An Overview of GRATs as a Wealth Transfer Tool

Size: px
Start display at page:

Download "An Overview of GRATs as a Wealth Transfer Tool"

Transcription

1 A Overview of GRATs as a Wealth Trasfer Tool A ceter of excellece buildig bridges from thought to actio, creatig practical, applicable strategies to help beefit you ad your family A Grator Retaied Auity Trust is a wealth trasfer tool that ca facilitate ad advace a family s objectives ad legacy by providig opportuities for tax-free, low-risk trasfers of wealth. A GRAT ca also provide a effective vehicle for successio of a closely held busiess. Wealthy idividuals typically seek straightforward, low-risk wealth trasfer tools that ca help mitigate or elimiate substatial taxatio of a family or eve a family busiess. At Hawthor, we view a Grator Retaied Auity Trust (GRAT) as oe such wealth trasfer tool that ca provide a host of beefits for wealthy idividuals, with miimal dowside risk. GRATs have several advatages, icludig: GRATs ca be structured such that o taxable gift or correspodig gift tax liability results from the ultimate trasfer of assets to family members. They ca be structured to have miimal dowside risk other tha ay applicable legal ad admiistrative costs. If the valuatio of assets trasferred to a GRAT is successfully challeged by the Iteral Reveue Service (IRS), a automatic adjustmet ca prevet ay adverse gift tax cosequeces. As a grator trust durig the auity term of the GRAT, the trasferor ca swap assets with the GRAT without icome tax or capital gais cosequeces, providig opportuities to further leverage the wealth trasfer effectiveess of the GRAT. The potetial wealth trasfer opportuity is magified i a low-iterest-rate eviromet. GRATs are sactioed by the Iteral Reveue Code (IRC). We believe GRATs represet a beeficial tool for facilitatig ad advacig a family s objectives ad desired legacy by providig opportuities for substatial tax-free, low-risk trasfers of wealth. Such trasfers ca be made i further trust to better implemet a family s overall multigeeratioal visio ad successio pla. Hawthor Istitute Residet Marty Babitz Natioal Director of Estate Plaig Also, GRATs ca provide a effective vehicle for successio of a closely held busiess, allowig the trasferor to remove substatial value from his taxable estate without taxatio or sigificat risk while retaiig cotrol over the busiess.

2 A Overview of GRATs as a Wealth Trasfer Tool GRATs are a primary wealth plaig optio that should be seriously cosidered whe preparig ad implemetig a family or closely held busiess successio pla. The Mechaics of GRATs A GRAT, govered by IRC Sectio 2702, is a irrevocable trust to which the grator trasfers assets i exchage for a fixed paymet, or auity, for a term of years chose by the grator. The term is typically measured by a fixed umber of years, but it may also be measured by the grator s life or the shorter (but ot loger) of a fixed umber of years or grator s life. 1 Upo completio of the auity paymet term, the GRAT s remaiig assets pass to the beeficiaries, either outright or i further trust. Figure 1 illustrates how a basic GRAT works. Figure 1 How a GRAT Works Step 1 Assets (cash, securities, busiess iterest, etc.) GRAT Creator (Grator) Step 2 Auity paymets, i cash or i-kid, for a defied period of time GRAT Source: Hawthor Step 3 Trust remaider (payable outright or retaied i trust for family) Beeficiary (Grator s Family) Source: Hawthor Lieal descedats, the typical iteded remaider beeficiaries of this wealth trasfer vehicle, are cosidered family members uder the IRC. 2 Therefore, the retaied auity must satisfy the defiitio of qualified iterest uder IRC Sectio 2702(b) i order to be give a value that ca reduce the taxable gift attributable to the trasfer. Auity Paymets To be a qualified iterest, the auity payable uder a GRAT must be either a fixed dollar amout or a fixed percetage of the iitial fair market value of the property as fially determied for federal tax purposes. 3 No additioal cotributios to the trust are permitted. 4 1 Treasury Regulatio (Treas. Reg.) Sectio (d)(4). 2 IRC Sectios 2702(a)(1) ad (e). 3 IRC Sectio 2702(b)(1) ad Treas. Reg. Sectio (b)(1)(ii). 4 IRC Sectio 2702(b)(1) ad Treas. Reg. Sectio (b)(4). 2 hawthor.pc.com

3 A Overview of GRATs as a Wealth Trasfer Tool This auity paymet term ca be as short as two years. Also, the auity ca be structured such that the paymets icrease as much as 20% over the precedig year s amout at ay time durig the auity term. Oly the grator ca receive auity distributios durig the auity term. 5 The auity paymets must be made at least aually. A pro-rated auity amout is required for ay short year of the GRAT (such as i the year it was created or the year of the fial auity paymet). The etire auity amout must be paid each year from icome or from pricipal, if icome is isufficiet. The auity ca be paid as late as 105 days after the aiversary of the GRAT s creatio each year, ad o later tha the date for filig the GRAT s icome tax retur (ot coutig extesios) if the required auity amout is based o the taxable year of the trust. 6 The required paymets caot be commuted (prepaid) to the grator. 7 Grator Trust Status A GRAT is treated as a grator trust for federal icome tax purposes uder IRC Sectio 673 (grator s retetio of a 5% or greater actuarial reversioary iterest i the GRAT determied at the time of the trust s creatio) or IRC Sectio 677 (retetio of icome iterest), or both. At its iceptio, the value of the retaied auity iterest i a GRAT will typically be worth more tha 5% of the value of the trust assets. I that case, IRC Sectio 673 would apply to make it a grator trust for icome tax purposes. I additio, although the retaied auity is a fixed paymet, those paymets ecessarily ecompass the icome of the trust (ad as ecessary, pricipal), causig IRC Sectio 677 to apply as well. As a grator trust, all tax items such as icome ad capital gai realized by the GRAT durig the auity term will be taxed to the grator o her persoal icome tax retur. Sice the grator is cosidered the ower of the trust assets for icome tax purposes, the actual auity distributios will ot be taxable to the grator because the passig of assets betwee grator ad grator trust for ay reaso does ot costitute a taxable evet. The grator s paymet of icome tax with respect to tax items of the GRAT as a result of its grator trust status is ot cosidered a gift by the grator to the GRAT remaider beeficiaries. 8 Accordigly, the GRAT assets grow for the remaider beeficiaries uecumbered by federal icome tax ad capital gais tax without adverse gift tax cosequeces. Most states follow federal grator trust status for state icome tax purposes as well (Pesylvaia is a exceptio). As a grator trust, the trasferor s iitial cotributio of assets to the GRAT, eve of appreciated assets, will ot result i ay icome tax or capital gais tax cosequeces. I additio, IRC Sectio 2702 does ot prohibit the trasferor from exchagig assets of equal value for assets of the GRAT. Such exchages will ot create federal icome tax or capital gais tax cosequeces durig the auity term whe the trust is treated as a grator trust. For example, durig the auity term, the trasferor could purchase assets of the GRAT for their equivalet value i cash. 5 Treas. Reg. Sectio (d)(2). 6 Treas. Reg. Sectio (b)(5). 7 Treas. Reg. Sectio (d)(5). 8 Uder Rev. Rulig , C.B. 7. 3

