Five Big Mistakes!

All of us, men and women alike, want financial success for ourselves and for our families. This is the reason we all work so hard trying to obtain the illusive brass ring.

It is too easy to miscalculate on your way to your goals. I found for you in my reading a list of the most common mistakes men and women in a New York Life Insurance Company compliance approved publication. These five big mistakes are all potentially costly and could be the difference in your success or failure.

1. "Failure to Plan - An old saying goes: 'Most people don't plan to fail, they fail to plan.' This is particularly true when it comes to insurance and finances. If any planning is done it's on a piecemeal basis, but that's just not enough. To have a shot at accomplishing what we want, we must first set our goals, and then implement a plan. The plan should include everything from savings and checking accounts, to longer term vehicles like annuities, CDs, and IRAs, and the protection provided by life, health and disability income insurance."

2. "Insufficient Diversification - Another old adage still rings true: 'Don't put all your eggs in one basket.' Diversification is generally considered a key to reducing risk and enhancing potential return. Some people believe that because they have CDs in three different banks they are properly diversified. True diversification cuts across product types, lengths of maturity, and asset categories. With a well-diversified portfolio, you are never too dependent on how well one product performs."

3. "Insufficient Life Insurance - We are quick to insure our cars and our homes, but too often we overlook our most important asset - ourselves. With mortgages, tuitions, and bills to be paid, it is important to have proper coverage on all income earners. Some people may have group term life insurance through their employers, but this alone may not be sufficient. Be careful not to be overly dependent on group term, for these plans can be inflexible, may not be portable, and may not be available when you need it most...after age 65. Look into purchasing individual coverage to suit your particular needs. How much life insurance is enough? That depends on a number of personal factors including income and numbre of dependents. It is best to sit down with a professional to go over your needs and look at the available options."

4. "Inadequate Disability Income Insurance - Your earning power is the generator that keeps the wheels of your household running smoothly. But what if that generator breaks down? The risk of disability, as, as well

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