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How to avoid airline and travel change fees

Traveling the world shouldn’t be hard, annoying, or stressful. At InsureMyTrip, we know this and sell travel insurance that can help travelers with the unexpected stressors that may happen on their trip. From trip cancellation to cancel for any reason coverage, having travel insurance will ensure your vacation isn’t a nightmare.

We can go on for days about the importance of a third-party travel insurance plan. However, there are other ways you can avoid unexpected flight cancellation fees when adjusting or canceling a trip.

Tips for avoiding change fees when traveling

Be very selective about travel brands

Not all travel brands are created equal. To ensure you don’t pay extra money for change fees or cancellations, be selective with which brands you book for your trip. Some airlines have change fees of $200 if you need to change a flight. Other flights can be changed easily without fees if you do so within their specified time frame. Then there are the special brands that have flights with free cancellation.

Hotels vary even more than airlines. No matter how you book your hotel stay, ask about cancellation or change fees. Even rooms labeled as “refundable” could have a small cancellation fee for convenience. Aggregators are generally upfront about the insurance cancellation policy, but you’ll need to ask some hotels for the information.

Canceled flights and hotel stays can be covered by your travel insurance policy. However, it’s important to make sure you understand when you would be covered and when you wouldn’t. Learn more about how travel insurance covers cancelled flights.

Build extra time into your travel schedule

Arrive a day early for your cruise. Put hours between connecting flights. Arrive home on a day when you don’t need to be at work the next day. These are all good things to try and do.

If you travel without insurance, you open yourself up to paying unexpected fees or having your vacation end earlier than intended. A bad storm in Chicago could ground flights around the country, not getting you to your cruise launch. A technical glitch with an airline can halt your trip before it starts! You could even get stuck between flights, forced to pay for a hotel room, or sleep in the airport.

Travel insurance can reimburse you for financial loss typically associated with your trip’s non-refundable expenses like lost luggage, medical emergencies, last-minute cancellations, and even if your trip is interrupted and you must come home early. Learn more about how travel insurance works and how to pick a plan that’s best for you.

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How to set up a college fund for your baby

The concept of saving can be daunting, but you have several options when creating a college savings account for your baby:

  • 529 plans
  • Roth IRAs
  • Education savings accounts
  • Life insurance policies

The key thing to remember is that the earlier you start a college fund for your baby, the better off you’ll be. These plans generate interest over time and can grow more the longer they’re open.

Should you start a college fund for your baby?

It’s never too early to begin saving for your child’s college fund. The average cost of tuition for the 2022-2023 school year is around $10,423 for a public in-state school and double that for an out-of-state school, according to U.S News & World Report. Private colleges are even more expensive. When you think of the costs, having a college plan for babies makes sense.

What is a 529 plan?

A 529 plan is a state-sponsored savings plan that invests your contributions. These can offer several benefits for parents, especially from a tax standpoint. Most states will allow you to deduct the contributions you make to these plans, and most of the time, you don’t have to pay taxes upon withdrawal.

One of the key features of 529 plans is that you aren’t limited to the plan offered by your state. You can choose any state plan, regardless of where you live. Different states have different benefits. For example, one state might offer a higher contribution limit, while another might have lower fees.

What is a Roth IRA?

A Roth IRA is an individual retirement account (hence the IRA) that allows you to pay after-tax dollars into a fund. Using after-tax dollars means that, provided you meet all the conditions, you won’t have to pay taxes when you withdraw the funds.

A Roth IRA is designed for retirement planning, but that’s not its only purpose. You can use a Roth IRA for many things, but there are certain drawbacks to using the money for education. Relatives and others can contribute to a 529 plan but not a Roth IRA. You would be the sole contributor. If your child doesn’t attend college, a fund is already set aside for retirement.

What are education savings accounts?

Education savings accounts (ESA) are specialized for specific expenses, typically private school tuition, college costs, and more. You must spend any funds drawn from these accounts on approved costs, such as services or materials.

Many people use an education savings account to supplement a 529 plan. The reason is that the other plan can handle certain expenses that one plan might not cover, such as room costs or extracurricular club fees.

Of course, there are restrictions as well. For example, according to IRS ESA rules, you can’t contribute more than $2,000 per year, and all the funds must be used by age 30, or you face taxes and other penalties. If your child doesn’t attend college, you can transfer the ESA to someone else.

How can a permanent life insurance policy help your child’s college savings?

A life insurance policy is a good investment for various reasons. Life insurance for new parents is essential for protecting your growing family. As you research the different types of life insurance, consider a permanent life insurance policy, such as whole life insurance or universal. Unlike term life insurance, permanent life can provide guaranteed tax-deferred growth. You can also borrow or withdraw against the policy’s cash value, which can work well as a college account.

Another benefit to a permanent life insurance policy is that it doesn’t count as an asset when applying for financial aid, unlike other plans on this list. Your child could apply for grants and loans if the savings aren’t enough.

Saving even a small amount each month can make a substantial difference when it comes time for college, which will be here before you know it. Whether you go with a 529 plan, a Roth IRA, an education savings plan, or a permanent life insurance policy, each of these plans can help you spread out the expenditure for your child’s college education over time – you can consult with your tax or financial advisor if you have questions about your particular situation. If you choose to forego setting up a college fund, you may face sticker shock when the time comes to pay those tuition bills.

