You Are Their Most Valuable Asset

Do you have enough life insurance for your family?

Legacy giving, also known as planned giving, is a meaningful way to leave behind an impact on the causes and organizations you care about. By incorporating life insurance and annuities into your estate planning, you can maximize the benefits of your legacy gifts, ensuring they are both impactful and tax efficient.

Kick-start your child’s journey to financial success with a whole life policy from GBU Life.

According to the Pew Research Center, in 2021, many stay-at-home moms (79%) and dads (23%) said they took care of the home or family, otherwise known as caregiving. Anyone who has found themselves in a comparable situation knows that leaving corporate America for a life of housekeeping and caregiving is no walk in the park. Maintaining a “stay-at-home” designation, whether for your kids or for other loved ones, is just as tiresome as a “corporate” position—if not more so. So, what are some tips to help stay-at-home caregivers focus on “employee benefits” like salary, life insurance and retirement (social security and 401[k]s) like those of their office counterparts? In this article, we will dive into all three benefit areas. A common concern for those considering entering a stay-at-home position is the loss of salary. For example, a two-adult household where one partner decides to stay at home goes from a two-income to a single-income family. Not to mention the unique mental burdens placed on both the “working” and the stay-at-home parent. Because there is plenty of work to match the hectic work schedule of a full-time job, sites like TaxSlayer say, “There are several potential credits associated with having dependents – the biggest being the Child Tax Credit,” which recognizes stay-at-home status and may help soften the blow of a loss of income. Also, according to job sites like Indeed.com, a search performed on Google from Pittsburgh, Pennsylvania, on January 25, 2024, showed 513 available jobs for stay-at-home parents (i.e., jobs that can be done during naptime or periods where someone else can take over). All this shows that there are options for those who still need to generate an income while performing their caregiving duties. In my experience, life insurance is an income benefit offered by many employers but not commonly thought about in the younger demographic or during the decision to “stay at home.” My wife, mother of two and former stay-at-home mom, looked at the life insurance benefit offered by my former company, which covered one year’s salary and realized how quickly that would be depleted should something ever happen to me. It had her considering additional coverage for both me and her. Because she hadn’t ruled out pursuing her career later down the road, a Select Choice Term Life1 insurance policy with a spousal rider from GBU could have given us the additional coverage needed to supplement my benefit from work. This policy could have also cost-effectively covered her should something have happened to her during that time. Lastly, another important factor in the decision to stay at home is retirement. Did you know that, according to a 2023 survey by the Employee Benefit Research Institute, 26% of caregivers in the upper-income group are less confident in their retirement prospects than non-caregivers? In a standard office position, a portion of employees’ salaries are deducted and sent towards their social security and are oftentimes elected for building up a 401(k). But are families factoring that in when deciding to go to full-time “stay at home”? It’s especially important to consider if the “stay-at-home” status is temporary and that person wants to get back into the workforce later on. There are companies like APB Retirement to help you facilitate a 401k plan that works for you/your role as a stay-at-home caregiver. Alternatively, rolling money over from a previous 401(k) to a GBU Future Flex Fixed Index Annuity2 will allow your retirement savings to continue to grow, while protecting against the loss of principal. You can add additional funds to this annuity at any time as you are able.

Time to take out your Required Minimum Distribution (RMD)? Did you know you can use your RMD to purchase financial products that can help to secure the future for you, your loved ones or a charitable organization that you care about? Talk to your agent today to discuss some options that may be right for you or request an appointment with an agent near you at gbu.org. Purchase a whole life policy for your grandchildren Start your grandchildren on the road to financial success with a GBU membership. GBU's Youth 3 Pay Life insurance is permanent life insurance that offers a lifetime of coverage for just three annual payments. Your child or grandchild becomes a GBU member and remains a member as long as the policy is active. GBU members have access to special members-only discounts, events and contests as well as education, volunteer, scholarship and grant opportunities. - Cash Value Growth. Youth 3 Pay Life insurance accumulates cash value that can be borrowed against, with interest to help your child or grandchild secure education loans, make mortgage down payments or weather emergency situations. - Dividends. Youth 3 Pay Life insurance is expected to earn dividends that can be used to purchase additional paid-up coverage, held with interest or paid out in cash. - Competitively Priced Coverage. Policy face values range from $5,000 to $50,000 for youth of current ages 0–17. Policy rates are based on age, gender and amount of coverage requested. Policy is paid in full in three annual payments. Make a donation to the GBU Foundation Your qualified charitable distributions can satisfy all or part of the amount of your RMD from your IRA. For example, if your 2023 RMD was $10,000, and you made a $5,000 qualified charitable distribution for 2023, you would have had to withdraw another $5,000 to satisfy your 2023 RMD. HOW IT WORKS - You can make a tax-deductible donation of all or part of your RMD to the GBU Foundation. - Send the donation to 4254 Saw Mill Run Blvd., Pittsburgh, PA 15227-3394 in the form of a check made out to the GBU Foundation. - We will send you back an acknowledgement letter of the amount donated. - Let your tax preparer know that you made the donation. It will need to be reported on your 1099-R form, 1040 form and form 8608 with your 2023 taxes. For more information on how to satisfy your RMD with a charitable donation, consult your tax preparer or CPA.Tax info is provided by H2R CPA. H2R CPA is a full-service accounting and business advisory firm celebrating over 60 years serving closely held businesses, nonprofit organizations and High Net Worth individuals. The team specializes in comprehensive tax, assurance and business consulting services. GBU Life does not provide tax advice. You should consult with a legal or tax professional for any such matters. GBU Life is the marketing name for GBU Financial Life. Life insurance underwritten and annuities offered by GBU Financial Life (GBU), 4254 Saw Mill Run Blvd., Pittsburgh, PA 15227. Dividends are not guaranteed. A parent or legal guardian must sign the application. If the policy is to be owned by someone other than the parent or legal guardian, the parent or legal guardian must also sign the application. Riders are optional and have additional fees associated with them. Product not available in all states. Please see policy and rider coverage for complete details. Contract Form Series: ICC19-Y3Pay, FL20-Y3Pay. GBU-RMD-0324

Many turn to crowdsourcing as a solution for family emergencies. But what are the implications of planning for your family’s needs using online crowdsourcing vs. life insurance?

Sixty-nine percent of life insurance owners say they feel financially secure compared to 49 percent of non-owners.

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Just as you should check all of your estate planning documents every few years—the same goes for beneficiary designations.