4 A Overview of GRATs as a Wealth Trasfer Tool Alog these lies, distributios of the required auity amout ca be made i cash or i kid (or both), without ay icome tax cosequeces to the GRAT or the trasferor. However, the GRAT trustee caot satisfy the required auity paymet by issuig a promissory ote to the grator. 9 Upo termiatio of the GRAT, the remaiig assets pass to the remaider beeficiaries, who ca be idividuals or trusts. Assets origially trasferred to the GRAT maitai the grator s icome tax basis i the trust, ad this basis carries over to the remaider beeficiaries if it is received as part of the trust s remaiig assets. Carryover basis occurs because these assets were ot subject to capital gais taxatio whe cotributed to the trust. 10 As a grator trust, the GRAT will ot be treated as a separate stockholder or as a oqualified trust for S Corporatio eligibility purposes. 11 Therefore, S Corporatio stock ca be readily trasferred to a GRAT. Valuig the Gift The value of the fixed auity retaied by the trasferor is subtracted from the value of the assets trasferred to the GRAT i determiig the value of the gift to the remaider beeficiaries at the ed of the auity term for federal gift tax purposes. This remaider iterest is a taxable gift, potetially subject to gift tax i the year the GRAT is created. We believe the reductio of the value of the grator s retaied auity i determiig the gift amout attributable to the remaider iterest passig to beeficiaries is key to accomplishig effective, leveraged wealth trasfer through the utilizatio of GRATs. If the auity amout ad term are high eough or log eough, or both, the value of the grator s retaied auity for gift tax purposes could equal 100% of the value of the assets trasferred. Thus, whe subtractig this retaied auity value from the value of the assets trasferred to the GRAT, the resultig gift is zero. This type of a GRAT is kow as a Zeroed Out GRAT. The gift of the remaider iterest is ot a preset iterest because it caot be ejoyed by the remaider beeficiaries util the ed of the trasferor s retaied auity term. Cosequetly, the aual gift tax exclusio, which oly applies to gifts of preset iterests, caot be applied to reduce or elimiate the tax liability associated with this amout. Istead, the amout of the gift attributable to the GRAT remaider iterest reduces ay remaiig lifetime gift exclusio of the trasferor, ad ay balace of the gift amout will result i actual gift tax liability. The value of the retaied auity is calculated i the moth of the gift based o the prevailig applicable iterest rate for this purpose determied uder IRC Sectio 7520 ad published mothly by the IRS. This Sectio 7520 rate fluctuates i direct relatio to chages i iterest rates o U.S. Treasury obligatios. As the Sectio 7520 rate decreases, the value of the grator s retaied iterest (which is subtracted from the value of the trasferred assets i determiig 9 Treas. Reg. Sectio (b)(1)(i). 10 IRC Sectio IRC Sectio 1361(c)(2)(A)(i). 24 hawthor.pc.com

5 A Overview of GRATs as a Wealth Trasfer Tool the value of the gift of the remaider iterest) icreases; as the Sectio 7520 rate icreases, the value of the grator s retaied iterest decreases. For example, at the August 2014 Sectio 7520 rate of 2.2%, a 10-year GRAT payig 10% of the iitial value of the assets trasferred will produce a retaied iterest value of 88.89% of the assets trasferred. Cosequetly, a trasfer of $1 millio to such a GRAT i that moth would result i a taxable remaider iterest gift of oly 11.11% of that amout, or $111,100. If, however, the Sectio 7520 rate icreased to 5.2%, the value of the retaied auity for the same GRAT would fall to 76.47% of the cotributed assets, resultig i a taxable gift of 23.53%, or $235,300. At a Sectio 7520 rate of 8.2%, the retaied auity value drops to 66.5% ad a resultig gift of $335,000, more tha three times the gift based o the curret Sectio 7520 rate. Accordigly, a lower iterest rate eviromet geerally makes GRATs more attractive (Chart 1). Chart1 History of Sectio 7520 Rate, Sectio 7520 Percetage Rate /94 6/96 6/98 6/00 6/02 6/04 6/06 6/08 6/10 6/12 6/14 Source: Hawthor The Sectio 7520 rate is equal to 120% of the midterm applicable federal iterest rate for itrafamily loas determied uder IRC Sectio 1274, rouded to the earest.20%. The Sectio 7520 rate for August 2014 was 2.2%. Geerally, if the overall ivestmet rate of retur o the GRAT assets exceeds the Sectio 7520 rate used i determiig the required auity amout ad correspodig projected remaider amout, the GRAT will geerally be successful because assets i excess of the actuarially projected remaider amout (which is the measure of the gift amout) will be passig to the beeficiaries. Cosequetly, the Sectio 7520 rate is ofte referred to as the hurdle rate because it represets the threshold for a rate of retur o the GRAT assets that will result i a successful wealth trasfer. 35

6 A Overview of GRATs as a Wealth Trasfer Tool Cocers While there are sigificat beefits associated with a GRAT, careful plaig is also eeded to avoid what we thik are some potetial pitfalls. Mortality Risk Estate Tax Iclusio If the trasferor dies durig the term of the required auity paymets, the all or a portio of the GRAT assets will be icludible i his taxable estate. 12 The estate would iclude assets of a trust to which a grator has made a trasfer while retaiig a right to icome from that trust which has ot eded at the time of death. Although the retaied iterest is a auity rather tha specifically icome, the IRS specifically treats the retaied auity as costitutig the retetio of the right to icome for purposes of IRC Sectio 2036(a)(1). 13 IRC Sectio 2039, which geerally icludes the value of auities held at death, ca be excluded as a mechaism for estate iclusio; retaiig a iterest i a auity from a trust is ot ecompassed by IRC Sectio Although some advisors might assert that all of the assets of a GRAT are always icludible i the taxable estate should the grator die prior to the ed of the auity term, oly the portio of the GRAT assets ecessary to provide the auity paymet without reducig or ivadig pricipal are icludible i the decedet s taxable estate. 15 Example 2 i Treasury Regulatio Sectio (c)(2)(iv) provides that the icludible amout is calculated by dividig the auity amout by the Sectio 7520 rate i effect o the grator s date of death. This formula must be used regardless of whe the grator dies durig the retaied auity term. I may situatios, this formula may evertheless cause all of the assets of the GRAT to be icluded i the grator s taxable estate. For example, assume a grator establishes a GRAT i August 2014 by trasferrig $1 millio ad retaiig a aual auity of $137,690 for eight years based o the 2.2% Sectio 7520 rate. After receivig six aual auity paymets but prior to receipt of the last two years auity paymets, the grator dies. If the Sectio 7520 rate at the time of the grator s death has icreased to 4.0%, the amout of the GRAT assets icludible i the grator s estate would equal $137,690 (the aual auity paymet) divided by.04 (Sectio 7520 rate at death), or $3,442,250. Uless the aual ivestmet retur o the assets, et of the auity paymets, was at least 32%, this figure would equal or exceed the value of the GRAT assets at that time. Thus, all of the GRAT assets would be icluded i the grator s taxable estate. Cosequetly, the trasferor s age, health, related factors, ad geeral risk of death i ay year should be take ito accout i determiig the legth of the retaied auity term. The shorter the term selected, the higher the correspodig required aual auity paymet to accomplish the same actuarial value of the retaied auity i determiig the value of the remaider for federal gift tax purposes. 12 IRC Sectio 2036(a)(1). 13 Treas. Reg. Sectio (c)(2). 14 Provided for uder Treas. Reg. Sectio (e). 15 Treas. Reg. Sectio (c)(2). 62 hawthor.pc.com

