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Updated about 2 years ago, 11/08/2022
Which comes first Investment or Protection
Struggling with the idea of protecting first current assets with TERM/WHOLE life insurance vs first generating passive income through real-estate.
What is the advice first generate as much passive income you can generate to pay for insurance premiums to pay for your future wealth.
Or buy insurance to protect your future wealth based on your working income which adds to expenses in premiums but guarantees your future wealth potential for family. Then as time allows and you have more cash flow invest on passive income.
Just to add some context I am talking about getting TERM insurance that can be converted over time to Whole Life OFLI that can be also passive income with dividends. These insurance products have writers that allow using policy for long term care or terminal illness while living.
Fixed premiums for TERMs for husband and wife can add up to 8k yearly of TERM insurance. Does it make sense to pay 8K annually or take that 8k and use it first to generate passive income in real-estate? Love to hear your experiences and strategies around these topics.