Here’s another possible solution to the retired parent dilemma
Perhaps you’re in the boat where there’s no possible way you can stop supporting your adult children or aging parents. There’s still a smart financial decision you could make, too.
If you anticipate your resources might be drained too heavily by family ties in retirement, you might consider a unique insurance policy that money expert Clark Howard has talked about in the past: Longevity insurance.
Longevity insurance is an insurance product you don’t often hear about from insurance agents because the commissions on the sale of these policies are too small for them to get excited about.
But longevity insurance can be exciting for you as the beneficiary of the policy. You typically buy the policy in increments of $100,000 and it pays you a lifetime monthly benefit once you hit age 85.
If you don’t live to age 85, the policy won’t pay out, so be sure to consider the longevity of people in your family carefully before you explore buying longevity insurance! If you have a family history of people dying before 85, it probably wouldn’t make sense for your situation.
But, if you are blessed with longevity in your family, longevity insurance would allow you to tap heavily in your retirement savings in the name of helping family through age 84. Once you hit 85, you start getting a check every month for the rest of your life.
It’s one possible way to deal with the fact that you may face a budget crunch because you’re supporting financially unstable children during your retirement.
Article from: firstname.lastname@example.org(contact: https://clark.com)