Let Properly Designed Insurance* Protect Your Lifestyle
Properly designed insurance can help protect your lifestyle in tax-efficient and cost-effective ways. But sensible insurance planning involves knowledge of a "science" behind insurance – like risk analysis, carrier due diligence, product selection, policy design, underwriting, knowledge of the tax code, and so on. We can help you navigate through the process and select carriers and products that best fit your specific needs.
Protect Your Family
Whether or not you'll achieve your goals and dreams is predicated largely on one thing: your ability to earn income. If you die too soon or you become too sick to work, your plan will likely go out the window. It's not that hard to understand. No income, no plan. Fortunately, you can shift a lot of these risks to insurance companies. They are in the business to assume such risks and absorb losses for you.
Protect Your Income
How much income will you earn in your lifetime? Probably quite substantial if you add it all up. But what if you become too sick to work? Let's say Job A pays $100,000 a year with no benefits if you become too sick to work. Job B pays $98,000 a year, and pays $60,000 a year in tax-free benefits if you can't work. Wouldn't you choose Job B? That's pretty much how disability insurance works. It pays to protect your income.
Protect Your Estate
Life insurance is a highly tax-efficient and cost-effective tool to provide cash to your heirs to pay estate tax. This is especially true if most of your assets can't be readily converted to cash. If your estate owes tax, and there isn't enough cash to pay the tax, how will your heirs come up with cash to pay the tax? Well, they might end up being forced to sell your (hard-earned) assets at a deep discount. So, if you are rich but cash-poor, you got some planning to do.
*The insurance products we work with are life insurance, disability insurance, long-term care insurance and annuities.
What Properly Designed Insurance Can Do
For High Income Earners
Protect your family from financial ruin if you die too soon
Continue your income if you get injured or become too sick to work
Add a low-volatility, tax-efficient asset class without market risk to your investment portfolio
Save money without being taxed on the growth
Withdraw money without being taxed
Save money without contribution limits, early withdrawal penalties or required minimum distributions
Protect the value of your business so you can sell it at a premium later
"Buy time" if you or your employee dies or become too sick to work
Provide cash for you to buy out your partner if they retire, die or become too sick to work
Attract and keep your key employees with a compensation package that's superior to that offered by your competitors
Carve out a retirement plan just for your executive team
Provide life and/or disability insurance just for your key employees
Leave cash to your heirs so they can pay estate taxes
Equalize inheritance among your heirs
Maximize generational wealth
Provide financial security for your child with special needs
Keep costs of long-term care from needlessly depleting your assets
Get guaranteed lifetime income to plan for longevity
Bypass inherited IRA tax rules for your heirs to stretch out distributions