Newyork life insurance is it a good idea?

Question

which way is it better than a mutual fund investment or a 401k investment

Answer 1

Never buy life insurance form someone:

telling you life insurance is a good investment

comparing it to a 401(k) or IRA

emphasizing the cash value

who does not go through a needs analysis with you

who recommends 100% of your coverage in cash value life.

tells you this is a great way to save for college

If cash value life is reccommened ask them how they came to that reccommendation.

Cash value life = higher premiums = higher commissions for the agent.

NYL agents can also sell mutual funds and mutual funds = 1% commision

Most likely who ever told you this is a new agent, don't blame them, blame NYL they want agents to sell the more profitable cash value insruance and they take new agents and train them to do that.

Answer 2

Life insurance is life insurance.

a Mutual Fund can be used for other things. the funds are allocated/invested differently and the dividends have different pay out rules

a 401(k) is a retirement plan...some are deffered compensation plans and some are defined contribution plans. you need to decide what it is you are trying to do.

But having all three puts you in a position to create wealth, ensure your future, and leave somethiing for your family when you pass on.