There are many reasons to buy life insurance but many people do not understand the living benefits of life insurance. Life insurance is not merely used as a death benefit to take care of your responsibilities after you're gone, but also can be used as a tax-free retirement strategy in your later years.
Benefit #1- Tax-Free Retirement Strategy
Instead of putting money into your 401K or IRA account every month, start putting into your own bank that is your insurance policy. You see, your account value will build up and you do not have to wait until your 59 ½ to use your money for retirement.
Currently you are saving money that you will use in retirement. The problem is that when you start pulling the money out, it is taxed. Money taken out of your indexed universal life insurance policy (IUL) is not taxed. It is considered a policy loan and there is the loophole.
Benefit #2- No Losses or Management Fees
On average during any 10 years there will be at least 3 years that the market will be down. The losses will eat into your account balance in addition to the fees associated with your 401k, Ira, and mutual funds.
With an Indexed Life Policy, your cash value will never be subject to market losses ever again. These policies included a yearly minimum guarantee as well as a S&P 500 cap of 10% or better. You are guaranteed always to make money without any of the downside effects. You do not only keep your principal but you keep any previous years gains as well.
Your policy will not be subject to ongoing management fees. Those fees are associated with risky investments and this is a regulated fixed insurance product. Thus, more of your money is going toward making you money instead of making someone else rich.
Benefit #3- Tax-Free Growth
As mentioned early, your policy will make you money and as the money grows you are not taxed on the gains. Similar to your 401K or Ira accounts. As more of your money is going toward making money and not going toward paying for taxes, your money or cash value will explode.
Combine tax- free growth, no losses, and tax-free retirement and you have one heck of a savings program. The problem has been that Americans have been brain washed into thinking that the only way they can currently save for retirement is through risky vehicles such as 401K's, IRA's, Mutual Funds, and stocks, which is simply not true. Life insurance especially Indexed Life Insurance could be your gateway to greater savings capabilities as well as a peace of mind.
Make sure you consult with a qualified life insurance broker to see if this approach will work best for you and your timeline.
Benefit #1- Tax-Free Retirement Strategy
Instead of putting money into your 401K or IRA account every month, start putting into your own bank that is your insurance policy. You see, your account value will build up and you do not have to wait until your 59 ½ to use your money for retirement.
Currently you are saving money that you will use in retirement. The problem is that when you start pulling the money out, it is taxed. Money taken out of your indexed universal life insurance policy (IUL) is not taxed. It is considered a policy loan and there is the loophole.
Benefit #2- No Losses or Management Fees
On average during any 10 years there will be at least 3 years that the market will be down. The losses will eat into your account balance in addition to the fees associated with your 401k, Ira, and mutual funds.
With an Indexed Life Policy, your cash value will never be subject to market losses ever again. These policies included a yearly minimum guarantee as well as a S&P 500 cap of 10% or better. You are guaranteed always to make money without any of the downside effects. You do not only keep your principal but you keep any previous years gains as well.
Your policy will not be subject to ongoing management fees. Those fees are associated with risky investments and this is a regulated fixed insurance product. Thus, more of your money is going toward making you money instead of making someone else rich.
Benefit #3- Tax-Free Growth
As mentioned early, your policy will make you money and as the money grows you are not taxed on the gains. Similar to your 401K or Ira accounts. As more of your money is going toward making money and not going toward paying for taxes, your money or cash value will explode.
Combine tax- free growth, no losses, and tax-free retirement and you have one heck of a savings program. The problem has been that Americans have been brain washed into thinking that the only way they can currently save for retirement is through risky vehicles such as 401K's, IRA's, Mutual Funds, and stocks, which is simply not true. Life insurance especially Indexed Life Insurance could be your gateway to greater savings capabilities as well as a peace of mind.
Make sure you consult with a qualified life insurance broker to see if this approach will work best for you and your timeline.