November 8, 2021 • 10 mins
Our very own Money Moves Correspondent, Mara Hall, was on the streets of Greenwood asking the people some questions relating to Life Insurance.
Jay Veal is the CEO of INC Education, the #1 African American-owned private education company in the Southern US serving students of all ages in STEM. Additionally, he is the Founder and CEO of the Jay Veal Brand, the Dallas-based premier consulting firm that deploys education and business consultation services. He has recently been listed on Forbes Next 1000 Listmaker and 15-time award-winning educator and Credit & Financial Literacy Expert.
He breaks down the difference between term life insurance and whole life insurance, having those difficult conversations about life insurance, planning for your family's future and how to allocate beneficiaries with what you leave behind. If you ever needed to learn about life insurance this is the one to listen to.
Host: IG: @itstanyatime
Corresponded: @mara_hall
Guest IG: @thetoptutor
Business Websites
http://www.inceducationllc.com/
Personal Website: http://thejayvealbrand.com/
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See omnystudio.com/listener for privacy information.
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Transcript
Episode Transcript
Available transcripts are automatically generated. Complete accuracy is not guaranteed.
Speaker 1 (00:00):
Hey, Money Movers, Welcome back to another segment of the
Money Moves Podcast powered by Greenwood and to find out
what it is that people truly need to know and
how to dispel any misconceptions. In this we have our
lovely miss Marra Hall that went to the streets of Tulsa,
Oklahoma to ask you all your pressing and burning questions
and get down to the truth. Let's see what they're saying. Hi,
(00:27):
maraw Hall here with the Money Moves Podcast live from Greenwood.
We're here on the streets of Greenwood and we want
to see what the people have to say. Let's see
how their money is moving for them. The reason why
I got a life insurance plan is because honestly, it
was just presented to me by my insurance agent, and
so I thought it was a good idea. The question
I think most people would have about estate planning and
(00:48):
that might help them back, is most people don't want
to think about dying, and also that estate planning is expensive. Well,
people should know more about a state planning or any
other planner. Does that need to understand the difference between
a will. They need to understand the difference between our guardianship.
They need to know what a power attorney is, and
(01:08):
they need to also know what a trust fund is
because if you put stuff in a trust fund, you'll
overseer of that trust fund, which allows you to be
the trustee. So therefore you don't own it, but the
trust owns it, but you're still the overseer of that trust. See,
that is the game that people don't want you to
don't want you to know. As long as you start
your LLC and then put everything in your trust, you
(01:30):
will forever be covered estate planning period. A lot of
people don't even know what it is per se. I
think a lot of especially in the black and brown community,
so I think a lot of us aren't home owners,
or we don't invest as much, so we don't necessarily
think about passing it on to our children and whatnot.
(01:51):
If you don't have anything to pass on, do you
still need an estate plant? My answer is yes, because
y'all have Everyone has some a little something to leave behind.
So of you told me I needed to start an
estate plan, I would ask you what an estate plan
is like, detail by detail, because I really don't know
what it is at all. We need to have um
(02:11):
education for everybody on how we need to proceed to
make sure that our families are taken care of. The
end goal is making sure that our loved ones are
cared for after we are gone. Have I started punting
for my estate after I die? UM? I have a
life insurance policy for all three of my kids. UM,
(02:31):
both of my husband and I do. And that's as
far as we got. I haven't started developing a wheel,
probably because of my age. I know I should, but
it's thinking that you're gonna live forever and you're young,
and you know, well, I'm only twenty one, so I
haven't really got that far. I haven't really thought about
it before. I have a little bit, but I need
to go more in depth into it. I suffered some
(02:54):
illnesses UM recently so which really made me think about
my immortality and what I needed to do to make
sure that my family is taken care of. The reason
why I started planning for my estate is because I
do not want my assets to go through probate and
because I want to leave something to my family. So
making a state plan you go to an attorney. But
I think also you need to put your stuff in
(03:16):
the trust because when you when you die, your your
will has to still go through probate court, so I
can nobody find your will for it to go to
probate court. Then your stuff just it's gone. I have
a child. I haven't really thought about all that stuff,
but I would like him to have my stuff like
friends to be passed on to like his kids and stuff.
I saw have stuff from my childhood, so I would
(03:38):
like it to keep going. Everyone should uh making a
state plan simply because when you pass away, where do
your things go? Does it go to the state? Does
it go to? And and making an estate plan insures
that your family get what you have worked hard for.
