SML Planning Minute

10 Commonly Misunderstood Insurance Terms Explained Episode 389 – Sometimes people get confused by all the jargon used in the financial services industry. It’s difficult to understand what you’re buying—or what you already have—if you don’t understand the language being used. Here is a quick listing of ten terms, commonly used in the life insurance industry, that you might not fully understand. More SML Planning Minute Podcast Episodes Transcript of Podcast Episode 389 Hello, this is Bill Rainaldi, with another edition of Security Mutual’s SML Planning Minute. In today’s episode: we explain 10 commonly misunderstood life insurance terms. Sometimes people get confused by all the jargon used in the financial services industry, and life insurance is no exception. It can be difficult to understand what you’re buying—or what you already have—if you don’t understand the language being used. Here is a quick listing of 10 terms, commonly used in the life insurance industry, that are helpful to have a basic understanding of: Underwriting. Before making any sort of offer to you, a life insurance company may need to evaluate your health. For example, life insurance companies generally check to see whether you are a tobacco user or not. A nonsmoker generally has a longer life expectancy than a smoker and thus will often qualify for a better rate and reduce the cost. On the other hand, smoker or not, if you’re in particularly poor health, the company may not be able to offer you coverage at all. Beneficiary. Life insurance policies will usually list a beneficiary. That is the person—or entity—who receives the life insurance policy’s death benefit if the insured dies. Note that any beneficiary designation under a life insurance policy is separate from beneficiary designations in your will. You could leave your entire estate to your children via your will, but if someone else is the beneficiary of your life insurance policy, that person receives the proceeds. The owner of the policy has the right to change the beneficiary (or beneficiaries) as their needs or desires change and it is recommended to review all of your beneficiaries annually or during any change to your planning strategy. Term Life Insurance. Term life insurance is the simplest form of life insurance. You will pay a premium that covers a specific term of years. 10, 20 or 30 years are common terms for one of these policies. If you die during the designated term, your beneficiary will receive the death benefit. It is generally used when you have a temporary need for insurance, such as paying off a mortgage or funding your child’s college education if you’re no longer there. Permanent Life Insurance. Unlike a term policy, permanent life insurance is designed to provide lifetime coverage. With most policies, as long as you pay your premiums, the policy stays in force for life, and the death benefit is guaranteed by the insurance company. It also usually provides a cash value. An example of permanent insurance is whole life insurance. Cash Value. With many permanent life insurance policies such as a whole life insurance policy, part of your premium pays the cost of the death benefit, and part of it goes into an account inside the policy and grows on a tax-deferred basis. As a policyowner, you have the right to access these funds if you wish via loans or withdrawals. The funds could potentially be used for major expenditures or cash emergencies if needed. Dividends. It’s not just your stock portfolio that can pay dividends; your life insurance policy might do so as well. Life insurance dividends are usually associated with mutual life insurance companies such as Security Mutual Life. Dividends are distributed to policyholders from the insurer’s surplus earnings. They are not guaranteed. Grace Period. This is essentially an automatic safety net that exists on every life insurance policy. If you miss a premium payment, you generally have an extra 30 days past the due date before the policy lapses to pay your premium. And, if you die during the grace period, the full death benefit is payable, although there may be a deduction for any missed premium.[1] Paid-Up Additions. Paid-up additions are like miniature life insurance policies within a whole life insurance policy. Each paid-up addition adds a little bit of extra paid-up death benefit and guaranteed cash value to your policy without ongoing premium. Paid-up additions are often created through a whole life policy rider, although if you have a dividend-paying policy, you might be able to choose to take your dividends as paid-up additions. Since paid-up additions are fully paid up portions of death benefit, they can be surrendered for needed cash by the policyowner, or to pay the policy’s premiums, if needed. Doing so will reduce the guaranteed cash value and death benefit. Accelerated Death Benefit. This allows you to receive a portion of the death benefit while you are still living and is often made available as a rider assigned to specific circumstances such as chronic, critical or terminal illness. It is designed to help provide access to cash for medical bills, nursing care, or other costs associated with the qualifying event. If the advance payout from the life insurance policy is due to terminal illness, it is usually exempt from income taxes.[2],[3] In many circumstances, an accelerated death benefit rider is a simple add-on to a life insurance policy with no separate charge. And finally… Chronic Illness Rider. A chronic illness rider is a type of accelerated death benefit rider that gives you access to part of your death benefit while you are still alive. To take advantage of a chronic illness rider, you need to be certified by a doctor as someone who is ill and not expected to recover. In many cases you will be eligible if you are unable to perform at least two of the six “Activities of Daily Living,” or ADLs, without assistance. These include things like bathing, getting dressed, eating, etc.[4] All these terms can be very confusing. Some may be applicable to you; some may not. The good news is that, if you’re contemplating a new life insurance policy, you don’t need to go it alone. Your Security Mutual Life insurance agent can help. Your Security Mutual Life insurance agent can augment or help assemble your planning team. They’ll coordinate with your attorney and tax professional to review your situation and to determine the insurance plan that will best suit your needs and objectives. [1] Ethos Life. “Understanding the Life Insurance Grace Period.” Ethos.com. https://www.ethos.com/life-insurance/life-insurance-grace-period/ (accessed June 4, 2026). [2] Kagan, Julia. “Understanding Accelerated Benefits in Life Insurance Policies.” Investopedia.com https://www.investopedia.com/terms/a/accelerated-benefits.asp (accessed June 4, 2026). [3] Stimpson, Jeff. “Form 1099-LTC Explained: Long-Term Care and Death Benefits.” https://www.investopedia.com/1099-ltc-form-what-to-know-about-the-1099-ltc-form-4781748 (accessed June 4, 2026). [4] Progressive Insurance. ”What is a life insurance critical or chronic illness rider?” Progressive.com. https://www.progressive.com/answers/critical-chronic-illness-rider/ (accessed June 4, 2026).   More SML Planning Minute Podcast Episodes This podcast is brought to you by Security Mutual Life Insurance Company of New York, The Company That Cares®. The content provided is intended for educational and informational purposes only. Information is provided in good faith. However, the Company makes no representation or warranty of any kind regarding the accuracy, reliability, or completeness of the information. The information presented is designed to provide general information regarding the subject matter covered. It is not to serve as legal, tax or other financial advice related to individual situations, because each individual’s legal, tax and financial situation is different. Specific advice needs to be tailored to your situation. Therefore, please consult with your own attorney, tax professional and/or other advisors regarding your specific situation. To help reach your goals, you need a skilled professional by your side. Contact your local Security Mutual life insurance advisor today. As part of the planning process, he or she will coordinate with your other advisors as needed to help you achieve your financial goals and objectives. For more information, visit us at SMLNY.com/SMLPodcast. If you’ve enjoyed this podcast, tell your friends about it. And be sure to give us a five-star review. And check us out on LinkedIn, YouTube and Twitter. Thanks for listening, and we’ll talk to you next time. Tax laws are complex and subject to change. The information presented is based on current interpretation of the laws. Neither Security Mutual nor its agents are permitted to provide tax or legal advice. The applicability of any strategy discussed is dependent upon the particular facts and circumstances. Results may vary, and products and services discussed may not be appropriate for all situations. Each person’s needs, objectives and financial circumstances are different, and must be reviewed and analyzed independently. We encourage individuals to seek personalized advice from a qualified Security Mutual life insurance advisor regarding their personal needs, objectives, and financial circumstances. Insurance products are issued by Security Mutual Life Insurance Company of New York, Binghamton, New York. Product availability and features may vary by state.​ SubscribeApple PodcastsSpotifyAndroidPandoraby EmailTuneInDeezerRSSMore Subscribe Options

