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Burial, funeral, and estate settlement expenses. Typically the greater of $10,000 or 4% of estate.
Death Expenses -- include burial, funeral and estate expenses. As a rule of thumb, the greater of $10,000 or 4% of your estate value should be provided for death expenses. Estates which exceed the federal estate tax exemption amount may incur greater expenses due to possible estate taxes. Exemption amounts are as follows (Subject to change based on pending regulations):
Estate - An estate includes all the property and property rights that a person owns, incuding rights from which no lifetime benefit will be received (e.g. life insurance death benefits.)
Amount of mortgage to be paid at death.
Outstanding Mortgage(s) -- Enter the amount which would be required to pay off your mortgage(s) if you were to die today. Please consult your mortgage forms to determine if your loan can be paid if full without penalty.
Total estimated college costs needed today.
College Fund -- This figure should be your estimate of today's expense based on the type of institution you expect to send your child(ren). College costs should include tuition and fees, room and board, books and supplies, transportation, and other expenses. The College Board had estimated the 2015-2016 average expense for undergraduate resident students at four-year public colleges and universities to be $21,447 and private colleges and universities to be $42,224.
All personal debts such as car loans, credit cards, etc.
Emergency fund and any other lump sum expenses not provided above.
Emergency Fund -- An emergency fund is intended to protect the family from unforseen needs for money which could arise because of illness, surgery, home repairs or many other reasons.
The current value of investments and bank accounts (e.g. mutual funds, savings accounts, etc.)
Current Investments -- This should include the value of all your investments (e.g., stocks, bonds, mutual funds, CD's, etc.) and bank accounts (e.g., checking, savings, money market accounts, etc.), including retirement accounts.
The total current death benefit coverage on your life.
Current Life Insurance -- Insurance should include all life insurance plans which are currently in force, including employer provided insurance, individual insurance and any special purpose plans such as mortgage life insurance.
Contact pension plan documentation or plan administrator to determine the amount (if any) that would be paid as a lump sum.
Other assets that will be sold or received to provide money for supporting the beneficiary.
Other Lump Sum Assets -- This should include any assets that will be sold at the time of death to provide funds for the surviving beneficiary(s). This may include real estate, personal property, etc.
Desired annual income to support your beneficiary's living expenses.
Annual Target Life Income for Beneficiary -- Target income should be the amount of annual income that is needed to support your dependent(s) annual expenses (e.g. rent, utilities, food, insurance premiums, clothing, taxes, etc.) after your death. Do not include any payments that are assumed to be paid off with a lump sum at the time of death, such as the mortgage payment if you are assuming that the mortgage is paid off.
For SBP explanation, contact Navy Mutual Aid Association at 1-800-628-6011.
Contact the Social Security Administration at www.ssa.gov to obtain a statement on survivor benefits.
Contact pension plan documentation or plan administrator to determine the amount (if any) that would be paid annually.
Beneficiary's annual income and miscellaneous annual investment income (rental income, survivor annuities, etc.)
Other Annual Income -- Dependent's current annual salary and investment income (e.g. rental income, survivor annuities, etc.)