CHART A PATH TOWARDS FINANCIAL SECURITY AND INDEPENDENCE A STEP-BY-STEP GUIDE FOR WOMEN OF DISTINCTION

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1 CHART A PATH TOWARDS FINANCIAL SECURITY AND INDEPENDENCE A STEP-BY-STEP GUIDE FOR WOMEN OF DISTINCTION

2 Map Out a Path to Help Achieve Financial Security and Independence Life is full of uncertainty you never know what s around the corner. But one thing is certain. Planning ahead can help you face the unexpected with more confidence. When you plan ahead, you re obviously preparing for tomorrow. But you can also protect what you have today. Your circumstances are unique and they require a personalized financial strategy. Looking toward the future and developing a financial strategy can help grow wealth that can eventually be passed on according to your wishes. Of course, talking about a financial strategy is one thing. Understanding how to create one is another thing. Don t worry you won t need to know everything at once. And you won t have to do it alone. A good way to start learning more is by meeting with a financial professional. A financial professional can help put you on the right track by working with you to identify personal goals, analyze risk and sort through various options. After that, he or she can recommend ways to protect your life, long-term care and retirement income needs. All these must be considered as part of your planning. And a financial professional will take them into account while developing a strategy just for you.

3 Four Steps A good fi nancial strategy will consider your individual goals and needs, as well as those of your family or business. Your strategy should have a strong foundation with built-in fl exibility to address more complex issues, as your life and needs change. Financial strategies should cover these four steps: Protecting Your Family Wealth Accumulation Financial Independence in Retirement Estate Planning Strategies What you ll fi nd in this brochure} Protecting Your Family 2 Wealth Accumulation 4 Financial Independence in Retirement 6 Estate Planning Strategies 8 PAGE 1

4 Protecting Your Family Insurance has been one way to guard against risk. Most women have medical, homeowners and automobile insurance coverage. However, there are several types of coverage that are often overlooked, including life insurance, long-term care insurance, and disability income insurance. * This step-by-step plan can help you reach your goals PAGE 2

5 1) LIFE INSURANCE Women need life insurance protection for all the same reasons men do: to ensure that whoever survives them will be fi nancially protected. Properly structured permanent life insurance can also be used toward building access to cash values via loans and withdrawals 1 to help meet goals such as: Paying for college Supplementing retirement income Or any other funding needs Business succession and estate planning are other uses of life insurance. A fi nancial professional can help you determine which type of insurance best meets your specifi c needs. 2) LONG-TERM CARE INSURANCE Many Americans underestimate the risk of becoming ill and needing long-term care services and have misconceptions about who will pay for long-term care related expenses. You may be aware of long-term care needs if you have had to help your parent, grandparent or other relatives address these concerns. Women have average life expectancies that are longer than men, so long-term care planning is especially important for women. 3) DISABILITY INCOME INSURANCE For those who work, employment income is essential and it allows them to live in the lifestyle they are used to. Without that income, it might become impossible to maintain a certain lifestyle. Disability income insurance can replace a portion of your income should you become disabled and unable to work. It can also provide you with the assurance of knowing that your family s fi nances will be protected. 1 Loans and withdrawals will decrease the cash value and death benefi t. Tax-free distributions assume that the life insurance policy is properly structured, is not a Modifi ed Endowment Contract (MEC), and distributions are made up to the cost basis and policy loans thereafter. If the policy has not performed as expected and to avoid a policy lapse, distributions may need to be reduced, stopped and/or premium payments may need to be resumed. Should the policy lapse or be surrendered prior to the death of the insured, there may be tax consequences. Cash value accumulation may not be guaranteed. Investments in variable life insurance are subject to market risk including loss of principal. PAGE 3

6 Wealth Accumulation Just as economic conditions change, your personal fi nancial situation is constantly evolving based upon your fi nancial goals and objectives. There are a variety of wealth accumulation options that can be used to tailor an investment portfolio to suit your needs. You may want to consider several factors to determine how you should invest and build your wealth, such as your: Investment goals Time horizon Risk tolerance Tax situation Some of the most popular investment vehicles you can consider are cash, stocks, bonds, mutual funds, annuities, and real estate. You can work with fi nancial professionals to obtain guidance on which of these are appropriate for your needs. PAGE 4