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What does the executor of a will do?


Executor of a will: What you should know

According to Caring.com’s 2022 Wills and Estate Planning Study, more than 50% of American adults think wills and estate planning are important. But fewer people actually understand how to make sure a will is effective.

Your will details your wishes for the assets you’ll leave behind, which include anything from cash to sentimental items to your real estate portfolio. Naming an executor, or someone to carry out those wishes, can be just as important as the will itself.

Understanding what an executor of a will does (and what they can’t do) can help you decide whom you trust to fulfill that important role. Remember, estates and executors aren’t just for the wealthy. An “estate” is simply all the assets and property you own. No matter their value, you should appoint an executor to care for the assets you leave behind.

What is an executor of a will?

An executor of a will is the person who will uphold the wishes detailed in your will after you die. Called a “personal representative” in some states, an executor can be either a person or an institution. They can be an adult of your choosing or someone the court appoints. A court usually only appoints the executor (or administrator) if you don’t name your own executor or if your will is in dispute.

It’s important to know that the executor may require a commission that’s paid out by your estate. If you choose a family member, friend, or other trusted individual, they might not accept payment. But if your estate is large enough that you need a bank or trust company to step in, they typically require compensation.

What does the executor of a will do?

An executor’s responsibilities may seem obvious—they oversee the division of your assets as outlined in your will. The reality is more complicated and time-consuming. Make sure you understand everything the executor does before you appoint your own to ensure they’re up to the task. The responsibilities of the executor include:

  • Notifying financial institutions and government agencies: Your bank, credit card companies, the Social Security Administration, and others will need to know about your death. Your executor should notify the appropriate organizations in a timely manner.
  • Acting on behalf of the estate in court: Your estate may not need to go through probate. But if it does, your executor will represent your estate in all court proceedings. The executor also files your will with the court, whether or not you need probate.
  • Managing ongoing finances: Depending on your financial situation, transactions could continue after you die. Your executor will set up accounts (or manage existing ones) to pay bills or accept payments. They can also use these accounts to pay off debts or taxes.
  • Maintaining and/or disposing of property: It can take time for the executor to divide your assets. In the meantime, they’ll need to maintain your property, from making mortgage payments to maintaining your safety deposit box. Once they’ve divided your assets, they’re also responsible for disposing of any property that remains.
  • Divide your assets: Finally, your executor will see through the wishes you outline in your will so everyone receives the property and assets you willed to them.

What an excecutor cannot do

The executor is bound to the wishes in your will; they can’t take action that deviates from it. Executors also can’t:

  • Mishandle your will: The executor has to locate your will. Once they locate it, they can’t go against your wishes or stop communicating with heirs.
  • Mismanage your assets: Your executor has fiduciary duties, meaning they’re obligated to act in the best interest of your estate. They can’t sell real estate without getting an appraisal, sell assets under market value, or otherwise lose possession of assets and property named in the will.
  • Combine assets: The executor can’t mix their compensation with the rest of the estate, and they must keep all assets separate.

What happens if I don’t name an executor?

If you don’t name an executor, the court will have to help decide who should manage your estate. A friend, family member, or other party can petition the court to become the administrator of your estate. Once they receive letters of administration from the court, they’ll have all the same powers an executor would. It can get combative when multiple people petition the court though, so it’s best if you choose an executor yourself.

If no one steps forward, the court can appoint an administrator to divide assets according to your will.

Estate planning tips to help your executor

As important as it is to choose an executor, they’re powerless without a will. Even if you think your friends and family understand your wishes, creating a will is the only way to guarantee that your assets are divided as you see fit. Here are some additional tips that will help the process go smoothly for your executor:

  • Create an advance directive: An advance directive is a document that communicates the type of care you want at the end of life. This includes if you want to be resuscitated, if you want to be given food or water, and other important medical decisions. Creating an advance directive ensures you have the level of care you’re comfortable with, especially if you’re unable to speak for yourself.
  • Write a will: If you’re wondering if you need a will , the answer is yes, even if you don’t have a lucrative estate. A will ensures you don’t leave your inheritance up to chance and a lengthy probate process that will delay your loved ones’ inheritance.
  • Plan for assets not included in a will: Assets you own with someone else (like property held by both you and your surviving spouse) can’t be in your individual will. Neither can assets with a beneficiary, like your life insurance policy; your policy will pay out to the beneficiary regardless of what your will says. Name a beneficiary and a contingent beneficiary, and tell your family about the policy so you can provide for your loved ones even after you’re gone.

Estate planning can be challenging, so you should consider consulting an estate planning professional if you have questions. But writing a will, designating a beneficiary for your life insurance policy, and appointing the right executor are all important parts of estate planning —and will give your loved ones less to worry about after you’re gone.

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Life insurance beneficiary rules after divorce


Life insurance and divorce: Your questions answered

Divorce can feel like a rope unraveling—there are countless strands to unwind before you’re actually separated from your former spouse. Life insurance is an important part of those ties.

Though you might be ready to just cancel or cash out your respective policies, life insurance could still be a great (and potentially required) way to protect your kids and ex-spouse if something happens to you.

Here’s what you need to know to make informed decisions about life insurance as you go through a divorce.

