YOUR PRACTICE AND LEADERS PARTNERS POSITIONING FOR STRATEGIC ADVANTAGE
ASSET LEVERAGE STRATEGIES INTRINSIC STOCK VALUE LOCK IN STRATEGY We all have our favorite stocks which most likely have taken a hit in todays marketplace. Unfortunately for many owners of popular buy and hold stocks, holding during this bear market has been extraordinarily costly. Stock Lock may be a practical alternative for a portion of your current stock portfolio. GUARANTEE PRE-CRASH VALUES OF YOUR PORTFOLIO FOR HEIRS AT A GUARANTEED SHARE PRICE EQUIVALENT LEVERAGE FOR LEGACY PLAN In the past 30 years, Americans have saved an astonishing $8.3 trillion in Defined Contributions Plans and Individual Retirement Accounts. These savings vehicles now account for 39% of US household financial assets. If you re currently being forced to withdraw required minimum distributions (RMD s) and do not want or need the income, consider leveraging this unwanted income with this plan WHO WOULD HAVE THOUGHT YOU HAVE ACTUALLY OVER SAVED FOR RETIREMENT EXPAND YOUR ASSETS A liquid asset conversion technique utilizing life insurance. Convert estate taxable assets life IRA s, Bonds, CD s, etc To non-taxable (and spend the difference!) RE-DEPLOY LAZY ASSETS. FOR INCOME AND LEVERAGE
ASSET LEVERAGE STRATEGIES LEAVE MORE ~AN ANNUITY CONVERSION STRATEGY Although deferred annities can be efficient wealth accumulation vehicles for retirement planning, they can cause both income and estate taxation when transferred at death. One way to avoid double taxation of a deferred annuity you already own is to transfer as much of the annuity value to heirs as possible DEFERRED ANNUITIES GREAT TOOLS TO MAXIMIZE INCOME TAX DEFERRAL (UNTIL DEATH) SUBJECT TO BOTH ESTATE & INCOME TAX AT DEATH PROTECTING THE NEST EGG People approaching or into their retirement years create legacy set asides all the time. These are chunks of cash or investments not formally gifted, but earmarked. The plan is to gift the set aside funds at death, but to reserve access to the funds during lifetime, just in case. What if the set aside asset could grow on a tax deferred basis, and ballon to a larger amount at death on a tax free basis?? LEGACY SET ASIDES ARE OFTEN EARMARKED. FOR CHILDREN, GRANDCHILDREN AND NON-PROFITS SUCH AS UNIVERSITIES AND CHARITIES THE LEVERAGED CREDIT SHELTER TRUST Protect and leverage wealth for generational transfer. Couples create Credit Shelter Trusts, also referred to as Bypass Trusts or B Trusts, to shelter personal exemptions from estate taxes at the death of the first spouse. These sheltered assets again bypass estate taxes at the death of the surviving spouse and pass on to successor generations. Trust assets that are not needed for income can be used to greatly enhance wealth transfer thru the use of life insurance UTILIZING LIFE INSURANCE TO GREATLY ENHANCE WEALTH TRANSFER.
INCOME SOLUTIONS RETIREMENT BOOST The hard work you do every day and the money that you save and invest is aimed at one primary goal protecting your financial future. This means saving for retirement, and protecting those you will leave behind in the event of premature death. A PRIVATE RETIREMENT OPTION UTILIZING LIFE INSURANCE Offers potential tax advantaged retirement income growth, as well as income stream all while also providing you with the full protection life insurance can offer. RETIREMENT INCOME FOR LIFE, GUARANTEED Guaranteed Base Income Rationale Single premiume immediate annuities (SPIA s) are traditional retirement income products usually purchased as IRA rollovers from qualified funds. In a challenging economic environment or investment climate, the notion of an absolutely guaranteed base of income, coming in every month like social security, is appealing at every level. IMPLEMENT A RETIREMENT SAFETY NET UTILIZING A SINGLE PREMIUM IMMEDIATE ANNUITY MOM ANNUITIES Mom Annuities are the annuities you would sell your mother in this environment. Multiple Option Maturity means the annuity owner has only one moving part to consider renewing or exchanging at the maturity date of the rate guarantee. FORGET ALL THE MOVING PARTS PUT YOUR MOM IN A SIMPLE, STRAIGHTFORWARD ANNUITY WITH A SOLID MULTIPLE-YEAR RATE GUARANTEE.
