Avoid These 5 Money Mistakes

Avoid These 5 Money Mistakes - Evaluate your finances and form a plan for success.

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by NEA Member Benefits

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1st Mistake: Not Having Enough (or Any!) Insurance
NEA Member Insurance Trust has plenty of life insurance solutions:
No-Cost NEA Complimentary Life

  • Up to $1,000 Term Life coverage
  • Up to $5,000 Accidental Death & Dismemberment (AD&D) coverage
  • Up to $50,000 AD&D coverage for covered accidents on the job
  • Up to $150,000 in life insurance for unlawful homicide on the job

And remember to name a beneficiary for your policy.

Coverage is issued by the Prudential Insurance Company of America.

In addition there are other great supplemental options from NEA:

2nd Mistake: Not Planning for Life After You
Arrange for an authenticated will, trust, and estate-planning with a professional.

  • Be sure to name beneficiaries for your insurance coverage and retirement accounts
  • Include their name, Social Security Number, and the allotment you’re leaving them

3rd Mistake: Not Choosing the Right Credit Card
Find the one that fits your spending habits

  • Ask yourself if you want to maximize your rewards with everyday purchases or if you use your card for large or unexpected expenses and are looking for a lower rate card
  • Spend responsibly within your budget and make your payments on time
  • Look to transfer balances from higher rate cards to lower rate cards to save on interest
  • Understand the options available including NEA Cash Rewards or RateSmart® credit cards

4th Mistake: Not Having an Emergency Fund
Set aside at least 3-6 months of living expenses.

  • Rent/Mortgage
  • Utilities
  • Phones
  • Prescriptions

Need options to help save? NEA has you covered:

PLUS: An exclusive bonus for NEA members for each new account type opened each year.

5th Mistake: Getting a Late Start on Retirement Savings
A little savings can add up in a big way over time. The earlier you start, the better.
With a 6% return compounded annually…

  • Age 22: $4,000/yr saved
    Can yield up to $656,272 over time
  • Age 32: $4,000/yr saved
    Only up to $335,241 over time

Save a percentage of your income

  • You won’t have to adjust as income increases
  • Can help you better maintain your way of life

Check out our retirement calculator and see where you stand.


AD&D coverage provides Accident insurance only. It does NOT provide basic hospital, basic medical or major medical insurance as defined by the New York State Department of Financial Services.

IMPORTANT NOTICE — THIS POLICY DOES NOT PROVIDE COVERAGE FOR SICKNESS.

NEA Life Insurance coverages are issued by The Prudential Insurance Company of America, Newark, NJ. The Booklet-Certificate contains all details, including any exclusions, limitations and restrictions, which may apply. Contract Series: 83500. CA COA# 1179. NAIC# 68241.

1022180-00001-00

Life insurance solutions exclusively for members like you