Do I need life insurance after divorce?

Like all insurance after divorce, it depends on your specific situation. There are both personal and legal reasons why you may need life insurance after a divorce. For example, you may need life insurance after divorce if you’re court-ordered to have a policy in place (with your ex as the beneficiary). Or you may simply still want to provide for your ex and/or children if you were to pass away.

You should certainly review your life insurance policy after divorce, but don’t cancel your policy or remove your spouse as a life insurance beneficiary without first considering the legal and personal implications. Your legal or financial advisor can help with that analysis.

Life insurance beneficiary rules after divorce

Life insurance will likely be addressed in the legal terms of your divorce, particularly regarding a policy’s beneficiaries and death benefit amount. Here’s one of the common life insurance beneficiary rules after divorce: If you’re required to pay alimony or child care to your ex, your divorce decree might require you to keep your ex as a (or the) beneficiary. Or you may need to buy a new policy that would pay out a certain amount to your ex if you were to pass away.

To understand your particular life insurance beneficiary rules after divorce, talk with your divorce lawyer early and often. They can advise you on how life insurance should be involved in your specific divorce settlement.

Can I remove my ex-spouse from my life insurance policy?

That depends on the terms of your divorce, so consult your lawyer before acting. If you own the policy and you’re not financially supporting your ex-spouse after the divorce, you can likely remove them as your policy’s beneficiary. If you’re on the hook for alimony or child support, a judge may require you to keep your ex-spouse as a beneficiary so support continues if you were to die.

Is a life insurance policy considered a marital asset?

Whether or not your life insurance policy is an asset often depends on the type of policy it is: term or permanent. Permanent life insurance policies like whole life and universal life have a cash value component that can grow over time—these policies are often considered a marital asset since their value can be borrowed against or even cashed out. On the other hand, term life insurance doesn’t build cash value, which means it typically doesn’t count as an asset.

No matter what type of life insurance you have, it’s important that your divorce lawyer addresses the policy as part of your settlement. States have different laws that may come into play, some of which are more favorable to the policyholder than others.

Should I buy life insurance on my ex-spouse?

You might buy life insurance on your ex-spouse if you’ll remain financially dependent on them based on the terms of your divorce. But depending on your settlement, your ex-spouse might be court-ordered to get the policy themselves, so it may not make sense to buy life insurance on them if they’re already naming you as a beneficiary via their own policy.

Common types of financial support post-divorce include:

  • Alimony: Payments from one ex-spouse to the other. This is intended to help the person receiving support maintain their pre-divorce lifestyle.
  • Child support: Payments from one ex-spouse to the other. The recipient is typically the spouse with primary custody of the couple’s children. These payments help cover the costs of raising your children.
  • Pensions/retirement plans: If your ex-spouse has a pension or retirement plan, you may be entitled to future payouts. This is considered financial support even though you won’t receive payments until their retirement age.

Depending on your scenario, a judge will decide if life insurance on your ex-spouse becomes part of the divorce settlement. Communicate with your lawyer about life insurance so they can advocate for you throughout the process.

If it’s your ex-spouse that needs to pay for a policy, you may want to arrange to be the “policy owner,” even if your ex will be paying the premiums. This guarantees that your ex can’t make changes to the policy (like removing you as a beneficiary) without your approval.

How does court-ordered life insurance work?

If your divorce decree includes child support, alimony, or any other kind of financial support, a judge may also require you to carry a life insurance policy with your ex-spouse as the beneficiary. This is considered court-ordered life insurance since it’s ordered by the judge.

The judge will usually assign a deadline by which your policy must be active. You should quickly start the application process and communicate with your ex-spouse and your legal teams about the policy details to ensure the one you buy satisfies the decree. You’ll also need to show the court proof that you obtained the required life insurance before the deadline.

Can I name my child as my life insurance beneficiary after divorce?

After your divorce, you may want your child to receive your death benefit. While this seems simple, it’s usually not advisable to name a minor child as your life insurance beneficiary.

In most states, a minor can’t legally accept a life insurance death benefit until they’re 18. If you die before your child reaches 18, your death benefit could get held up in the court system for years before a legal guardian can assign the funds.

Instead of naming your minor child as the primary beneficiary, consider instead naming whoever would be your child’s primary caretaker if you died. This may even be required by your divorce terms, and in any case will help avoid the payout getting held up in probate.

If you do name your minor child as a beneficiary, work with a financial advisor and follow these tips to help your policy serve your child’s best interests:

  • Name a custodian: Select an adult you trust to act on behalf of your child. This does not need to be the surviving parent, but you’ll need to specify in your life insurance policy who it will be.
  • Create a trust: A trust defines the division of assets to your heirs. By naming the trust as your life insurance beneficiary, your payout could go directly into the trust for your child/heirs. A trustee of your choosing will then oversee the benefits your child will receive.

Wondering how else you can use life insurance to support your family? Learn how much life insurance you should have and find out what child and spouse life insurance riders are.

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When to switch a puppy to dog food


When to switch a puppy to dog food

One of the major milestones in a puppy’s life is transitioning to adult food. But how do you know the right time to switch your puppy to dog food? This guide will help you successfully guide your puppy through this change.

What’s the difference between puppy and adult dog food?

