Insurance is essential to any comprehensive financial security plan. If tragic events like death, disability or critical illness strike, insurance can protect you and your family from undue hardship. Some life insurance policies also provide tax-advantaged savings that you can draw on to achieve goals like buying a house or retiring comfortably.

I have access to a variety of insurance products that can help meet your financial security planning needs. No matter your personal situation—if you’re single or in a family; a professional or a seasonal employee; an executive or small business owner we’ll work together to design a customized plan.

• Life insurance (term and permanent)
• Long-term care, disability and critical illness
• Group health benefits
• Insurance strategies for trusts and estate planning

 

Life Insurance

In the event of death, life insurance offers surviving family members increased financial security. As a tax-free lump sum payment, it can pay for final expenses and debts, as well as provide income for the deceased’s dependents.

The advantages of life insurance include:

• An instant estate for your loved ones at a time when funds are most needed
• Death benefits that are almost always non-taxable for named beneficiaries
• Avoid probate costs if you name a beneficiary other than your estate
• Potentially offer your loved ones creditor protection through some life insurance plans
• Build tax-advantaged capital for retirement purposes or provide liquid savings through some permanent life insurance plans

We can help you select coverage from a variety of life insurance options to meet the needs identified in your financial security plan.

Life insurance can play a vital role in your financial security plan - contact us today to find out how.

 

Long-term Care, Disability and Critical Illness insurance

Help protect one of your most valuable assets – your income – from unexpected events through long-term care, disability and critical illness insurance.

Income is important for both current financial obligations (e.g. daily expenses and mortgage payments) and for future financial security (e.g. planning for your children’s education or for retirement). 

Long-term care and disability insurance products help protect your ability to earn an income and give you peace of mind in an otherwise tumultuous time in your life.

We I can help you choose the long-term care and disability insurance products that provide advantages like:

• Helping maintain your financial independence, lifestyle and long-term financial security plan in the event your income is impacted by disability
• Assist with paying fixed expenses for your business if you become disabled
• Support the buy-out of a disabled partner’s share of a business

We can help you tailor your financial security plan so it protects your income now and in the years and even decades ahead. Contact us today to find out how.

 

Critical illness insurance

Suffering a critical illness is distressing for both you and your family. Help ease the burden through insurance that will reduce financial stresses and can complement disability and life insurance protection needs. By helping pay for the additional expenses often associated with a critical illness or condition, insurance offers you, your family, and if applicable, your business, added financial security—so you can focus on recovery.

The advantages of critical illness insurance can include:

• Coverage for up to 22 critical illnesses or conditions
• An initial lump-sum benefit you can use however you wish—from making mortgage payments to seeking medical treatment outside Canada
• Home-care costs during illness and recovery periods
• Even if you’re not disabled from working, you may receive payment
• The ability to provide a return of premium benefit (optional)
• Individuals who cannot obtain disability insurance in some cases still qualify for critical illness coverage (e.g. a non-income earning spouse)

Contact us today to determine whether critical illness insurance fits into your financial security plan.

 

Group health benefits

In today’s working environment, valued employees are looking for more than financial compensation. They also want an employer who supports their health, and the health of their families.

For this reason, either by itself or paired with group insurance products, consider attracting and retaining employees with group benefit plans. From traditional health and dental benefits to alternative arrangements like employee wellness programs, group auto insurance or flexible work situations, group benefits help make employees more efficient, productive, and happy. Employers also gain tax benefits, such as premiums that are deductible as a business expense in some cases.

Flexible plans offer employers and employees cost-effective, customized ways to address their needs. Choose from an array of benefits like:

• Extended health and dental care coverage, which includes options like prescription drugs, paramedical services, vision care, out-of-country medical coverage, basic dental work and orthodontics
• Group life insurance
• Group short- and long-term disability insurance
• Employee assistance and wellness programs

 

The Future of Health Care

Longer life spans can also translate into more health issues that arise in the process of aging.  The federal government provides a safety net in the form of Medicare, however, it may not provide the coverage needed especially in chronic illness cases. Of course, even as you read this, health care policy and law is evolving. Be sure to check in with Chartwell Wealth Management periodically to learn how new developments in the area of health care might  affects you .

 

Estate Protection

Planning for the transfer of assets at death is a critical element of retirement planning especially if there are survivors who are dependent upon the assets for their financial security.  Planning for estate transfer can be as simple as drafting a will, which is essential to ensure that assets are transferred according to the wishes of the decedent. Larger estates may be confronted with settlement costs and sizable death taxes which could force liquidation if the proper planning is not done.

At Chartwell, we’re proud to work with trusted attorneys throughout Southern New England to assist you in the area of estate planning. Already have a trusted attorney? We’re confident they’ll enjoy working with Chartwell on your behalf. Also, Chartwell is pleased to work with many area accountants when it comes time to do your taxes. Our goal is to help your accountant file your taxes quickly and accurately.

 

Social Security

Social Security was established in the 1930’s as a safety net for people who, after paying into the system from their earnings, could rely upon a steady stream of income for the rest of their lives.  The age of retirement, when the income benefit starts was, originally, age 65 which was referred to as the “normal retirement age”.  Now, for a person born after 1937, the normal retirement age is being increased gradually until it reaches age 67 for all people born in 1960 and beyond.  The amount paid in benefits is based upon the earnings of an individual while working.  If a person wanted to continue to work and delay receiving benefits, they could do so build up a larger benefit.  Conversely, early retirement benefits are available, at a reduced level, as early as age 62.

Of course, Social Security rules and laws can change going forward; so be sure to visit our website for the latest updates.

 

Employer-Sponsored Qualified Plans

Most employer-sponsored plans today are established as “defined contribution” plans whereby an employee contributes a percentage of his earnings into an account that will accumulate until retirement.  As a qualified plan, the contributions are deductible from the employee’s current income.  The amount of income received at retirement is based on the total amount of contributions, the returns earned, and the employee’s retirement time horizon.  As in all qualified plans, withdrawals made prior to age 59 ½ may be subject to a penalty of 10% on top of ordinary taxes that are due.

Depending on the size and type of the organization, they may offer a 401(k) Plan, a Simplified Employee Pension Plan or, in the case of a non-profit organization, a 403(b) plan.

 

Things to remember: Traditional and Roth IRAs

Individual Retirement Accounts (IRA) are tax qualified retirement plans that were established as way for individuals to save for retirement with the benefit of tax favored treatment. The traditional IRA allows for contributions to be made on a tax deductible basis and to accumulate without current taxation of earnings inside the account.  Distributions from a traditional IRA are taxable.  A Roth IRA is different in that the contributions are not tax deductible, however, the earnings growth is not currently taxable. To qualify for tax-free and penalty-free withdrawals of earnings, a Roth IRA must be in place for at least five tax years, and the distribution must take place after age 59 ½ or due to death, disability, or a first-time home purchase (up to a $10,000 lifetime maximum).  Depending on state law, Roth IRA distributions may be subject to state taxes..

Distributions from traditional IRAs and employer-sponsored retirement plans are taxed as ordinary income and, if taken prior to reaching 59 ½ , may be subject to an additional 10% federal tax penalty.

For more information on retirement income needs and income sources, please contact us today.