Life Insurance

It is our belief that the single best place to ‘save’ retirement dollars is in a permanent life insurance contract

I know this is an interesting statement and you may be wondering how I can make it. You may find the voice of some previous financial advisor or book or talk show host whispering in your ear, that can’t be true. Why do I know this? For two reasons; First, I had that type of reaction myself; and secondly, so do many of the people I visit with. But life insurance is NOT like your grandfathers life insurance. Funded properly it can and will be the safest way to save for retirement.

A discussion about life insurance could go on and on forever. How much you should have and the types of policies you own are major considerations. Typically, any conversation about life insurance is a conversation of avoidance. It is not fun to talk about. But, let’s talk about the transfers in your life if you do NOT have life insurance. Your family’s home, the lifestyle of your family has become accustomed to, the children’s education – all of these may be in jeopardy in the event of your death, or if you become disabled and can’t continue to save for retirement.

Most people are more concerned about having a retirement account versus having adequate life insurance. The tragedy is that few Americans realize that permanent life insurance can be a protection plan, a savings plan, and a viable methodology to provide additional tax-free retirement income, but it must be funded properly.

Retirement plans such as 401(k)’s and IRA’s have never been able to perform multiple economic jobs simultaneously like life insurance. They, and you, seem only to be interested in growth and while this is good do they protect (guarantee) your retirement income? They will be at risk and taxed, which could cause you grief in your retirement years. If you could protect your current income and your retirement income without spending one more dime than you are spending today, is that something you want to talk about?

We spend our entire lives insuring others will get paid in the event something happens to us. We have mortgage insurance, car insurance, health insurance, etc., to insure that others get paid. Do you have these because you have to, or because you want to protect these assets? What about insuring your income so that your family will get paid? The policies you should be considering must have no cost riders that allow you to use the death benefit while you are alive to cover ‘living’ expenses should something happen and you need cash to get through an emergency. If you have to use what you have saved, your life can become a ‘living death’.

We believe that life insurance and annuities are the most misunderstood financial products on the market today. If you want guarantees then insurance is a must. The insurance industry has done a very poor job of communicating to the public just how good these insurance policies are at growing wealth without risk and avoiding future taxation. They are not just about dying. Many people go on tilt when they listen long enough to understand life insurance. They often have a big misconception of how valuable this vehicle can be in their financial lives. With permanent cash value life insurance they think it is too expensive and a lousy investment. In almost every situation all premiums paid are eventually recouped, either during your life as tax-free income, used for long-term care or by your beneficiaries tax-free death benefit. It means there really is NO COST only the necessary cash flow to fund it. You need to understand that whether you live, die, or need long term care, those values are there. We of course, help you make sure it is structured correctly.

As a matter of fact, even though it’s not in the ‘investment’ category, when you compare the entire value of other investments, properly structured permanent life insurance could be the stalwart for your financial security. Maga Financial Associates job is to help educate you so that you understand how to do this.

 

Insurance Guarantee Association

This guarantee for insurance funds is similar, but better, than the FDIC guarantee.

Ill Guaranty Funds Info PDF

Tax-Free Retirement

Tax-Free Income via IUL 3-13 PDF

Whole Life Insurance Tutorial 3-13 PDF

Money Matrix PDF 11-10 PDF

Insurance Strategies PDF

New Life for Life Insurance PDF

Retirement Challenges – Longevity Risk PDF

Retirement Challenges – Volatility Risk PDF

Retirement Challenges-Seq Returns Risk PDF

Index Performance the last 25 years – shows the power of ZERO

Index Performance 10-12 PDF

Not Losing is Winning PDF

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