Archive for the ‘Life’ Category

Einstein & the Power of Compounding Interest: All You “NEW RICH” Listen Up!

Thursday, October 7th, 2010

There’s a new class of investors and savers in their 20′s & 30′s know as the “New Rich”.  (If you’re not one of them you can be.)  If you are one of those making millions in internet marketing, real estate investing etc, then you need to pay attention. Real wealth is made – or better- saved over time and you’re about to see just how “friendly” time can be for your investments.

Let’s start with this:  THE EARLIER YOU START SAVING THE MORE YOU’LL HAVE LATER! I’m sure you’re calling me “Captain Obvious” right now but you really need to understand the power of compounding and just how much more you can have by starting early. Here’s an example:

Let’s say you’re 25 and begin saving putting $200 a month in a tax-deferred retirement plan earning 9%. Your friend starts investing in the same plan at 45, but puts away TWICE as much money as you — $400 a month.

At age 65, you will both have invested a total of $96,000, but YOUR investment would have grown to $884,000, while your friend’s investment would be worth only $268,000. The reason your investment has grown so much more than your friend’s — even though you both invested the same amount of money — is because of 20 extra years of compounding. That’s why Einstein called it the 8th wonder of the world!

It’s also called triple compounding in a deferred account; you earn interest on your principal, interest on the interest & interest on the money you would have sent away in the form of a tax.

An even better way to do this is in an overfunded life insurance policy where you grow it tax free, it comes out as tax free retirement income and goes to you heirs tax free as a death benefit.

If you’d like to learn more about these “out of the box” strategies, just click the “FREE CONSULTATION” button.

Save Savings
Roger

PS – If you found this information useful, PLEASE, hit the like button & leave a comment.

PPS – Tell a friend about this…you don’t want to keep all the wealth to yourself do you?

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    The Perfect 401k Employee Benefit Retirement Plan for Small Business That WON’T COST YOU A DIME!

    Saturday, September 18th, 2010

    One of the problem business owners have – especially the small business owner – is how to set up their retirement plan without having to provide it for the whole world! If you try to set up a 401k or other Federal plan you have to include your employees. Now as a small business owner myself, I want to look out for my employees I GAVE THEM A JOB! But when I think about the extra cost of setting them up with a 401k it’s out of the question; especially in these turbulent financial times. I have the perfect 401k alternative solution! But more about that later; first lets look at the problem.

    THE PROBLEM!

    When the Feds came up with brilliant idea to allow 401ks, they also included certain negative features that, in my opinion, are not good for you OR your employees.

    * First of course, if you do it for yourself, you have to offer it to employees.
    * Second there are limits on how much you can save per year.
    * RISK! The biggest problem I see is that what you can save is at risk of loss, as in most cases your money is IN the market.
    * No access to funds till 59 1/2 without a 10% penalty and of course pay the tax.
    * It’s tax deferred but that only postpones the tax AND the tax calculation to a later time when most agree taxes will be higher.
    * Related to this is the fact not only can’t you touch the money till your 59 1/2 you HAVE TO TAKE THE MONEY OUT as a Required Minimum Distribution at 70 1/2. Why? Obviously because the Feds want the tax. (Do you think they came up with the new Roth conversion out of the goodness of their hearts? They wanted to accelerate the payment of the taxes on IRA’s – to do the conversion to TAX FREE you first have to pay the tax on every dollar.)
    * Taxable to your heirs. In most cases your heirs will be forced to take a lump sum distribution costing them 50-80% in taxes depending on your estate tax situation. Wouldn’t you like your heirs to get more the 20% of what’s left?

    SO WHAT’S THE BIGGEST PROBLEM HERE? T-A-X-E-S! So lets look at the tax issue.

    Did you know that average tax percentage since the inception of taxation is around 65%? We’re currently at one of the lowest times in history a good time to pay the tax on the seed rather than the harvest. Did you know the highest tax bracket ever was in 1945 at 94% for those making over $200,000? At that time the deficit was ONLY $2 trillion. Now the deficit is over $13 trillion and still climbing.

    With the Federal debt growing, what does the government need more than anything? MONEY! So let me ask you, “DO YOU THINK TAXES WILL BE GOING UP OR DOWN in the future?” If taxes do go up, you’ll pay tax not only on the contribution but also on the gain and, if your an employee, on the match. So again I say it’s a good time to pay the tax and move to a product that will be TAX FREE moving forward.