Business Planning Needed Now More Than Ever Episode 377 – Due to the One Big Beautiful Bill Act, the U.S. Supreme Court and current employment conditions, there’s never been a more important time for business owners to review their business succession and employee benefits plans. More SML Planning Minute Podcast Episodes Transcript of Podcast Episode 377 Hello, this is Bill Rainaldi, with another edition of Security Mutual’s SML Planning Minute. In today’s episode: business planning needed now more than ever. There’s never been a more important time for business owners to review their business succession and employee benefits plans. That’s due to the confluence of several recent events including the One Big Beautiful Bill Act (OBBBA) signed by President Trump on July 4, 2025, and the U.S. Supreme Court decision on June 6, 2024, in the case Connelly v. United States.[i] The other factor is the general job market today and economic realities. OBBBA “permanently” increased the federal estate tax exemption amount to $15 million indexed for inflation. Even in 2019, when the exemption amount was “only” $11.4 million, only 0.07% of decedents paid an estate tax.[ii] So, many small business owners may no longer need estate tax planning services unless they live in one of the twelve states and the District of Columbia that still has a state estate and/or inheritance tax with exemption amounts significantly lower than the federal amount. Note that general estate planning is still recommended for all! According to the U.S. Small Business Administration, there are over 36.2 million small businesses in the U.S.[iii] “Small businesses fuel economic growth, job creation, and supply chain resiliency across the country.”[iv] Obviously, keeping small businesses primed for success today and for tomorrow through proper planning in the areas of business succession, executive benefits, retirement, employee benefits, estate and family protection, and more, is vitally important. The Connelly case makes business succession planning even more urgent for business owners. The Supreme Court reversed generally accepted principles long held by the insurance and legal communities and addressed the narrow question of whether a corporation’s fair market value is impacted by life insurance proceeds received by the corporation and committed to funding the redemption of a decedent owner’s shares for estate tax purposes. The Supreme Court unanimously held that the corporation’s redemption obligation is not a liability that reduces the estate tax value of the decedent’s shares. The Supreme Court also specifically referenced cross purchase buy-sell arrangements that could have avoided this result. Although not mentioned in the Connelly case, the other implication is that business-owned life insurance on the life of the business owner, solely for key person insurance purposes or other non-succession planning reasons, may also impact the business valuation and accordingly, that business owner’s estate plan. Every business owner should work with their life insurance agents and tax and legal advisors to determine if their existing business continuation and estate plan is affected by this decision. Buy-sell agreements may need to be revised and amended, particularly if the agreements call for the business to buy back the ownership interest of a deceased owner and the business purchases life insurance on the owner to do that. If business owners don’t have a plan, they should design and implement a plan immediately! Of course, if there is an estate tax issue as a result of business-owned life insurance, then the business succession plan should be coordinated with the business owner’s estate plan. Executive benefits planning, such as split-dollar, executive and retention bonus, and nonqualified deferred compensation plans, all funded with cash value life insurance, are also topics that business owners should consider. Several surveys reinforce the urgency created by the current labor market for businesses to retain their best and brightest employees.[v] Even the creative use of qualified retirement plans, such as profit-sharing plans, fully insured defined benefit plans and cash balance plans should be considered because more benefits can be steered toward the owners and highly compensated, and presumably the most valuable, employees. All of these plans can also hold life insurance as an asset for family financial protection. Business owners need to contact their financial services professionals, tax and legal advisors immediately. There’s much planning to be done for personal and business success! Important Notice: The information contained in this document is not intended to (and cannot) be used by anyone to avoid IRS penalties. This document supports the promotion and marketing of insurance products. [i] Connelly v. United States, 144 S.Ct. 1406 (2024). [ii] U.S. Congress. “The Estate and Gift Tax: An Overview.” Congress.gov. https://www.congress.gov/crs-product/R48183 (accessed 1/30/2026). [iii] U.S. Small Business Administration Office of Advocacy. “New Advocacy Report Shows the Number of Small Businesses in the U.S. Exceeds 36 million.” Advocacy.sba.gov. https://advocacy.sba.gov/2025/06/30/new-advocacy-report-shows-the-number-of-small-businesses-in-the-u-s-exceeds-36-million/ (accessed 1/30/2026). [iv] Id. [v] Craver, Henry. “Employee retention ranks as top HR priority.” Benefitspro.com. https://www.benefitspro.com/2025/10/31/employee-retention-ranks-as-top-hr-priority (accessed 1/30/2026);Finnegan, Richard. “Gallagher Report: Why Turnover is Still #1 Concern in 2025.” C-suiteanalytics.com. https://c-suiteanalytics.com/gallagher-turnover-is-1-concern-2025/ (accessed 1/30/2026);Yahoo Finance. “New Report Shows Employee Retention Outranks Almost Everything Else as U.S. Employers Tackle Burnout.” Finance.yahoo.com. https://finance.yahoo.com/news/report-shows-employee-retention-outranks-130000507.html (accessed 1/30/2026).     More SML Planning Minute Podcast Episodes This podcast is brought to you by Security Mutual Life Insurance Company of New York, The Company That Cares®. The content provided is intended for educational and informational purposes only. Information is provided in good faith. However, the Company makes no representation or warranty of any kind regarding the accuracy, reliability, or completeness of the information. The information presented is designed to provide general information regarding the subject matter covered. It is not to serve as legal, tax or other financial advice related to individual situations, because each individual’s legal, tax and financial situation is different. Specific advice needs to be tailored to your situation. Therefore, please consult with your own attorney, tax professional and/or other advisors regarding your specific situation. To help reach your goals, you need a skilled professional by your side. Contact your local Security Mutual life insurance advisor today. As part of the planning process, he or she will coordinate with your other advisors as needed to help you achieve your financial goals and objectives. For more information, visit us at SMLNY.com/SMLPodcast. If you’ve enjoyed this podcast, tell your friends about it. And be sure to give us a five-star review. And check us out on LinkedIn, YouTube and Twitter. Thanks for listening, and we’ll talk to you next time. Tax laws are complex and subject to change. The information presented is based on current interpretation of the laws. Neither Security Mutual nor its agents are permitted to provide tax or legal advice. The applicability of any strategy discussed is dependent upon the particular facts and circumstances. Results may vary, and products and services discussed may not be appropriate for all situations. Each person’s needs, objectives and financial circumstances are different, and must be reviewed and analyzed independently. We encourage individuals to seek personalized advice from a qualified Security Mutual life insurance advisor regarding their personal needs, objectives, and financial circumstances. Insurance products are issued by Security Mutual Life Insurance Company of New York, Binghamton, New York. Product availability and features may vary by state.​ SubscribeApple PodcastsSpotifyAndroidPandoraby EmailTuneInDeezerRSSMore Subscribe Options

