Whole life insurance help

My spouse and I got married a couple years ago. At that point, we purchased some term and whole life insurance from a family friend through NYL.

As I read more and more, it feels like our situation may need adjusting. Hope some can help. I’ll try to give details that should help answer.

We both have solid careers, but my spouse makes almost twice what I do. Together we gross $180k/year. Between us, we have approximately $400k in our 401k and 403b retirement accounts. We have about $260k left on our 30 year mortgage that we took out when we bought our house 3 years ago.

We have about $1.4 million in term on her, and $600k on me.

Now, to my issue. We have a total of $300k whole life on her, and $200k on me. Total cash value of the policies is only about $1,500 right now because they are only 2 years old.

We don’t struggle to pay our bills or meet our obligations, and live fine, but the freedom for SOME added liquidity would definitely help (we are trying to start a family). What I mean is we both contribute up to our employer match to our 401k and 403b accounts, so we’re nowhere near maxxing them out. We have a car payment for about 4 more years, and about $19k in student loans we’d like to be aggressive about paying off (once the litigation is over and assuming no forgiveness).

Frankly, I also think the market generally performs better than the safer growth of a WL policy as an investment vehicle, from what I can tell? Someone can correct if not true.

Our WL premiums are a total of $570/month. Basically I’d like to be out from under the WL policy with that extra $570 going to our 401k/403b/HYSA/emergency fund, and giving ourselves a little more breathing room and freedom to with the $570 as we choose, depending on our needs at the time. We could do additional contributions, but those can be adjusted with one click should it be needed. We are disciplined so it’s not an issue of it just getting spent and getting nothing out of it long term.

What advice would you give/further info or questions you need to give good advice? Thanks all for reading

submitted by /u/DukeSilverVol1
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