Financial Fitness Blog

Do you have missing U.S. savings bonds? Maybe a relative bought a savings bond for your daughter when she was born, but you never received the bond in the mail. Or, maybe you lost savings bonds in a fire or during a move.

Even if you don’t have all the details, there is still a possibility that you can track down missing bonds. Here are four steps to help you recover your bonds.

Step 1

Start by going to treasurydirect.gov and download Form 1048 (Claim for Lost, Stolen, or Destroyed U.S. Savings Bonds). Find the form fast by using the site search.

Step 2

You can fill out Form 1048 directly online or request it be mailed to you. Complete as much information as you can about the lost bond. The more information you have, the easier it will be for the U.S. Bureau of the Public Debt to help you find the missing bonds.

Step 3

Print the form and certify it at a bank. Mail it to the Department of Treasury, Bureau of Public Debt.

For E, EE, or I savings bonds
P.O. Box 7012, Parkersburg, WV 26106 -7012

For HH or H savings bonds
PO Box 2186, Parkersburg, WV 26106-2186

Step 4

Wait. If you provided the serial number, the Bureau could track down and reissue your bonds within three to four weeks. But without all the information, it could take several months.

If you have further inquires, you can email SavBonds@bpd.treas.gov or call 304-480-7711.

IMPORTANT NOTE: Once you receive replacement bonds or payment for lost bonds, the original bonds belong to the U.S. Government. If you find bonds after receiving replacements or payment for them, you should return them. Replacement bonds will show the original issue date. 

Michelle Slawny, CFP®

In schools across Wisconsin, there are people who have a passion for helping their colleagues build financial security. They often share their financial knowledge, an encouraging word, stories of their successes, as well as mistakes and regrets with their colleagues. Their mission is to share knowledge and information about how one can do good as an education professional and do well financially. As a financial planner, I talk to members every day who were inspired by someone else to take control of their financial future. Quite often it's a fellow educator.

At WEA Trust Member Benefits, our mission is to enhance the financial security of our members. This fall we would like to recognize individuals who have given their time and talents to mentor others on the benefits of good financial planning and saving for retirement.  If you know one of these special folks, now is the perfect time to give them some recognition!

Nominations for the 2012 Financial Mentor Awards will be accepted through September 1, 2012. It takes just a few moments to fill out the nomination form at www.weabenefits.com/mentor. Award winners will be announced on October 15, 2012. They will also be mentioned in a short article in your$ magazine and will receive a certificate of recognition.

Michelle Slawny, CFP®

According to the Genworth 2012 Cost of Care Survey, the median yearly cost in Wisconsin for a private room at a nursing home is currently $93,075. Research shows that about 70 percent of people age 65 or older will need long-term care services at some point in their lifetime (U.S. Department of Health and Human Services), and the costs associated with it continue to increase.

When thinking about whether to obtain a long-term care insurance policy, consider the effects on your family:

• Relationships. When you are in need of long-term care services, it impacts your family members. You will have one or more caregivers who will need to provide personal and often financial assistance to you. There may also be other community-based support services involved. For caregivers, taking responsibility for another person's care has a dramatic impact on their lives which may affect their career, their finances and other family relationships.
  
• Financial. The dollars to pay for care must come from somewhere. Most often, savings and retirement contributions are hardest hit, threatening families’ ability to live comfortably in the future. How might this affect your spouse or adult children?

Having a conversation with your family about long-term care options and possible insurance coverage ahead of time is incredibly important. It will give you a plan before you find yourself in a situation where you need services. If your health changes or you’re in an accident, you could become uninsurable. The majority of costs for extended care are not covered by health insurance or Medicare. So spending money for care on a moment’s notice is something no one wants to do, and the quality of those decisions may be compromised.

WEA Trust Member Benefits encourages you to look into the protection of our individual long-term care insurance program to see what it can mean for you and your family. Learn more by calling us at 1-800-247-5905.

(Sources: Genworth Financial and LTCi Marketing Administrators) 

Kelly Behnke, CIC, CISR, ACSR
Personal Insurance Consultant

Are you a conservative or an aggressive investor? Find out with our risk assessment tool.

Before you consider any investment, it is important to understand risk and to determine how much risk you’re willing to take with your investments. Risk can be defined as the possibility of losing all or part of your investment. Investment professionals generally accept the notion that the potential for higher returns goes hand-in-hand with higher risk. Conversely, low-risk investments are associated with lower returns. Naturally, you would like to get the highest possible return on your investments, but the appropriate allocation of your money depends on your risk tolerance.