About That Coming AI Apocalypse Episode 375 – A recent essay by Matt Shumer, CEO of OthersideAI, an artificial intelligence company, has gone viral. He projects widespread employment disruption due to the rise of AI, and much more quickly than most people expect. Is he right? More SML Planning Minute Podcast Episodes Transcript of Podcast Episode 375 Hello, this is Bill Rainaldi, with another edition of Security Mutual’s SML Planning Minute. In today’s episode: are we really on the precipice of an AI apocalypse? Just in case you missed this, an essay written and published in February 2026 by Matt Shumer, CEO of OthersideAI, an artificial intelligence company, has gone viral. It got over 50 million views in its first three days.[1] His message: be very afraid. Shumer is sometimes referred to as an “AI Influencer.”[2] He says that he’s noticed a trend in recent months. The change isn’t coming; it’s already here. And worse than that, it’s accelerating. “In 2025, new techniques for building these models unlocked a much faster pace of progress. And then it got even faster. And then faster again. Each new model wasn’t just better than the last… it was better by a wider margin.”[3] In other words, according to Shumer, AI is now building on itself. Shumer claims he is no longer needed for the “actual technical work” of his job. In fact, he claims that AI has gone from “helpful tool” to “does my job better than I do.”[4] He also shares a prediction that 50 percent of entry-level white-collar jobs will be eliminated in one to five years. Things such as writing, legal work, medical analysis and customer service are especially in jeopardy, in his opinion. If this is if fact the case, one might wonder how white-collar management candidates will be trained in five years. Could a fight for upper management candidates in white-collar industries develop? And how might that affect the companies and industries themselves in the long term? That said, there’s certainly no shortage of pushback on Shumer’s post. Paulo Carvão at Forbes argues that Shumer’s essay is, to some extent, a sales pitch. One of the pieces of advice Shumer gives is to sign up for the most expensive premium AI models. He suggests that those people will be better off than those who use the standard off-the-shelf models.[5] Gary Marcus, a professor emeritus of cognitive science at NYU, has referred to Shumer’s essay as “weaponized hype.”[6] Marcus’s criticism is two-fold. First, he says that studies have indicated that AI models still exhibit significant reasoning errors, even in advanced AI systems. He also accuses Shumer of making exaggerated claims about some of the other models he had previously worked on.[7] That said, it’s only natural to think that AI could change employment dynamics in the long run. However, it seems unlikely that AI will similarly affect blue-collar workers. AI might be able to write a legal brief for you, but it still can’t fix your plumbing. This is certainly not our first technological revolution. Another criticism is that if Shumer is correct, this time would be different from all the others.[8] In the long run, every other technological upheaval has created more jobs than it eliminated.[9] And the effect that AI has on white-collar employment may take longer than Shumer expects, if it happens at all. Take the financial services industry, for example. AI may be helpful with certain research-related projects, but you’ll still need someone to guide you through the maze of options you have, for example, when funding a retirement plan or applying for life insurance. And a human being can help address some of your emotional and family issues that AI will never understand. Never underestimate the value of human contact. There are, of course, a lot of good things that come from AI. It makes sense that AI can make you more productive. It may eventually do some of the more tedious and time-consuming tasks you have to deal with, allowing you to focus on more meaningful items, such as long-term strategic planning. It also has the potential to improve the quality and length of all of our lives through more accurate medical diagnostics and analysis. Just how much of Shumer’s prophecy comes true—and perhaps more importantly, when—remains to be seen. It’s safe to say that there will be some disruption. No one can know just how much and how quickly. But it may be a bad idea to buy into the instant hype. Sixty years after The Jetsons, our world looks nothing like everyone thought it would. In the words of Andy Kessler, columnist at The Wall Street Journal, “We won’t see a utopia or dystopia. We’ll see faster growth and more productivity.”[10] One final note. This podcast was written 100 percent by a human being without the help of AI. We’re still here! [1] Vasilescu, Mario. “Matt Shumer’s Viral AI Post—50M views in 72h— Exemplifies the Entire Broken AI Discourse, Moltbook Included.” Thinkingthroughai.substack.com. https://thinkingthroughai.substack.com/p/matt-shumers-viral-ai-post50m-views (accessed February 26, 2026). [2] Kahn, Jeremy. “Matt Shumer’s viral blog about AI’s looming impact on knowledge workers is based on flawed assumptions.” Fortune.com. https://fortune.com/2026/02/12/matt-shumers-viral-blog-about-ais-looming-impact-on-knowledge-workers-is-based-on-flawed-assumptions/ (accessed February 26, 2026). [3] Shumer, Matt. “Something Big Is Happening.” Linkedin.com. https://www.linkedin.com/pulse/something-big-happening-matt-shumer-so5he/ (accessed February 26, 2026). [4] Id. [5] Carvão, Paulo. “The Problem With Tech’s Latest ‘Something Big Is Happening’ Manifesto.” Forbes.com. https://www.forbes.com/sites/paulocarvao/2026/02/13/the-problem-with-techs-latest-something-big-is-happening-manifesto/ (accessed February 26, 2026). [6] Kahn, Jeremy. “Matt Shumer’s viral blog about AI’s looming impact on knowledge workers is based on flawed assumptions.” Fortune.com. https://fortune.com/2026/02/12/matt-shumers-viral-blog-about-ais-looming-impact-on-knowledge-workers-is-based-on-flawed-assumptions/ (accessed February 26, 2026). [7] Id. [8] Id. [9] Id. [10] Kessler, Andy. “Ignore the AI Hysteria.” The Wall Street Journal. https://www.wsj.com/opinion/ignore-the-ai-hysteria-b64eac84?mod (accessed February 26, 2025). More SML Planning Minute Podcast Episodes This podcast is brought to you by Security Mutual Life Insurance Company of New York, The Company That Cares®. The content provided is intended for educational and informational purposes only. Information is provided in good faith. However, the Company makes no representation or warranty of any kind regarding the accuracy, reliability, or completeness of the information. The information presented is designed to provide general information regarding the subject matter covered. It is not to serve as legal, tax or other financial advice related to individual situations, because each individual’s legal, tax and financial situation is different. Specific advice needs to be tailored to your situation. Therefore, please consult with your own attorney, tax professional and/or other advisors regarding your specific situation. To help reach your goals, you need a skilled professional by your side. Contact your local Security Mutual life insurance advisor today. As part of the planning process, he or she will coordinate with your other advisors as needed to help you achieve your financial goals and objectives. For more information, visit us at SMLNY.com/SMLPodcast. If you’ve enjoyed this podcast, tell your friends about it. And be sure to give us a five-star review. And check us out on LinkedIn, YouTube and Twitter. Thanks for listening, and we’ll talk to you next time. Tax laws are complex and subject to change. The information presented is based on current interpretation of the laws. Neither Security Mutual nor its agents are permitted to provide tax or legal advice. The applicability of any strategy discussed is dependent upon the particular facts and circumstances. Results may vary, and products and services discussed may not be appropriate for all situations. Each person’s needs, objectives and financial circumstances are different, and must be reviewed and analyzed independently. We encourage individuals to seek personalized advice from a qualified Security Mutual life insurance advisor regarding their personal needs, objectives, and financial circumstances. Insurance products are issued by Security Mutual Life Insurance Company of New York, Binghamton, New York. Product availability and features may vary by state.​ SubscribeApple PodcastsSpotifyAndroidPandoraby EmailTuneInDeezerRSSMore Subscribe Options