So this makes this ensures that your family is taken
(03:58):
care of. The number in question to stopping people from
getting a state in order is that they're afraid to
ask questions. You can never be afraid to ask questions
because if you don't know, you just don't know what
you need to ask. Because you're not asking can bring
about problems later on that could be the start of
somebody's future in your family. As you know, we are
always passionate about wealth building and legacy, and today we
(04:21):
have Jay Veal with us and we are diving into
how we cannot only build wealth today but pass it
on for future generations. Jay, Welcome, welcome, Welcome. How are
you today? And I'm doing pretty good. I appreciate it.
Thank you so much for inviting me on the podcast today,
and your shirt Jay is perfect. I have to start there.
The first line I see is life insurance. You know,
(04:43):
I don't think we have this conversation enough in the
Black community about life insurance and how imperative it is
to legacy and estate planning. But the opposite side of
this is oftentimes we have life events such as a death,
and we actually pass on debt, which is you know,
takes us three steps awkwards. Absolutely, I want to kind
of set the tone first and say that one thing
(05:04):
that we have to stop doing is putting go fund
Me accounts up for life insurance. When people die. We don't, right,
we don't. We don't want to have to pay for
the funerals utilizing Go fund Me accounts. So let me
kind of seen so much of that these days. Absolutely,
you know, I'll pause there and say, we've just gone
through this crazy pandemic, so we've seen a lot of
(05:25):
people past and death. But I want to be able
to have these conversations that are tough. Nobody wants to
talk about death, but there's ways that we can plan
for it that will actually help us make those life
events happen a little bit smoother for all of us. Yeah,
so let's let's kind of start off with a couple
of high level basic definitions. Perfect insurance is really a
bet against what's going to happen in our life. Right, So,
(05:49):
just like when you have car insurance, you buy car
insurance to protect against if something's gonna happen to your vehicle,
although you don't, we don't want anything bad to happen.
It's just in case something us. Same thing with life insurance, right.
Life insurance is a bet against there's something that bad
happens to us as people. And we do die before
we plan to, or we die from natural causes, we
(06:11):
have something to bet against us and pass down through
our beneficiaries. And of course what is the beneficiary. Well,
beneficiary is either your son, your daughter, could be a cousin,
could be a grandma, whoever you deemed to choose to
benefit when you die. It could be a fifty fifty
if you have two kids. Things of that nature. You'll
have to you'll assign a percentage to who gets that
(06:33):
allocation of money when you come off of this earth. Right,
can you talk a little bit about your thoughts on
how this helps us to pass on wealth and anticipate
how we can do these things when these huge life
events happened. Let's talk about the differences in life insurance,
because a lot of us don't understand what life insurance
is or the difference between the two. Right, So, there's
(06:56):
two different types of life insurance is. One is term
life insurance and and his whole life insurance. Right. So,
term life insurance is insurance covered for a certain period
of time. Oftentimes it could be ten, twenty, or thirty years,
and it protects your dependence if you die prematurely. So
whatever you have on the roster, whether or not as
your in your house, your car, whatever things you have
(07:19):
in your portfolio of living, the other person that you
leave behind is able to move forward and pay for
to pay those things off and not leave the family
whole bunch of debt. Right. So, when you purchase this
type of life insurance, you want to buy an amount
that covers everything, as if your family would know or
you would no longer be able to provide for your family.
(07:40):
So you gotta cover that timeline right and be able
to pay for those services that those particular people perform. Now,
so that's kind of how we go into the term
life insurance policy. But whole life insurance is providing insurance
from a lifelong coverage perspective, and you can do more
things with a whole life insurance policy than a term
although one is more expensive than the other. So those
(08:03):
are some basic, high level definitions of what that means
when insurances purchase for our life at that time, and
we want to utilize that to protect against um, you know,
our family. At the end of the day, why do
you think these conversations are so difficult for people to have?
Obviously it's a really heavy topic, but you know, what
do you think we could do as a community to
(08:24):
make having these discussions easier so that we're more prepared
for these life events And like you said, we don't
leave our dependence saddled with debt and burden. And you know,
I think one thing that we have to be that
we have to understand is that everybody's gonna do two
things in life. When we have kids and live, we
we get born and we absolutely die right. Wait, isn't
(08:46):
it isn't the adage? Also, you're all you're all gonna
have to pay taxes to exactly right taxes and we
all die right. Thank you so much, Jay, I really
appreciate this conversation. It was a tough one to have,
but thank you so much to real were absolutely stay
tuned tomorrow and every day this week for more from
our expert tomorrow. That money from that whole life insurance policy.
(09:10):
If you want to the best in real estate and
make more money while you sleep, you WHOA? Okay you guys,
j is dropping some gems here and very special money
versus moves. You won't even do the bare minimum to
help me get that in order? This feels really telling
of the marriage I just entered into, or am I
just overreact? Kind of fun, spicy, right, and a celebrity guest.
