Starting A Family

STARTING A FAMILY

It's not just about me anymore. Now there are two of us and we plan on having a family. I need to think about how to provide for us. Even if we are both working, we'll need more room, there will be medical expenses, and a life to plan for... and then their college.

Suggested Life Focus Secure Advantage Action Plan:
Step 1- Download Your Life focus Software and Begin the Planning Process
Step 2- Register for One of the Life Focus Wealth Education Classes
Step 3- Contact a Wealth Coach and Begin Your Secure Advantage Program
Step 4- Spending Plan

What we can accomplish for you…

o   Your financial coaches will work directly with you to develop effective strategies for tracking your spending and developing a spending
      plan that allows you to get the most out of Life.

o   Your financial coaches will review your current expenses and determine the best way to create savings and reduce your spending.

o   Your financial coaches will help you find the money to set aside each month to increase your savings and plan for your future.

o   Your financial coaches will suggest strategies to become debt free and negotiate directly with your creditors to reduce and eliminate your outstanding debt load.

Step 5- Tax (W-4 & Itemized Deductions)

Tax Planning Review - Annual Savings: $600
401(k) Contribution Results in Annual Tax Savings Contributions to a 401(k) plan are made pre-tax resulting in an immediate tax benefit. In addition, any contribution up to 6% of gross income will trigger many companies to provide a matching contribution. A typical company match is 50 percent of the 401(k) contribution, up to 6 percent of annual compensation.

Recently a member, who was single, and earning $40,000 a year, was recommended to contribute 6 percent to their 401(k). In doing so, they would be annually saving a total of $3600 ($2400 contribution plus a $1,200 employer match) towards retirement and reducing their federal tax liability by $600 (assuming a federal tax rate of 25%) due to the pre-tax contribution. Depending on the applicable state tax rate, the overall tax savings could be higher:

In this example, the 401(k) balance becomes $3,600. An increase of 50 percent over the contribution of $2,400, plus there was a savings of $600 in federal taxes (assuming a federal tax rate of 25%). Furthermore, depending on your applicable state tax rate, your overall tax savings may increase

Step 6- Risk Management

Fully Evaluate The Following Insurance Concerns:
Life Insurance needs
Health Insurance Plans
Disability Insurance Needs

Step 7- Mortgage
You want to make sure you are doing the right thing when you refinance your mortgage or acquire an equity loan to assure that you can maintain a good credit history and avoid foreclosure on your home, now and in the future. It is important to have a clear financial objective in mind so that you are able to choose the most appropriate solution to reach your financial goals. Your Money Coach can help you prepare financially, and provide information to help you to be a savvy home mortgage consumer.
A member had high mortgage payments and was struggling to pay $60,000.00 in additional unsecured debt. They were on a limited income. They had two mortgages with interest rates of 8.5% and 12% on the first and second mortgages, respectively.

In discussion with the member regarding their mortgage, it was determined they had substantial equity in their home. A lender was able to refinance both mortgages as well as provide cash out to cover the $60,000 of other unsecured debt so that the client now only has one mortgage. Due to the refinancing, the member

Step 8 - Investment Planning

• Allocate resources toward investments
• Evaluate Investment options
• Manage risk vs. reward criteria
• Work directly with your wealth coaches to develop, monitor and execute investment goals
• Begin to develop investment philosophy

Step 9 -- Leverage the savings with all of the savings benefits and lifestyle benefits included in your Wealth
                Advantage Membership.

Step 10 -- Continue your Wealth Education Process by Attending Classes, Using the Wealth Library, Working
                  With Your Coaches  and Using your Life Focus Life Planning Software.

Promises:
Working together with Life Focus and your Secure Advantage Money Coach you'll...

• Turn your spending habits into a family spending plan that will adjust as your family expands
• Make the most of the changes in your tax filing status and decide if itemizing deductions will work for you
• Make smart decisions about Insurance - you didn't need it before, but you need it now. Decide what makes sense for you
• Figure out how to afford the extra space you'll need. Do you rent or buy?
• Plan and build up funds for a rainy day, for college, for retirement, or for the unexpected
• Have more money in your pocket at the end of every month, guaranteed.
  
  

This is just a sample of the more than 25 unique ways that your Coach can be your Secure Advantage. That's why your Wealth Advantage membership has a money-back guarantee!