The Spirit of Charles Ponzi Lives On Episode 373 – Charles Ponzi died penniless in 1949. The man himself is long forgotten, but his spirit lives on. Two recent convictions are a cautionary tale. Let the buyer beware. More SML Planning Minute Podcast Episodes Transcript of Podcast Episode 373 Hello, this is Bill Rainaldi, with another edition of Security Mutual’s SML Planning Minute. In today’s episode: the spirit of Charles Ponzi lives on. Charles Ponzi was born in Italy in 1882 and emigrated to the U.S. in 1903. He created his infamous scheme in 1919 using a series of postage coupons.[1] He raised money from investors to fund his idea, but it simply didn’t work. After promising big returns to his stakeholders, rather than admitting defeat, he paid his early investors using funds that came from later investors. The investors thought they were making legitimate profits, which only encouraged more people to invest. He kept repeating the process and lived lavishly, until a financial journalist figured it all out. His operation collapsed in 1920. He spent years in and out of prison until he was deported back to Italy in 1934. He died penniless in 1949.[2] While the man himself is long forgotten, his name lives on. Perhaps the most famous Ponzi scheme of all time was executed by Bernie Madoff, who lost it all when he was arrested in 2008. He raised an estimated $65 billion using some of Ponzi’s methods.[3] Even today, Ponzi schemes are still a thing. A man named Todd Burkhalter was recently arrested in what is “likely the largest Ponzi scheme in Georgia history,” according to U.S. Attorney Theodore Hertzberg.[4] Burkhalter pleaded guilty to wire fraud in January 2026. He admitted to defrauding thousands of investors out of $380 million. Burkhalter’s weapon of choice was a series of alleged real estate loans. The claim was that his program offered short-term loans to real estate developers who needed “bridge” financing. Incredibly, he promised a guaranteed return of 22 percent annually for three years.[5] That alone should have raised suspicions among potential investors. As with Madoff, he prepared fictitious paperwork to make his scheme appear real. Burkhalter allegedly used the money for a collection of personal items, such as a vacation condo and a yacht. The threat of jail time apparently didn’t faze him. He kept his ruse going while fully aware that he was under federal investigation. Having pleaded guilty, he is now awaiting sentencing.[6] In yet another recent case, this one, a mere $94 million, a fraudster was given a 20-year prison sentence for a Ponzi scheme based in Florida. Andrew Jacobus was sentenced in February 2026 to 20 years in prison after defrauding more than 70 investors. The money he raised, mostly from Venezuelan nationals, was spent on personal use in what the local U.S attorney called “classic Ponzi-scheme fashion.”[7] Ponzi schemes aren’t going away anytime soon, and the rise of artificial intelligence could make them even more difficult to detect. According to Eugene Soltes, a Professor at Harvard Business School, the next Bernie Madoff could be a bot.[8] AI has the potential to create an entirely new set of illegal schemes. “The damage wrought by personalized pitches, especially ones using voice and video, could make Bernie Madoff’s fraud look trivial,” according to Soltes. So, as cautious as you need to be now, it’s going to be even worse in the future. One final note about Madoff. As horrible as things were, it could have turned out worse. After his arrest, the Justice Department set up something called the “Madoff Victim Fund.” By recovering some distributions to previous investors, selling what assets Madoff did have and some interest earnings, the fund was able to send some money back to the victims. When they made their final distribution late in2024, they announced that the victims had recovered almost 94 percent of their proven losses.[9] There are no concrete rules on how best to avoid a Ponzi scheme. In the Madoff case, many of the victims joined in after being referred by someone they trusted. The person they trusted was not in on the scheme; they were victims as well. Perhaps the best you can do is to just remember the old saying: if it sounds too good to be true, it probably is. [1] World History Edu. “Charles Ponzi: Life and His Infamous Scheme.” worldhistoryedu.com. https://worldhistoryedu.com/charles-ponzi-life-and-his-infamous-scheme/ (accessed January 27, 2026). [2] Id. [3] Reuters. “Madoff pleads guilty, is jailed for $65 billion fraud.” reuters.com. https://www.reuters.com/article/world/madoff-pleads-guilty-is-jailed-for-65-billion-fraud-idUSTRE52A5JK/ (accessed February 4, 2026). [4] Donachie, Patrick. “DOJ: Georgia Advisor’s Ponzi Scheme Was Likely Largest in State’s History.” wealthmanagement.com. https://www.wealthmanagement.com/ria-news/doj-georgia-advisors-ponzi-scheme-was-likely-largest-in-states-history? (accessed January 27, 2026). [5] Id. [6] Id. [7] Brin, Dinah Wisenberg. “Ex-Advisor Sentenced to 20 Years in Prison for $94M Ponzi Scheme.” ThinkAdvisor.com. https://www.thinkadvisor.com/2026/02/03/ex-advisor-sentenced-to-20-years-in-prison-for-94m-ponzi-scheme/ (accessed February 4, 2026). [8] Kost, Danielle. “AI Schemes Could ‘Make Bernie Madoff’s Fraud Look Trivial’: Interview with Eugene Soltes. hbs.edu. https://www.library.hbs.edu/working-knowledge/ai-schemes-could-make-bernie-madoffs-fraud-look-trivial-eugene-soltes (accessed January 30, 2026). [9] Farrington, Robert. “How Bernie Madoff’s Victims Nearly Recovered Their Losses.” Thecollegeinvestor.com. https://thecollegeinvestor.com/51066/how-bernie-madoffs-victims-nearly-recovered-their-losses/ (accessed January 30, 2026). More SML Planning Minute Podcast Episodes This podcast is brought to you by Security Mutual Life Insurance Company of New York, The Company That Cares®. The content provided is intended for educational and informational purposes only. Information is provided in good faith. However, the Company makes no representation or warranty of any kind regarding the accuracy, reliability, or completeness of the information. The information presented is designed to provide general information regarding the subject matter covered. It is not to serve as legal, tax or other financial advice related to individual situations, because each individual’s legal, tax and financial situation is different. Specific advice needs to be tailored to your situation. Therefore, please consult with your own attorney, tax professional and/or other advisors regarding your specific situation. To help reach your goals, you need a skilled professional by your side. Contact your local Security Mutual life insurance advisor today. As part of the planning process, he or she will coordinate with your other advisors as needed to help you achieve your financial goals and objectives. For more information, visit us at SMLNY.com/SMLPodcast. If you’ve enjoyed this podcast, tell your friends about it. And be sure to give us a five-star review. And check us out on LinkedIn, YouTube and Twitter. Thanks for listening, and we’ll talk to you next time. Tax laws are complex and subject to change. The information presented is based on current interpretation of the laws. Neither Security Mutual nor its agents are permitted to provide tax or legal advice. The applicability of any strategy discussed is dependent upon the particular facts and circumstances. Results may vary, and products and services discussed may not be appropriate for all situations. Each person’s needs, objectives and financial circumstances are different, and must be reviewed and analyzed independently. We encourage individuals to seek personalized advice from a qualified Security Mutual life insurance advisor regarding their personal needs, objectives, and financial circumstances. Insurance products are issued by Security Mutual Life Insurance Company of New York, Binghamton, New York. Product availability and features may vary by state.​ SubscribeApple PodcastsSpotifyAndroidPandoraby EmailTuneInDeezerRSSMore Subscribe Options

