[00:00:00] Corinne Foxx: Welcome back to another episode of Am I Doing This Right? I'm Corinne Foxx.

[00:00:05] Natalie McMillan: And I'm Natalie McMillan.

[00:00:07] Corinne Foxx: And we are best friends, confidants, millennials, and the hosts of Am I doing This Right? A life how-to podcast from the perspective of non-experts.

[00:00:17] Natalie McMillan: And each week we cover a new topic and we drink a new bottle of wine.

[00:00:23] Corinne Foxx: Wait, you know what? I just had the image of, of my head. I was like, I wonder since we do the same intro, if people in their cargo. Um,

[00:00:31] Natalie McMillan: you don't really kind of mouth it, you know, what's so weird is as you were talking, I was thinking, is it weird that we say the exact same? Like we don't, we don't record this before we say it each time.

[00:00:42] Corinne Foxx: No, I know. I don't think it's weird. Nope. I mean, I

[00:00:45] Natalie McMillan: guess not weird, but just

[00:00:46] Corinne Foxx: like, but that's what I'm saying. I feel like our Amies might be like, hi, like we're best friends, like in their cars. Like I'm just picturing that. Mouthing it. Do you like our intro or do you not even notice it? You're like, shut the fuck up.

What are you talking about

[00:01:00] Natalie McMillan: today, today while you guys,

[00:01:03] Corinne Foxx: what are we talking about today? We are talking about leaving a legacy. How wills trust funds and life insurance work. And if you're young, we are young. Okay. This is not just for people who are 65. Plus this is forever. Okay, we're going to be talking about how to set up a well, what is a trust fund and why you should probably already have life insurance.

[00:01:27] Natalie McMillan: And I didn't know until we resolved. I didn't know any, honestly,

[00:01:29] Corinne Foxx: I didn't know, not thinking about this. We didn't think we needed any of these things. And by the end of researching this episode, we both were like, yeah, we need to get

[00:01:37] Natalie McMillan: off. I need all of this. I started my will in my phone, on the notes app.

And I did put current in my, well, I am

[00:01:44] Corinne Foxx: a vet beneficiaries. I was very excited about it as well though,

[00:01:50] Natalie McMillan: on my notes app, I

[00:01:51] Corinne Foxx: though I don't want you to pass, but I am very excited about what I get. Should you

[00:01:54] Natalie McMillan: should, yeah. Should I pass in the event? Yeah,

[00:01:57] Corinne Foxx: you, you've got to just say, because I ate and I love to dream that we're going to die at this exact same day when we're 90, but maybe the thing I'm getting can go to my children.

Okay. What about your children? I

[00:02:08] Natalie McMillan: guess your to no, no, no, no, no, it's too bad. They'll go to your kids. It's fantastic. It's not a big deal. They're going to get all kinds of other weird. Your kids get that thing.

[00:02:20] Corinne Foxx: Okay. Anyways, before we get him to where I have a little announced speeches am. If you guys are a fan, the show that I co-host with my dad is coming back to Fox for our fifth season on May 23rd.

[00:02:36] Natalie McMillan: You co-hosted with your dad, but also with me in the audience. Okay. So I love to

[00:02:40] Corinne Foxx: participate. Well, there, there some key terms, fast track, fast track,

[00:02:47] Natalie McMillan: what a million dollars and the money is going up. I love it. I was going

[00:02:55] Corinne Foxx: to ask you that, like what ha being an audience member, a regular audience member, what's the craziest thing you've seen a lot of it's what happens in between

[00:03:03] Natalie McMillan: is that a, the things that happen in between setups, but it does this need to be an on-air thing.

It can

[00:03:09] Corinne Foxx: be an either or thing. It can be an honor. You're off air the, in the

[00:03:13] Natalie McMillan: air. They're under the air above the air. Okay. I'm sinking. I know there was one in between moment where there was like a full blown, there was a woman who was having like a solo dance. It was like a big, weird dance thing. And I think she was dressed as an elf.

So that was an interesting one. We always have someone every season that doesn't matter. Oh, there's always somebody that I don't know how we have audience members. I can just do backflips. I don't, they, they, they just come out and they flip around and they come and they just look, and these are just regular.

It's not like you hire them. Like, these are the audiences

[00:03:48] Corinne Foxx: that are just in the audience, their names. They're not even our contestants.

[00:03:52] Natalie McMillan: And then the other thing I remember that was on air and I think it did actually air, but they were trying to beat Shizam and little red Corvette came on and she was saying it, but your dad got so excited that he thought he said he was prince.