LEGACY TRANSFER SOLUTIONS GRANDPARENT OWNED LIFE INSURANCE (GOLI) Grandparents can make very sizable gifts of cash using life insurance. Relatively small premiums can translate into large amounts of life insurance, and earmarking the insurance for grandchildren can provide impressive gifts. These gifts from grandparents can jump start grandchildren s education, first homes, and families, and create a remarkable legacy AN IMPRESSIVE GIFT FOR GRANDCHILDREN WITH A CHANGE OF MIND BAIL OUT (A GIFT WITH STRINGS) THE GIVING MACHINE Many affluent clients express a desire to provide for their loved ones after I m gone. Savvy estate planners have long known that one of the best ways to provide for loved ones is by planning now. Lifetime giving allows the doner to have greater privacy and probate avoidance, and will most likely greatly increase the net amount passed to the heirs. Give more by gifting now EXPLORE THE POWER OF LIFETIME GIFTING UTILIZING LIFE INSURANCE TO MAXIMIZE LEGACY A NON-CORRELATED ASSET CLASS Why diversify? A little of this, a little of that we all know that some investments rise as others fall, and that returns ebb and flow. Diversification of asset classes prevents over exposure to a financial melt-down in a certain class. Bonds may be spared in a stock market collapse, real estate or even cash may be investment safe havens. Only one asset class is perfectly non-correlated to everything else completely independent of all financial influences. A FULLY GUARANTEED CLASS OF ASSETS NO DIVERSIFIED PORTFOLIO SHOULD BE WITHOUT.
LINKED BENEFIT STRATEGIES RISK MANAGEMENT: CASH VALUE REPOSITIONING FOR POLICY UPGRADE New plug-on plans of insurance are now available. Coverage for Long Term Care can now be plugged onto a life insurance policy. This more efficient use of your insurance premiums will cover claims for long term care, or death, or both. POLICY UPGRADE: MORE EFFICIENT RISK MANAGEMENT TRANSFERRING SINGLE-USE INSURANCE BY REPOSITIONING CASH VALUES IRA BREAK IRA DISQUALIFICATION STRATEGY Disqualifying an Individual Retirement Account or an IRA Rollover account is anathema to some financial advisors. IRA s grow tax free until used for retirement income why pay the taxes now? Two reasons some efficient vehicles for leverage cannot accept IRA funds; and tax rates may be higher later. POLICY UPGRADE: MORE EFFICIENT RISK MANAGEMENT TRANSFERRING SINGLE-USE INSURANCE BY REPOSITIONING CASH VALUES BONUS PLANS FOR KEY EXECUTIVES WITH CASH + BENEFITS CHOICES Corporate employers compensate key executives with salary packages that routinely include bonuses. Annual lump sums are nice, but what if they came with benefits included? Key employees like choices, and cash plus benefits represent incredibly efficient utility of employer-paid bonuses. CASH + BENEFITS CHOICES BONUS PLAN FOR KEY EXECUTIVES
ADDITIONAL PLANNING STRATEGIES EXECUTIVE BONUS TERM + CASH Employers can bonus money and other cash equivalents to employees. One such cash equivalent is inexpensive term life insurance. The employee names the beneficiary and the employer pays (and deducts) the premium. If the employee dies, the beneficiary receives the insurance tax free. What if the employee doesn t die? The Term Life + Cash plan pays tax free cash to the employee at the end of the term period. LIFE INSURANCE IF YOU DIE TAX-FREE CASH IF YOU DON T LOAN RESCUE PROGRAM When you take a loan from your life insurance policy, it s important to understand the consequences. If you don t repay the loan or at least repay the interst on the loan, it will most likely have adverse effects and negative tax consequenses. LIFE INSURANCE LIVING BENEFITS ARE ONLY BENEFICIAL UNTIL THE OUTSTANDING LOAN CAUSES THE POLICY TO LAPSE. AVOID THE TAX BILL, STOP DEATH BENEFIT DETERIORATION, RESTORE YOUR COVERAGE LONGER LEVEL TERM LIFE Rationale ~ Level term remains one of the most versatile solutions for lowest cost life insurance. Term life has been on a downward pricing spiral for over twenty years and today s rates are the lowest they ve ever been. The current economic environment suggests coverage be extended. Now is an excellent time to look at a longer level term period. LEVEL TERM LIFE FOR TEMPORARY GAP COVERAGE, FOR IMMEDIATE NEEDS, AND NOW AVAILABLE AT OLDER AGES