Do you have clients with qualified money or annuities they no longer need for retirement income? Do they plan to leave those assets to their beneficiaries? Jeff, from Thrive Financial Services, recently met with clients who were in this exact circumstance. He took the time to show them how they could leverage life insurance to help increase the amount they would pass on to their beneficiaries.

During an annual review, Jeff discovered his clients had a $600,000 nonqualified annuity they didn’t need for income purposes. The annuity is fixed with a guaranteed 5% interest rate. After discussing the plan for these funds, the clients shared that this asset is earmarked for their beneficiaries. Jeff proposed they spend the “interest” every year and use those funds to purchase an $800,000 life insurance policy. This will enhance the funds for their beneficiaries income-tax-free. Now, not only do they have more money to leave behind to the next generation, but just as important, these funds can offset the income tax that will be created due to the highly appreciated annuity and any other taxes that may be triggered when they pass away.

Do you have clients who may benefit from this solution? CLICK HERE to access all our Legacy Optimizer resources, including seminar slides, supplemental client presentation, prospecting letter and a one-page guide to provide further clarity during appointments.

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