Sandwich generation caught between duty, goals

The “Sandwich Generation” is the largely unheralded group of adults who find themselves raising and providing for young children while also caring and providing for aging parents. If you are a member of this generation, it might seem like there is no safe or reliable investment to protect your family and address your specific needs. But there are more options than you may realize.

Preparing for the future

One of the greatest concerns for anyone with the responsibilities of caring for parents, children or spouses is, ‘What will happen to them if something happens to me?’ Fortunately, there are several precautionary steps you can take. First, it is important to prepare a will, and to update it as often as circumstances change.

An estate-planning attorney can help you navigate your options. Another prudent step to think about is life insurance, which can be tailored to the needs of you and your family. For instance, a term life policy can provide affordable death benefit protection for a certain period of years. It may also be eligible for conversion to whole life policy at a future date, which can provide financial protection later in life. Additionally, a whole life policy can be borrowed against as needs arise. However, loans against your policy accrue interest at the current rate and decrease the cash value and death benefit by the amount of the outstanding loan and interest.

There are some events you can anticipate and plan for, such as your own retirement and your children’s education. Caring for an elderly parent, however, can be unpredictable and requires a higher level of planning. While savings and investment accounts can provide some assistance, so can the right insurance.

Simply put, members of the sandwich generation do not need to go it alone. Term, whole life and long-term care insurance are three strong solutions that can help provide financial protection for their changing needs.

Judy King is a licensed with New York Life Insurance Company and can be contacted at 907-279-6471 or email: jiking@ft.newyorklife.com