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9 Financial Independence in Retirement Retirement today has a very different meaning than it did years ago. And for many, retirement planning is better than any time in history. Regardless of your personal situation, it is critical to be well-informed Be sure to seek the advice of your tax, legal, investment and fi nancial professionals to understand both the benefi ts and the drawbacks of any option as well as the legal, fi nancial and tax obligations. about how to plan for this important stage of life. If you are married, you should be knowledgeable about your spouse s retirement plans and any other fi nancial arrangements. If you are not married, you should know about your rights to pension benefi ts and Social Security income. There are strategies and formal plans that you can use to save for retirement on a tax-favored basis. If you are an employee, you can contribute to an IRA and/or your employer s qualifi ed plan. If you are a business owner, you can take advantage of a variety of taxqualifi ed pension and profi t-sharing plans or self-employed plans PHILANTHROPIC PLANNING Retirement and philanthropy are often thought of together. For many, fulfi llment during retirement must go beyond leisure activities or learning a new skill. This could also be a time where you can share your experience of giving with your family. Many fi nancial strategies include a charitable giving program that can help you further the causes you are interested in. Of course, like other plans, structuring a giving program will depend on your personal situation and aspirations. where contributions may be tax deductible. PAGE 7

10 Estate Planning Once you ve accumulated your wealth, it is important to protect it and make sure that it is eventually passed on to your chosen benefi ciaries or charity according to your wishes. Since women live longer than men, it is likely they will manage assets on their own later in life. Although having an estate plan can make an enormous difference in preserving a family s wealth, many women have not planned for this stage of their fi nancial lives. The number one reason for not having an estate plan, including a simple will, is merely procrastination. Estate planning clients have greater control over the ability to pass on a legacy to their loved ones. This planning provides meaning to the decisions, which will directly affect the lives of you and your family. An estate plan can: Help to conserve the assets you ve accumulated during your lifetime Show how you want assets distributed after your death Outline who will manage the settlement of your estate Indicate who will care for minor children Finally, an estate plan can also include special situations, such as care for a parent, disabled child or gifts to charities. If you don t have an estate plan, the laws of the state in which you live will determine how your probate assets will be distributed and who will care for minor children. Unfortunately, in these situations, the court s decisions may be signifi cantly different than your own. KEY ESTATE PLANNING TOOLS Certain documents are key estate planning tools. These include a: Will Living will Durable power of attorney Planning your estate is a key part of your life plan and may be one of the most important steps in the process. Don t put off a conversation about your estate because you are too busy or don t like to think about your own passing. There is no doubt that estate planning raises some emotional issues. But engaging in proactive and prompt planning with a qualifi ed estate planning attorney could allow you to transfer a signifi cantly larger legacy to your loved ones. PAGE 8

11 * } * Contact a Financial Professional At MetLife, we understand that the amount of fi nancial information available in today s environment can be overwhelming. Although you are responsible for your fi nancial well-being, you don t have to do this alone. A fi nancial professional can be a great partner. A fi nancial professional will ask some fundamental questions that can help you take concrete steps towards achieving your future goals while focusing attention on what you need today. They can help you identify the risks in life that are within your control, then help you sort through available choices so you can make the best decisions for your situation. PAGE 9

12 Pursuant to IRS Circular 230, MetLife is providing you with the following notification: The information contained in this document is not intended to (and cannot) be used by anyone to avoid IRS penalties. This document supports the promotion and marketing of insurance products. You should seek advice based on your particular circumstances from an independent tax advisor. MetLife, its agents and representatives may not give legal or tax advice. Any discussion of taxes herein or related to this document is for general information purposes only and does not purport to be complete or cover every situation. Tax law is subject to interpretation and legislative change. Tax results and the appropriateness of any product for any specific taxpayer may vary depending on the facts and circumstances. You should consult with and rely on your own independent legal and tax advisors regarding your particular set of facts and circumstances. Like most insurance policies, MetLife s policies contain charges, limitations, exclusions, termination provisions and terms for keeping them in force. Contact your financial representative for costs and complete details. Insurance products are issued by Metropolitan Life Insurance Company, MetLife Investors USA Insurance Company and First MetLife Investors Insurance Company. Variable products are distributed by MetLife Investors Distribution Company. All are MetLife companies. March 2013 Insurance Products: Not A Deposit Not FDIC-Insured Not Insured By Any Federal Government Agency Not Guaranteed By Any Bank Or Credit Union May Go Down In Value First MetLife Investors Insurance Company Metropolitan Life Insurance Company 200 Park Avenue New York, NY MetLife Investors USA Insurance Company MetLife Investors Distribution Company 5 Park Plaza, Suite 1900 Irvine, CA metlife.com CLDM23135 L [0315] 2013 METLIFE, INC.