And then everybody, they had to do this crazy. Like they had to stop the show for like 30 minutes and like, watch it back and see if he said. At all before her, which he didn't. Oh, he didn't. She started saying it before he did, but it was by like a quarter of a

[00:04:30] Corinne Foxx: second. Yeah. I don't think people realize, like our show is so real and we have standards and practices there because it's like, You can't.

Yeah, I know we can't rig it at all. And so like, they're super OCD about like our contestants, not knowing the songs that are going to be played. And like, sometimes I don't even know what's going to be played. Cause they, then I could technically tell a contestant, you know, it's like very, it's very official over here at beaches.

And so anyways, good air is May 23rd. Keep your eyes out. I've never watched it. It plays on Fox ears on Fox and then also on

[00:05:01] Natalie McMillan: Hulu. Oh, but can we say that there's also an.

[00:05:05] Corinne Foxx: Oh, gosh, Natalie's been trying to win

[00:05:06] Natalie McMillan: $10,000. I've been trying to wind down. And I really do believe that I, one day will, this

is

[00:05:12] Corinne Foxx: your season.

And I feel that for you and I, and I'm holding space for you. Thank you so much. And if I can't reg it, though, if you do, when it is not, I,

[00:05:20] Natalie McMillan: it was not her. It's truly luck of the draw, but let's say when that 10th. I probably should figure out if I need to put it in our will and trust

[00:05:28] Corinne Foxx: area. There we go. Okay.

But not first. What are we drinking? This epi? We're

[00:05:33] Natalie McMillan: drinking a Willamette valley, Pinot noir. It's a twist top, which we love. It's a 2020, and it's called evolution by so Cole Blosser in . So that's what we're drinking. Hey, take a little sippy sip and try not to say interesting. I already

[00:05:54] Corinne Foxx: said him. I just sit in Tencent,

[00:05:57] Natalie McMillan: but a different language.

Okay. We'll check back in at the end of the. Smokey smokey.

[00:06:08] Corinne Foxx: All right. So let's get into wills, trust bonds and life insurance. So

[00:06:15] Natalie McMillan: recently we've both personally had to deal with things like wills and trusts, and we realize we really have no fucking clue. Um, what they even are or how they work or how to even make one, if you are to need one, right.

Also had an am I right in, on our Instagram and ask if we could cover it. So we were like, all right, it's time to decode this shit.

[00:06:34] Corinne Foxx: Yeah. And I really do feel like no matter where you are in your life, You know, even if you're young, you might have a grandparent, this might affect you. You might have a parent that you want to help them set up like it, and you should have all of these things at some point in your life.

Anyway. So it's like it's applicable. If you know nothing about. Neither did we, and here we go. Here we go. We're going to start with whales y'all and we're going to start with some recent statistics about Wells. So the number of young people with a whale has increased by 63% since 2020. Which that

[00:07:11] Natalie McMillan: makes

[00:07:11] Corinne Foxx: sense.

Why do you feel like that has to attribute to one? We finally had the time to learn about it to the pandemic. Yeah. That we're all

[00:07:19] Natalie McMillan: like, we're all going to die in 20, 20 millions, just in America. Oh, fabulous.

[00:07:25] Corinne Foxx: Okay. In 20 21, 18 to 34 year olds are for the first time, more likely to have a well than 35 to 54 year old.

Oh, my God. Look at us out.

[00:07:41] Natalie McMillan: 18 to 34.

[00:07:43] Corinne Foxx: We love that for us. Despite COVID-19 the overall percentage of Americans with a will has not significant. Change. So it's just us and roughly 67% of Americans reported not having a will in 20, 21. Wow.

[00:08:00] Natalie McMillan: So I get on like our age group is just carrying the load for the whole thing. And

[00:08:04] Corinne Foxx: even us, when we went to research this, I was kind of like, we got

[00:08:08] Natalie McMillan: so into it.

Yeah. We were like, oh my God, this is fascinating. And we also have to do

[00:08:11] Corinne Foxx: all of this. Yeah. So not what is the

[00:08:14] Natalie McMillan: purpose of. The primary purpose of making a will is to choose beneficiaries, to receive all of your assets. Your beneficiaries may be family members or loved ones or an organization such as a nonprofit, which I didn't know.

I think that's really interesting. I love that. You'll also choose an executor who, someone who it's their job to carry out the wishes listed in the

[00:08:38] Corinne Foxx: will. Gotcha. Gotcha. So what happens if you pass before you have a will? So in, for the people out there. I don't

[00:08:45] Natalie McMillan: have one. Yes. So if you pass away without a, will you are considered into state, into state, indistinct, into state, into state.