Nine Reasons You Need an Agent When You Buy Life Insurance Episode 371 – No matter how far we go with AI, there are a few places where we need to deal with a real human being. Life insurance is one of those places. Here are nine reasons why it helps to have an agent when you buy life insurance. More SML Planning Minute Podcast Episodes Transcript of Podcast Episode 371 Hello, this is Bill Rainaldi, with another edition of Security Mutual’s SML Planning Minute. In today’s episode: here are nine reasons you may need the help of an agent when you buy life insurance. Have you ever been caught in “chatbot prison”? You’re calling a major institution, and you’d like to speak to a real person. But their customer service phone system puts up one roadblock after another. It’s aggravating. You need to be persistent just to hear a human voice. There is a good chance this trend will continue into the future. But for some things, life insurance being one of them, a real conversation with a real person, maybe even face-to-face, can reduce your stress level and help you achieve a positive result. Buying a life insurance policy can sometimes be a complicated process. But as we discussed last year in episode 316, it’s a whole lot easier than it used to be. Still, there are some challenges you’ll need to get past, and a real human being can be of enormous value to you. In fact, according to LIMRA’s Life Insurance Barometer study from December 2025, 3 out of 4 life insurance buyers would prefer to work with a real person. And 94% of those express trust in their advisors.[1] Here are nine basic reasons why you might need the help of an agent: It can be complicated. Do you really know the differences between traditional whole life, variable and universal life? Not many people outside of the insurance profession do. It’s critical to find someone with expert knowledge and the ability to explain what really matters when comparing the different product types. Do you need term or permanent life insurance? Both have their pros and cons. A real person can help guide you through both. Personalized needs assessment. Every situation is different. How much coverage is right for you? How do you even begin to figure that out? A licensed insurance professional can help you gauge your current and future needs, and those of your family if—God forbid—you’re no longer there. Would you rather talk it out with an AI bot or a competent, experienced professional? Understanding underwriting. Underwriting is the process the life insurance company goes through to assess your health status, whether it will be able to offer coverage to you, and if so, at what rate. Younger, healthier people typically pay a smaller premium than older people with multiple impairments. How do you figure out if your premiums are purchasing coverage suited to your own health situation? An insurance professional, who knows and understands different carriers and the various factors they will consider, can help prepare your application and potentially help you secure a lower premium. Is there something that can be negotiated? Maybe. But having an advocate for you with the insurance company can be a big advantage. Cash value and the potential for future income. Some life insurance policies have cash value, some don’t. Some go so far as to have guaranteed death benefits and cash values, while others don’t. One of the benefits of most forms of permanent coverage is that, if structured properly, the cash value can be used as a source of income or emergency fund if needed. But it’s tricky because there are so many permanent product options in the marketplace. It can be worthwhile to have someone there who understands the ins and outs of how cash value accumulation works with each of the options available to you. Ongoing support. Things change. Going through a divorce? Need to change your beneficiary? How about transferring the policy to someone else? If you have an ongoing relationship with your insurance professional, help is just a phone call away. It’s also nice to have someone who can send you a reminder if you miss a premium payment or have to change your address. Having a long-term relationship with an advisor you trust. Your needs may grow as your family or your income grows. Why restart the process with someone new? You may find yourself more comfortable if you’re dealing with someone who already knows you and has learned how to communicate clearly with you. Understanding the differences between insurance companies. Things like underwriting and customer service can vary widely from one insurance company to the next. One company’s product may be a bit less expensive, but is it worth it if they’re impossible to deal with, or if you’re not going to get the rate you thought you would? An experienced professional knows how to deal with situations like this and can help achieve the best result possible for you in the long run. Policy design and riders. Do you need a chronic illness rider? How about waiver of premium or accelerated death benefits? They can all be very important, but do you even know what they are? A life insurance professional can explain how each of these work, and whether they could be valuable for you. Then, you can more clearly decide for yourself whether they’re worth the cost. And finally… In most situations, it doesn’t cost you anything extra. The agent gets paid by the insurer, not the purchaser. You typically end up paying the same premium whether you use an agent or not. So, how do you find a real person to help with your insurance needs? Your Security Mutual Life insurance agent can help. Your Security Mutual Life insurance agent can augment or assemble your team and coordinate with your attorney and tax professional to review your situation and to determine the insurance plan that will best suit your needs and objectives. [1] LIMRA. “Beyond the Basics: Why Human Advice Still Wins in Life Insurance.” Limra.com. https://www.limra.com/en/research/research-abstracts-public/2025/2025-insurance-barometer-study/beyond-the-basics-why-human-advice-still-wins-in-life-insurance-partial-infographic/ (accessed February 12, 2026). More SML Planning Minute Podcast Episodes This podcast is brought to you by Security Mutual Life Insurance Company of New York, The Company That Cares®. The content provided is intended for educational and informational purposes only. Information is provided in good faith. However, the Company makes no representation or warranty of any kind regarding the accuracy, reliability, or completeness of the information. The information presented is designed to provide general information regarding the subject matter covered. It is not to serve as legal, tax or other financial advice related to individual situations, because each individual’s legal, tax and financial situation is different. Specific advice needs to be tailored to your situation. Therefore, please consult with your own attorney, tax professional and/or other advisors regarding your specific situation. To help reach your goals, you need a skilled professional by your side. Contact your local Security Mutual life insurance advisor today. As part of the planning process, he or she will coordinate with your other advisors as needed to help you achieve your financial goals and objectives. For more information, visit us at SMLNY.com/SMLPodcast. If you’ve enjoyed this podcast, tell your friends about it. And be sure to give us a five-star review. And check us out on LinkedIn, YouTube and Twitter. Thanks for listening, and we’ll talk to you next time. Tax laws are complex and subject to change. The information presented is based on current interpretation of the laws. Neither Security Mutual nor its agents are permitted to provide tax or legal advice. The applicability of any strategy discussed is dependent upon the particular facts and circumstances. Results may vary, and products and services discussed may not be appropriate for all situations. Each person’s needs, objectives and financial circumstances are different, and must be reviewed and analyzed independently. We encourage individuals to seek personalized advice from a qualified Security Mutual life insurance advisor regarding their personal needs, objectives, and financial circumstances. Insurance products are issued by Security Mutual Life Insurance Company of New York, Binghamton, New York. Product availability and features may vary by state.​ SubscribeApple PodcastsSpotifyAndroidPandoraby EmailTuneInDeezerRSSMore Subscribe Options

