Primerica Presents Six Reasons a Roth IRA May be a Good Investment

THIS WAS TAKEN FROM AN ARTICLE ON PR.COM. LINK: http://www.pr.com/press-release/159201

Primerica, a financial services industry leader, presents six reasons why opening a Roth IRA may be a great way to prepare for the future. In fact, Kiplinger’s Personal Finance magazine labels today’s Roth IRA as “Best all around retirement account.”

Duluth, GA, June 18, 2009 --(PR.com)-- For the first time in a long time, Americans are saving more and spending less – and many economists expect that savings trend to continue rising.1

Primerica, a financial services industry leader, presents six reasons why opening a Roth IRA may be a great way to prepare for the future. In fact, Kiplinger’s Personal Finance magazine labels today’s Roth IRA as “Best all‑around retirement account.”2

Clients pay less tax on savings. For older savers, this means an IRA can help rebuild any losses to their nest egg. Younger savers stand to gain even more, because they have more time to invest their savings and let them grow tax‑free.

Contributions and earnings can be withdrawn tax‑free after age 59 ½. This applies to accounts that are at least five years old – making it a great choice for long‑term savers.

Families can tap earnings early to pay for college or buy a first home.

Savers can withdraw contributions (but not any earnings) to a Roth IRA tax‑free and penalty‑free at any time. This benefit could come in handy if an unexpected major expense or emergency arises. Of course, by withdrawing funds early, the client also gives up future earnings on that cash.

For 2009, you can contribute up to $5,000 into a Roth plus an additional $1,000 for clients age 50+, subject to income limits.3

As growth in a Roth IRA may be tax‑free, clients are encouraged to consider converting a Traditional IRA to a Roth IRA. During 2009, the opportunity to convert a regular IRA to a Roth IRA is only available to those who have a modified adjusted gross income of $100,000 or less. However, this income restriction is scheduled to be completely eliminated in 2010. A conversion has tax consequences. If you are considering this option, you should consult your tax advisor.

For young people just starting out, the Roth IRA is an excellent choice because it allows them to enjoy tax‑free growth with the flexibility to withdraw contributions (excluding earnings) any time, tax‑ and penalty‑free. Older savers can enjoy a special “catch up” provision that allows them to save an extra $1,000 in a Roth.

Primerica helps clients make an informed decision about how to best utilize their money. Clients are encouraged to visit www.PrimericaFNA.com to learn more about Primerica’s free, personalized financial snapshot.

1Foxnews.com, February 1, 2009
2Kiplinger’s, December 2008
3For the year 2009, married individuals who file jointly can contribute $5,000 ($6,000 if 50 or older) to a Roth IRA if their modified adjusted gross income (MAGI) is below $166,000. If their MAGI is between $166,000 and $176,000, then they can contribute some amount less than their full limit. If their income exceeds $176,000, they are not eligible to contribute to a Roth IRA for 2009.
Securities offered by PFS Investments Inc. 3120 Breckenridge Blvd. Duluth, GA 30099

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Primerica Financial Services, headquartered in Duluth, Georgia, is the largest financial services marketing organization in North America, with more than 100,000 licensed independent representatives. The company provides its 6 million clients with quality financial products and services, including term life insurance, mutual funds, variable annuities, loans, auto and homeowners insurance and long-term care insurance. Primerica conducts business in the US, Canada, and Puerto Rico; the company also operates in Spain as PriEuropa.

Additional information about Primerica is available on its web site: www.primerica.com.

A new program to eliminate debt

Primerica has teamed up with Equifax to give clients a tool to pay off debt in the most efficient way. It takes information from your credit report from Equifax and provides step by step game plan to pay each and every single debt you have. This is a web-base program, so internet access is required and you can watch your progress anytime you want. You can also setup to receive alerts if there are changes to your credit report.

Also, it will give you your credit score and explains why you have that score. You also can run a simulation about what will happen if you apply for a new loan or apply for more credit or close an account.

Remember, this is a tool to help you eliminate debt. It is not a bill payment center, so you have to pay your bills directly. Primerica representatives does not do any credit counseling services or negotiate with creditors.

I have couple loans I want to pay off, so I'm going to sign up for it and see what's the game plan is. I'm very interested in learning more about my credit score and how it compares to the national average and what improvements I can make to make the score better.

If its not pppular in US, go to India

Does anyone notice that the great whole life insurance or universal life insurance that once dominated the markets in US have grown more popular in India? In US, people are starting to realize that term insurance is the best type of life insurance. But in India, the same ripoffs that happen (and continues to happen) in US is now prevalent in India. Life insurance agents in India are selling cash value life insurance policies as a savings or investment vehicle, which every licensed person in the industry knows it's just life insurance that protects your income. The so-called "savings" in the life insurance policy is really an added protection for the insurance company. That's why if you want to use the savings, you have to borrow it and pay interest on it as well.

I can see why insurance companies are targeting India. After all, India has the 2nd largest population in the world with 1.1 billion, which is not too far behind from China, which is 1.3 billion. In United States, its around 304 million.

Happy belated New Year

I've been busy in the past month and I'm 17 days late to say this, but HAPPY NEW YEAR!

Message from John Addison

Download and listen to John Addison's message that was sent out on Gosolo on November 21, 2008

http://www.supload.com/sound_confirm.php?get=532987913.wav

Main message:
Primerica is separate identity of Citigroup. Whatever happens to Citi has no affect on Primerica. Primerica is a fundamentally strong company and it is destined for greatness.

Life is short

About a month ago, a client of mine died at the age of 33. She was in perfect health. She had no prior history of any medical conditions. She is married and has 2 kids, age 4 and 11, and have a mortgage to pay. I met this family about 3 years ago. At the time I met her and her husband, she had $52,000 coverage for few years and her husband had no coverage. I'm not sure how that life insurance agent came up with $52,000. Anyway, I replaced her old life insurance policy of $52,000 and gave both of them $250,000 coverage, for a total coverage of $500,000.

If I did not meet this person, her husband would only get $52,000. How long will this $52,000 last? They still have a mortgage to pay, the kids are still very young, and have other bills to pay as well. This $52,000 would probably last at most one year. But with $250,000, this paid off the mortgage and there was still $20,000 left over. With no more mortgage payment, this family is not in a financial mess.

Why I'm writing all this? Its because there are many families out there who don't have life insurance. Those who do have life insurance are very likely not to have adequate coverage. I've been looking at the ACLI 2008 Fact Book and the number of policies being issued and in force has been on a steady decline. But the interesting fact is that the total coverage on individual life insurance policies has been increasing. Even more interesting is that the number of life insurance companies in United States have been declining as well since 1985 (where there were 2261 companies). By end of 2007, there are only 1009 companies left. By the end of 2008, I assume there will be less than 900 companies.

The Environment is our friend

While Barack Obama is picking people for his cabinet, I was thinking he should pick Al Gore to run the Environmental Protection Agency. After all, Al Gore is serious in protecting the environment and I think he would be perfect for the job.