Marianne and roger are in good health and have reasonably secure careers each earns $ 45000 annually they own a home with a $125000 mortgage they owe 25000 for their car loans and have 22,000 in student loans if one should die they think that funeral expenses would be 12000 what is their total insurance beed using the dink method

Marianne and roger are in good health and have reasonably secure careers each earns $ 45000 annually they own a home with a $125000 mortgage they owe 25000 for their car loans and have 22,000 in student loans if one should die they think that funeral expenses would be 12000 what is their total insurance beed using the dink method

Personal Finance

13th Edition

ISBN:9781337669214

Author:GARMAN

Publisher:GARMAN

Chapter12: Life Insurance Planning

Section: Chapter Questions

Problem 1DTM

See similar textbooks

Similar questions

Sharon and Brian are in good health and have reasonably secure careers. Each earns $45,000 annually. They own a home with a $125,000 mortgage; they owe $25,000 for their car loans and have $22,000 in student loans. If one should die, they think that funeral expenses would be $12,000. What is their total insurance need using the DINK method?
You and your spouse are in good health and have reasonably secure careers. Each of you makes about $40,000 annually. You own a home with an $80,000 mortgage, and you owe $15,000 on car loans, $5,000 on personal debts, and $4,000 on credit card loans. You have no other debt. You have no plans to increase the size of your family in the near future. Estimate your insurance needs using the DINK method. Show work!
Harry's wife Lila passes away in January of the current year. Fortunately, Lila had a $1 million life insurance policy. Harry elects to receive all $1 million in the current year and spends $200,000 of it on a luxury around-the-world trip with his new girlfriend. Harry's gross income from the life insurance is: $0 $200,000 $800,000 $1,000,000
30 After reviewing her financial affairs, Jasmine has determined that she would like the $75,000 death benefit from one of her insurance policies to go to a local registered charity. The whole life policy in question has a $45,000 cash surrender value (CSV) and she pays an annual premium of $500. Jasmine's current cash flow situation is quite good. She is living a comfortable retirement. However, she is worried as she has assets, that of the taxes that will be payable after her death will result in considerable capital gains. She is unable to purchase a new life insurance to cover the income tax triggered at death because of her health. What should Jasmine do to fulfill her desire to donate $75,000 to the registered charity and alleviate the taxes payable following her death? NVBDQncreUJQWW1 Ya0w4cWZjYVhIQT09 → a. O Surrender the life insurance policy and donate the CSV. b. O Name the registered charity as beneficiary of the life insurance policy. c. O Assign the life insurance policy…
Marie wants to provide retirement income for her dependent parents for 35 years should she die. Marie earns $67,500 and feels that her parents could live on 65% of that amount. If the insurance funds could be invested at 5%, how much life insurance does she purchase using the desired income method? Group of answer choices $1,273,499 $1,450,087 $932,743 $877,500
Nikul
Hi I have a question regarding Austrlian Retirement and Financial Planning. In this example, the couple are retired and one of them is ill and looking for a retirement home, the home is going to cost $450,000 deposit. Neither of the couple work and draw 50,000 from their super in order to stay afloat. They have 20,000 and 562,000 in super combined, have a 900,000 dollar home. They also have 10,000 worth of home contents, a 15,000 dollar vehicle, and 55,000 cash in the bank. It is important to note they have 0 debt and everything is fully paid off. Neither of them have ever received pension money or government support. Myrtle wishes to put bob in an aged care facility, and when that is done she wants to return to work part time. 1. How will Myrtle's income be funded of $40,000 per annum be financed now, in the future and when she retires in 10 years time?
Ana Maria's family would need $33,500 for annual living expenses if she should pass away. Her husband earns $15,100 per year and the family has additional yearly income of $12,000 from investments. If the prevailing interest rate is 13.3%, how much life insurance is needed to cover the family's income shortfall? (Round your answer to the nearest $1,000.) O $2,000 O $48,000 O $138,000 O $192,000
6. Adrianna wants to provide retirement income for her dependent parents for 23 years should she die. Adriana earns $67,500 and feels that her parents could live on 70% of that amount. If the insurance funds could be invested at 5.5%, how much life insurance does Adrianna purchase using the desired income method? O $714,666.67 $618,666.67 $859,090.91 $1,546,667.84
Laura and Alan are a young married couple with three small children. Alan earns $60,000 a year, but Laura has no earned income. What is the maximum total contribution Laura and Alan can make to their IRA accounts in 2022? $5,500 $12,000 $6,000 O $14,000 O $7,000
Mike had a $100,000 whole life insurance policy with a $10,000 loan outstanding when he died. The policy had a $20,000 cash value prior to the loan. How much will his beneficiary receive following Mike's death? a $110,000 b $100,000 c $30,000 d $90,000 e $120,000
You and your spouse are in good health and have reasonably secure careers. Each of you makes about $51,000 annually. You own a home with a mortgage of $102,000, and you owe $26,000 on car loans, $9,000 in personal debts, and $9,000 on credit card loans. You have no other debts. You have no plans to increase the size of your family in the near future. Assume funeral expenses of $5,000. Estimate your total insurance needs using the DINK method. Insurance need