The Most Common Questions Are:
Why Should I Increase My Retirement Savings in a Bear Market?
A slow market or a bear market may make you shy away from investing in stocks or saving for retirement, but it is important that you continue to save and invest even during difficult economic times.
I Have Reached My Employer Match - Now What Do I Do?
It is important to take advantage of your employer's match, but are there other options you should consider after you have reached that match? You may want to learn how to grow your retirement savings tax-free while making the most of your savings options with an Indexed Universal Life policy.
How much money do I need to retire?
The amount of money needed for retirement will be different for everybody. While some people will want to travel and spoil their grand kids, others will not. The best rule of thumb is to add up expected retirement income – social security, pensions, distributions from individual retirement accounts, investments, etc. – and subtract all expected retirement expenses – housing, utilities, taxes, insurance, food, clothes, etc. – to see how much of this will be needed after retirement. The final answer, of course, will be based on anticipated life expectancy. Contact us for a free financial needs analysis
Is a Fixed Annuity Right for Me?
Once we've done a financial needs analysis, if your assessment produced more than one affirmative answer then you may be a candidate for a fixed annuity and it would be worth exploring the different types that are available. Fixed annuities are complex instruments and they include many features that need to be fully understood. And, because they are a long term commitment, it is important to go into a fixed annuity with eyes wide open. If it is determined that a fixed annuity is right for you, they will be one of the best decisions you can make.
How can I accumulate cash value in my IUL policy?
An IUL gives you the opportunity to grow your policy value through excess index interest (earnings above the guaranteed minimum rate) that may be credited to your policy based partly on changes in major stock indexes such as the: S&P 500® Index, EURO STOXX 50® INDEX, and the Hang Seng Index. Your life insurance carrier will show you what stock index they follow. We’d love to talk you through the different account options and help you see if this policy is a good fit for you.
What's a "guaranteed" floor?
Index changes can be positive or negative. However, with an IUL, you have the security of knowing you will never be credited less than the guaranteed minimum interest rate, or "floor." The floor can protect your cash value and helps ensure that segments with a positive value will be credited with interest.
Are there tax advantages associated with an IUL?
Federal income tax-free death benefit
Many people don’t realize there can be tax consequences when it comes to inheriting certain assets. Thankfully, IUL provides a federal income tax-free death benefit to help protect your family.
Any cash value in your policy accumulates interest on a tax-deferred basis. That means higher policy value accumulation potential for you.
Transfers among accounts inside a policy are on a tax-free basis. Tax-free transfers help protect your earnings from the effects of current taxes.
Tax-free withdrawals and loans
You’ll enjoy easy access to your policy value. When the policy value is sufficient, you may request withdrawals or loans to use for any purpose you wish.
Keep in mind that the tax advantages only apply as long as the policy remains in force. Allowing the policy to lapse could result in adverse tax consequences.
What's a "No Lapse Guarantee"?
Payment of the minimum monthly no-lapse premium ensures that the policy will remain in force during the no-lapse guarantee period. However, by paying only the minimum monthly premium, you may be forgoing the opportunity to build up additional policy value.
Please note, after the no-lapse period or if the cumulative minimum monthly no-lapse premium requirements are not met, then fluctuations in interest rates and/or policy charges may require the payment of additional premiums to keep the policy in force. Guarantees are based on the claims-paying ability of the company.
If you take a cash withdrawal or a loan, if you increase your face amount, if you change the death benefit option, or if you add or increase the amount of a rider, you may need to pay additional premiums in order to keep the No-Lapse Guarantee in effect. If the requirements of the No-Lapse Guarantee are not met and the cash surrender value is not enough to meet the monthly deductions and index account monthly charges, a grace period will begin and the policy will lapse at the end of the grace period unless sufficient payment is made. Allowing the policy to lapse may result in adverse tax consequences.