Make Evaluating Your Insurance Coverage A Part Of Your Financial Well-Being (NAPSA)—Even though the stresses of tax season are for most of us but a memory, it is still impor- tant to not put away those W-2s and other financial data just yet. While your information is at your fingertips, it can be a great timeto review your overall financial plan, especially as relates to insurance coverage. Whenre-evaluating your strategy, a few questions bear your consideration: Have there been recent changes in your family? A new child? A new spouse? e Has there been a change in your job status? e Are you making moreor less income or noneatall? e Are you relocating? Employee Savings Example* Per $1,000 in Salary Without FSA With FSA $1,000 gross payroll $1,000 gross income - $250 taxes - $100insurance premiums = $750 paycheck = $900 adjusted gross income - $100 insurance premiums - $225 taxes = $650 net spendable income = $675 net spendable income $25 tax savings *Savings over funding benefits on an after-tax basis; assumes an effective tax rate of 25 percent. @Q Contributing to a Flexible Spending Account (FSA) can save you hundredsof dollars annually. care requires you to consider the prospects of possibly needing to address a chronic illness. e Are you making a major purchase? Have you turned 50? e Are you caring for an elderly parent(s)? Among the best ways to augment your financial plan, and Is your life insurance up to and then spent on qualified expenses. e Are you going into retirement? Have you suffered the loss of a loved one? date? “The best thing you can do is keep an eye on your insurance coverage as your family needs change,” said Angela Jones, an Aflac policy services manager. “You need to make sure you have adequate coverage whether you are adding or taking someoneoff shelter a portion of your income, while also paying medical expenses is to establish a Flexible Spending Account (FSA). An FSA allows money to be deducted from an employee’s paycheck pretax There are two types of FSAs— unreimbursed medical (URM) and dependent day care (DDC). For example, if people know that they will incur annual expenses for over-the-counter medicines, they can elect a specific yearly dollar yourpolicies.” amount that they spend on these bills to be put aside. ance, make sure it meets the needs FSAs can save you money by So when assessing life insur- of your current situation and update this information annually. Participation in one or both reducing your taxable income. ance to consider and how it will meet your needs in the event you Aflac insurance policies help supplement primary health plans by providing direct-to-the-policyholder cash benefits as one option for anyone at midlife, the prospect of needing long-term www.aflac.com. There is also disability insur- get hurt and cannot work. And to help fill gaps in traditional cov- erage. For more information, visit