Puppies have different nutritional needs than adult dogs. Since puppies use a lot of energy to grow their little bodies, they need more calories and nutrients in every bite.

According to standards set by the Association of American Feed Control Officials, which regulates dog food manufacturing, the minimum amount of crude protein in dry puppy food is 22%, compared to 18% for adult diets. Puppy food also has more amino acids, fat, and minerals than adult dog food. Some brands even add extra omega-3 fatty acids to puppy food to help with brain and eye development, according to PetMD.

PetMD also says that large-breed puppies have additional nutrition needs. Their food might have a bit less calcium, phosphorus, and fat than other puppy foods to help them grow at a healthy rate and avoid orthopedic issues. Your veterinarian can help you decide which food is best for your puppy.

How long should a puppy eat puppy food?

There’s no “one size fits all” age for exactly when it’s time to switch your puppy to adult dog food. The decision is largely based on your puppy’s growth rate rather than age. PetMD suggests a rule of thumb of switching your puppy to adult food when they’ve reached 80% of their full size.

According to Gilbertsville Veterinary Hospital, this usually happens when your puppy is between 10 and 12 months. Small dogs like chihuahuas may reach this point around nine or 10 months, while medium-sized dogs won’t until they’re around 12 months old. Larger breeds may not until they’re somewhere between 12 and 16 months old.

If you’re unsure, it’s better to err on the side of caution and keep your pup on puppy food a little longer than needed. But don’t overdo it. All those extra calories can lead to obesity if an adult dog eats puppy food for too long. If that becomes the case, find out how to help your dog lose weight.

Overall, it’s best to have regular appointments with your veterinarian so they can help you determine the best age to make the switch.

How do you transition your puppy to dog food?

Suddenly switching to dog food can upset your puppy’s stomach, even causing vomiting or diarrhea. So take the transition slowly by mixing the new food with your puppy’s regular food. Start with a mix of about 75% old food and 25% new food. Every day, add a little more of the new adult food into the mix.

By the end of about a week, you should have transitioned to 100% adult dog food. Slow down the transition if you notice your dog is having stomach issues, and contact your vet if their symptoms don’t resolve.

How many times a day should a puppy eat?

As your puppy grows, you’ll also slowly be transitioning to fewer mealtimes each day. Decreasing mealtimes can help establish healthy eating habits for a dog as they grow. The American Kennel Club recommends that puppies up to 12 weeks of age eat about four times a day. At around three to six months, you’ll decrease that to three times a day. Switch to twice a day around the age of six to 12 months. This is also around the time when they should transition to adult food.

The bottom line for switching your puppy’s food

Raising a puppy is so much fun and full of major life milestones. With a pet health insurance policy from Pets Best, you can be ready for unexpected vet costs. Plus, policyholders get access to a 24/7 pet helpline if they have any questions about their puppy’s health or dietary needs.

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Gifting money to your grandchildren


How to gift money to your grandchildren

Gifting money to your grandchildren can give them something to remember you by and set them up for financial success. If you take the appropriate steps, it can also reduce the taxes your family might owe on your estate.

Here’s how to gift money to your grandchildren, including how much you can give and the many ways to make it happen.

Benefits of giving money to your grandchildren

Many people assume they should pass their assets from one generation to the next. But it can also be beneficial for your assets, especially money, to skip a generation (or go to both your children and your grandchildren). Your grandchildren may be less established, so an inheritance could make more of a difference in their lives than it would for their parents.

Benefits of giving to your grandchildren include:

  • Securing their financial future: Today’s dollar buys less than it did a generation ago. Wages also haven’t quite kept up, so even if your grandchildren are gainfully employed, it may take them more time to achieve the financial stability of their parents. Giving them money could be the boost they need to secure their future, whether that’s buying a house or funding a retirement account.
  • Ensuring they have control of the money: Designating funds specifically for your grandchildren can be a fulfilling way to leave an inheritance specifically for the younger generation rather than expecting your children to pass it down.
  • Creating a tax advantage: Gifting money reduces the size of your estate, which can in turn reduce the taxes your heirs will owe. You don’t have to have a lucrative estate for the tax advantages to be worthwhile. Fewer estate taxes mean more of your estate gets distributed directly to your loved ones, regardless of the amount you leave behind.

How much money can you give to a grandchild tax-free?

If you gift money to your grandchildren, you can create a tax advantage for your estate. But if you give them too much, the gift may be subject to taxes that the recipient would have to pay.

In 2023, you could gift anyone up to $17,000 per year tax-free—this is known as the annual gift tax exclusion and is set each year by the IRS . You won’t have to pay a gift tax on funds at or below this amount, and it won’t add to their taxable income. This amount is per grandchild. That means if you have three grandchildren, you could give each one $17,000 (so $51,000 total) tax-free. And you can give this once a year, if you wish.

Ways to give money to your grandchildren

Even if you know you want to give to your grandchildren, there are many ways to pass on your money. Depending on your situation, you could give them cash or consider other options to make sure your money supports your grandkids as you intended.

