So I was trying to help my friend out in getting in financial life in order. I suggested the basics:
1. LBYM
2. Max out the Roth
3. Max out the 401(k)
4. Keep 3-month living expenses in cash
5. Get a term life insurance policy (as he is married, owns a house, and has a kid on the way).
BUT...it turns out he has a congenital heart condition that the puts him, according to the underwriters, as "uninsurable."
Suggestions #1-4 are what I have read over and over again here and on Morningstar's VG Diehards...but #5 kind of took me by surprise.
I should be grateful for my "insurable" status...
but as for my friend, where does he go now?
1. LBYM
2. Max out the Roth
3. Max out the 401(k)
4. Keep 3-month living expenses in cash
5. Get a term life insurance policy (as he is married, owns a house, and has a kid on the way).
BUT...it turns out he has a congenital heart condition that the puts him, according to the underwriters, as "uninsurable."
Suggestions #1-4 are what I have read over and over again here and on Morningstar's VG Diehards...but #5 kind of took me by surprise.
I should be grateful for my "insurable" status...
but as for my friend, where does he go now?