Do you anticipate receiving a tax refund this filing season? According to the IRS, 128,064,000 Americans received a refund in 2021, with an average refund amount of $2,775. If you're among the group of tax filers getting money back from the IRS, you may be wondering how to make the most of your tax refund. You could reward yourself with a luxury item or a vacation. Or you could meet a pressing financial goal, such as paying off a credit card or purchasing life insurance.
1. It's a smart financial move
Planning for your passing is a difficult subject matter to approach. But purchasing life insurance before getting married or starting a family is a smart financial decision. Plus, the younger you are, the lower the cost. If you pass away later, you'll be preparing now to potentially help your family's financial security in the future.
2. You probably won't have to come out of pocket
Depending on the amount of your tax refund, you could cover your life insurance premiums for years to come. A $500,000 life insurance policy may cost less than a few dollars per day. That investment protects your loved ones when you can't be there.
3. You'll have peace of mind.
When you purchase a life insurance policy, you'll feel better knowing you have helped protect your family if you unexpectedly pass away. Furthermore, having disagreements with your significant other regarding how the refund will be spent could be minimized by making the simple choice to get coverage.
Beyond life insurance, there are other ways to use your tax refund to help protect your family's financial future:
Ethos is here to be your life insurance guide. When you're ready to use your tax refund to purchase a life insurance policy, here are three steps to simplify the process.
Step 1: Select the type of policy you want
Ethos offers two coverage options:
Step 2: Determine how much coverage you need
Once you decide between a term and a whole life policy, calculate how much coverage you'll need. You can leverage the DIME formula to lend a helping hand:
Ethos also provides a handy calculator to do the work for you.
Step 3: Explore Your Options and Pick a Plan
If you're ready to take the first step towards securing your family's financial future, get a free life insurance quote from Ethos today. There's no need to talk to an agent; no blood tests or medical exams are required. Simply answer a few online health questions. It's that easy to begin the process of getting life insurance online, and most get same-day coverage at an affordable price.