” as their/your highest education even if you completed a few years. Plenty of schools treat these applicants more favorably if they are considered “first-generation” college students.
5. Don’t assume you won’t qualify for financial aid because your house is too valuable: The FAFSA doesn’t care if you own a house*. They do ask about second homes and real estate investments.
Notes: One cannot receive endowment “free” money without first completing a FAFSA. If you apply to more than 10 schools you can go into FAFSA a week after completing, change some schools and they will receive the FAFSA info.

*Certain schools use the CSS (formula) profile whereby home equity and sibling assets will count against you.

**Contact Robert today for sound advice and strategies for completing the FAFSA and financing your child’s education.
August 15, 2017
SAT vs. ACT Exams: 5 Questions Answered
Although it’s technically still the summer, many high school students (and parents) are feeling anxiety about taking the SAT and/or ACT exams this month. There’s a lot of bad information out there on this topic. Below are answers to 5 popular questions:
1. Should I take the SAT or ACT? We strongly recommend taking both exams multiple times if possible. Most schools accept both and students may decide which scores to send to colleges.
2. Why don’t my college advisors know much about the ACT? The SAT is far more popular in the northeast and California while the ACT rules in middle America. This is the first year the ACT will surpass the SAT in total tests taken.
3. If I had to choose one, why take the ACT? Vocabulary is less important, math counts for about 25% of the score and there is no penalty for a wrong guess.
4. If I had to choose one, why take the SAT? Math accounts for about 33% of the score and there are no science or trigonometry questions.
5. When should I take these exams? We suggest practicing as a freshman and taking the first exams offered as a sophomore to get scores back early, find weak spots and have time to taken them again.
  *Contact Robert today for your free initial consultation*
August 9, 2017
5 Reasons 529 Plans are a Waste of Time

5 Reasons why 529’s are a waste of time

Unless you are getting other people like grandparents to contribute money to your child’s 529 they are a waste of time for the following reasons:

1. They reduce the amount of endowment “free” money students can qualify for: Ex. With $100,000 in a 529 the first $25,000/year is on you!

2. High fees, charges and broker commissions: Most 529’s have front or back end charges as well as annual fees regardless if it’s making money.

3. Exposure to stock market fluctuations: The market can go down 50% during your student’s high school senior year and the money is gone with no time to recover.

4. Limited fund and investment choices: Most states have only 1 fund family to choose from. If you choose a different fund family odds are you will lose your resident state’s income tax deduction.

5. What happens if your only child gets a scholarship?: All funds withdrawn in this scenario would incur a 10% withdrawal penalty.

There are several other options as to where to stash money and how to pay for college that won’t have market risk or adverse effects on potential scholarship money.

Contact Robert today for a better way to fund your child’s college education

July 18, 2017