You can give money to your grandchildren by:

  • Giving cash: Cash can be used any way the recipient wants, but there are other giving options that let you designate your gift for a specific purpose. Remember that gift sizes over the annual gift exclusion amount will be subject to taxes. Consider other gift options if you’d like to give above that amount.
  • Paying their expenses: In addition to gifting cash to your grandchildren, you can pay their medical or educational expenses. As long as you directly pay the provider, there’s no limit to the expenses you can pay.
  • Creating a custodial account: If your grandchild is a minor, you can create a custodial account that their parents oversee. This is a great option if they’re too young to manage the funds themselves and you trust their custodial parent to oversee the account.
  • Establishing a trust: Trusts work similarly to a custodial account, except you’ll appoint a trustee. The trustee can be their parent, but it doesn’t have to be. Trusts are typically for large amounts of money and can include conditions like an age requirement to access the funds.
  • Using a 529 plan: In a 529 plan, you’re setting aside funds specifically for your grandchild’s higher education. These funds won’t be taxed, so they can also reduce your estate’s tax liability.
  • Starting an IRA or retirement fund: You can also open an IRA or other retirement fund on behalf of your grandchildren. Though this could provide for their future, the account earnings will be subject to taxes like any other retirement plan.

Of course, you can always consult with a financial or tax professional for advice specific to your circumstances.

Giving the gift of life insurance

If you set up life insurance correctly, it can provide for your grandchildren in a way that cash or even a retirement fund can’t. Here’s what you can do to ensure your life insurance benefits your grandchildren:

  • Designate your grandchild as your beneficiary: This ensures your death benefit passes directly to your grandchild. You can list them as a beneficiary on your existing policy or, if you don’t have one, open a new policy. This applies regardless of whether the policy is term or whole life insurance . Just keep in mind that term life insurance only lasts a set number of years and may expire before you pass away, ending the potential for a death benefit payout.
  • Buy a whole life insurance policy for your grandchild: You can actually buy a whole life insurance policy for your grandchild and name them as the insured (with parental consent if they’re a minor). This would work similarly to buying a life insurance policy for your child. Whole life insurance never expires and includes cash value that grows over time. Your grandchild can choose when to cash out the policy, making it similar to a longer-term savings account, as long as you continue paying the premium.

When the grandchild can afford it, or when you pass away, they may even be able to become the policyowner, at which point they would start paying the premium. This would likely be more affordable than getting their own policy in adulthood, since the life insurance rate was locked in when they were younger. Plus, it would allow them to pass the benefit on to their own loved ones if they don’t cash out on it themselves.

Life insurance can also be a great complement to other gifts you leave for your grandchildren, whether you give them cash or open an account in their name. It can also give you peace of mind, since you’ll know they’ll be taken care of even if you don’t have a large estate to leave behind. Learn about the types of life insurance and get tips for how to buy it.

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How to avoid probate in the U.S.


How to avoid probate in the U.S.

The weeks and months after a death can be a whirlwind. This time can be not only emotionally draining but also full of financial and administrative challenges—and maybe even probate.

Probate guides the distribution of your assets. The best way to avoid a lengthy probate process is to have a clear and updated will in place before you pass away. If you don’t have a will or if your will is contested, probate comes with financial and logistical issues that can make it harder for your loved ones to not only grieve but also access your assets.

So, what is probate, how can you avoid it, and what should you do if you find yourself in it?

What is probate?

Probate is a legal process used to determine where a deceased person’s assets go, whether that’s cash, real estate, or possessions. If the person who died had a will, probate administers their assets according to the will. If they didn’t have a will, a judge decides during probate how to administer the estate.

Either an executor named in the will or a court-appointed administrator will execute the probate process according to the will’s and court’s instructions. The executor or administrator is the one who has legal permission to collect all assets; pay any taxes, fees, and liabilities; and assign remaining assets to the heirs.

Probate usually includes:

  • Authenticating the will
  • Creating an inventory and appraisal of the estate
  • Paying the estate’s debts and taxes
  • Distributing all assets according to the will or, if there’s no will, according to state laws

How does probate work with and without a will?

Probate works differently with and without a will. Since probate refers to the general administration of your assets, anything you leave behind will typically go through probate whether or not you have a will. But without a will, the process can get lengthy and complicated.

Probate with a will

If you die with a will in place, there’s already documentation to guide the division of assets. If you named an executor in your will, they will initiate the probate process by filing your will with the probate court.

During probate, the court supervises to authenticate the will and accept it as the deceased’s true wishes. The court then legally appoints the executor, which allows the executor to act on behalf of the estate. The executor will then distribute assets to the heirs as detailed in the will.

This fairly simple process can be wrapped up within a few months if there’s a clear will in place that all family members accept.

Probate without a will

If you or a loved one dies without a will, or if someone successfully challenges your will, the court considers the estate “intestate.” An intestate estate will enter the probate process, and the court will divide the assets according to state laws rather than a will. Note that to go through probate, your estate doesn’t have to be substantial; an estate is simply the assets you leave behind, from family heirlooms to your baseball card collection.

Without a will, you also won’t have appointed an executor. In this case, the court appoints an administrator. An administrator does all the same things as the executor: paying off debts and locating heirs. When it comes time to distribute assets, the administrator follows the court’s directions about how to divide the estate.

Probate without a will can take much longer than probate with a will. With large estates or combative family members, probate can last years.

How do you avoid probate?