I don't know. Well, this just means that state laws will determine how your assets are distributed by the probate court, which. I'm having a will in place allows you to decide who will receive your assets, which can help reduce time costs and conflict in probate court. So let's get definition,

[00:09:17] Corinne Foxx: define probate court, probate court.

[00:09:19] Natalie McMillan: It is a segment of the judicial system that primarily handles such matters like wills estates conservatorships and guardianships.

[00:09:28] Corinne Foxx: Okay. So yeah, I mean, if you trust them with, uh, Yeah, you could do that. Or you could just have a well,

[00:09:34] Natalie McMillan: or just get in the will because yeah. You can see how this would be like the thing that I'm going to give you in my kids.

Yeah. So the thing that I'm going to give you, and then your kids would give you if I didn't have a will, they wouldn't ever

[00:09:45] Corinne Foxx: know, and I'd really have to fight that. And I would, it would

[00:09:48] Natalie McMillan: be a conflict to the court in probate court. So let's talk about like, Steps to creating.

[00:09:55] Corinne Foxx: Oh, well, yeah. So first you should choose your executor.

The executor or personal representative is the person who will be in charge of handling your estate. And can I just say that the word estate really throws me? It feels very, um, it feels very like Connecticut and we say a state, we just mean. We just need yours

[00:10:15] Natalie McMillan: yet. We mean, your Shay really is too fancy of a word.

My mom lives in a mobile home park now and she calls it the mobile estate. I mean, I love that. It really makes it seem elevated. Everything you

[00:10:25] Corinne Foxx: own is your estate, but I just want to clarify, people are sitting like I don't have distinct. It's fine. You don't, you do, you do. Okay. Anyways, so this person, the executor, there should be someone you trust who is responsible and organized.

Administering an estate involves a lot of paperwork. This is not for your slacker friend who okay. And you should talk to this person ahead of time to be sure that they are. To accept the role and let them know where to find your important documents, such as your well insurance policies and passwords for online accounts.

And you should also just have a list of your online accounts and your password that gets you through. Yep. Yep. Cause you went missing. Okay. So step number two in creating your well is to make records of your property. And this includes real estate property, physical homes or land and personal property like stocks, bank accounts, jewelry, family heirlooms.

And not only that we'll fund them again. And if you own something jointly, you can only give away your share. For example, if you want a vacation home with your best friend, you can only give away your share of the ownership in your wealth. So you can't give somebody all of something you don't know.

[00:11:39] Natalie McMillan: You also need to consider what you want to happen with your children and or pets.

So if you have children that are minors, they usually will go to your spouse. However, if you don't have a spouse, you will want to appoint someone else to be responsible for your children. In the event of an unexpected death, also consider where you would want your pets to go. I put that in my will where I want Zeplin to go.

Yeah. In my wheel, on my iPhone. But not real yet. The other thing is you want to protect your quote unquote digital legacy. So be sure that you share any relevant login information so that there's passwords or security questions with the appropriate people. A password manager can keep your sensitive information in one place, making it easier to transfer hands.

You might also need to include your computer password and phone pin for the people you choose to access these accounts. Also, this is something that's very, I wouldn't, I would not have considered this consider what you want to happen with your social media accounts. Do you want your Instagram to stay up forever?

Do you want it deleted? These are all things that you should consider that are relatively new when

[00:12:50] Corinne Foxx: discussing Will's. Yeah, I know. Facebook has the option to make your page. Mortem. Yeah. It's like, like

[00:12:57] Natalie McMillan: it will delete

[00:12:57] Corinne Foxx: itself or something. No, no. It just like, it changes like from being your Facebook to being a post.

They have like a type of account. Oh. And then it just becomes more of like a wall that you can just like post memories on. Oh, that's really interesting feature. Interesting. So now what are some tips that can help you write your well,

[00:13:17] Natalie McMillan: number one, be specific. So don't leave it up to chance for readers to interpret your well, as you wish.

So use very clear language and exact names when deciding who gets what be realistic too. So know which tangible assets like artwork or furniture you can bequeath to specific instead to specific people to avoid conflicts about splitting things

[00:13:44] Corinne Foxx: equally. And can you amend. Am I locked in

[00:13:49] Natalie McMillan: forever. You are not locked in.

You can amend it. And you should. So like, if you get married, if you get divorced, if you came into a large amount of money, if you win beat Shazam. Yeah. Yes. When beaches am, if you want to be stressed now, You should reconsider what your will entails and amending it is called

[00:14:08] Corinne Foxx: a codicil. Oh my God. That sounds like a medication I should take for like a sore throat.

