Goals : 1. Minimize current and future taxes; 2. Keep funds available
for future investments (5, 10, 15 years from now).
Status: Married no kids yet, both husband and wife employed, owns a
home with $600K Mortgage on it.
Age : Husband - 32(husband) + 70K (wife) = 168K/Year
401(k) Contribution : Maxed 401(k) offered by both employers.
Roth IRA : Contributing to the yearly limit (4K for 2005) under both
husband and wife's accounts.
Individual Stock: Invests $300 every month in a taxable account.
Life Insurance : Husband has a $500K VUL. Overfunds with $300 per month.
Wife has a 15 year term for $500K.
Monthly Expenses : Including Mortgage & Car
Payments/Food/Clothing/Utilities/Entertainment/Misc = 6000.
Questions:
1. Did we pick the best forms of investments, considering our goals;
Are there better altenatives for us to consider?
2. Is VUL a good idea for saving taxes in our case or are there better
alternatives (ex: annuities?) for us to consider.
3. If VUL is a good idea, should we overfund it even more? |