Before you pass away, you can take steps to help your estate avoid probate. While writing a will and naming an executor are the starting points, there are some other important factors to address. Different states have different rules for how to avoid probate, and a lawyer or financial advisor can help you take the right steps for your situation. In general, any of the following can help keep your estate out of probate court:

  • Establish joint ownership: Any property you own jointly with someone else, like your home, can typically pass directly to the surviving owner with no probate required.
  • Create assets with a beneficiary: Assets like retirement accounts or life insurance that has a beneficiary will pass directly to that person without going through probate. On the other hand, find out what happens to life insurance without a beneficiary.
  • Start a pay-on-death (POD) account: A POD account essentially designates a beneficiary for your bank account so the money in the account can get paid directly to that person. If you’d like to do this for your investment accounts, you’ll set up a transfer-on-death (TOD) account instead.
  • Establish a living trust: This is a common way for people with high-value estates to avoid probate. With a living trust, the person writing the trust decides which assets to put into the trust and who will act as trustee. When the trust owner dies, the trustee will divide the assets outside of probate.
  • Give away your assets: If you give things away while you’re alive, those items can’t be included in your will and therefore will pass outside of probate.

Does probate work differently by state?

Probate can work differently depending on your state. If you don’t have a will, the court will administer your assets based on state laws, so understanding how probate works in your state is important.

Most states clarified their probate process by adopting the Uniform Probate Code (UPC). The UPC makes probate simpler, less expensive, and standardized across states. Cornell Law School has more information about the UPC.

Small estates can avoid probate in many states, depending on state law. The cost of probate can also vary by state. Each state typically has a filing fee, but there may also be additional fees if the will is contested or if the estate requires supervised administration.

What are the cons of probate?

Probate can be helpful for some estates, especially if the will is contested or there’s no will in place. But there are some real cons of probate, which is why many try to avoid it.

  • Probate is public record: Personal and financial matters become available to the public via probate. This can be especially compromising for well-known families or those with large estates.
  • Probate can be expensive: As we mentioned earlier, probate costs can vary by state. But no matter where you are, probate can be costly. The estate must pay out all court, attorney, and executor fees, which can impact the estate’s value.
  • Probate can be lengthy: With a will, probate might take as little as a few months. Without a will, probate can last for years, and it can take countless hours to build a case for the court.
  • Probate can be stressful: The executor is often a family member, or the court often appoints a family member as the administrator. For someone who hasn’t filled this role before, it can be stressful and complex.

Provide for your family after you’re gone

Probate is designed to put the right assets in the right hands. But it can be complex, time-consuming, and costly. And it can delay your loved ones getting the financial support they need. Products like life insurance help ensure your family has much-needed resources no matter what’s happening with probate.

Since you’ll designate a life insurance beneficiary, your death benefit will pay out directly to them. Life insurance policies also typically pay out quickly, compared with the months or years that probate can last. Consider final expense , whole life , or universal life for coverage that lasts your entire life. Term life offers more affordable coverage that lasts only a set number of years.

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Working after retirement: Pros and cons


Reverse retirement: Pros and cons of working after retirement

To find happiness in post-work life, most retirees need both financial stability and purpose. In fact, according to the Transamerica Center for Retirement Studies, 97% of retirees with a strong sense of purpose are happy in retirement. But CNBC reported in 2022 that many Americans had to delay their retirement to keep up with the rising cost of living.

Can going back to work after retirement help you achieve the financial stability and purpose you need to enjoy retirement? Here’s what to consider before submitting your applications.

What is reverse retirement?

Reverse retirement is when someone who has already retired gets a part- or full-time job. Working after retirement can make it possible to enjoy the benefits of retirement without sacrificing your budget or sense of purpose. Whether it’s part-time work, freelance or consulting gigs, or a full-time job in a new field, working after retirement can help fill budget gaps and give you a sense of fulfillment.

How common is it to go back to work after retirement?

Going back to work after retirement is more common than you might think. But this wasn’t always true.

In 1985, 10.8% of those over the age of 65 were part of the workforce, according to the Bureau of Labor Statistics. And between 2014 and 2024, that figure is expected to grow by 55% for 65- to 74-year-olds, and 85% for workers 75 years and older. While this is a decades-long trend, it’s also tied to the COVID-19 pandemic.

AARP estimated that 1.7 million people who retired during the pandemic are reversing their retirement. Some are padding their retirement accounts to fight off inflation, which they might not have accurately predicted when financial planning early in life. Others simply crave the social connections of their pre-retirement life.

Is going back to work after retirement right for me?

Whether or not you go back to work is a deeply personal choice. Only you can make the final decision, so consider these factors carefully.

The advantages of working after retirement

Reversing your retirement can have big benefits for your physical and mental health, not to mention the community you build along the way. These benefits include:

  • Boosting your income: As inflation rises, your retirement savings may not last as long as you had planned. An added paycheck can give you peace of mind. Learn how life insurance for retirement can affect your financial planning later in life as well.
  • Staying sharp: “Move it or lose it” applies to the brain, too. When you work in retirement, you exercise your brain in new and important ways every day, whether it’s by learning new technology or communicating with different people.
  • Creating a community: Retirement can feel isolating. Your close friends may not be in the same stage as you, and your family members might be busy with their own careers. Going back to work can help you foster a new sense of community and connection.
  • Finding a purpose: You might not need to rely on a paycheck the way you did before retiring. This allows you to focus on jobs with a higher purpose, not just those that pay the bills—something that can help you find more satisfaction in your retirement.