[00:14:13] Natalie McMillan: Go to sell, brought to you

[00:14:14] Corinne Foxx: by Coda and you're welcome. Beat like anything like, right. You can just put it on a piece of paper. Like I don't need, do I need to get it notarized? Oh, I'm just asking you. Oh, do you know that? Yes,

[00:14:24] Natalie McMillan: you do. You do? Yeah. Okay. Yeah. It can't just, you have to, it has to be an officially.

Okay. Yeah. Okay. And your notes app will not stand up and will not stand up? No. Okay. That's just a rough draft, right? Okay. Gotcha. And then I'm probably going to have Kathleen file, whatever it is for me notarize it. Okay. But here's the other thing. So we've got wills, right. But then we've got,

[00:14:45] Corinne Foxx: I know that was really confusing to me, but what's the difference.

I know, I know. So wills and trusts are legal instruments that ensure assets are passed down to heirs as per your wishes, helping to provide for the people and the causes close to your heart. Well, each can be a pillar of a state plan. You're a state,

[00:15:04] Natalie McMillan: the areas

[00:15:04] Corinne Foxx: of your state. Yes. Wills and trusts have key differences to consider from when they take effect to whether or how much they can be contested, depending upon your situation, you might need only one or the other, but some people end up actually using both to help achieve different outcomes.

So the main difference between a will and a trust is actually when they come into effect. Oh, okay. So a well comes into effect after the creator's death. Whereas a living trust comes immediately into effect after it is created. So when the creator is alive, they can control their trust. So if the person becomes incapacitated and can no longer make their financial or healthcare decision or dies, the person nominated by them.

Into handle their affairs and trust can cover property that actually wills can not such as life insurance policies or retirement plans. And like you said, a will actually can the stoke guardianship like an animal or child. So they actually like cover different things. So that's when you would have both.

Yes. And another key, key difference between wills. That actually, I think also like one of the most important is that your trust assets will not go through probate court. So your successor trustee can continue managing the trust as usual with no interruption caused by probate proceedings, which can be like lengthy and.

No, it's just like, it's, it doesn't have to do all that. It's less messy as less messy. It's very clear. Yes. So now let's get into like, what is a trust if you just didn't even understand it from that? Okay. So

[00:16:44] Natalie McMillan: according to bank rate, a trust is a legal vehicle that allows a third party trustee to hold and direct assets in a trust fund on.

Of a beneficiary, a trust greatly expands your options when it comes to managing your assets. Also, guys, assets seems really fancy. It's just like your money, your cash you have. Yes, yet. Yes. Yet. When you hear the words, trust or trust fund, the first image that may come to mind is like a wealthy family and a mansion with inherited wealth passed down generation generations, debt the estate, but you really don't have to be a member of.

Mr. Bill gates family, to set up a trust fund. You can just be a normal ass person. Trust are used for distribution of assets and not for personal property that has little monetary value. Yeah. So for example, you can put a painting in a trust because it may be in of incredibly high value. However, you cannot say that you want to give your cousin your favorite leather.

In your

[00:17:49] Corinne Foxx: will, like, I mean, in your trust, I'm sorry. In your trust.

[00:17:52] Natalie McMillan: Yes. You would put that in your will. Yes. You also cannot include custody in your trust. Like current had mentioned. So the main thing is that they're for financial distribution, right? Yeah. Right. So why would somebody need to.

[00:18:05] Corinne Foxx: Dart one while the main purpose of a trust is to transfer assets from one person to another.

And trust can hold different kinds of assets. Like we said, investments, accounts, houses, cars, for example, the big fat and largely the biggest benefit of having a trust is avoiding probate. Like we said before, and since there's generally no probate court process, when you have a living trust, there is no need to make your assets.

Or your personal wishes public. Uh huh. Cause if it would

[00:18:32] Natalie McMillan: go through probate

[00:18:32] Corinne Foxx: court, they're public public. Yeah. And with the living trust, you can continue to protect your family even after you're gone. So delay distributions until children reach a certain age or they graduate, you can make sure money doesn't fall into the hands of creditors or ex-spouses and make sure.

Special needs children still qualify for benefits. So you can hold off on distributions until your children reach like a big milestone. Like we just said, you can basically create terms in your trust that you really can't create in your will. I have some friends that have a trust fund from their grandfather that said they can't get their money until they're 30, which I think is great.

Yeah. But those terms and conditions were written in the truck.

