Assumptions: 70 year old male, has $250,000 in a CD at the bank. The interest is 3% meaning $7500 of taxable income is accessible without eating into the principle.
Strategy: take the $250k setting up an Income Contract which will provide $23k of lifetime income (based on May 2010 rates). For $7500,a Life Insurance policy for $250k is purchased* leaving $15,500 of additional income. The taxable income is based on $7590, not $23k.
Results: Income is increased to $15,500 annually v. $7,500. The taxable income is very close to the same as from the CD. The $250k legacy is intact.
Conclusion: Strategies such as these discussed above are available to anyone over the age of 60. The ending results will vary depending on lump sum, underwriting* for the life insurance and the tax rate you have. However, when during this time of looking to survive without "throwing the baby out with the bath water", this strategy may be a great solution for you and your family.
If you would like a free analysis to look at your numbers and what strategies may be best, please do not hesitate to call or visit up at our office. Please visit our contact page on the website to email us and for our local address in Wheat Ridge.
www.denverwestip.info
Thank you for your time. Matt Benore 303-425-4466 * 888-425-4466
When did you last review your agreement with your partners/co-owners?
What valuation method (or formula) does your agreement call for?
Are you comfortable that the agreement properly rewards all your hard work?
How does your agreement handle divorce or bankruptcy?
Those WITHOUT A Buy-Sell
Why don't you have one?
Are you comfortable that all your hard work may not be rewarded without an actual agreement if something happens to you?
Does your spouse understand that no definitive, legally binding arrangement regarding your business is in place?
Call to Action
When you answered these questions, were you confident in feeling you have your best interests in place? If you have any doubt, you have 3 options to consider:
1. ignore this all together,
2. go back to the agent and/or lawyer who put this together and review it,
3. find an agent and lawyer who can properly execute this agreement.
You need to know that of all the Buy-Sell Agreements out there, less than half are funded properly. In otherwords, upon death of your business partner, where is the money going to come from to buy back their interest in the company?
Call us today if you have any questions or visit our website to see an example of what happens to your balance sheet both with and without proper funding.
Buy-Sell "what if"
888-425-4466 ext 225 Matt Benore
Purchasing life insurance is an ideal way to help you provide a lasting legacy to your family or favorite charity. However, the idea of liquidating hardworking investments in order to pay the premiums of a life insurance policy is never an appealing one. The good news is that there is a way to get the quality Transamerica life insurance you need by leveraging into a loan and keeping your assets hard at work for you. It's known as premium financing, and Transamerica has the expertise to help you find just the right provider to allow you to take full advantage of it.
To read the entire article click here!
This is a common problem we hear often, after your taxes have been prepared by your CPA, Accountant, or even perhaps yourself.
After the client left, I met with the CPA to talk about what happened. After a brief conversation, I told him that the key here is to be proactive. That's right, PROACTIVE. You cannot address a tax problem when the taxes come due. Unfortunately, many people, including your professional CPA & Accountants are not proactive but rather re-active. Year after year, it is the same thing.
After several conversations regarding different strategies on how this CPA could have worked with this client avoiding this tax bill, I convinced the CPA to arrange a meeting to start planning for tax year 2010. A PROACTIVE approach to meeting the clients needs.
Just from what the CPA told us, without an in depth analysis (which is happening later this month), we could have cut that tax bill in half. If this was you, which would you rather pay: $170k or $85k?
If you have to pay taxes this year, have you considered your options on how to reduce that tax bill? Did you even know that was possible? If you have said maybe or NO, then you owe it to yourself to talk to a professional about the options you have. Did you know that over half of the CPA's available to you do not know of these options?
If you would like a no cost analysis, do not hesitate to contact DenverWest Insurance today. We already have to pay "Uncle Sam" enough. Keep what you have worked so hard to earn.
Matt Benore - 303-425-4466 * 888-425-4466 ext 225
info@denverwestip.info
Are you aware that our President of the US stated that Americans should look at having Annuities as part of your retirement portfolio? He said this because we have all heard about the status of our Social Security Benefits - going Bust within the next decade.