(09:34):
You won't want to miss the beautiful, amazing and wildly
talented Nika King. Somebody will always be a producer, always
will be a produced to Toronto. Getting Your Pay is
the cast and couch is Money. Moves is an i
heeart radio podcast powered by Greenwood Executive produced by Sunwise
Media Inc. For more podcast on iHeart Radio, visit the
(09:55):
i heart Radio app, Apple Podcasts, or wherever you get
your podcasts from.
Hey, Money Movers, Welcome back to another segment of the
Money Moves Podcast powered by Greenwood and to find out
what it is that people truly need to know and
how to dispel any misconceptions. In this we have our
lovely miss Marra Hall that went to the streets of Tulsa,
Oklahoma to ask you all your pressing and burning questions
and get down to the truth. Let's see what they're saying. Hi,
(00:27):
maraw Hall here with the Money Moves Podcast live from Greenwood.
We're here on the streets of Greenwood and we want
to see what the people have to say. Let's see
how their money is moving for them. The reason why
I got a life insurance plan is because honestly, it
was just presented to me by my insurance agent, and
so I thought it was a good idea. The question
I think most people would have about estate planning and
(00:48):
that might help them back, is most people don't want
to think about dying, and also that estate planning is expensive. Well,
people should know more about a state planning or any
other planner. Does that need to understand the difference between
a will. They need to understand the difference between our guardianship.
They need to know what a power attorney is, and
(01:08):
they need to also know what a trust fund is
because if you put stuff in a trust fund, you'll
overseer of that trust fund, which allows you to be
the trustee. So therefore you don't own it, but the
trust owns it, but you're still the overseer of that trust. See,
that is the game that people don't want you to
don't want you to know. As long as you start
your LLC and then put everything in your trust, you
(01:30):
will forever be covered estate planning period. A lot of
people don't even know what it is per se. I
think a lot of especially in the black and brown community,
so I think a lot of us aren't home owners,
or we don't invest as much, so we don't necessarily
think about passing it on to our children and whatnot.
(01:51):
If you don't have anything to pass on, do you
still need an estate plant? My answer is yes, because
y'all have Everyone has some a little something to leave behind.
So of you told me I needed to start an
estate plan, I would ask you what an estate plan
is like, detail by detail, because I really don't know
what it is at all. We need to have um
(02:11):
education for everybody on how we need to proceed to
make sure that our families are taken care of. The
end goal is making sure that our loved ones are
cared for after we are gone. Have I started punting
for my estate after I die? UM? I have a
life insurance policy for all three of my kids. UM,
(02:31):
both of my husband and I do. And that's as
far as we got. I haven't started developing a wheel,
probably because of my age. I know I should, but
it's thinking that you're gonna live forever and you're young,
and you know, well, I'm only twenty one, so I
haven't really got that far. I haven't really thought about
it before. I have a little bit, but I need
to go more in depth into it. I suffered some
(02:54):
illnesses UM recently so which really made me think about
my immortality and what I needed to do to make
sure that my family is taken care of. The reason
why I started planning for my estate is because I
do not want my assets to go through probate and
because I want to leave something to my family. So
making a state plan you go to an attorney. But
I think also you need to put your stuff in
(03:16):
the trust because when you when you die, your your
will has to still go through probate court, so I
can nobody find your will for it to go to
probate court. Then your stuff just it's gone. I have
a child. I haven't really thought about all that stuff,
but I would like him to have my stuff like
friends to be passed on to like his kids and stuff.
I saw have stuff from my childhood, so I would
(03:38):
like it to keep going. Everyone should uh making a
state plan simply because when you pass away, where do
your things go? Does it go to the state? Does
it go to? And and making an estate plan insures
that your family get what you have worked hard for.
So this makes this ensures that your family is taken
(03:58):
care of. The number in question to stopping people from
getting a state in order is that they're afraid to
ask questions. You can never be afraid to ask questions
because if you don't know, you just don't know what
you need to ask. Because you're not asking can bring
about problems later on that could be the start of
somebody's future in your family. As you know, we are
always passionate about wealth building and legacy, and today we
(04:21):
have Jay Veal with us and we are diving into
how we cannot only build wealth today but pass it
on for future generations. Jay, Welcome, welcome, Welcome. How are
you today? And I'm doing pretty good. I appreciate it.
Thank you so much for inviting me on the podcast today,
and your shirt Jay is perfect. I have to start there.