The disadvantages of working after retirement

Going back to work also has its drawbacks. Despite the added income and sense of fulfillment, working during retirement can take time away from other things you care about. Consider these cons:

  • The effects on Social Security benefits and/or pension: If you supplement your income after retirement, it could impact the Social Security benefits you already receive. Pension plan rules also vary, so check yours before you reenter the workforce to ensure your new job won’t interrupt your payments. While you’re at it, find out how Social Security can be affected by life insurance. You can consult with your financial advisor about your specific situation.
  • Missing out on hobbies: Retirement is a great time to pursue your passion projects. If you work, you might sacrifice some time you would’ve used to cultivate a hobby, like gardening, volunteering, or anything in between.
  • Less time with family and friends: Working can cause you to miss out on important moments with family and friends. Though you may find flexibility in part-time or freelance work, you might still have to compromise on special events you’d otherwise attend.

Types of jobs to consider for reverse retirement

If you want to reverse your retirement, there are countless types of jobs to consider. Though you could go back to the same industry or even the same company you retired from, working after retirement can be a great opportunity to explore a passion or something new. These are some common job types for retirees to consider:

  • Full-time work: For some, retirement is an ideal time for a second career. Take a full-time job at a nonprofit you’ve always loved, or try your hand at contributing to a local magazine. Full-time jobs can not only boost your income in a meaningful way but also allow you to either go back to the job you loved or discover a new professional passion.
  • Part-time work: Part-time work is a great fit for retirees who want the benefit of consistent work while reserving some time to really enjoy retirement. You can work part-time for a variety of industries and companies, or even for a local business you already frequent.
  • Work from home: The rise of remote work makes reversing retirement even more appealing for some. You can work from home full-time, part-time, or on a freelance basis, which can be a great way to stay in the workforce while still spending time with family.Freelance or consulting: Retirees with specialized skills make excellent freelancers and consultants. Whether it’s in copywriting, business development, human resources, or anything else you can dream up, freelancing or consulting allows retirees to work on their own schedule. Take on as many projects as you want, set your own rates, and keep your mind as sharp as ever.

      Finances for reverse retirement and beyond

      Working after retirement can help you find more satisfaction as a retiree. But how do you know whether or not you need the extra paycheck? Here’s what you need to know about finances in your retirement.

      How much do you realistically need to retire?

      How much money you need to retire depends on a number of factors: your lifestyle pre- and post-retirement, your pre-retirement salary, your daily living costs, any debt, and any Social Security or pension benefits you’ll collect. The Schwab Retirement Plan Services’ 2022 401(k) survey showed that workers believed they’d need an average of $1.7 million to retire. Talk with a financial advisor to set your own personalized retirement goals.

      If you’re close to retirement or already retired and concerned about your budget, you might consider reversing your retirement to ensure you can live comfortably for the rest of your life.

      What happens if I go back to work after starting to receive Social Security benefits?

      You can work and receive Social Security benefits. But working can affect the number of benefits you receive. If you’re at or above retirement age, you’ll receive the same Social Security benefits whether or not you reverse your retirement. If you’re below retirement age (65 to 67, depending on your birth year), the Social Security Administration will adjust your benefits when you earn above the annual limit. For 2023, that limit was $21,240.

      Life insurance and reverse retirement

      Finances after retirement can feel daunting, whether you go back to work or not. Tools like life insurance may help you take more control of your retirement, possibly making it so you only work after retirement because you want to.

      Permanent life insurance builds cash value and can be particularly useful for retirement planning. If you bought a whole life insurance policy, you can take advantage of the cash value while you’re alive. This might mean taking out a life insurance loan or surrendering the policy for its cash value.

      Keep in mind that when comparing term and permanent life insurance, permanent policies are more expensive. There’s also final expense insurance, which is a more affordable permanent policy designed for older life insurance shoppers.

      There are also life insurance riders that can assist you if your policy is active during your retirement years. For example, if you have an accelerated death benefit rider and you’re diagnosed with a qualifying condition, you can use a portion of your policy to cover your medical expenses. There are also long-term care riders and chronic illness riders, so check which one your policy might have so you can take advantage if the time comes.

      And whether you decide to reverse-retire or not, make sure you prioritize self-care well into your retirement years—you deserve it.

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How to safely enjoy cold weather activities

Getting outside and enjoying physical activity is great for your health and well-being any time of the year, but it can be more complicated in the winter. The days get shorter and colder, leaving many people feeling trapped in their homes even as seasonal affective disorder and flu season take hold.

That’s why it’s even more important to find outdoor activities for cold weather. According to the University of Michigan Department of Psychiatry, exercise is a proven way to battle anxiety and depression and can even boost your immune system. And doing your physical activity outside exposes you to a bit of sunlight, which is necessary to produce Vitamin D, an important component of immune system function. The following tips and ideas can help you find cold weather activities to get you outside year-round.

What are safe outdoor activities for winter?

