New from the Money Scoop
The nationwide average for a gallon of regular unleaded gasoline rose to $3.875 according to AAA. That marks the 16th consecutive record for gas prices. Retail gas prices are up nearly 10% from a month ago and have climbed more than 20% in the last 12 months.
A year ago American's paid an average of $3.23 for a gallon of gas.
The result? 1 in 5 drivers are staying home this holiday weekend.
In 2007, 38.2 million people traveled away from home over the Memorial Day weekend. This year, that number is down to 37.9 million and the reason is record high gas prices.
Education and health services. This industry supersector is projected to grow by 18.8 percent, and add more jobs, nearly 5.5 million, than any other industry supersector. More than 3 out of every 10 new jobs created in the U.S. economy will be in either the healthcare and social assistance or public and private educational services sectors.
Healthcare and social assistance—including public and private hospitals, nursing and residential care facilities, and individual and family services—will grow by 25.4 percent and add 4 million new jobs. Employment growth will be driven by increasing demand for healthcare and social assistance because of an aging population and longer life expectancies. Also, as more women enter the labor force, demand for childcare services is expected to grow.
Public and private educational services will grow by 10.7 percent and add 1.4 million new jobs through 2016. Rising student enrollments at all levels of education will create demand for educational services.
Professional and business services. This industry supersector, which includes some of the fastest growing industries in the U.S. economy, will grow by 23.3 percent and add 4.1 million new jobs.
Employment in administrative and support and waste management and remediation services will grow by 20.3 percent and add 1.7 million new jobs to the economy by 2016.
Employment in professional, scientific, and technical services will grow by 28.8 percent and add 2.1 million new jobs by 2016. Employment in computer systems design and related services will grow by 38.3 percent and add nearly one-fourth of all new jobs in professional, scientific, and technical services. Employment growth will be driven by the increasing reliance of businesses on information technology and the continuing importance of maintaining system and network security.
Management of companies and enterprises will grow by 14.9 percent and add 270,000 new jobs.
Information. Employment in the information supersector is expected to increase by 6.9 percent, adding 212,000 jobs by 2016. Information contains some of the fast-growing computer-related industries such as software publishing, Internet publishing and broadcasting, and wireless telecommunication carriers.
Leisure and hospitality. Overall employment will grow by 14.3 percent.
Employment in retail trade is expected to increase by 4.5 percent. Despite slower than average growth, this industry will add almost 700,000 new jobs over the 2006-2016 period, growing from 15.3 million employees to 16 million. de.
Finance and insurance are expected to add 815,000 jobs, an increase of 13.2 percent, by 2016.
Government. Between 2006 and 2016, government employment, not including employment in public education and hospitals, is expected to increase by 4.8 percent, from 10.8 million to 11.3 million jobs. Growth in government employment will be fueled by an increased demand for pubic safety, but dampened by budgetary constraints and outsourcing of government jobs to the private sector.Construction. Employment in construction is expected to increase by 10.2 percent, from 7.7 million to 8.5 million. Demand for commercial construction and an increase in road, bridge, and tunnel construction will account for the bulk of job growth in this supersector.
Manufacturing. While overall employment in this supersector will decline by 10.6 percent or 1.5 million jobs, employment in a few detailed manufacturing industries will increase.
Agriculture, forestry, fishing, and hunting. Overall employment in agriculture, forestry, fishing, and hunting is expected to decrease by 2.8 percent.
Mining. Employment in mining is expected to decrease 1.6 percent, or by some 10,000 jobs, by 2016.
Among all occupations in the economy, healthcare occupations are expected to make up 7 of the 20 fastest growing occupations, the largest proportion of any occupational group These 7 healthcare occupations, in addition to exhibiting high growth rates, will add nearly 750,000 new jobs between 2006 and 2016. Other occupational groups that have more than one occupation in the 20 fastest growing occupations are computer occupations, personal care and service occupations, community and social services occupations, and business and financial operations occupations. High growth rates among occupations in the top 20 fastest growing occupations reflect projected rapid growth in the health care and social assistance industries and the professional, scientific, and technical services industries.
Declining Balance Term insurance, a variation on this theme, is often used as mortgage insurance since it can be written to match the amortization of your mortgage principal. While the premium stays constant over the term, the face value steadily declines. Once the mortgage is paid off, the insurance is no longer needed and the policy expires. Unlike many other policies, term insurance has no cash value.
Whole Life combines permanent protection with a savings component. As long as you continue to pay the premiums, you are able to lock in coverage at a level premium rate. Part of that premium accrues as cash value. A traditional type of life policy which provides coverage for the “whole life” of the insured, rather than for a specific term period. The proceeds are paid at the insured’s death or at the age specified in the policy, usually age 100 or more, when the insured survives that long.
Universal Life is similar to whole life with the added benefit of potentially higher earnings on the savings component. Universal life policies are also highly flexible in regard to premiums and face value. A combination flexible premium, adjustable life insurance policy.
Drawbacks to this type of insurance include higher fees and interest rate sensitivity. Universal policies include up-front fees as well as ongoing administrative fees totaling as high as 5% to 7% of your premiums. You may also find your premiums increasing when interest rates decline.
Variable Life generally offers fixed premiums and control over your policy's cash value. Your cash value is invested in your choice of stock, bond, or money market funding options. Fees for these policies may be higher than for universal life .
Universal Variable Life insurance is the most aggressive type of policy. Like variable life, you control your investment in mutual funds.
Key Terms and Definitions
* Face Value -- The original death benefit amount.
* Convertibility -- Option to convert from one type of policy (term) to another (whole life), usually without a physical examination.
* Cash Value -- The savings portion of a policy that can be borrowed against or cashed in.
* Premiums -- Monthly, quarterly, or yearly payments required to maintain coverage.
* Beneficiary -- The individual(s) or entity (e.g., trust) that is designated as benefit recipient.
* Paid Up -- A policy requiring no further premium payments due to prepayment or earnings.