Planning, Insurance & Estate
The advice side. Cash flow, protection products, and moving assets to the next generation.
12 terms in this unit.
Emergency Fund
Liquid reserves covering several months of essential expenses.
Net Worth
Total assets minus total liabilities.
Term Life Insurance
Pure death benefit for a fixed period, no cash value.
Whole Life Insurance
Permanent coverage with a guaranteed cash value component.
Disability Insurance
Income replacement if illness or injury prevents you from working.
Long-Term Care Insurance
Covers extended custodial care that health insurance and Medicare do not.
Will vs. Revocable Trust
Directs assets through probate versus holding them outside probate.
Beneficiary Designation
Account-level instructions that override the will.
Probate
The court process validating a will and distributing an estate.
Power of Attorney
Authorizing someone to act on your behalf if you cannot.
Safe Withdrawal Rate
The percentage of a portfolio that can be spent annually with low depletion risk.
Human Capital
The present value of a person's future earnings.