Given the importance of getting outside and moving your body all year, you must have a list of winter activities you enjoy. Do you prefer taking in the scenery by yourself, or do you want to find more social winter activities for families and groups of friends? The following list can give you some inspiration for how to enjoy the cold weather. Even better, these suggestions can all accommodate social distancing, making them safe outdoor activities even when flu or other bugs are going around:

  • Skiing, snowboarding, and sledding make great use of winter’s elements.
  • Ice skating is a safe outdoor activity. In larger skating rinks, you can easily stay six feet away from other skaters when necessary.
  • A picnic or hike can be a safe outdoor activity.
  • Have a bonfire with neighbors and friends. If you’re worried about germs, check the current CDC guidelines and distance yourself or wear a mask as needed.
  • Renting or visiting a vacation home or cabin in nature can be a great way to enjoy the outdoors, alone or as a group.

How to plan safe family winter activities

Due to the increased prevalence of illness in the winter, it may seem easier to stay healthy by getting outdoors on your own. But there are plenty of winter activities for families that you can practice safely. Non-contact team sports are a great way to get the whole family involved. If you live in a warmer climate, consider activities like volleyball or tennis that can accommodate groups. Pickup soccer is another excellent option if you don’t bundle up too much. If you live in a colder climate, team sports could include broomball, curling, or a competitive snowball fight. You can also look for recreational winter sports organizations in your area to get other ideas.

Building snowmen or snow sculptures is a great way to involve the whole family. Younger or more energetic family members will enjoy the hard work of forming the snowman, while those who prefer a calmer activity can decorate it. Organizing sled races can be a way to involve family members who aren’t able to ride a sled (or don’t want to) — someone needs to call the start and watch the finish line to determine the winner.

Other considerations for safe winter activities

No matter which activity you pick, these ideas will allow you to get out and be active, regardless of age. Team and group activities are a natural way to get the whole family involved, but if your family has varying tastes in cold weather activities, get creative. If you’re concerned about serious illness during the heightened cold and flu season or have family members at risk of serious illness or complications, learn about how life insurance works and how life insurance covers pandemics.

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How to plan an outdoor wedding

Hosting an outdoor wedding can be one of your best choices! Outdoor weddings have great views, ample space, and often lower venue fees. There are, however, a few unique things to keep in mind when planning an outdoor wedding that make it different from an indoor affair. Learn more outdoor wedding tips to follow for a perfect wedding day.

Tips for planning an outdoor wedding

Celebrating your love outdoors under the sun on a warm, beautiful day is a dream for many people. Still, there’s no guarantee that the weather will cooperate. If you’d like to know how to plan your outdoor wedding without worrying about the weather, these outdoor wedding tips can help.

Plan for inclement weather

While superstition says it’s lucky to have rain on your wedding day, it may not feel that lucky if you don’t have a backup plan. If there is no indoor option, rent a tent for the day on standby. If the weather looks gray, you can easily pop up the tent and protect your reception. If you plan to use a tent, plan for wind. If you are using a tent, have the tent sides rented as backup, and if the day becomes windy, you can easily pop up the tent sides to protect your reception area. For a non-tented wedding, choose short centerpieces, as the wind can easily blow over large glass vases and soak your linens and place cards.

Recent rain can leave the ground muddy or soggy even if the weather is dry on your wedding day. Consider finding some elegant paving stones or decorating your own to create paths for people to walk without getting their wedding clothes dirty.

Spray for bugs

A week or a few days before your wedding, have a professional company spray the venue for mosquitos. If your venue is especially buggy, provide bug spray for guests and burn citronella candles.

Have a plan for outdoor lighting

While wind, rain, and bugs may be the first setbacks that spring to mind for an outdoor wedding, other factors can complicate an outdoor wedding even if it doesn’t rain. An evening wedding on a cloudy day can get dark and make things difficult for your photographer. Make sure you have a lighting plan if the sun isn’t out.

Get sound permits and generators

If you’re planning an outdoor wedding away from a professional venue, you must provide the power for the catering, lights, and band. Make sure you purchase generators and speak with a professional to understand how much power you need.

Often, cities have stringent cut-off times for noise. Make sure you know about your city’s time and have the right noise permits to host your event. Some cities even require special permits for weddings of 50+ people. Make sure you are aware of these rules before your wedding so there are no surprises.

Plan for guests and event companies

When planning an outdoor wedding, consider your guests’ comfort. You want to be able to quickly warm guests up or cool them down. If your wedding is in the fall or winter, baskets filled with throw blankets and scarves are a thoughtful touch. Fill the space with fire pits or outdoor heaters, so guests are cozy. You will want to ensure an ample supply of bug spray, fans, and water for a spring or summer wedding. It also helps to provide areas of shade for your guests to relax.

The catering company will need a space for food prep. Provide a space with a small tent so that they are hidden from guests’ view. If there is no indoor space nearby, you will also want to make sure there is space to store your wedding cake. There’s nothing worse than eating cake that has been left in the sun all day!

Other considerations for outdoor weddings

No matter where you get married — outdoors or in, destination or local wedding — every venue has its unique challenges. But with the right approach, planning your outdoor wedding doesn’t have to be more difficult or expensive than any other kind of wedding.

When planning for inclement weather, a tent can help with rain, but there’s not much you can do to save the day if a hurricane, flooding, or severe inclement weather strikes. Special event insurance can help protect you from financial loss for a specific occasion, such as a wedding. Learn more about how event insurance works and ways to save money on your wedding.

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