[00:19:16] Natalie McMillan: And he probably wrote that when they were like two

[00:19:17] Corinne Foxx: years old. Yeah, exactly. And a trust can also be used to ensure that your children don't lose their inheritance due to substance abuse, creditor problems or divorce. So sometimes through probate court, they can decide like you're not fit.

That's the same with like special needs children. Like you're not fit to, you know, inherit this money, but also like conservatorships and things like. That helps with trust. So in short, with a trust, you can dictate the terms of inheritance. And another benefit of having a trust is reducing the estate tax.

The federal estate tax is applied to an individual's assets when they die by placing our assets into a trust fund. Before you pass away, you minimize the size of your estate and could substantially reduce or eliminate the estate texting.

[00:20:06] Natalie McMillan: Wait. So when you die, you owe taxes

[00:20:10] Corinne Foxx: when we die. So you do actually a friend of mine passed away and my mom is doing his taxes.

Oh my God. I didn't consider

[00:20:17] Natalie McMillan: that. My God wild. That is wild.

[00:20:24] Corinne Foxx: So now, how do we set up a trust?

[00:20:27] Natalie McMillan: All right. So to create a trust fund, you must have at least three parties that fall into one of the following categories, a grantor. So this is the person who established the trust and put the money, stock business, or other assets into the trust.

The beneficiary. This is the person, group, or organization intended to benefit from the trust. They do not own the trust property, but have the right to receive the benefit of the property. As the trust allows, for example, a grandchild can receive distributions to pay for college. Gotcha. Then there's the trustee.

So the trustee is responsible for managing the property. By the trust a trustee can be an individual or an organization such as a bank or a law

[00:21:12] Corinne Foxx: firm. That's a conservatorship part of it, putting it as a oh, the trustee. No. Yeah. Like that's how, like they controlled Brittany Spears, his money as, because there was like a bank or a law firm that was like the trustee of her.

Right.

[00:21:26] Natalie McMillan: You know what I mean? Yeah. Anyways. Okay. So once you've chosen the right type of trust, you should record what assets. In the trust fund, how they will be managed and distributed and who the beneficiaries and trustees will be also consider how long the trust will last and what conditions will cease to operate.

Interesting. So it's really just your, your planning, where you want everything to go when you're done. Yup. With a lot of, uh, control, whereas wills are a little bit less. Yes. So how do we make a trust

[00:21:59] Corinne Foxx: official? Okay. So several websites offer DIY trust services, but they usually aren't a safe solution. Trust can be complicated.

So most grand tours opt to enlist the help of a professional estate or trust attorney. Um, you can ask friends, families, and colleagues for referrals. If you're doing, if you're comfortable doing so. And maybe you can work with a financial advisor. I've just put a pin in that. Yeah, I, I, a later episode. Yeah.

Yeah. And he, or she should also be able to point you in the right direction, stay in local bar associations, also list attorneys that will be familiar with state trust laws. And since fees can vary widely, you should compare prices as. Testimonials, you should also check whether your employer offers discounted estate planning services as part of their employee benefits package.

Interesting. I would've never thought that. I mean either, but would you say not like a trust is more important than a well, uh, and

[00:22:57] Natalie McMillan: so our trust in no way replaces a will a will is the only way you can name an executor and legal guardians for your children. So that's like a big thing. So without a, will the state where you live will divide up your property and.

As it sees fit. Yeah. In fact, a will is the most important part of your estate plan and you can make a will for free online. Oh wow. I know. Yeah. But that being said, having a will and a trust can help ensure that your money not only goes to who you choose, but also in the manner you choose.

[00:23:31] Corinne Foxx: So that's why you kind of need the combo package.

The combo package is probably the way to go. Yes. And lastly, in this estate planning, epi, we're going to hit his life insurance insurance. Y'all I want to know all I know about

[00:23:46] Natalie McMillan: life insurance, diddly shit. I know diddly shit. And that every time I watch a 2020, or a snapped or something, it's like always somebody going with killed for license for

[00:23:54] Corinne Foxx: the licensure.

Well, there are 41 million people in the U S who say they need life insurance, but do not have it according to the 2020. Barometer report from industry groups LIMRA LIMRA and life happens. Interesting perceptions about affordability and value can deter people from buying the life insurance. They need more than half of respondents in this report said a $250,000 term life insurance policy for a healthy 30 year old would call it.

$500 a year or more, but the average cost is closer to $160 a year. So there's a pretty big discrepancy in perceived costs versus the actual cost of life insurance that gets not as expensive, less than $10 a month. Yeah. Then it's less expensive than people think. I

[00:24:45] Natalie McMillan: would always think that. Very expensive.

