Using Life Insurance To Minimize Your Tax Burden

By Keith Hazelbaker, CFP®

Life insurance can play an important role in estate planning.  Purchasing life insurance with a single premium can help ensure the greatest amount of your estate passes to your intended heirs and not Uncle Sam, more so than if the funds were alternatively placed in an annuity, CD or money market account.
 
If you meet any of the following criteria, you may want to schedule a no obligation review of your life insurance needs – a free service North American Life Plans provides to TRTA members.

1. Do you have money you hope to pass on to loved ones?
2. Do you have a deferred annuity from which you do not plan to take withdrawals or annuitize?
3. Do you have money in various savings vehicles (CD’s, annuities, money market accounts) that is not needed for income?
4. Do you own a life insurance policy that is not performing as expected?

In addition, if you have an annuity, CD or money market account, ask yourself the following questions:

1. Is my money safe -- with GUARANTEES?
2. Can I avoid the probate process?
3. Are my interest earnings tax-deferred?
4. Does my current savings vehicle have a guaranteed death benefit?
5. Does my current savings vehicle provide benefits if I am confined in a nursing home or become terminally ill?
6. And most importantly, does it have an INCOME TAX-FREE death benefit?

If you answered NO to any of these questions, call me today at 888-362-1214 to schedule a free, no obligation review of your life insurance needs. Even if you’ve had some health issues and think you won’t qualify we can probably still help you.
 
North American Life Plans is proud to be endorsed by the Tennessee Retired Teachers Association, and I look forward to helping you take advantage of this important member benefit. 

If we find you should be utilizing a life insurance policy to minimize your tax burden, I’ll shop all the major carriers to get you the right plan for your individual needs! Call me today at 888-362-1214.