7 A Overview of GRATs as a Wealth Trasfer Tool Valuatio Issues IRC Sectio 2702 cotais the specific requiremets for GRATs as outlied above. As log as these requiremets are cotaied i the GRAT documet ad adhered to i its admiistratio, there is geerally o risk of IRS challege to the GRAT itself. However, a potetial challege is proper valuatio of the assets trasferred to the GRAT. For example, if a grator iteds to create a Zeroed Out GRAT ad trasfers assets she values at $1 millio, a specific correspodig auity amout would be set based o the Sectio 7520 rate i the moth of the GRAT s creatio ad the selected legth of the auity term. If, however, the IRS values those assets at $1.5 millio, the auity amout would have bee required to be 50% higher each year i order to zero out the GRAT ad elimiate ay taxable gift amout attributable to the projected remaider iterest. As a result, the deficiet auity amout would result i a taxable gift for federal gift tax purposes. Treasury Regulatio Sectio (b)(2), however, allows for a automatic adjustmet upward of the required auity amout i such cases so that o adverse uiteded federal gift tax cosequeces result. Of course, the icreased auity amout will ultimately reduce the amout of the remaiig assets passig to or for the remaider beeficiaries. Geeratio Skippig Tax Issues The Geeratio Skippig Trasfer (GST) tax applies to trasfers to skip persos, which geerally iclude gradchildre or subsequet geeratios of the trasferor, or trusts for such idividuals. The GST tax applies to gifts or bequests i additio to ay gift tax or estate tax liability at a rate of 40%. A GST tax exemptio equal to the lifetime exclusio (curretly $5.34 millio per perso, idexed for iflatio) is available to cover such trasfers. If GST tax exemptio is allocated to all of the assets of a trust, the the assets of that trust ad their future appreciatio ca be etirely exempt from GST for the trust s duratio. This would apply as log as o subsequet gifts or bequests are made to the trust that are ot covered by additioal allocatio of GST tax exemptio. (For more o the GST tax, see the Jue 2013 Hawthor white paper, The Family Opportuity Trust, Part II: Leveragig the Trust.) Oe limitatio o the wealth trasfer potetial of GRATs is the estate tax iclusio period (ETIP) rule applicable to GRATs uder IRC Sectio 2642(f). Uder this provisio, a trasferor s GST tax exemptio caot be allocated to the remaider iterest i the GRAT while assets of the GRAT are icludible i the trasferor s taxable estate uder IRC Sectio Accordigly, GST tax exemptio caot geerally be applied to the GRAT remaider iterest util the close of the trasferor s retaied auity term. The full amout of the actual remaiig assets of the GRAT at the ed of the auity term would be subject to GST tax ad require allocatio of GST exemptio to that amout i order to avoid such tax, if the remaider passes to or for GST-taxable beeficiaries such as gradchildre. 37

8 A Overview of GRATs as a Wealth Trasfer Tool As a example, assume $1 millio is trasferred to a Zeroed Out GRAT. At the close of the grator s retaied auity term, $500,000 of assets remai. The measure of the taxable gift for federal gift tax purposes is zero because the value of the gift for this purpose is determied at the creatio of the GRAT whe the actuarially projected gift of the remaider iterest is zero. For GST tax purposes, however, the amout subject to GST tax, ad thus requirig allocatio of GST tax exemptio to avoid impositio of GST tax, is $500,000, the actual value of the assets at the close of the auity term. Although there is geerally o leverage or beefit to utilizig GST tax exemptio with GRATs, there are potetial work-arouds to allow for effective geeratioskippig plaig for GRATs. These are discussed i the Hawthor Istitute paper, Optimizig GRATs. Note that a gradchild or gradchildre could be the remaider beeficiaries of a GRAT without GST tax cocer or eed for GST tax exemptio allocatio whe the grator s child, who is paret of the subject gradchild or gradchildre, is deceased at the time the GRAT is created. This IRC provisio treatig such gradchildre as beig oly oe geeratio removed from the trasferor (that is, takig the place of their deceased paret), ad thus ot a skip perso for GST tax purposes, is kow as the predeceased paret exceptio. 16 Reimbursemet of Grator for Icome Taxes For flexibility purposes, grators ofte request that the GRAT trustee have the authority to reimburse the grator for icome taxes attributable to the tax items of the GRAT that pass to the grator s persoal icome tax retur, based o the GRAT s grator trust status for icome tax purposes. Treasury Regulatio Sectio (b)(2) treats availability of trust assets to discharge a legal obligatio of the decedet (such as debts, icludig taxes) as a retaied right to ejoymet of the property causig iclusio of the assets of the trust i decedet s taxable estate. Reveue Rulig , however, states that the grator s mere retetio of a discretioary beeficial iterest aloe is ot sufficiet to cause estate iclusio uder IRC Sectio 2036(a)(1) if the grator s creditors caot be satisfied from the trust assets, as log as there is o uderstadig or arragemet betwee the grator ad trustee regardig the exercise of discretio for the grator, ad the grator does ot retai the power to remove ad replace the trustee. We do have oe cocer, however. Reveue Rulig also held that if either the trust documet or state law required (rather tha permitted i the trustee s discretio) that the grator be reimbursed for tax paid o behalf of the trust, the 16 IRC Sectio 2651(e). 28 hawthor.pc.com

9 A Overview of GRATs as a Wealth Trasfer Tool this would costitute the right to have trust property used to discharge a legal obligatio of the grator. This could cause iclusio of the trust assets i his taxable estate. 17 While a GRAT documet ca readily be drafted to permit but ot require the trust to reimburse the grator for taxes paid with respect to the trust to avoid this aspect of the rulig, the provisios of state law o this issue caot be cotrolled. Alog these lies, there is a questio whether the law of some states (such as Pesylvaia) requires a trust to reimburse the grator for taxes she pays o behalf of the trust. 18 New York, o the other had, provides specifically by statute that a creditor of a grator caot reach trust assets based solely o the trustee s discretioary power to reimburse the grator for tax liability with respect to icome of the trust. 19 Delaware law is equally clear o this poit. Ideally, icludig a reimbursemet provisio would occur if goverig state law was clear, such as i New York or Delaware, that the discretioary reimbursemet provisio would ot cause iclusio of the assets i the grator s taxable estate. Federal Proposals Affectig GRATs The 2015 federal budget, cosistet with prior years budgets, proposes the followig provisios to restrict GRATs: a miimum auity term of 10 years; decreases i the auity amout durig the GRAT term prohibited; ad a requiremet that the actuarial remaider at the outset of the GRAT be greater tha zero. The last proposal above would elimiate Zeroed Out GRATs. Neither the 2015 budget or ay previous budget, however, states the amout or percetage by which the miimum required projected remaider would have to exceed zero. Oe dollar is greater tha zero; accordigly, without some required miimum remaider, Zeroed Out GRATs would remai viable as a practical matter. Perhaps if this proposal is take up by Cogress, we believe the bill could propose some actual threshold miimum actuarial remaider amout. A possible miimum might be 10% of the iitial value of the GRAT assets, which is cosistet with the requiremet for Charitable Remaider Trusts. I our opiio, the elimiatio of Zeroed Out GRATs i some sigificat sese (such as through a 10% miimum remaider requiremet) ad the elimiatio of GRATs with terms shorter tha 10 years would dramatically ad egatively affect the utility of GRATs ad several of the methods for optimizig them discussed above. Ay or all of these proposals, if eacted, would, pursuat to the budget proposal, take effect for GRATs created after the date of their eactmet. 17 This aspect of the rulig was based o IRC Sectio 2036(a)(1). 18 See Frech Trust, 23 Fiduciary Reporter 296 (Philadelphia Couty Orphas Court 1963) ad Mathay Trust, 1 Fiduciary Reporter 2d 96 (Motgomery Couty Orphas Court 1981) regardig Pesylvaia law o this issue. 19 New York Estates, Powers ad Trusts Law Sectio 7-3.1(d). 39