It seems fancy. It

[00:24:49] Corinne Foxx: does seem out of this seems fancy, but it turns out it's not. Yes. And the most useful way to answer the question of whether you specifically need life insurance is with another question. What's that question? Would your death financially impact the people in your life? If the answer is yes.

And you should consider life insurance and terrain now. So let's get into what is life insurance, if you don't know what it is.

[00:25:12] Natalie McMillan: So it's a contract between an insurer and a policy owner, a life insurance policy guarantees. The insurer pays a sum of money to named beneficiaries when the. Dies in exchange for the premiums paid by the policy holder during their lifetime and for the contract to be enforceable, the life insurance application must accurately disclose the insured's past and current health conditions and high risk activity.

[00:25:43] Corinne Foxx: Okay. Isn't it along came Polly that Ben Stiller plays a life insurance

[00:25:48] Natalie McMillan: agent and poly has all kinds of crazy. Doesn't she do all kinds of crazy shit. And he's like, you could never be insured. I think so, or

[00:25:56] Corinne Foxx: something like that. But I remember it being like, and he would go like, people don't like that.

Cause it's like, oh, if you ski even like your, your policy might be a little bit more like things like

[00:26:05] Natalie McMillan: that. Yes. So basically long story short, an insurance person is like, Hey, how's your health? Do you do anything wild? You tell them, then they're going to come up with a number that you're going to pay yearly.

And then that goes into like a pot basically. And then when somebody dies, then basically the whole question about, would your death financially impact the people in your life? That's why you have this setup. Yes, because let's say you are, you're the breadwinner you pass and your husband. Fuck,

[00:26:42] Corinne Foxx: but it doesn't even have to be a breadwinner.

It can be that, like, I was actually talking to my mom about, about life insurance and she was saying even Joe, like he would be so distraught with my death that he probably couldn't work for a year, you know? So like, or just like even writing him into my will and things like that. We're not married or anything.

Provide for him, but he would be so impacted by my death that it would actually affect his ability to work. Yes. You know, so it doesn't even have to be, if you're a breadwinner, it could just be like, who would this like actually financially impact we impact,

[00:27:12] Natalie McMillan: you know, So

[00:27:14] Corinne Foxx: why should you, I mean, like you were just saying too, if you have a family, a business or others who depend on you, the life insurance benefit of a whole life policy acts as a financial safety net.

So when you die, your beneficiaries will receive a lump sum payment that is guaranteed to be paid in full provided. All premiums are paid and there's no outstanding loans and it's essential protection that you can carry. To be there for your loved ones when needed. So I want to put a pin

[00:27:44] Natalie McMillan: in this because as you were talking, I was thinking like, well, what's that the difference between this and a will.

You don't know as somebody's end of life. If they have any money, like if it's in the will, like my kids get my whole checking account. Well, you're taking account could be $70. Yeah. This is guaranteed.

[00:28:01] Corinne Foxx: Yeah. You didn't have $500,000 life insurance. We'll get it. Yes. Yeah. Yeah. So imagine what would happen to your family.

If the income you provide. Like suddenly disappeared with whole life insurance. You can make sure that your loved ones have the money. They need to help with like paying the mortgage, you know, affording health care, childcare, other services, covering tuition or other college expenses, eliminate household debt, preserve a family business.

Like all of these things that, you know, if you're like, oh shoot, if I die early, you know, what would I be able to provide for my children? The things that they're going to need down the line. All types of stuff, but there are actually two types of life insurance.

[00:28:42] Natalie McMillan: Yeah. So there are two primary types term and permanent life, permanent life insurance, such as whole life insurance or universal life insurance can provide lifetime coverage.

While term life insurance provides protection for a certain. Kind of self-explanatory. Yeah. So term life insurance is the most popular type of life insurance sold in 71% of purchasers actually get term life insurance. According to that insurance barometer report term life insurance provides coverage for certain amount of time and the premium payments stay the same amount for the duration of the policy.

So typical choices for policy length are 10, 15, 20, 25 or 30 years. Permanent life insurance provides the lifelong coverage and is more expensive than term life because you know, it's your whole life. And it usually builds cash value. So the cash value component accumulates on a tax deferred basis over the life of the policy.

It acts as a savings portion of the policy. So typically you can borrow against the policies, cash value. Or make withdrawal. So if you decide to end the policy, you can get the cash value minus any surrender charge. And if you're like, what the fuck is all this? Basically you can take money out and you can get the cash value minus the surrender charge, which is like a fee you have to pay for 10.

