Question
Cecilia is named the income beneficiary of a testamentary trust to be set up according to her father's will. Her 80-year-old father is alive and
Cecilia is named the income beneficiary of a testamentary trust to be set up according to her father's will. Her 80-year-old father is alive and healthy for his age. She expects to get an income of $2,000 a month from the trust once it is set up. She currently makes $60,000 in employment income and receives $1,000 per month in child support payments from ex-husband. She has two children ages 10 and 12. She has no coverage through group disability insurance. She approaches you to check whether she needs disability insurance since she requires about $3,000 per month to pay her bills and to survive in the case of disability.
What do you tell Cecilia?
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started