Long Term Savings

Long Term Savings 8% - 15% over 15 - 30 yrs

Roth IRA Govt Plan Tax Adv Life Ins Stock/MF/RE 401k/ IRA Qual Plan
After tax $ After tax $ After tax $ pre tax $
Tax Def Growth Tax Def Growth Taxable Growth Tax Def Growth
Tax Free ? Will be Tax Free Taxable Taxable
Restrictions No Restrictions No Restrictions Restrictions
Limits $5,500 No Limits - min No Limits Limits $17,500 or 19%
EWP 59 10% + tax Liquid after 1st yr Liquid EWP 59 10% + tax
EDP 70 15% + tax Death Benefit ---------- EDP 70 15% + tax
Probate/ Estate Tax ------------- Probate/Estate Tax Probate/ Estate Tax
MD 70 to 84, 50% + tax.
43 penalties w/ qual plans
Tax Adv vs. 401(k)
Tax Advantage
$1,000,000
10%
$100,000
tax free for life
vs. 401(k)
$1,000,000
10% 15%
$100,000 $150,000
-33% -33%
$67,000 $100,500
Tax Adv vs. 401(k)
IUL
100% Tax Free
income
Heirs get it tax free
Use it to live
401(k)
Pay taxes on income
every year
Outlive income???
$500 @ 12% x 30yrs = $1,747,000
- $576,510 in lump sum in taxes leaving total of
$1,170,490 after taxes
or
$57,651 in annual taxes x 30 yrs $1,729,530
$400 @ 12% x 30 yrs = $1,397,000 tax free
IUL
1. Get better returns than a bank/insurance company
2. Guarantee of principal
3. No penalties (EWP, EDP, MD)
4. 100% tax free distributions
5. Avoids probate
6. Flexibility of premiums
7. Diversification in S&P 500 and Gold Index. (soon R.E. and Oil)
8. Qualify
Why IUL?
$200 Cash Value Accumulation
Cost of Insurance (determined by health and age)
-Pay for an inch of insurance to get a yard of tax free
investment
-We want to bury the cost of insurance to maximize your
cash value accumulation.