[00:30:12] Corinne Foxx: Makes sense. Yeah, that

[00:30:14] Natalie McMillan: makes sense. So I think my big question, Joanie here is when do you get

[00:30:19] Corinne Foxx: it? Yeah. So what age should you get life insurance? For many people, the answer is to buy insurance when they're as young as possible. In fact, it often makes sense for people to buy life insurance in their early twenties upon starting their careers.

Oops.

It's a common misconception that it's a good idea to buy life insurance. Only after someone is dependent on the policy holder for income or services, even people without anyone, depending on them may want to plan ahead and get covered. That's because buying life insurance early on can result in lower premiums.

Like remember that health. Questionnaire thing. Like when you're younger, you have less going on. You're less risky, but also, you know, life milestones can also provide a simple answer to the question of when to get life insurance. Simply it may be a good idea to get a policy after getting married without life insurance.

Your spouse may be responsible for your debt. If you pass away to ensure your family is provided for in the future, it's recommended to get life insurance coverage. That's true. To 12 times your annual salary. Jesus. Quiet. That makes sense. If you make, if you make $50,000 a year, $500,000. Oh yeah. Okay. I know what you mean.

Yeah. Not should you buy life insurance right now, if you're listening and you're an AMA, what, what do you do? What do you do? You probably should

[00:31:44] Natalie McMillan: probably should. Only because it's getting more expensive every day that you don't have it. So insurance premiums rise by an average of eight to 10% for each year.

You postpone buying coverage.

[00:31:57] Corinne Foxx: Yeah, shit.

[00:31:58] Natalie McMillan: So I'm like, God damn, I wish I got this when I was 18.

[00:32:03] Corinne Foxx: Okay. Now, so we need to get life insurance and we need to write our wills and we need to get restaurants. Yeah.

[00:32:08] Natalie McMillan: All of the above, all of the above, I take my will out of my, uh, phone and onto an actual document.

Yeah.

[00:32:14] Corinne Foxx: All right. Well, we hope you learn more about how to set up a will. What is a trust fund? And, uh, the fact that you, you need to get life insurance and, and that's on period. I ain't got to do it bestie. All right. Now, should we circle back on this wine that we've been drinking? This epi, what

[00:32:30] Natalie McMillan: is lower? It was the peanut for Willamette valley 2020.

It's called evolution by I'm going to, I think it's so cold. Blocked.

[00:32:39] Corinne Foxx: Well, that I'm really excited about her. How do you came up with a really great

[00:32:43] Natalie McMillan: idea for that? So we were trying to think of like, we're like, we don't want to put somebody that's like about to die. Who should the Hottie be? So then we thought, I, well, I guess I said like, who's somebody named Willis.

Yeah, like a

[00:32:56] Corinne Foxx: famous

[00:32:57] Natalie McMillan: we'll will. So would you like to say who we've

[00:32:59] Corinne Foxx: chosen? Yeah. It's a fellow Trojan, Mr. Welfare, or we love him. He's the best fucking funny. Okay. So one, two will Ferrell. What are you reading this?

[00:33:13] Natalie McMillan: No, no, our evolution now that it's opened up more. I not mad at it, but it's nothing that I'm like, oh my God, I'd give it an eight, seven.

I was

[00:33:28] Corinne Foxx: going to say seven, seven and a half out of will Farrell for this evolution evolution.

All right. This is the part of the episode where we play a little wrap up game. And this week it's overeat. Underrated, can we need a song? You got

[00:33:51] Natalie McMillan: somebody at some point is going to come through. Okay. Now you go first. All right. I'm a little concerned about mine because I think I will catch heat. You never do of heat?

Well, this is a fan favorite. So I think the movie, the notebook is overrated. I know. I'm sorry. I'm speechless. I know. Okay. Okay. I know.

[00:34:16] Corinne Foxx: Do you have a comparison? That's underrated? I

[00:34:19] Natalie McMillan: do. And it's on the same theme as, um, it's Rachel McAdams movies. Okay. I think is

[00:34:25] Corinne Foxx: it the one? Which one? It's two

[00:34:27] Natalie McMillan: time traveling ones.

The time traveling we can't get into or wife, the other one, you're talking about the other one. I'm talking about the hot jet. Oh, the hot chicks of Maine is so underrated because I feel like people don't really, it's not like one of those things that everyone has seen by. I remember exactly where I was

[00:34:46] Corinne Foxx: when I saw the hot chick.

