Viking Magazine - March 2019 - 11

Sons of Norway, 1455 West Lake Street, Minneapolis, MN, offers financial products, but not all products are
available in all states. Products issued by Sons of Norway are available to applicants who meet membership,
insurability and residency requirements.
couples who opt for a simpler wedding
and reception can find themselves
struggling with the costs.
That's when the cash value in
an insurance policy might come in
handy for parents or grandparents
who want to help
fund the big day.
Withdrawing some
of the value is one
option. Withdrawals
are tax free up to the
amount that you've
contributed through
your premiums.
Money you withdraw
above that amount
will be taxable at
your current income
tax rate.
Taking a loan
against your policy is
another way to access
the cash value. You'll
pay interest on the
A " paid-up additions "
rider lets you
contribute more to
a whole life contract
at the beginning.
Because it increases
the cash value early on,
there's more there to
be compounded over
the life of the contract.
That can add greatly
to the cash value that's
available to you
later on.
loan, but the rate is typically lower than
with a personal loan from the bank,
and no credit check is required.
Another perk is that as you repay
the loan-you are, in effect, paying
that interest to yourself. Ultimately,
the death benefit that
the policy pays to your
beneficiary will be
reduced by the amount
of your withdrawals or
unpaid loans.
Surprises Come Later in
Life, Too
Permanent life insurance
costs more than term
insurance, mostly
because it does stay in
place for your lifetime
and it will be there to
pay out a benefit when
you die. Term insurance
also becomes more
expensive if you buy
it or renew it later in life. It's always
best to talk with a financial advisor to
determine what kind of insurance makes
the most sense for you.
For people who choose permanent
insurance and who hold onto their
contracts and cash value into their older
years, the insurance can bring peace
of mind. The death benefit might be
important as income for a surviving
spouse who is no longer working,
or as a legacy you want to leave to
others. The cash value might help with
unexpected health care costs or difficultto-predict
long-term care costs.
Whatever surprises life holds for
you, remember that your cash value
life insurance might be an option you
have overlooked.
Are You
Prepared?
When life hands you a few
surprises, it's nice to fall back on
an emergency fund. Experts agree
on having three to six months of
living expenses set aside to avoid
debt and protect other assets. It can
be a lifeline when you experience
an unplanned event. Here are a
few situations in which emergency
funds can come in handy:
* Medical emergencies
* Job loss
* Cost of living increases
* Sudden moves
* Car expenses
* Major household
repairs
* Unexpected travel
* Paying off debt
sonsofnorway.com VIKING MARCH 2019 11

http://www.sonsofnorway.com

Viking Magazine - March 2019

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