Author Topic: Life insurance & net worth calculations  (Read 1148 times)

G-dog

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Life insurance & net worth calculations
« on: January 29, 2015, 06:31:42 AM »
I was updating spreadsheets, including my annual update on life insurance value. I realized this is not in my net worth calculation because I wasn't sure how/ if to include it. I've got net cash value and death benefit value. Seems if I include anything, it would be the cash value amount.

If you have life insurance - do you include it in your NW?

Capsu78

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Re: Life insurance & net worth calculations
« Reply #1 on: January 29, 2015, 07:52:50 AM »
Yes, just todays cash value...

JoJo

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Re: Life insurance & net worth calculations
« Reply #2 on: January 29, 2015, 12:55:11 PM »
Agreed - include it at it's surrender value   (but note that surrender value will be taxable if the value exceeds the premiums paid in).


G-dog

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Re: Life insurance & net worth calculations
« Reply #3 on: January 29, 2015, 05:49:57 PM »
Thanks folks, that makes sense to me. Sometimes you just get tangled in other options.  I also just tend toward worst case scenario what ifs - so not including it was a conservative estimate. I also don't include the house (semi-liquid asset depending on the market at any given time).
I could just do multiple estimates too....