See you on the other side Zig!

Zig Ziglar, Nov 28 2012

Today we lost the great Zig Ziglar. He is now with heaven with the Lord he loved so much. Zig influenced so many people including me. His wisdom on life, leadership, relationships is well known by all of those he touched. For me, I will always remember how much Zig loved God and how generous he was with his knowledge. I got to see him live only once in Austin, TX a couple of years back. He was in declining health but his joy and sparkle were still very much there.

He will be missed. In his honor and with gratitude here are my favorite Zig Ziglar quotes. See you on the other side Zig!

  • “Of all the “attitudes” we can acquire, surely the attitude of gratitude is the most important and by far the most life changing.”
  • “I’m so optimistic I’d go after Moby Dick in a row boat and take the tartar sauce with me.”
  • “It’s true. Spectacular preparation precedes spectacular performance.”
  • “Look back in forgiveness, forward in hope, down in compassion, and up with gratitude.”
  • “You are the only person on earth who can use your ability.”
  • “People often say that motivation doesn’t last. Well, neither does bathing – that’s why we recommend it daily.”
  • “Be helpful. When you see a person without a smile, give him one of yours.”

 

Reducing the Risk To Your Financial Plan: 7 Required Types of Insurance

7 Required Types of InsuranceAs this year winds down, it is the perfect time to start planning for the new year.

You might be thinking of setting goals to gain control of your finances by getting on a budget, saving more and getting out of debt.

As you work on your financial plan, I also want you to consider the need to manage the risks to your finances by evaluating the role of insurance in your financial plan.

What is the role of insurance? In simple terms, insurance is the tool that is designed to protect you and your family against what might happen.

When you have the right level of insurance coverage in place, you are transferring the risk to another entity (an insurance provider) and you pay a premium for that risk transfer.

7 Required Types of Insurance

If you think about it, insurance works like an umbrella works when it rains. The umbrella does not stop the rain, but it keeps you from getting wet.

Likewise, having the proper insurance won’t stop an event, but it will help you weather the storm and minimize the impact to your finances. So what types of insurance do you need?

1. Home Insurance/Renters Insurance

Your home is your most valuable asset so you need to ensure it is properly covered.

Be sure that you review your policy on a regular basis so the coverage you have stays in step with the value of your home.

Another option is to look for a policy that provides “guaranteed replacement cost” for your home.

This type of coverage is rare these days but you should still look for it. If you are renting, you also need to have the proper coverage on your assets to cover against the loss due to theft or fire as an example.

2. Auto Insurance

You should have both liability and collision coverage on your vehicles.

Having at least liability coverage is a legal requirement in the U.S.

3. Health Insurance

This is one of the most critical areas to have the proper coverage. Medical bills are consistently a leading cause of personal bankruptcy.

In order to save in your premiums, you can increase your deductible and/or co-insurance amounts.

You should also evaluate if a Health Savings Account (HSA) might be a good option for you.

The HSA is a tax-sheltered savings account for medical expenses that works with a high deductible insurance policy.

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4. Long Term Disability Insurance

This is the type of insurance that would replace your income if you were to be disabled from working for an extended period of time.

The best deal in this area is when it is offered by your employer at a discounted rate.

You need to look for a policy that is designed to replace 65% of your income.

5. Identity Theft Insurance

Identity theft is one of he fastest growing crimes in the U.S. Over 200 million people have had their identities compromised in a data breach since 2005.

The best type of identity theft coverage not only monitors for identity theft but also assigns a counselor/specialist to deal with the restoration services on your behalf.

If your identity is stolen, the biggest and most time-consuming problem is dealing with creditors to restore your good name.

6. Life Insurance

If you have anyone depending on your income, you need to make sure they will be taken care of in case something happens to you.

The recommended coverage amount is 8 to 10 times your annual income.

The preferred option is to have 20 to 30 year Term Life insurance. It is a less expensive option than Cash Value or Universal /Whole Life type of insurance.

The industry is very competitive so if you are healthy you should be able to get great coverage for a great price.

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7. Long Term Care Insurance

This is the insurance that would pay for the expenses in a retirement home, at an assisted living facility, or for in-home care.

These expenses are very high and if not covered could quickly eat through your retirement nest egg. 69% of people over the age of 65 will require long-term care at some point in their lives.

You should put this insurance in place for yourself as soon as you turn 60 years old. Be sure to include a cost-of living rider and that the pay-out period is “until death“.

So, how well covered are you? Do you understand the risks to your household?

What do you need to do today to reduce the risks to your finances? Review your insurance position today!

Yes, You Can Win With Money

My wife Stacey completed her first 5K run yesterday. This was a goal she set for herself a couple of months ago. She prepared herself by finding a training regime and executing it with great commitment by training regularly. During her training, she had to deal with an injury to her heel but this did not stop her. Instead, she found information on how to treat her injury and she also sought advice on her running shoes. To sum up, she kept going in spite of the obstacles. Finally she achieved her goal by running and finishing the race. I am very proud of her and I know this is not her last race.