Are You Ready for the Great Wealth Transfer? Episode 369 – Are you ready for the “Great Wealth Transfer”? It’s not that far off. The sooner you start your planning, the better. More SML Planning Minute Podcast Episodes Transcript of Podcast Episode 369 Hello, this is Bill Rainaldi, with another edition of Security Mutual’s SML Planning Minute. In today’s episode: are you ready for the “Great Wealth Transfer”? We’ve seen it coming for decades. The baby boomer generation is perhaps the wealthiest in American history. But now they’re all 60-plus years old. The long-predicted Great Wealth transfer is just getting started, and the numbers are extraordinary. By the year 2048, an estimated total of $124 trillion will be transferred. Among those amounts, approximately $105 trillion is expected to flow to heirs from baby boomers (and older) to future generations.[1] You know it’s going to happen eventually. And if you’re one of those baby boomers, you need to get to work now if you haven’t done so already. Where do you even start? If you’re the boomer, the first thing you need to recognize is that open communication is critical. But it’s a tough conversation to initiate. According to a recent survey, only 39 percent of baby boomers have provided some direction to their heirs by explaining their intentions. At the other end, just over half of the next generation feels prepared to receive their inheritance.[2] It’s probably a good idea for you and your spouse to have your plan in place before you talk it out with your heirs.[3] If you start talking before you have a concrete plan, it may lead to arguments, undue pressure on you, or unrealistic expectations. That would make it harder for you to make important decisions based exclusively on what you really want. Once everything is fully documented, you can share the details with confidence. That way, you’ll know that your estate plan reflects your true intentions without being swayed before you’ve finished setting it up. When you do have a plan in place, it’s usually best to start explaining it as soon as you can, then provide updates as needed. And it helps to be as transparent and inclusive as possible. You’ll need to make sure you share the values that are important to you, along with the reasoning behind your decisions. But don’t think it’s going to be easy. It has the potential to be an uncomfortable and challenging conversation, so make sure you choose the best time and place. Also, remember that different people will react differently to what you tell them. You should be ready to listen to them and address whatever concerns they may have. When talking things over, it helps to show some empathy for their situation, whatever it is. It may not be what you expected. You also need to make sure your heirs understand how important family unity is, both now and after you’re gone. It’s generally a good idea to talk to your family about this while there’s still time, or at least have a letter with your documents that everyone can read or hear, explaining your non-financial wishes. Also, set some realistic expectations. Many adult heirs are surprised—sometimes pleasantly and sometimes unpleasantly—by the size of their inheritance.[4] You can also build in some protections to make sure the children don’t squander their inheritance. If you’re a parent with concerns about where the money will go, there are always trust options that can provide additional security. Your estate planning attorney will likely have some ideas on this and be able to guide you. But keep in mind that some heirs may see this as a sign of mistrust and may be resentful because you did this. The challenges are many, but it can be even more difficult—and it likely requires even more work—if you’re a business owner. The sobering truth is that less than a third of family businesses successfully transition to the next generation.[5] The failure rate jumps to 90 percent by the third generation.[6] Even worse, an unsuccessful transition could potentially destroy the family relationship. It’s important that your heirs understand that you have completed the required documents, but they also have to know where to find them. An “in the event of my death” folder should be easily accessible. The folder would include information on online accounts, professional advisors, estate planning documents, and insurance information. It’s helpful to have a single person identified who can begin the process. If you’re the recipient, it might seem awkward and presumptuous to start the conversation about inheritance, but it’s OK if you approach it the right way. One thing you can do is make sure you center the discussion around your family dynamics.[7] For example, you can start by asking your parent(s) for advice on your own estate situation and let the conversation evolve from there. And, it’s best to have these conversations while everyone is of sound mind and body. As with many things in life, financial literacy can be a tremendous asset for you in this process. Make sure to educate yourself if you feel you need to. And one final thought: regardless of your financial situation, the process is likely to be complicated and time-consuming. You may need the help of an estate planning attorney to guide the process and fill in important and required details. Either way, the sooner you get started, the better. [1] Cerulli Asoociates. “Cerulli Anticipates $124 Trillion in Wealth Will Transfer Through 2048.” Cerulli.com. https://www.cerulli.com/press-releases/cerulli-anticipates-124-trillion-in-wealth-will-transfer-through-2048 (accessed January 7, 2026). [2] RBC Wealth Management. “RBC Wealth Management survey: A generational look at the Great Wealth Transfer shows financial advisors to play a pivotal role in a smooth transition.” Rbcwealthmanagement.com. https://www.rbcwealthmanagement.com/en-us/newsroom/2025-05-08/rbc-wealth-management-survey-a-generational-look-at-the-great-wealth-transfer-shows-financial-advisors-to-play-a-pivotal-role-in-a-smooth-transition (accessed January 7, 2026). [3] Wolinsky, Jacob. “Six Ways to Make Talking With Family About Estate Planning Easier.” Kiplinger.com. https://www.kiplinger.com/retirement/estate-planning/how-to-discuss-estate-planning-with-your-family (accessed January 13, 2026). [4] Id. [5] The Williams Group. “Succession Planning.” Thewilliamsgroup.org. https://www.thewilliamsgroup.org/services/succession-planning/ (accessed January 9, 2026). [6] Lee, Medora. “The Great Wealth Transfer’s begun. Are heirs-to-be ready to receive it? How to prepare.” USA Today. https://www.usatoday.com/story/money/personalfinance/2025/09/18/great-wealth-transfer-heirs-how-to-prepare/86040974007/ (accessed January 9, 2026). [7] Id. More SML Planning Minute Podcast Episodes This podcast is brought to you by Security Mutual Life Insurance Company of New York, The Company That Cares®. The content provided is intended for educational and informational purposes only. Information is provided in good faith. However, the Company makes no representation or warranty of any kind regarding the accuracy, reliability, or completeness of the information. The information presented is designed to provide general information regarding the subject matter covered. It is not to serve as legal, tax or other financial advice related to individual situations, because each individual’s legal, tax and financial situation is different. Specific advice needs to be tailored to your situation. Therefore, please consult with your own attorney, tax professional and/or other advisors regarding your specific situation. To help reach your goals, you need a skilled professional by your side. Contact your local Security Mutual life insurance advisor today. As part of the planning process, he or she will coordinate with your other advisors as needed to help you achieve your financial goals and objectives. For more information, visit us at SMLNY.com/SMLPodcast. If you’ve enjoyed this podcast, tell your friends about it. And be sure to give us a five-star review. And check us out on LinkedIn, YouTube and Twitter. Thanks for listening, and we’ll talk to you next time. Tax laws are complex and subject to change. The information presented is based on current interpretation of the laws. Neither Security Mutual nor its agents are permitted to provide tax or legal advice. The applicability of any strategy discussed is dependent upon the particular facts and circumstances. Results may vary, and products and services discussed may not be appropriate for all situations. Each person’s needs, objectives and financial circumstances are different, and must be reviewed and analyzed independently. We encourage individuals to seek personalized advice from a qualified Security Mutual life insurance advisor regarding their personal needs, objectives, and financial circumstances. Insurance products are issued by Security Mutual Life Insurance Company of New York, Binghamton, New York. Product availability and features may vary by state.​ SubscribeApple PodcastsSpotifyAndroidPandoraby EmailTuneInDeezerRSSMore Subscribe Options