Well, regardless of how you feel about our current administration, the fact remains that millions of retired Americans will " outlive" their retirement income.
Here you go: Social Security is paying out more money, benefits, than they are bringing in. With over 75 million American retiring, the Baby Boomers, over the next 10 years, it is only going to get worse for our Social Security Administration. Retiring & retired Americans need to act NOW so they do not have to face one of the greatest fears, "having to depend on their children to take care of them because there is no more money".
NOW is the time to look at your situation. Whether you are in your mid thirties, with a young family, or perhaps just single to you that is retired, YOUneed to ask that question, "Am Igoing to outlive my retirement income?"
DenverWest Insurance Professionals has brokers around the country who can help review your situation and make recommendations to ensure you will have enough income.......FOR LIFE.
If you have someone you already work with, call them, set up a meeting, and start the conversation. For a second opinion or an initial consultation, do not hesitate to call us today....
888-425-4466 ext. 225 Ask for Matt
http://denverwestip.info/Retirement.aspx
http://denverwestip.info/EstatePlanning.aspx
If you have any questions or would like to talk to an adviser/broker, please do not hesitate to contact us at: 303-425-4466/888-425-4466 ext. 225 or mattb@denverwestip.info
As many of you know, I own DenverWest Insurance Professionals, Inc. We work closely with many large life insurance providers, insurance companies like ING. ING just finshed an education link for you, the public to use.
Iwould love to get your thoughts. Do you find this useful. Click HERE for the direct link. If this does not work for you, on our Website, home page, the button is available as well: www.denverwestip.info
Thank you for a successful year. We are looking forward to working with you in the coming year, 2010!
Matt Benore, President
DenverWest Insurance Professionals, Inc.
THIS IS PRETTY BASIC ADVICE; BUT, IN TODAY'S TIMES, I CAN SEE IT COULD LEAVE AN OPEN DOOR FOR PASSING OUT YOUR PRIVATE INFORMATION. WARNING: 2010 Census Cautions from the Better Business Bureau Be Cautious About Giving Info to Census Workers by Susan Johnson With the U.S. Census process beginning, the Better Business Bureau (BBB) advises people to be cooperative, but cautious, so as not to become a victim of fraud or identity theft. The first phase of the 2010 U.S. Census is under way as workers have begun verifying the addresses of households across the country. Eventually, more than 140,000 U.S. Census workers will count every person in the United States and will gather information about every person living at each address including name, age, gender, race, and other relevant data. The big question is - how do you tell the difference between a U.S. Census worker and a con artist? BBB offers the following advice: If a U.S. Census worker knocks on your door, they will have a badge, a handheld device, a Census Bureau canvas bag, and a confidentiality notice. Ask to see their identification and their badge before answering their questions. However, you should never invite anyone you don't know into your home. Census workers are currently only knocking on doors to verify address information. Do not give your Social Security number, credit card or banking information to anyone, even if they claim they need it for the U.S. Census. REMEMBER, NO MATTER WHAT THEY ASK, YOU REALLY ONLY NEED TO TELL THEM HOW MANY PEOPLE LIVE AT YOUR ADDRESS. While the Census Bureau might ask for basic financial information, such as a salary range, YOU DON'T HAVE TO ANSWER ANYTHING AT ALL ABOUT YOUR FINANCIAL SITUATION. The Census Bureau will not ask for Social Security, bank account, or credit card numbers, nor will employees solicit donations. Any one asking for that information is NOT with the Census Bureau. AND REMEMBER, THE CENSUS BUREAU HAS DECIDED NOT TO WORK WITH ACORN ON GATHERING THIS INFORMATION. No Acorn worker should approach you saying he/she is with the Census Bureau. Eventually, Census workers may contact you by telephone, mail, or in person at home. However, the Census Bureau will not contact you by Email, so be on the lookout for Email scams impersonating the Census. Never click on a link or open any attachments in an Email that are supposedly from the U.S. Census Bureau. For more advice on avoiding identity theft and fraud, visit www.bbb.org
Matt Benore - DenverWest Insurnace Professionals, Inc.
303-425-4466