Stay-at-Home Parents

Stay-at-home parents are incredibly valuable to their families.  They wear many hats, many times in the middle of the night, and "just do it".  Historically, families have underestimated the dollar value of the stay-at-home parent's contribution to the financial well being of the family.  In other words, if all those tasks were outsourced, it would be mighty expensive!  Although it's not a comfortable topic, there is something that each family who values "being prepared" should thing about.  In the event that there is a disability or unexpected absence in the family, what plans does your family have in place to ensure that the remaining family members have proper care?

A study was recently completed by Salary.com for 2010 which calculated the time that mothers spend performing 10 typical job functions and determined that an annual salary of $117,867 would be paid to the stay-at-home mom.

As a family with two working parents ourselves, we see the different hats that a caregiver wears, including:  caring and nurturing children emotionally, physically, and intellectually; cooking meals; cleaning; driving children to team meetings; running errands; and (of course) cleaning all that laundry!  Thinking about it can make a head spin!  If you had to pay for all those services, the cost would be significant, possibly even prohibitive. 

Families today need to make sure that they consider the hours worked on the job and in the house when considering their financial plan for the future...which includes life insurance.  When reviewing your financial plan, look at the value of salaries earned as well as the value that a stay-at-home caregiver provides.  Then, plan for an insurance policy that gives the family the flexibility needed if something were to happen unexpectedly.

As a parent, discussing unforeseen life events can be most unsettling.  However, it is more uncomfortable to be unprepared.  Call or e-mail me at 512.686.2904 or csimpson@farmersagent.com to discuss how we can leverage life insurance tools to offer a solid sense of security for your family.  Your family deserves the security and peace of mind.