Your ability to earn an income may be one of your most valuable assets. Think about your house, your car and your health. Would you go without homeowners insurance, car insurance or health insurance? With that in mind, shouldn’t you consider protecting another important asset: your paycheck?

You and your ability to earn an income may be a large part of what your entire financial future is based on. Paying rent or a mortgage, saving for retirement, or funding your or your children’s education may all depend on your ability to continue earning a living.

Understanding the risk:

Just about everyone who has a job needs some sort of disability income insurance - including those who work in the home. According to a Life Happens survey, you have a 3-in-10 chance of suffering an illness or injury during your work career which would keep you out of work for three months or more. In addition, a fact sheet from the Social Security Administration reveals that just over one in four of today’s 20-year-olds will become disabled before reaching age 67. It’s clear: Whether you earn an income or are a stay-at-home parent, the value you provide will need to be replaced in the event you become disabled.

The financial consequences can be far reaching. For example, a 25-year-old worker who makes $50,000 a year and suffers a permanent disability could lose $3.8 million in future earnings according to the Life Foundation.

How do you decide what coverage is right for you?

When thinking about your disability income insurance needs, consider a solid income-protection strategy — one that includes disability income insurance — to help you continue paying expenses and keep your commitments if there’s an interruption in income. There’s no substitute for a thorough needs analysis that can be conducted by a financial professional. As part of the planning process, be sure to consider both your short-term and long-term expenses as well as alternative income streams such as investments or group disability coverage.

While no one wants to think about losing their ability to work, it’s important to have a plan for your financial future so you know what you should do if you were unable to earn an income. After all, an income-protection strategy isn’t just for you; it’s for the people you love.

This article was prepared by Thrivent Financial for use by Tri County Area Representative John Lauer, 3821 Main Street, Morgantown, who can be reached at 610-286-5986 or


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