Being a Millionaire Ain’t What It Used to Be Episode 367 – It wasn’t that long ago that Regis Philbin drew massive viewers with his TV program Who Wants to be a Millionaire. Never mind the fact that the top prize was $1 million before taxes, which is considerably less than $1 million after taxes. But in today’s economy, being a millionaire does not necessarily project the same status it once did. Or does it? More SML Planning Minute Podcast Episodes Transcript of Podcast Episode 367 Hello, this is Bill Rainaldi, with another edition of Security Mutual’s SML Planning Minute. In today’s episode, being a millionaire ain’t what it used to be. It wasn’t that long ago that Regis Philbin drew massive viewers with his TV program Who Wants to Be a Millionaire. Never mind the fact that the top prize was $1 million before taxes, which is considerably less than $1 million after taxes. And while it’s much more noticeable today, even during Y2K, being a millionaire did not give the same status that it once did. Yet it’s an achievement many of us are shooting for. According to a new study, almost half of all workers (48 percent) have set $1 million as their retirement benchmark. That number was only 37 percent in 2024. But people aren’t necessarily optimistic about reaching that milestone. In fact, a mere 27 percent actually expect to get there.[1] Another recent study provides more information on this. An analysis of government survey data done by Bloomberg indicates that there are more than 24 million millionaire households, or almost one in five. But a lot of that wealth is sealed into 401(k)s, IRAs and home equity, none of which is easily accessible. This is especially true for households in the lower end of the millionaire spectrum, with a net worth between $1 million and $2 million, which on average, have 66 percent of their wealth locked into these types of assets.[2] It’s important not to minimize what so many people have accomplished. $1 million is a great emotional milestone. And it’s still a lot of money. The median household net worth is considerably less: about $193,000.[3] But nowadays, you might not be able to live off $1 million. It could end up lasting you a long time, but it all depends on where you live (which you can control), your health and longevity (which you might not be able to control), and how much you spend on things like housing, health care and other expenses. Every situation is different, of course. The cost of living varies widely throughout the United States. According to research by Forbes magazine, the average cost of living, defined as “housing costs, transportation, health care, food and income taxes,” is the highest in Hawaii at $55,491. Mississippi comes in the lowest with an average of $32,336. Of course, this is just for the essentials. The figures don’t include entertainment, travel or anything else.[4] When it comes to longevity, average life expectancy has some quirks to it. For one thing, each year you age, your remaining life expectancy goes down, but not by a full year. This is a statistical oddity due to the fact that you’re still here, but a few of your peers are not. For example, if you are a male age 60, your remaining life expectancy is 23.3 years, or to age 83.3. But if you make it to age 65, your new life expectancy is 19.3 years, or to age 84.3.[5] There are gender differences as well. For people age 65, females, on average, outlive males by approximately 2.7 years.[6] These are all just averages, of course. But the resulting life expectancies are often longer than people might anticipate. Here’s another unique statistic: For a married couple age 60, there is approximately a 60 percent chance that at least one of the two will live past age 90.[7] That may or may not be you, but the longer you expect to live, the more concerned you will be about whether your $1 million is enough. How long will it last, and will you still be around when it runs out? Here are three hypotheticals compiled by SmartAsset. In the first one, assume you start with $1 million and get a 6 percent return. Also assume you are in a 24 percent tax bracket and you spend $5,000 per month. In that scenario, your $1 million should last you 30 years. But in the second scenario, assuming your return goes down to 5 percent, the well would run dry in 26 years. In the third scenario, your return goes up to 7 percent. But your tax bracket is also higher: 32 percent, and your withdrawal goes up to $6,000 per month. With those assumptions, your savings would only last 23 years.[8] Keep in mind that these examples do not include other sources of income such as Social Security. The maximum amount of Social Security you can collect is $5,181[9] per month before tax and Medicare charges, but that assumes you paid in the maximum and collect at age 70, which less than 10 percent of people do.[10] The average benefit is approximately $1,959 per month.[11] But when it comes to retirement income, the one huge advantage Social Security has is that it is indexed for inflation, although the Cost of Living Adjustment (or COLA) increases don’t always keep up. So, how much you can accumulate for retirement is important, but it’s not everything. Perhaps some of us are focusing on the wrong thing. Maybe it’s just as important to have an income plan as it is to have an accumulation plan.[12] In other words, no matter how much you save, it’s still only the first half of the journey. [1] Randall, Steve. “Nearly half of workers peg retirement target at $1M as anxiety climbs.” Investmentnews.com. https://www.investmentnews.com/retirement-planning/nearly-half-of-workers-peg-retirement-target-at-1m-as-anxiety-climbs/263546 (accessed December 15, 2025). [2] Steverman, Ben, Tartar, Andre and Davidson, Stephanie. “America Is Minting Lots Of Cash-Strapped Millionaires.” Fa-mag.com. https://www.fa-mag.com/news/america-is-minting-lots-of-cash-strapped-millionaires-84395.html (accessed December 12, 2025). [3] Kane, Libby. “The net worth it takes at every age to be richer than most people you know.” Businessinsider.com https://www.businessinsider.com/net-worth-data-american-wealth-age-2025-4 (accessed December 12, 2025). [4] Rothstein, Robin. “Examining The Cost Of Living By State.” Forbes.com. https://www.forbes.com/advisor/mortgages/cost-of-living-by-state/ (accessed December 15, 2025). [5] Social Security Administration. “Retirement & Survivors Benefits: Life Expectancy Calculator.” Ssa.gov. https://www.ssa.gov/OACT/population/longevity.html (accessed December 15, 2025). [6] The Global Statistics. “Life Expectancy by Age in the US 2025 | Stats & Facts.” Theglobalstatistics.com. https://www.theglobalstatistics.com/life-expectancy-by-age/ (accessed December 15, 2025). [7] Social Security Administration. “Longevity Visualizer.” SSA.gov. https://www.ssa.gov/policy/tools/longevity-visualizer/index.html (accessed December 15, 2025). [8] Smartasset.com. “Is $1M Enough to Retire Comfortably in 2025? Replace Guesswork With a Fiduciary-Built Plan.” Insights.smartasset.com. https://insights.smartasset.com/sem/how-long-will-1m-last-in-retirement?utm (accessed December 15, 2025). [9] Social Security Administration. “Worker with steady earnings at the maximum level since age 22.” Ssa.gov. https://www.ssa.gov/OACT/COLA/examplemax.html (accessed December 15, 2025). [10] Royal, James. “What age do most Americans take Social Security?” Bankrate.com. https://www.bankrate.com/retirement/when-do-most-americans-take-social-security/ (accessed December 15, 2025). [11] Horton, Cassidy. “What’s the average Social Security check in Dec. 2025?” Aol.com. https://www.aol.com/finance/retirement-planning/article/average-social-security-benefit-payment-december-2025-195039610.html (accessed December 15, 2025). [12] LaPonsie, Maryalene. “Can You Retire on $1 Million? Here’s How Far It Will Go in 2025.” USNews.com. https://money.usnews.com/money/retirement/articles/can-you-retire-on-one-million (accessed December 15, 2025). More SML Planning Minute Podcast Episodes This podcast is brought to you by Security Mutual Life Insurance Company of New York, The Company That Cares®. The content provided is intended for educational and informational purposes only. Information is provided in good faith. However, the Company makes no representation or warranty of any kind regarding the accuracy, reliability, or completeness of the information. The information presented is designed to provide general information regarding the subject matter covered. It is not to serve as legal, tax or other financial advice related to individual situations, because each individual’s legal, tax and financial situation is different. Specific advice needs to be tailored to your situation. Therefore, please consult with your own attorney, tax professional and/or other advisors regarding your specific situation. To help reach your goals, you need a skilled professional by your