10 A Overview of GRATs as a Wealth Trasfer Tool I additio, the 2015 budget would geerally treat the portio of assets i a trust received i a swap trasactio betwee a grator ad a trust that is a grator trust for icome tax purposes with respect to the grator, as subject to federal gift or estate tax. This proposal, which would be effective for such trasactios after the date of its eactmet ito law, would further erode some of the plaig opportuities available with GRATs, ad GRAT remaider iterests, as described above. The possibility of these proposed chages places some sese of urgecy upo establishig GRATs for idividuals ad families where such a wealth trasfer strategy ad related plaig opportuities fit their plaig objectives. Coclusio We believe GRATs represet a miimal-risk wealth trasfer tool with the potetial for substatial reductio of oe s taxable estate with little or o gift tax liability or use of lifetime gift exclusio. I additio, the curret low-iterest-rate eviromet geerally favors GRATs, makig them more effective tha whe higher iterest rates are i effect. The substatial beefits, without detrimets, of GRATs as provided for i the Iteral Reveue Code have made them a target for adverse legislative chages. Accordigly, idividuals seekig to egage i family wealth trasfer should cosider ad perhaps implemet a GRAT or GRATs i the ear term. Several related strategies exist for further leveragig wealth trasfer with GRATs. These strategies are examied i the Hawthor Istitute paper Optimizig GRATs. 210 hawthor.pc.com

11 A Overview of GRATs as a Wealth Trasfer Tool Cotact us at Philadelphia - Natioal Headquarters 1600 Market Street Philadelphia, Pesylvaia Baltimore Oe East Pratt Street Baltimore, Marylad Ciciati 201 East Fifth Street Ciciati, Ohio Clevelad 3550 Lader Road Pepper Pike, Ohio Detroit 755 West Big Beaver Road Troy, Michiga Pittsburgh 249 Fifth Aveue Pittsburgh, Pesylvaia Washigto, DC th Street NW Washigto, D.C Wilmigto 300 Delaware Aveue Wilmigto, Delaware

12 A Overview of GRATs as a Wealth Trasfer Tool To esure compliace with Iteral Reveue Service Circular 230, we iform you that ay U.S. Federal Tax advice cotaied i this commuicatio is ot iteded or writte to be used, ad caot be used, for the purpose of (1) avoidig pealties uder the Iteral Reveue Code or (2) promotig, marketig or recommedig to ay perso ay tax-related matter(s) addressed herei. September 2014 The PNC Fiacial Services Group, Ic. ( PNC ) uses the ame Hawthor, PNC Family Wealth ( Hawthor ) to provide ivestmet cosultig ad wealth maagemet, fiduciary services, FDIC-isured bakig products ad services, ad ledig of fuds through its subsidiary, PNC Bak, Natioal Associatio ( PNC Bak ), which is a Member FDIC, ad uses the ame Hawthor, PNC Family Wealth to provide certai fiduciary ad agecy services through its subsidiary, PNC Delaware Trust Compay. Hawthor ad PNC do ot provide legal or accoutig advice ad either provides tax advice i the absece of a specific writte egagemet for Hawthor to do so. PNC does ot provide services i ay jurisdictio i which it is ot authorized to coduct busiess. PNC Bak is ot registered as a muicipal advisor uder the Dodd-Frak Wall Street Reform ad Cosumer Protectio Act ( Act ). Ivestmet maagemet ad related products ad services provided to a muicipal etity or obligated perso regardig proceeds of muicipal securities (as such terms are defied i the Act) will be provided by PNC Capital Advisors, LLC, a wholly owed subsidiary of PNC Bak ad SEC registered ivestmet adviser. Hawthor, PNC Family Wealth is a registered trademark of The PNC Fiacial Services Group, Ic. Ivestmets: Not FDIC Isured. No Bak Guaratee. May Lose Value The PNC Fiacial Services Group, Ic. All rights reserved. 2 hawthor.pc.com

Methods for Optimizing GRATs

Methods for Optimizing GRATs A ceter of excellece buildig bridges from thought to actio, creatig practical, applicable strategies to help beefit you ad your family I the Hawthor Istitute white paper A Overview of GRATs, we review

More information

Enhance Your Financial Legacy Variable Annuity Death Benefits from Pacific Life

Enhance Your Financial Legacy Variable Annuity Death Benefits from Pacific Life Ehace Your Fiacial Legacy Variable Auity Death Beefits from Pacific Life 7/15 20172-15B As You Pla for Retiremet, Protect Your Loved Oes A Pacific Life variable auity ca offer three death beefits that

More information

Enhance Your Financial Legacy Variable Annuities with Death Benefits from Pacific Life

Enhance Your Financial Legacy Variable Annuities with Death Benefits from Pacific Life Ehace Your Fiacial Legacy Variable Auities with Death Beefits from Pacific Life 9/15 20188-15C FOR CALIFORNIA As You Pla for Retiremet, Protect Your Loved Oes A Pacific Life variable auity ca offer three

More information

Types of Trusts: This guide provides an overview of seven. An Overview

Types of Trusts: This guide provides an overview of seven. An Overview Types of Trusts: A Overview This guide provides a overview of seve types of trusts, while also reviewig their advatages ad disadvatages for differet types of ivestors Table of Cotets Charitable Lead Trusts...

More information

Preserving Your Financial Legacy with Life Insurance Premium Financing.

Preserving Your Financial Legacy with Life Insurance Premium Financing. Preservig Your Fiacial Legacy with Life Isurace Premium Fiacig. Prepared by: Keeth M. Fujita, Natioal Director, The Private Bak Specialty Fiace Group Life Isurace Premium Fiace. James Mosrie, Seior Wealth

More information

PENSION ANNUITY. Policy Conditions Document reference: PPAS1(7) This is an important document. Please keep it in a safe place.

PENSION ANNUITY. Policy Conditions Document reference: PPAS1(7) This is an important document. Please keep it in a safe place. PENSION ANNUITY Policy Coditios Documet referece: PPAS1(7) This is a importat documet. Please keep it i a safe place. Pesio Auity Policy Coditios Welcome to LV=, ad thak you for choosig our Pesio Auity.

More information

Life Insurance: Your Blueprint for Wealth Transfer Planning. Producer Guide to Private Split Dollar Arrangements. Your future. Made easier.

Life Insurance: Your Blueprint for Wealth Transfer Planning. Producer Guide to Private Split Dollar Arrangements. Your future. Made easier. Life Isurace: Your Blueprit for Wealth Trasfer Plaig Producer Guide to Private Split Dollar Arragemets These materials are ot iteded to be used to avoid tax pealties ad were prepared to support the promotio

More information

For customers Key features of the Guaranteed Pension Annuity

For customers Key features of the Guaranteed Pension Annuity For customers Key features of the Guarateed Pesio Auity The Fiacial Coduct Authority is a fiacial services regulator. It requires us, Aego, to give you this importat iformatio to help you to decide whether

More information

MainStay Funds IRA/SEP/Roth IRA Distribution Form

MainStay Funds IRA/SEP/Roth IRA Distribution Form MaiStay Fuds IRA/SEP/Roth IRA Distributio Form Do ot use for IRA Trasfers or SIMPLE IRA INSTRUCTIONS Before completig this form, please refer to the applicable Custodial Agreemet ad Disclosure Statemet

More information

Trusteed IRAs. Integrate and simplify your retirement and estate plans

Trusteed IRAs. Integrate and simplify your retirement and estate plans Trusteed IRAs Itegrate ad simplify your retiremet ad estate plas Trusteed IRAs from Merrill Lych Trust Compay To create the legacy of your dreams, you may eed more tha a Idividual Retiremet Accout ad a

More information

Two people, one policy. Affordable long-term care coverage for both.