What can we learn and apply from Stacey’s achievement with regard to your finances? Here are just a few lessons you can apply so you can win with your money:

  • Start where you are. Stacey had never run a 5K before so this was new to her. In your case, control of your finances may seem out of reach. But it is not. You can start today because if you don’t tomorrow you will be in the same place you are today.
  • Set a goal. Stacey’s goal was to enter and complete a 5K race. She picked a specific race with a specific date. A specific goal will help you determine the necessary steps. What are some goals you could set for yourself? Here are a couple: “I will have a working budget starting in November“; “I will finish my beginner’s emergency fund by Dec 30“; orI will pay off all of my consumer debt by June 2013“. All of those goals have a specific target with an actual end date.
  • Prepare yourself. Gather information, gain wisdom. Take a class, read a book, research financial blogs. Learn about the different ways to prepare and track a budget, how to get out of debt, or how to prepare for retirement. The more information you have, the more prepared you will be.
  • Fight against discouragement. Whenever you attempt change, difficulties will come. Don’t give in and don’t give up. Keep the goal in mind. Get some wise counsel around you, keep fighting and keep going.
  • Follow through. There is nothing that fuels your fire more than achieving a personal goal. It shows you that it can be done and it gives you the momentum to keep going. You will be more energized to set the next goal and take the next steps. And don’t forget to celebrate your wins!

Yes, you can win money. It takes determination, preparation, and execution. Choose this day to change the direction of your financial destiny.

“The plans of the diligent lead surely to advantage, But everyone who is hasty comes surely to poverty.”
Proverbs 21:5 (NASB)

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Si, Puedes Ganar Con Tu Dinero

Mi esposa Stacey completó su primera carrera 5K ayer. Este era un objetivo que había establecido para sí misma un par de meses atrás. Ella se preparó buscando y ejecutando un régimen de preparación con regularidad. Durante su entrenamiento, tuvo que lidiar con una lesión en el talón, pero esto no la detuvo. Simplemente  encontró información sobre la forma de cómo tratar su lesión y también pidió asesoramiento sobre sus zapatos de correr. En resumen, ella siguió adelante a pesar de los obstáculos que se presentaron. Finalmente logró su objetivo de correr y terminar la carrera. Estoy muy orgulloso de ella y sé que esta no es su última carrera.

¿Qué podemos aprender y aplicar de los logros de Stacey con respecto a tus finanzas? Aquí hay algunas lecciones que se pueden aplicar para que puedas ganar con tu dinero:

  • Empieza donde estás. Stacey nunca había corrido una carrera de 5 Km. antes, así que esto era nuevo para ella. En tu caso, el control de tus finanzas puede parecer fuera de tu alcance. Pero no lo es. Puedes comenzar hoy, porque si no lo haces mañana estará en el mismo lugar que hoy.
  • Establece una meta. El objetivo de Stacey era entrar y completar una carrera de 5 Km. Escogió una carrera específica con una fecha específica. Un objetivo específico te ayudará a determinar los pasos necesarios. ¿Cuáles son las metas que se podrían crear para ti mismo? Aquí hay un par: “Voy a tener un presupuesto funcional a partir de noviembre“, “Voy a terminar mi reserva de emergencia inicial para el 30 de diciembre“, o “voy a pagar todas mis deudas de consumidor en junio del 2013“. Todos estos objetivos tienen un objetivo específico con una fecha de finalización real.
  • Prepárate. Recopila información, adquiere sabiduría. Toma una clase, lee un libro, investiga distintos blogs financieros. Aprende sobre las diferentes maneras de preparar y realizar el manejo de un presupuesto, cómo salir de las deudas, o cómo prepararse para la jubilación. Cuanta más información tengas, más preparado estarás.
  • Lucha contra el Desaliento. Cada vez que se intenta un cambio, las dificultades vendrán. No te rindas y no te quites. Mantén el objetivo final en mente. Consigue algunos sabios consejos de quienes te rodean, sigue luchando y sigue adelante.
  • Finaliza. No hay nada que alimenta el fuego más que el logro de un objetivo personal. Esto demuestra que se puede hacer y te da el impulso para seguir adelante. Tendrás más energía para establecer el objetivo siguiente y dar el siguiente paso. ¡Y no te olvides de celebrar sus victorias!

Sí, puedes ganar con tu dinero. Se requiere determinación, preparación y ejecución. Elije este día para cambiar la dirección de tu destino financiero.

“Los planes bien pensados y el arduo trabajo llevan a la prosperidad, pero los atajos tomados a la carrera conducen a la pobreza.”
Proverbios 21:5 (NTV)

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