Case Study: New Baby

When Tim and Rachael had their first child, they were of course overcome with joy.  But they were also worried.  They wanted to make sure they’d have enough money to care for little Emma and send her to school when the time came.

Of course it makes sense for Tim and Rachael to consider using a 529 plan to fund Emma’s college education.  But it doesn’t stop there.  They also need to make sure they are adequately insured.  This way if the unthinkable occurs to either Tim or Rachael (or both), Emma will still be taken care of financially.

The best thing for this couple is to run a financial plan which includes determining how much life insurance they need and how much to put aside for Emma’s schooling.  The good news is, when they do run the plan, it will also help them make better decisions about how to invest, how much to invest and a host of other issues they presently face.

Do you have questions about how to set up your finances once you have a baby? Click here to ask Neal.

This case study is for general information only. This is not intended to be used as the basis for decision-making. You should speak to a qualified professional before making any investment decisions.