Two people, one policy. Affordable long-term care coverage for both. Log-term care rider, available o Natiowide YourLife No-Lapse Guaratee SUL II Feature guide LIFE INSURANCE + LONG-ERM CARE wo people, oe policy. Affordable log-term care coverage for both. NAIONWIDE LIFE

More information

Savings and Retirement Benefits

Savings and Retirement Benefits 60 Baltimore Couty Public Schools offers you several ways to begi savig moey through payroll deductios. Defied Beefit Pesio Pla Tax Sheltered Auities ad Custodial Accouts Defied Beefit Pesio Pla Did you

More information

Amendments to employer debt Regulations

Amendments to employer debt Regulations March 2008 Pesios Legal Alert Amedmets to employer debt Regulatios The Govermet has at last issued Regulatios which will amed the law as to employer debts uder s75 Pesios Act 1995. The amedig Regulatios

More information

DC College Savings Plan Helping Children Reach a Higher Potential

DC College Savings Plan Helping Children Reach a Higher Potential 529 DC College Savigs Pla Helpig Childre Reach a Higher Potetial reach Sposored by Govermet of the District of Columbia Office of the Mayor Office of the Chief Fiacial Officer Office of Fiace ad Treasury

More information

France caters to innovative companies and offers the best research tax credit in Europe

France caters to innovative companies and offers the best research tax credit in Europe 1/5 The Frech Govermet has three objectives : > improve Frace s fiscal competitiveess > cosolidate R&D activities > make Frace a attractive coutry for iovatio Tax icetives have become a key elemet of public

More information

.04. This means $1000 is multiplied by 1.02 five times, once for each of the remaining sixmonth

.04. This means $1000 is multiplied by 1.02 five times, once for each of the remaining sixmonth Questio 1: What is a ordiary auity? Let s look at a ordiary auity that is certai ad simple. By this, we mea a auity over a fixed term whose paymet period matches the iterest coversio period. Additioally,

More information

TIAA-CREF Wealth Management. Personalized, objective financial advice for every stage of life

TIAA-CREF Wealth Management. Personalized, objective financial advice for every stage of life TIAA-CREF Wealth Maagemet Persoalized, objective fiacial advice for every stage of life A persoalized team approach for a trusted lifelog relatioship No matter who you are, you ca t be a expert i all aspects

More information

Investing in Stocks WHAT ARE THE DIFFERENT CLASSIFICATIONS OF STOCKS? WHY INVEST IN STOCKS? CAN YOU LOSE MONEY?

Investing in Stocks WHAT ARE THE DIFFERENT CLASSIFICATIONS OF STOCKS? WHY INVEST IN STOCKS? CAN YOU LOSE MONEY? Ivestig i Stocks Ivestig i Stocks Busiesses sell shares of stock to ivestors as a way to raise moey to fiace expasio, pay off debt ad provide operatig capital. Ecoomic coditios: Employmet, iflatio, ivetory

More information

Information about Bankruptcy

Information about Bankruptcy Iformatio about Bakruptcy Isolvecy Service of Irelad Seirbhís Dócmhaieachta a héirea Isolvecy Service of Irelad Seirbhís Dócmhaieachta a héirea What is the? The Isolvecy Service of Irelad () is a idepedet

More information

How to use what you OWN to reduce what you OWE

How to use what you OWN to reduce what you OWE How to use what you OWN to reduce what you OWE Maulife Oe A Overview Most Caadias maage their fiaces by doig two thigs: 1. Depositig their icome ad other short-term assets ito chequig ad savigs accouts.

More information

Comparing Credit Card Finance Charges

Comparing Credit Card Finance Charges Comparig Credit Card Fiace Charges Comparig Credit Card Fiace Charges Decidig if a particular credit card is right for you ivolves uderstadig what it costs ad what it offers you i retur. To determie how

More information

How to read A Mutual Fund shareholder report

How to read A Mutual Fund shareholder report Ivestor BulletI How to read A Mutual Fud shareholder report The SEC s Office of Ivestor Educatio ad Advocacy is issuig this Ivestor Bulleti to educate idividual ivestors about mutual fud shareholder reports.

More information

Indexed Survivor Universal Life. Agent product guide 15887 7/10

Indexed Survivor Universal Life. Agent product guide 15887 7/10 Idexed Survivor Uiversal Life Aget product guide 15887 7/10 Idexed Survivor Uiversal Life is a flexible premium survivor uiversal life isurace policy with a idex-liked iterest creditig feature. Buildig

More information

HSAs the American Fidelity Way:

HSAs the American Fidelity Way: Health Ser vices Admiistratio, LLC HSAs the America Fidelity Way: Kowledge, Experiece, Commitmet With over 30 years experiece i providig pre-tax services, America Fidelity is a pioeer i Sectio 125 flexible

More information

FM4 CREDIT AND BORROWING

FM4 CREDIT AND BORROWING FM4 CREDIT AND BORROWING Whe you purchase big ticket items such as cars, boats, televisios ad the like, retailers ad fiacial istitutios have various terms ad coditios that are implemeted for the cosumer

More information

RISK TRANSFER FOR DESIGN-BUILD TEAMS

RISK TRANSFER FOR DESIGN-BUILD TEAMS WILLIS CONSTRUCTION PRACTICE I-BEAM Jauary 2010 www.willis.com RISK TRANSFER FOR DESIGN-BUILD TEAMS Desig-builD work is icreasig each quarter. cosequetly, we are fieldig more iquiries from cliets regardig

More information

Withdrawals with SunAmerica Income Plus 6% SM

Withdrawals with SunAmerica Income Plus 6% SM Guaratee cliets Withdrawals with SuAmerica Icome Plus 6% SM More Now More Later More Flexibility Growth with SuAmerica Icome Builder 8% SM For fiacial professioal use oly. Not for distributio to the public.

More information

INVESTMENT PERFORMANCE COUNCIL (IPC)

INVESTMENT PERFORMANCE COUNCIL (IPC) INVESTMENT PEFOMANCE COUNCIL (IPC) INVITATION TO COMMENT: Global Ivestmet Performace Stadards (GIPS ) Guidace Statemet o Calculatio Methodology The Associatio for Ivestmet Maagemet ad esearch (AIM) seeks

More information

How To Find FINANCING For Your Business

How To Find FINANCING For Your Business How To Fid FINANCING For Your Busiess Oe of the most difficult tasks faced by the maagemet team of small busiesses today is fidig adequate fiacig for curret operatios i order to support ew ad ogoig cotracts.

More information

5.4 Amortization. Question 1: How do you find the present value of an annuity? Question 2: How is a loan amortized?

5.4 Amortization. Question 1: How do you find the present value of an annuity? Question 2: How is a loan amortized? 5.4 Amortizatio Questio 1: How do you fid the preset value of a auity? Questio 2: How is a loa amortized? Questio 3: How do you make a amortizatio table? Oe of the most commo fiacial istrumets a perso

More information

Grow your business with savings and debt management solutions

Grow your business with savings and debt management solutions Grow your busiess with savigs ad debt maagemet solutios A few great reasos to provide bak ad trust products to your cliets You have the expertise to help your cliets get the best rates ad most competitive

More information

There s Wealth in Our Approach.

There s Wealth in Our Approach. Electroic Fud Trasfers/ Automated Clearig House Services There s Wealth i Our Approach. A divisio of RBC Capital Markets, LLC, Member NYSE/FINRA/SIPC. Electroic Fud Trasfers/Automated Clearig House Services

More information

I apply to subscribe for a Stocks & Shares NISA for the tax year 2015/2016 and each subsequent year until further notice.

I apply to subscribe for a Stocks & Shares NISA for the tax year 2015/2016 and each subsequent year until further notice. IFSL Brooks Macdoald Fud Stocks & Shares NISA trasfer applicatio form IFSL Brooks Macdoald Fud Stocks & Shares NISA trasfer applicatio form Please complete usig BLOCK CAPITALS ad retur the completed form

More information

summary of cover CONTRACT WORKS INSURANCE

summary of cover CONTRACT WORKS INSURANCE 1 SUMMARY OF COVER CONTRACT WORKS summary of cover CONTRACT WORKS INSURANCE This documet details the cover we ca provide for our commercial or church policyholders whe udertakig buildig or reovatio works.

