Wednesday, October 24, 2007

Family Finance

One class I really enjoyed in college was a family finance class. My brother and I took it at the same time and it was an online course. The book we read for it was called "The Wealthy Barber" by David Chilton and was like a fictional story, but with financial advice given by a family friend who's a barber. It gave really good financial advice that was easy to understand. There was only one part I do not agree with. The author believes that you don't need life insurance for kids or anyone else who has no income. His reasoning is that if they die you are not losing income. But my view is that a person, even children, should have enough life insurance to at least cover the expenses of a funeral, which can be around $10,000. We don't have that kind of money just sitting around, so if we did have to pay for a funeral we would lose income. And life insurance really isn't that expensive usually. But besides that point, I really enjoyed that book and learned a lot from the class.

1 comment:

Danielle said...

I agree with you Kara. I think everyone in your family should have some life insurance to cover the cost of a funeral. Not only that but if you were to lose a child or a spouse, the grief alone would be enough to keep someone out of work for months. So it would make up for that lost income.