Common Issues With Long-Term Disability Plans That Jeopardize Financial Security

Why Is Disability Insurance Important?

Three Issues That Affect Perceived LTD Benefits

• How is the monthly LTD benefit calculated:

• The effect of other income benefits

• Tax consequences

• The consultation

• $250,000 divided by 12 months provides an average monthly income of $20,833,
• 60 percent of $20,833 provides a monthly benefit of $12,500,
• $12,500 is greater than the maximum monthly benefit of $10,000,
• As such, he was entitled to the maximum monthly benefit of $10,000.

• Covered monthly earnings

• Other income benefit offsets

• Tax liability