More information

Retirement System for Employees and Teachers of the State of Maryland. MARYLAND STATE RETIREMENT and PENSION SYSTEM. Benefits

Retirement System for Employees and Teachers of the State of Maryland. MARYLAND STATE RETIREMENT and PENSION SYSTEM. Benefits Retiremet System for Employees ad Teachers of the State of Marylad hadbook ed 0 vis 01 R e ly 2 Ju MARYLAND STATE RETIREMENT ad PENSION SYSTEM Beefits RETIREMENT SYSTEM FOR EMPLOYEES AND TEACHERS OF THE

More information

Computershare Investment Plan. Best Buy Co., Inc. Common Stock

Computershare Investment Plan. Best Buy Co., Inc. Common Stock Computershare Ivestmet Pla A Direct Stock Purchase ad Divided Reivestmet Pla for Best Buy Co., Ic. Commo Stock Best Buy Co., Ic. is listed o the New York Stock Exchage (Tradig Symbol BBY, CUSIP 086516101)

More information

Subject CT5 Contingencies Core Technical Syllabus

Subject CT5 Contingencies Core Technical Syllabus Subject CT5 Cotigecies Core Techical Syllabus for the 2015 exams 1 Jue 2014 Aim The aim of the Cotigecies subject is to provide a groudig i the mathematical techiques which ca be used to model ad value

More information

Inland American s Exit

Inland American s Exit Report by UNITE HERE, December 2013 Becky Perrie, Sa Fracisco Research bperrie@uitehere.org/415-553-3276 Ilad America s Exit Will Ilad America Real Estate Trust take advatage of what it calls its very

More information

Introducing Your New Wells Fargo Trust and Investment Statement. Your Account Information Simply Stated.

Introducing Your New Wells Fargo Trust and Investment Statement. Your Account Information Simply Stated. Itroducig Your New Wells Fargo Trust ad Ivestmet Statemet. Your Accout Iformatio Simply Stated. We are pleased to itroduce your ew easy-to-read statemet. It provides a overview of your accout ad a complete

More information

I apply to subscribe for a Stocks & Shares ISA for the tax year 20 /20 and each subsequent year until further notice.

I apply to subscribe for a Stocks & Shares ISA for the tax year 20 /20 and each subsequent year until further notice. IFSL Brooks Macdoald Fud Stocks & Shares ISA Trasfer Applicatio Form IFSL Brooks Macdoald Fud Stocks & Shares ISA Trasfer Applicatio Form Please complete usig BLOCK CAPITALS ad retur the completed form

More information

FI A CIAL MATHEMATICS

FI A CIAL MATHEMATICS CHAPTER 7 FI A CIAL MATHEMATICS Page Cotets 7.1 Compoud Value 117 7.2 Compoud Value of a Auity 118 7.3 Sikig Fuds 119 7.4 Preset Value 122 7.5 Preset Value of a Auity 122 7.6 Term Loas ad Amortizatio 123

More information

Closely Held Business and Owners Network

Closely Held Business and Owners Network FEDERAL TAX SERVICES Closely Held Busiess ad Owers Network Helpig busiess owers stay ahead of chage kpmg.com Closely Held Busiess ad Owers Network T he ladscape for idividual taxatio whether it is federal

More information

A Guide to the Pricing Conventions of SFE Interest Rate Products

A Guide to the Pricing Conventions of SFE Interest Rate Products A Guide to the Pricig Covetios of SFE Iterest Rate Products SFE 30 Day Iterbak Cash Rate Futures Physical 90 Day Bak Bills SFE 90 Day Bak Bill Futures SFE 90 Day Bak Bill Futures Tick Value Calculatios

More information

Choosing a Mortgage FIXED-RATE MORTGAGES. ADJUSTABLE-RATE MORTGAGES (ARMs)

Choosing a Mortgage FIXED-RATE MORTGAGES. ADJUSTABLE-RATE MORTGAGES (ARMs) Choosig A Mortgage Like homes, home mortgages come i all shapes ad sizes: short-term, log-term, fixed, adjustable, jumbo, balloo these are all terms that will soo be familiar to you, if they re ot already.

More information

Florida Governor Rick Scott Signs Senate Bill 408 Into Law

Florida Governor Rick Scott Signs Senate Bill 408 Into Law JUNE 2011 Florida Goveror Rick Scott Sigs Seate Bill 408 Ito Law Florida Goveror Rick Scott siged Seate Bill 408 (SB408) ito law o May 17, 2011. The legislative itet of SB408 is to reform the ustable property

More information

Learning objectives. Duc K. Nguyen - Corporate Finance 21/10/2014

Learning objectives. Duc K. Nguyen - Corporate Finance 21/10/2014 1 Lecture 3 Time Value of Moey ad Project Valuatio The timelie Three rules of time travels NPV of a stream of cash flows Perpetuities, auities ad other special cases Learig objectives 2 Uderstad the time-value

More information

Pre-Suit Collection Strategies

Pre-Suit Collection Strategies Pre-Suit Collectio Strategies Writte by Charles PT Phoeix How to Decide Whether to Pursue Collectio Calculatig the Value of Collectio As with ay busiess litigatio, all factors associated with the process

More information

Handling. Collection Calls

Handling. Collection Calls Hadlig the Collectio Calls We do everythig we ca to stop collectio calls; however, i the early part of our represetatio, you ca expect some of these calls to cotiue. We uderstad that the first few moths

More information

LEASE-PURCHASE DECISION

LEASE-PURCHASE DECISION Public Procuremet Practice STANDARD The decisio to lease or purchase should be cosidered o a case-by case evaluatio of comparative costs ad other factors. 1 Procuremet should coduct a cost/ beefit aalysis

More information

Structured Philanthropy: Private Foundations and Selected Alternatives

Structured Philanthropy: Private Foundations and Selected Alternatives Structured Philathropy: Private Foudatios ad Selected Alteratives A ceter of excellece buildig bridges from thought to actio, creatig practical, applicable strategies to help beefit you ad your family

More information

UPDATE. Department of Labor Publishes Regulations Concerning Advance Notice of Blackout Periods. Contents. Kirkpatrick & Lockhart LLP

UPDATE. Department of Labor Publishes Regulations Concerning Advance Notice of Blackout Periods. Contents. Kirkpatrick & Lockhart LLP UPDATE Fiacial Istitutio Tax-Favored Savigs Accouts QUALIFIED RETIREMENT PLANS INDIVIDUAL RETIREMENT ACCOUNTS 403(b) PLANS 457 PLANS 529 PLANS COVERDELL EDUCATION SAVINGS ACCOUNTS ARCHER MEDICAL SAVINGS

More information

Current Year Income Assessment Form

Current Year Income Assessment Form Curret Year Icome Assessmet Form Academic Year 2015/16 Persoal details Perso 1 Your Customer Referece Number Your Customer Referece Number Name Name Date of birth Address / / Date of birth / / Address

More information

International Delegation A summary for financial advisers

International Delegation A summary for financial advisers Iteratioal Delegatio A summary for fiacial advisers Cotets Please ote For fiacial adviser use oly. It should ot be distributed to, or relied upo by, retail cliets. AXA Wealth Iteratioal is the brad used

More information

Life & Disability Insurance. For COSE Employer Groups with 10+ Employees

Life & Disability Insurance. For COSE Employer Groups with 10+ Employees Life & Disability Isurace For COSE Employer Groups with 10+ Employees Life ad Disability Isurace Offerig a great beefit like life ad disability isurace is a excellet way to help attract ad retai taleted

More information

Statement of cash flows

Statement of cash flows 6 Statemet of cash flows this chapter covers... I this chapter we study the statemet of cash flows, which liks profit from the statemet of profit or loss ad other comprehesive icome with chages i assets

More information

Shareholder Information Brochure

Shareholder Information Brochure The Ivestor Service ad Automatic Divided Reivestmet Program for Shareholders of Johso & Johso Shareholder Iformatio Brochure The Program is sposored ad admiistered by Computershare Trust Compay, N.A.,