The first line I see is life insurance. You know,
(04:43):
I don't think we have this conversation enough in the
Black community about life insurance and how imperative it is
to legacy and estate planning. But the opposite side of
this is oftentimes we have life events such as a death,
and we actually pass on debt, which is you know,
takes us three steps awkwards. Absolutely, I want to kind
of set the tone first and say that one thing
(05:04):
that we have to stop doing is putting go fund
Me accounts up for life insurance. When people die. We don't, right,
we don't. We don't want to have to pay for
the funerals utilizing Go fund Me accounts. So let me
kind of seen so much of that these days. Absolutely,
you know, I'll pause there and say, we've just gone
through this crazy pandemic, so we've seen a lot of
(05:25):
people past and death. But I want to be able
to have these conversations that are tough. Nobody wants to
talk about death, but there's ways that we can plan
for it that will actually help us make those life
events happen a little bit smoother for all of us. Yeah,
so let's let's kind of start off with a couple
of high level basic definitions. Perfect insurance is really a
bet against what's going to happen in our life. Right, So,
(05:49):
just like when you have car insurance, you buy car
insurance to protect against if something's gonna happen to your vehicle,
although you don't, we don't want anything bad to happen.
It's just in case something us. Same thing with life insurance, right.
Life insurance is a bet against there's something that bad
happens to us as people. And we do die before
we plan to, or we die from natural causes, we
(06:11):
have something to bet against us and pass down through
our beneficiaries. And of course what is the beneficiary. Well,
beneficiary is either your son, your daughter, could be a cousin,
could be a grandma, whoever you deemed to choose to
benefit when you die. It could be a fifty fifty
if you have two kids. Things of that nature. You'll
have to you'll assign a percentage to who gets that
(06:33):
allocation of money when you come off of this earth. Right,
can you talk a little bit about your thoughts on
how this helps us to pass on wealth and anticipate
how we can do these things when these huge life
events happened. Let's talk about the differences in life insurance,
because a lot of us don't understand what life insurance
is or the difference between the two. Right, So, there's
(06:56):
two different types of life insurance is. One is term
life insurance and and his whole life insurance. Right. So,
term life insurance is insurance covered for a certain period
of time. Oftentimes it could be ten, twenty, or thirty years,
and it protects your dependence if you die prematurely. So
whatever you have on the roster, whether or not as
your in your house, your car, whatever things you have
(07:19):
in your portfolio of living, the other person that you
leave behind is able to move forward and pay for
to pay those things off and not leave the family
whole bunch of debt. Right. So, when you purchase this
type of life insurance, you want to buy an amount
that covers everything, as if your family would know or
you would no longer be able to provide for your family.
(07:40):
So you gotta cover that timeline right and be able
to pay for those services that those particular people perform. Now,
so that's kind of how we go into the term
life insurance policy. But whole life insurance is providing insurance
from a lifelong coverage perspective, and you can do more
things with a whole life insurance policy than a term
although one is more expensive than the other. So those
(08:03):
are some basic, high level definitions of what that means
when insurances purchase for our life at that time, and
we want to utilize that to protect against um, you know,
our family. At the end of the day, why do
you think these conversations are so difficult for people to have?
Obviously it's a really heavy topic, but you know, what
do you think we could do as a community to
(08:24):
make having these discussions easier so that we're more prepared
for these life events And like you said, we don't
leave our dependence saddled with debt and burden. And you know,
I think one thing that we have to be that
we have to understand is that everybody's gonna do two
things in life. When we have kids and live, we
we get born and we absolutely die right. Wait, isn't
(08:46):
it isn't the adage? Also, you're all you're all gonna
have to pay taxes to exactly right taxes and we
all die right. Thank you so much, Jay, I really
appreciate this conversation. It was a tough one to have,
but thank you so much to real were absolutely stay
tuned tomorrow and every day this week for more from
our expert tomorrow. That money from that whole life insurance policy.
(09:10):
If you want to the best in real estate and
make more money while you sleep, you WHOA? Okay you guys,
j is dropping some gems here and very special money
versus moves. You won't even do the bare minimum to
help me get that in order? This feels really telling
of the marriage I just entered into, or am I
just overreact? Kind of fun, spicy, right, and a celebrity guest.
(09:34):
You won't want to miss the beautiful, amazing and wildly
talented Nika King. Somebody will always be a producer, always
will be a produced to Toronto. Getting Your Pay is
the cast and couch is Money. Moves is an i
heeart radio podcast powered by Greenwood Executive produced by Sunwise
Media Inc. For more podcast on iHeart Radio, visit the
(09:55):
i heart Radio app, Apple Podcasts, or wherever you get
your podcasts from.
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