Seminar On Preserving Income If Disabled

Nicholas Naglieri and John Lambo of Selective Benefits Group will be offering a free seminar on how to preserve your income in the event of disability. The seminar will be on Wednesday, March 22 from 6:30 to 8 pm at the Cyrenius H. Booth Library at 25 Main Street in Newtown. Call 203/426-9176 to register as seating is limited.

Disability is a reality for approximately 37.7 million people in the United States. Persons between the ages of 27 and 50 have at least a one in three chance of becoming disabled for three months or more some time before retirement. It might occur due to a fall from a ladder while painting, or from participating in favorite sports, or from simply lifting a box that seemed a slight bit too heavy. In 1997, 6,800,000 people were disabled from accidents suffered while at home. Statistics also show that heart disease and back problems are the two most common causes of disability. Disability does happen, and everyone is at risk.

Most people depend on their current income level to sustain their lifestyle. If they have no disability income insurance in place they must rely on savings to not only cover expenses associated with disability, but also to pay the mortgage, food, cars, heat, utilities, clothing and other living expenses, for weeks, months, or even years.

Social Security eligibility is restricted and benefits are quite limited. Banks do not make loans to someone who is not working.

Most group long-term disability insurance plans cover only 60 to 70 percent of a current annual salary. In the event of a disability a $50,000 a year salary could be reduced to a taxable $30,000 a year or only $1,800 a  month after tax (assuming a 28 percent tax basis). Also, a group policy does not consider bonuses or commissions when determining a monthly benefit amount.

Many options that are available to preserve income will be discussed at the seminar on March 22.