More information

Revised Special Terms & Conditions

Revised Special Terms & Conditions Call: 0191 505 0033* Lies are ope betwee 9am to 6pm Moday to Friday (excludig UK bak holidays) Email us: customerservice@highyieldaccout.co.uk** Write to us: High Yield Vaquis Bak, Freepost RSGY-CKJA-BKCS,

More information

CHAPTER 3 THE TIME VALUE OF MONEY

CHAPTER 3 THE TIME VALUE OF MONEY CHAPTER 3 THE TIME VALUE OF MONEY OVERVIEW A dollar i the had today is worth more tha a dollar to be received i the future because, if you had it ow, you could ivest that dollar ad ear iterest. Of all

More information

Investment & Portfolio Strategy

Investment & Portfolio Strategy Ivestmet & Portfolio Strategy Jauary 2014 Five Keys to a Successful Retiremet Thikig about retiremet is o loger a future evet or viewed as optioal for may Americas. Most recogize the eed for careful plaig

More information

CHAPTER 11 Financial mathematics

CHAPTER 11 Financial mathematics CHAPTER 11 Fiacial mathematics I this chapter you will: Calculate iterest usig the simple iterest formula ( ) Use the simple iterest formula to calculate the pricipal (P) Use the simple iterest formula

More information

For customers Income protection the facts

For customers Income protection the facts For customers Icome protectio the facts We ve desiged this documet to give you more iformatio about our icome protectio beefits. It does t form part of ay cotract betwee you ad/or us. This iformatio refers

More information

Health and dental coverage that begins when your group health benefits end

Health and dental coverage that begins when your group health benefits end Health ad detal coverage that begis whe your group health beefits ed Uderwritte by The Maufacturers Life Isurace Compay Page 1 of 5 FollowMeTM Health ca be your solutio. Life is full of chages. Some are

More information

A GUIDE TO BUILDING SMART BUSINESS CREDIT

A GUIDE TO BUILDING SMART BUSINESS CREDIT A GUIDE TO BUILDING SMART BUSINESS CREDIT Establishig busiess credit ca be the key to growig your compay DID YOU KNOW? Busiess Credit ca help grow your busiess Soud paymet practices are key to a solid

More information

Flexible Trust. (Settlor as trustee with optional survivorship clause) Your questions answered. What is a trust? What is a Flexible Trust?

Flexible Trust. (Settlor as trustee with optional survivorship clause) Your questions answered. What is a trust? What is a Flexible Trust? Flexible Trust (Settl as trustee with optioal survivship clause) Your questios aswered Uderstadig trusts ad their implicatios ca be pretty complicated. You should always get advice from your legal adviser

More information

INVESTMENT PERFORMANCE COUNCIL (IPC) Guidance Statement on Calculation Methodology

INVESTMENT PERFORMANCE COUNCIL (IPC) Guidance Statement on Calculation Methodology Adoptio Date: 4 March 2004 Effective Date: 1 Jue 2004 Retroactive Applicatio: No Public Commet Period: Aug Nov 2002 INVESTMENT PERFORMANCE COUNCIL (IPC) Preface Guidace Statemet o Calculatio Methodology

More information

2 Time Value of Money

2 Time Value of Money 2 Time Value of Moey BASIC CONCEPTS AND FORMULAE 1. Time Value of Moey It meas moey has time value. A rupee today is more valuable tha a rupee a year hece. We use rate of iterest to express the time value

More information

Leakage of Participants DC Assets: How Loans, Withdrawals, and Cashouts Are Eroding Retirement Income

Leakage of Participants DC Assets: How Loans, Withdrawals, and Cashouts Are Eroding Retirement Income Cosultig Outsourcig Retiremet Leakage of Participats DC Assets: How Loas, Withdrawals, ad Cashouts Are Erodig Retiremet Icome 2011 Leakage of Participats DC Assets: How Loas, Withdrawals, ad Cashouts Are

More information

APPLICATION FORM. Henderson Investment Funds. Valid from 11 May 2015. SECTION 1 About yourself

APPLICATION FORM. Henderson Investment Funds. Valid from 11 May 2015. SECTION 1 About yourself Hederso Ivestmet Fuds APPLICATION FORM Valid from 11 May 2015 You should use this form if you wish to ivest i the Hederso Ivestmet Fuds rage. Further iformatio is cotaied i the Prospectus, the Additioal

More information

where: T = number of years of cash flow in investment's life n = the year in which the cash flow X n i = IRR = the internal rate of return

where: T = number of years of cash flow in investment's life n = the year in which the cash flow X n i = IRR = the internal rate of return EVALUATING ALTERNATIVE CAPITAL INVESTMENT PROGRAMS By Ke D. Duft, Extesio Ecoomist I the March 98 issue of this publicatio we reviewed the procedure by which a capital ivestmet project was assessed. The

More information

Create Income for Your Retirement. What You Can Expect. What to Consider. Page 1 of 7

Create Income for Your Retirement. What You Can Expect. What to Consider. Page 1 of 7 Page 1 of 7 RBC Retiremet Icome Plaig Process Create Icome for Your Retiremet At RBC Wealth Maagemet, we believe maagig your wealth to produce a icome durig retiremet is fudametally differet from maagig

More information

A guide to School Employees' Well-Being

A guide to School Employees' Well-Being A guide to School Employees' Well-Beig Backgroud The public school systems i the Uited States employ more tha 6.7 millio people. This large workforce is charged with oe of the atio s critical tasks to

More information

PAYG instalments how to complete your activity statement

PAYG instalments how to complete your activity statement Istructios for busiesses ad ivestors PAYG istalmets how to complete your activity statemet For more iformatio visit www.ato.gov.au NAT 7393-11.2012 Our commitmet to you We are committed to providig you

More information

In addition to information provided under the regular headings, this issue of Tax Briefing contains:

In addition to information provided under the regular headings, this issue of Tax Briefing contains: Tax Briefig ISSUE 11 - July 1993 Itroductio I additio to iformatio provided uder the regular headigs, this issue of Tax Briefig cotais: Prelimiary iformatio regardig the Amesty - see opposite A summary

More information

Terminology for Bonds and Loans

Terminology for Bonds and Loans ³ ² ± Termiology for Bods ad Loas Pricipal give to borrower whe loa is made Simple loa: pricipal plus iterest repaid at oe date Fixed-paymet loa: series of (ofte equal) repaymets Bod is issued at some

More information

Sole trader financial statements

Sole trader financial statements 3 Sole trader fiacial statemets this chapter covers... I this chapter we look at preparig the year ed fiacial statemets of sole traders (that is, oe perso ruig their ow busiess). We preset the fiacial

More information

Financial. Services Guide. Adviser: Graeme Hood CD, Dip FP, CFP Date of Preparation: 21/11/2005. Head Office Address:

Financial. Services Guide. Adviser: Graeme Hood CD, Dip FP, CFP Date of Preparation: 21/11/2005. Head Office Address: Fiacial Services Guide Adviser: Graeme Hood CD, Dip FP, CFP Date of Preparatio: 21/11/2005 Head Office Address: Fiacial Wisdom Limited (ABN 70 006 646 108) Australia Fiacial Services Licece No. 231138

More information

FULLY PAID MASTER SECURITIES LOAN AGREEMENT AMONG PERSHING LLC, AS BORROWER AND PERSHING LLC, AS CLEARING BROKER AND

FULLY PAID MASTER SECURITIES LOAN AGREEMENT AMONG PERSHING LLC, AS BORROWER AND PERSHING LLC, AS CLEARING BROKER AND FULLY PAID MASTER SECURITIES LOAN AGREEMENT AMONG PERSHING LLC, AS BORROWER AND PERSHING LLC, AS CLEARING BROKER AND (PRINT NAME) THE LENDER (SIGNATURE OF LENDER) (DATE) ACCOUNT NUMBERS AFFECTED: (CURRENT