I know what movie theater I went to when I was like, you know, 13 or

[00:34:51] Natalie McMillan: whatever. It's so it

[00:34:53] Corinne Foxx: was walking out and feeling like that was one of the

[00:34:55] Natalie McMillan: best movies I've seen. I know really. I

[00:35:00] Corinne Foxx: love that movie. If you guys haven't seen it's Rupt Schneider

[00:35:04] Natalie McMillan: and Rachel

[00:35:05] Corinne Foxx: Adams,

[00:35:06] Natalie McMillan: and it's just a body. Like they switch. It's like, kind of like freaky Friday.

Like they accidentally switched bodies. So then Rachel McAdams, who's like a high school girl is in the body of this like 40 year old man,

[00:35:19] Corinne Foxx: but she's not living his life. Like she's not in his apartment, she's in her house,

[00:35:23] Natalie McMillan: she's in her house. And she has to

[00:35:26] Corinne Foxx: like convince her friends that like, it's really her.

[00:35:33] Natalie McMillan: By their cheats and liars, they have this whole, they such a big disgrace to second baseball baseball of. Underrated movie. That's a great one. Underrated.

[00:35:50] Corinne Foxx: Oh shit. Okay. Now I have to think of mine. Let's hear it. Okay. So in the vein of movies, okay. I'm going to do a movie theater snacks. Oh, okay. Okay. And this is also controversial.

I think sour patch kids are overweight.

[00:36:06] Natalie McMillan: Oh,

[00:36:09] Corinne Foxx: good. I think like I enjoy it from time, but people lose their fucking minds over sour patch kids. I never

[00:36:15] Natalie McMillan: realized that I really am different about.

[00:36:17] Corinne Foxx: I like them though. I, no, it's like a very big cultural thing. There's a whole sub culture of sour patch, kids, people.

I think those are overrated. And I think under read it, it's bunch of crunch. What's bunch of crunch. Exactly. It's only asking movie theaters and it sell it anywhere else.

[00:36:33] Natalie McMillan: It's like the AMC century city. Yeah. They sell a bunch of crunch. Oh my God. I got to use my next rewards points. Like these

[00:36:40] Corinne Foxx: little rice Krispie balls dipped in.

And they're like it's yeah. It's like a chocolate rice crispy ball. You've never had, you've never seen this one. I've never even heard of

[00:36:51] Natalie McMillan: these, but these Sr.

[00:36:52] Corinne Foxx: Oh yeah. Let me see. You've seen the box for a bunch of

[00:36:55] Natalie McMillan: crunch. I don't think I have, although, you know, AMC has caramel corn now. Oh, they do. You

[00:36:59] Corinne Foxx: never seen this.

You've never seen

[00:37:01] Natalie McMillan: of. I've literally never seen that, but I think, okay, so it's crunch bar. It's like, it's a crunch bar bites

[00:37:08] Corinne Foxx: bites. It's like a little, it's like a little rice dipped in and they're just like little, like little popcorns, but they're not corn. It's rice in chocolate.

[00:37:17] Natalie McMillan: Yeah. It's like a little ball of a crunch bar.

[00:37:20] Corinne Foxx: Yes. Oh yeah. It's a crunch bar. Yeah. Okay. Wow. Oh my God. But they only saw them at movie theaters. I don't see them anywhere. Well,

[00:37:29] Natalie McMillan: the MBAs are going to have to go try these out. And so am I, we're going

[00:37:32] Corinne Foxx: to, oh, we'll put this in the story. You guys, you guys can vote. I mean, I do think people are doing. Not agree with me on, on sour patch kids.

And I do think you might, I think I I'm likely to get a lot of the times the notebook is people's favorite movie of all time.

[00:37:47] Natalie McMillan: And I just did. I told Corrine for a sec when we pause for a minute that it's not that I don't like it. It's just that I think it's over hyped. Yes,

[00:37:54] Corinne Foxx: it's overhyped. Yes, exactly. And I understand that I am

[00:37:58] Natalie McMillan: that fully prepared to catch the heat for it.

[00:38:01] Corinne Foxx: All right, you guys. Well, if you liked this episode, please rate and review it. We love when you guys rate and review, we love reading your reviews. So go ahead and review us on apple podcast. You can also write in for random advice. I am I doing this right pot@gmail.com or write in for like a requested episode.

We do a lot of the episodes that you guys. Oh, yeah. Like this one. Yeah, yeah, yeah. We love when you guys ask us to cover certain topics. So we would love to do it. Also. You can sign up for our newsletter. Am I doing this right? pod.com and like always we'll be back next week with another episode. I love you.

Love you guys.