As you move into different stages of life, your circumstances may cause your risk tolerance to change. For instance, when you are young and just starting out, you have time on your side. Time allows you to look at riskier investments with the potential for higher rates of return because you have time to “ride-out” a market downturn.

In mid-career—and increasingly as you approach retirement—you may feel the need for more nest egg protection, thus your tolerance for risk may be lower. Reassessing at this time will identify whether your risk profile has changed and the impact on your investment portfolio.

Our risk assessment tool uses your responses to 13 questions to determine what type of investor you are by assessing your tolerance to risk. Once you understand your risk tolerance, you can choose a mix of investments appropriate for your personal situation.

Your risk assessment results are based on your answers to questions about objectives and goals, timeline for using the money, current life situation, investment experience, and style.

The risk assessment tool will automatically calculate your score and tell you what kind of an investor you are. It will also suggest an appropriate asset allocation for your particular profile, identifying what percentage you might allocate to fixed income, small-cap, mid-cap, large-cap, and international/global investments.

Michelle Slawny, CFP®

In June 2008, torrential rains caused more than $765 million in damage to property and crops in Wisconsin. More than 25,000 homes and businesses that registered for disaster assistance with the National Flood Insurance Program (NFIP) did not have flood insurance.

Flood insurance is available to homeowners, renters, condo owners/renters, and commercial owners/renters. Here's a few Q&As to help you decide whether to purchase flood insurance.

Q: Does my homeowners insurance cover flooding?

A: No. Flood insurance is not typically covered by a homeowners insurance policy.

Q: If my home is flooded, won't federal disaster assistance pay for my damages?

A:  Federal disaster assistance is not always available.  When federal aid is made available, it usually takes the form of a low-interest loan that individuals must repay in addition to their existing mortgage. 

Q: Am I eligible for flood insurance?

A: You must live in a community that participates in the National Flood Insurance Program (NFIP) to qualify for National Flood Insurance. Find out if your community participates at floodsmart.gov.

Q: I live in a low-risk flood zone. Do I really need flood insurance?

A: It's a good idea to buy flood insurance even if you live in a low- or moderate- risk area. Nearly 20% of all flood insurance claims come from areas with moderate-to-low flood risk.

Q: I'm not in a high-risk area, but I'd like flood coverage. Is this possible?

A: Yes, you are eligible to purchase a flood policy with the same coverage you would receive if you lived in a high-risk area. That is, as long as your community participates in the NFIP.

Q: Who do I contact if I want to purchase a flood insurance policy?

A: The NFIP has an arrangement with private insurance companies to sell and service flood insurance policies. Visit floodsmart.gov for a list of insurance companies that sell and service NFIP flood insurance policies.

Keep in mind that there is typically a 30-day waiting period from date of purchase before a new flood policy goes into effect.

Source: FEMA, floodsmart.gov

Mark Dannehl, Personal Insurance Consultant

Here are thirteen things you can do to improve your financial condition and sense of well-being. 

1. Create a budget

A budget allows you to take control of your financial future. It can help you find ways to cut expenses, carving out some extra money for debt payments, retirement savings, and beefing up your emergency fund. Payroll deduction and automatic withdrawal options are great budget helpers.

2. Pump up your knowledge base

Make it your mission to register for our free "Mission Impossible" financial seminars, July 20 - August 14. Or check out our full schedule of seminars…live, live online, and on demand. Seminar schedule.

3. Reduce stress with an emergency fund

Start an emergency savings account to cover unexpected expenses. The stress of financial emergencies will be diffused just knowing you have money set aside, and it will keep you from needing to take on credit card debt.

>>Click here to read the rest of the tips. 

Michelle Slawny, CFP®

It's National Financial Literacy Month! What are you doing this year to improve your financial condition and sense of well-being? Here are a few ideas to help you go on a Debt Diet.

• Stop using credit cards. Cut them up, taken them out of your purse or wallet, or freeze your cards in a glass of water. (It’ll make you think twice about whether you really need the card.)
  
• Stop the flood of credit card offers. Call 1-888-5-OPTOUT or go to optoutprescreen.com to get off the mailing lists that the credit bureaus sell to credit card companies.
  
• Write down the balances for each credit card along with the interest rate. Develop a plan to pay off what you owe. Generally, start paying off the cards with the highest interest first. If you want a quick boost, pay off the card with the lowest balance first.

>>Check out our credit card and debt management calculators.

Michelle Slawny, CFP®