side. Contact your local Security Mutual life insurance advisor today. As part of the planning process, he or she will coordinate with your other advisors as needed to help you achieve your financial goals and objectives. For more information, visit us at SMLNY.com/SMLPodcast. If you’ve enjoyed this podcast, tell your friends about it. And be sure to give us a five-star review. And check us out on LinkedIn, YouTube and Twitter. Thanks for listening, and we’ll talk to you next time. Tax laws are complex and subject to change. The information presented is based on current interpretation of the laws. Neither Security Mutual nor its agents are permitted to provide tax or legal advice. The applicability of any strategy discussed is dependent upon the particular facts and circumstances. Results may vary, and products and services discussed may not be appropriate for all situations. Each person’s needs, objectives and financial circumstances are different, and must be reviewed and analyzed independently. We encourage individuals to seek personalized advice from a qualified Security Mutual life insurance advisor regarding their personal needs, objectives, and financial circumstances. Insurance products are issued by Security Mutual Life Insurance Company of New York, Binghamton, New York. Product availability and features may vary by state.​ SubscribeApple PodcastsSpotifyAndroidPandoraby EmailTuneInDeezerRSSMore Subscribe Options

Important Tax Considerations for Newlyweds Episode 365 – Have you gotten married recently? The next steps are considerably less exciting. There are some important financial steps you need to take. More SML Planning Minute Podcast Episodes Transcript of Podcast Episode 365 Hello, this is Bill Rainaldi, with another edition of Security Mutual’s SML Planning Minute. In today’s episode, some important tax considerations for newlyweds. So, congrats on your recent marriage. If you’re like most people, your wedding probably involved a significant amount of planning and detail: where, when, who to invite, who not to invite, where to seat everybody, etc. You may be glad you to get through such an important life-changing event, and you’re ready to move on with the rest of your life. But you’re not done quite yet. There are a number of financial details you may need to address. Here are just a few of them: Name change. If there is a name change involved, you’ll need to report it to the Social Security Administration (SSA). When you file your next tax return, the name on that return needs to match what the SSA has on file. The Internal Revenue Service, or IRS, recommends that you file a new Form SS-5, Application for a Social Security Card, which is available at SSA.gov.[1] Update your address. Make sure you let the IRS, the Postal Service, and your employer know about any address change. Coordinate your benefits. You might now have access to a better—or cheaper—health insurance plan.[2] You’ll need to look things over with your new spouse. Decide on your new filing status. Once you’re married, you can choose to file jointly or separately each year. While the IRS says that filing jointly is usually less expensive, they recommend that you calculate it both ways before you decide. Also, it doesn’t really matter what day you got married. Even if it’s on New Year’s Eve, the rules state that for tax purposes, you’re considered married for the entire year.[3] Married filing separately. Once they’re married, few people elect to file their income taxes separately. This is because it usually results in the highest combined taxes. But some people do this anyway because the individual filing the return is the only one liable for any tax bills and errors on that return. It also happens when the two spouses decide, for whatever reason, that they would prefer to only be responsible for their own taxes.[4] Marriage penalty. The so-called “marriage penalty” occurs when a married couple ends up paying more income taxes than they would have had they remained single. This becomes more likely when both of you have high earnings and close to the same income. On the other hand, if you and your spouse are at different income levels, odds are that there will actually be a marriage bonus, that is, the tax on your joint income will be less than it would be had you filed separately.[5] Standard deduction. Nowadays, only about 10 percent of taxpayers itemize their deductions.[6] The rest use the standard deduction. For 2026, the standard deduction is $32,200 for married couples filing jointly, and $16,100 for single taxpayers. These figures were adjusted as part of the One Big Beautiful Bill passed in July of 2025. On some occasions, getting married can have an impact on whether you itemize or not. Previous debts. If your new spouse owes money for previous taxes or child support, any future joint tax refund could be reduced as a result.[7] Separate homes. If you own two separate houses, it’s likely that you’ll be selling one of them when you get married. And if you’re selling at a gain, you may get extra benefits from being married. Once you’re married, you get an addition to the amount of tax-free gain you can take. The amount is $250,000 for single taxpayers, but $500,000 for married taxpayers. The rules are a bit tricky, though, and you need to make sure you meet all the qualifications.[8] Beneficiary and Will Review. This one may or may not result in tax consequences, but it is important to note. When getting married, it’s critical for each spouse to review any existing wills, plans or benefits (such as life insurance) that assigned a beneficiary or beneficiaries. Unless restricted by a court order, it’s usually preferable for the new spouse to be assigned as beneficiary in each of those examples. So be sure not to overlook this step in the process and make any required changes when getting married. Getting married represents a big change for just about anybody, and not just in your personal life. Your financial life is also likely to be affected in a number of different ways. But as long as you know what to expect, the additional stress involved should be manageable. Let the fun begin! [1] Internal Revenue Service. “Newlyweds tax checklist.” IRS.gov. https://www.irs.gov/newsroom/newlyweds-tax-checklist (accessed December 4, 2025). [2] TurboTax Expert. “Getting Married: What Newlyweds Need to Know.” Intuit.com. https://turbotax.intuit.com/tax-tips/marriage/getting-married/L0DvEUlEC (accessed December 4, 2025). [3] Internal Revenue Service. “Essential tax tips for marriage status changes.” IRS.gov. https://www.irs.gov/newsroom/essential-tax-tips-for-marriage-status-changes#:~:text (accessed December 22, 2025) [4] Willetts, Jo. “Tax tips for newly married couples.” Jacksonhewitt.com. https://www.jacksonhewitt.com/tax-help/tax-tips-topics/family/tax-tips-for-newly-married-couples/ (accessed December 5, 2025). [5] Id. [6] Tax Policy Center. “What are itemized deductions and who claims them?” Taxpolicycenter.org.https://taxpolicycenter.org/briefing-book/what-are-itemized-deductions-and-who-claims-them (accessed December 4, 2025). [7] Manganaro, John. “9 Key Tax Considerations for Newlyweds.” ThinkAdvisor.com. https://www.thinkadvisor.com/2025/06/27/9-key-tax-considerations-for-newlyweds/ (accessed December 4, 2025). [8] TurboTax Expert. “Getting Married: What Newlyweds Need to Know.” Intuit.com. https://turbotax.intuit.com/tax-tips/marriage/getting-married/L0DvEUlEC (accessed December 4, 2025). More SML Planning Minute Podcast Episodes This podcast is brought to you by Security Mutual Life Insurance Company of New York, The Company That Cares®. The content provided is intended for educational and informational purposes only. Information is provided in good faith. However, the Company makes no representation or warranty of any kind regarding the accuracy, reliability, or completeness of the information. The information presented is designed to provide general information regarding the subject matter covered. It is not to serve as legal, tax or other financial advice related to individual situations, because each individual’s legal, tax and financial situation is different. Specific advice needs to be tailored to your situation. Therefore, please consult with your own attorney, tax professional and/or other advisors regarding your specific situation. To help reach your goals, you need a skilled professional by your side. Contact your local Security Mutual life insurance advisor today. As part of the planning process, he or she will coordinate with your other advisors as needed to help you achieve your financial goals and objectives. For more information, visit us at SMLNY.com/SMLPodcast. 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