What to do with whole life cash value?
I am sure this has been addressed here, but I would like some wisdom.
Whole life policies are generally frowned upon here and I now understand why. But I have a really old one and the "return" now is pretty good. The cash value increases annually at a pretty good rate.
The cash value is now right at $90,000. The policy value is $225,000. My wife and kids don't need it if I die as our net worth is pretty good. I have another term policy for $250,000, through work, that I can pick up when I retire on April 1. The term policy costs $1,400 a year and is guaranteed for another 9 years.
So what should I do with the whole life policy? It doesn't cost much anymore as the dividends pay most of the premium. I checked into converting to a spia, but it isn't much money. I've thought about just waiting till it hits $100,000 and cashing it out as $100,000 is a pretty good chunk of money.
What are some good strategies for this thing?