More information

Evidence requirements guide June 2016

Evidence requirements guide June 2016 INTERMEDIARIES & INVESTMENT PROFESSIONALS ONLY: NOT FOR PUBLIC DISTRIBUTION Page1of6 Evidece requiremets guide Jue 2016 The followig tables show our stadard documetatio requiremets for evidece. Sectio

More information

Best of security and convenience

Best of security and convenience Get More with Additioal Cardholders. Importat iformatio. Add a co-applicat or authorized user to your accout ad you ca take advatage of the followig beefits: RBC Royal Bak Visa Customer Service Cosolidate

More information

I. Why is there a time value to money (TVM)?

I. Why is there a time value to money (TVM)? Itroductio to the Time Value of Moey Lecture Outlie I. Why is there the cocept of time value? II. Sigle cash flows over multiple periods III. Groups of cash flows IV. Warigs o doig time value calculatios

More information

Disability Income Insurance

Disability Income Insurance Disability Icome Isurace Admiistered by The Parters Group ad Member Compay Kerr Cruickshak Member Compay: Negotiated Limited Time Offer INDIVIDUAL DISABILITY COVERAGE PROGRAM HIGHLIGHTS: Discouted, Specialty,

More information

Retirement By the Numbers

Retirement By the Numbers Retiremet By the Numbers Fiacial priorities may vary depedig o your age, but every perso wats a successful retiremet. This workbook ca help you estimate your retiremet eeds ad explai the optios available

More information

Personal Retirement Savings Accounts (PRSAs) A consumer and employers guide to PRSAs

Personal Retirement Savings Accounts (PRSAs) A consumer and employers guide to PRSAs Persoal Retiremet Savigs Accouts (PRSAs) A cosumer ad employers guide to PRSAs www.pesiosauthority.ie The Pesios Authority Verschoyle House 28/30 Lower Mout Street Dubli 2 Tel: (01) 613 1900 Locall: 1890

More information

BCP EQUITY INDEX BONDS

BCP EQUITY INDEX BONDS AVAILABLE TO INVESTMENT PENSION ARF/AMRF INVESTORS BCP EQUITY INDEX BONDS TWO CAPITAL SECURE BONDS THAT PROVIDE ACCESS TO LEADING EUROPEAN AND WORLD EQUITY INDICES Track the performace of the Fivex S&E

More information

Question 2: How is a loan amortized?

Question 2: How is a loan amortized? Questio 2: How is a loa amortized? Decreasig auities may be used i auto or home loas. I these types of loas, some amout of moey is borrowed. Fixed paymets are made to pay off the loa as well as ay accrued

More information

Privacy Guide for Small Businesses: The Basics

Privacy Guide for Small Businesses: The Basics Office of the Privacy Commissioer of Caada PIPEDA Privacy Guide for Small Busiesses: The Basics Privacy is the best policy Hadlig privacy cocers correctly ca help improve your orgaizatio s reputatio. Whe

More information

BCP ABSOLUTE RETURN BOND 16

BCP ABSOLUTE RETURN BOND 16 AVAILABLE TO INVESTMENT PENSION ARF/AMRF INVESTORS BCP ABSOLUTE A CAPITAL SECURE, ACTIVELY MANAGED, ABSOLUTE RETURN BOND THAT AIMS TO ACHIEVE CONSISTENT, POSITIVE RETURNS Uderlyig Fud has a exceptioal

More information

DWS Investment GmbH. DWS Aktien Strategie Deutschland Sales Prospectus including Terms of Contract

DWS Investment GmbH. DWS Aktien Strategie Deutschland Sales Prospectus including Terms of Contract DWS Ivestmet GmbH DWS Aktie Strategie Deutschlad Sales Prospectus icludig Terms of Cotract Jauary 1, 2012 Sales Prospectus ad Terms of Cotract Sales Prospectus Geeral sectio Geeral priciples 1 Maagemet

More information

Present Value Tax Expenditure Estimate of Tax Assistance for Retirement Saving

Present Value Tax Expenditure Estimate of Tax Assistance for Retirement Saving Preset Value Tax Expediture Estimate of Tax Assistace for Retiremet Savig Tax Policy Brach Departmet of Fiace Jue 30, 1998 2 Preset Value Tax Expediture Estimate of Tax Assistace for Retiremet Savig This

More information

Assessment of the Board

Assessment of the Board Audit Committee Istitute Sposored by KPMG Assessmet of the Board Whe usig a facilitator, care eeds to be take if the idividual is i some way coflicted due to the closeess of their relatioship with the

More information

For Educational Purposes Only

For Educational Purposes Only PCSYBL-F For Educatioal Purposes ly The materials preseted i this course represet the opiios ad views of the developers ad/or reviewers. Although these materials may have bee reviewed, the views ad opiios

More information

CREATIVE MARKETING PROJECT 2016

CREATIVE MARKETING PROJECT 2016 CREATIVE MARKETING PROJECT 2016 The Creative Marketig Project is a chapter project that develops i chapter members a aalytical ad creative approach to the marketig process, actively egages chapter members

More information

Individually Managed Account Service APPLICATION FORM

Individually Managed Account Service APPLICATION FORM Idividually Maaged Accout Service APPLICATION FORM July 2015 Applicatio Idividually Maaged Accout Service? How to complete the applicatio form 1. Complete the iformatio required i the Applicatio Form o

More information

Corporation tax trading profits

Corporation tax trading profits 2 Corporatio tax tradig profits this chapter covers... I this chapter we provide a brief review of the Corporatio Tax computatio, ad examie the step by step procedures for compilig the computatio, before

More information

Flood Emergency Response Plan

Flood Emergency Response Plan Flood Emergecy Respose Pla This reprit is made available for iformatioal purposes oly i support of the isurace relatioship betwee FM Global ad its cliets. This iformatio does ot chage or supplemet policy

More information

TO: Users of the ACTEX Review Seminar on DVD for SOA Exam FM/CAS Exam 2

TO: Users of the ACTEX Review Seminar on DVD for SOA Exam FM/CAS Exam 2 TO: Users of the ACTEX Review Semiar o DVD for SOA Exam FM/CAS Exam FROM: Richard L. (Dick) Lodo, FSA Dear Studets, Thak you for purchasig the DVD recordig of the ACTEX Review Semiar for SOA Exam FM (CAS

More information

CDs Bought at a Bank verses CD s Bought from a Brokerage. Floyd Vest

CDs Bought at a Bank verses CD s Bought from a Brokerage. Floyd Vest CDs Bought at a Bak verses CD s Bought from a Brokerage Floyd Vest CDs bought at a bak. CD stads for Certificate of Deposit with the CD origiatig i a FDIC isured bak so that the CD is isured by the Uited

More information

TIAA-CREF WEALTH MANAGEMENT A HIGHLY PERSONALIZED, SOPHISTICATED SERVICE DESIGNED TO MATCH ONE OBJECTIVE: YOURS

TIAA-CREF WEALTH MANAGEMENT A HIGHLY PERSONALIZED, SOPHISTICATED SERVICE DESIGNED TO MATCH ONE OBJECTIVE: YOURS TIAA-CREF WEALTH MANAGEMENT A HIGHLY PERSONALIZED, SOPHISTICATED SERVICE DESIGNED TO MATCH ONE OBJECTIVE: YOURS TIAA-CREF: FINANCIAL SERVICES FOR THE GREATER GOOD. OUR HISTORY We are TIAA-CREF. A full-service

More information

Get advice now. Are you worried about your mortgage? New edition

Get advice now. Are you worried about your mortgage? New edition New editio Jauary 2009 Are you worried about your mortgage? Get advice ow If you are strugglig to pay your mortgage, or you thik it will be difficult to pay more whe your fixed-rate deal eds, act ow to

More information