Astro Findings
If you are at an age in life where you are feeling the demands of retirement and estate planning breathing down your neck, and you still don’t have a plan, it is time to wake up.
As an individual or a couple, if you are 60 years of age or older, one of the safest, most reliable and effective way to reduce estate taxes, leverage wealth for personal and family needs and create opportunities for charitable giving is through the innovative use and management of life insurance assets. Estate Planning
You may have been taught over the years that life insurance is too expensive by the time you reach 60 and the life insurance companies don’t want to insure old people. Nothing is further from the truth. There are numerous life insurance companies that aggressively pursue seniors.
The expense of life insurance as a senior can’t be diminished but there are effective ways to manage this issue. For example some people have assets that are underperforming where funds can be reallocated to purchase life insurance that will cover estate taxes and other family needs and grow cash value faster than the current investment.
Managing life insurance assets doesn’t just include buying insurance. It also includes evaluating existing insurance policies to assess whether you could purchase more insurance with a different policy or whether you should sell the old policy or convert it to something more effective and flexible. Retirement Plans
All of these decisions regarding life insurance assets have a common factor that can’t be overlooked, which is your personal insurability. Does your existing health permit you to qualify for new or additional insurance?
Your personal insurability is a critical component of your estate plan for personal wealth creation. Get with an advisor and determine if you are insurable.
If you are insurable, there are alternative solutions that can be considered even if the insurance you need is cost prohibitive? For example, premium financing is a method of funding the purchase of life insurance for those individuals that have significant assets, but do not want or need to use liquid capital to pay the premium on a life insurance policy.
Based on your qualifications, financing may be procured to finance the premiums of life insurance for at least two years saving thousands of out of pocket costs to you. Premium financing serves as another powerful tool for seniors that do not wish to liquidate personal assets or investments to cover the cost of life insurance premiums but need it for estate taxes or family priorities. Or you may need more life insurance than your current cash resources allow because your assets are tied up in other investments that you don’t wish to liquidate. Senior Retirement
Don’t wait until your health prohibits the use of life insurance as a key part of your estate planning. Get the education you need to fully understand your life insurance options and then take appropriate action to purchase, sell or convert existing insurance to meet the financials goals of you and your family as well as accomplish your charitable objectives.
For more than 20 years, Karl Edmunds has been a noted author within the business and management consulting arena. As a senior, he now engages his curiosity and observations about life to write about key issues of importance to the growing community of seniors (Boomers), and the value of living life to the fullest every single day. Give me your comments and suggests at http://SeniorRetirementTrends.org
Tags: buying insurance, estate planning, legacy planning, Retirement
Posted in Retirement · March 13th, 2010 · Comments (0)