    One other thing most don’t plan for is that they might just have a HIGHER income when they retire. How’s that you ask? Well in working with many seniors I’ve found that yes when they first retire their pension, Soc. Sec combined is usually lower than whet they made when working BUT when they hit 70 1/2 and have to start taking minimum distribution, their income goes up and in most case I’ve seen their income is now higher than their working years and they find themselves in a higher tax bracket AND YOU CAN’T DO ANYTHING ABOUT IT!!

    THE SOLUTION!

    Before I tell you the name of the product let me tell you the benefits… you know… build the suspense. (NO PEEKING!)

    * GUARANTEED NO LOSS (unlike market risk products)
    * Tax Deferred grow (no 1099)
    * TAX FREE INCOME at retirement
    * TAX FREE to your heirs
    * Competitive internal rates of return
    * Creditor proof
    * Available as collateral
    * LIQUIDITY, USE AND CONTROL (no age limitations, access cash at any time)
    * Living benefits for Disability, long term care, terminal illness

    So what is this miracle financial savior?

    AN OVER FUNDED INDEXED UNIVERSAL LIFE INSURANCE POLICY!

    SAY WHAAAAT! You read it right. A properly structured life insurance policy can do ALL this.

    (PLEASE – PLEASE – PLEASE don’t discount the power of this plan out of hand. There are a lot of naysayers out there. Most don’t sell this type of program and therefore know NOTHING about how it actually works. Many seasoned Life Agents don’t know how to set this up properly. Call with questions before you just dismiss it out of hand.)

    Life Insurance was designed for LIFE BENEFITS not just death benefit. True, Life Insurance is designed to replace your income if you die so your family can continue on but it can accomplish sooo much more as you can see.

    This is perfect for the small business man because you DON’T have to provide it to your employees. Since I know you have a big heart and would want to help them, the good news is all you have to do is offer them the same opportunity I’m offering you and they can save for retirement just like you but YOU don’t have to pay for it.

    I know this is a new concept for you and there’s a lot more detail I can share with you but we’ll save that for a retirement income analysis when we meet face to face. Just contact me to find out how this might fit into your retirement plan.

    Safe Savings,
    Roger

    PS: For more info just request a Free Consultation & Retirement Income analysis

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    BIG Anniversary TODAY! Will history repeat itself?

    Saturday, September 4th, 2010

    Winston Churchill said it, ” Those who fail to learn from the past are doomed to repeat it!”  Today I want to solemnly remember the Crash of 1929.  You see it was on this day some eight decades ago that the market hit an all time high only to find it about 2 months later falling 40%.  Once you read this you’ll see that market conditions TODAY are mirroring past conditions that lead to some of the worst market collapses in history.  I BEG YOU… please read this and learn the lessons.  This is NOT a time to be taking this “DRAGON” lightly.

    Since we need to learn from the past, I wanted to share some of the history from past collapses.  (Excerpts from “Market Volume”.)

    The Crash of 1929

    On September 4, 1929, the stock market hit an all-time high.  On October 29, 1929, the stock market dropped 11.5%, bringing the Dow 39.6% off its high.

    After the crash, the stock market mounted a slow comeback. By the summer of 1930, the market was up 30% from the crash low. But by July 1932, the stock market hit a low that made the 1929 crash look like a picnic. By the summer of 1932, the Dow had lost almost 89% of its value and traded more than 50% below the low it had reached on October 29, 1929. following is a look at the days following the initial panic!

    October 24, 1929 – Black Thursday

    The stock market really crashed over a period of five days. The first sign of trouble was on Black Thursday – October 24th, 1929. At that time, the stock exchange typically traded around 4 million shares each trading day. But on Black Thursday, a record 12.9 million shares were exchanged.

    The systems for tracking the market prices could not keep up with the trading volume and that may have contributed to panic selling on that day. At one point, ticker tapes were running nearly 90 minutes behind the market. By the end of the day, the market had fallen 33 points or around 9%.

    October 28, 1929 – Black Monday

    Following Black Thursday, the market bounced back a bit on Friday. This lead to a sense of security over the weekend as investors felt the market could rebound. However, market conditions quickly deteriorated again on Black Monday – October 28th, 1929 – and high trading volumes once again put pressure on the flow of information.

    On Black Monday, trading volumes were near 9.25 million shares and market confidence declined sharply. By the end of the day, the market was down another 13%.

    October 29, 1929 – Black Tuesday

    Black Tuesday – October 29th, 1929 – is that day that most historians agree dealt the final blow to the Roaring 20s and was the starting point of the Great Depression. On Black Tuesday, a record 16.4 million shares changed hands. The ticker tape machines fell behind by nearly 3 hours. With all hopes of a market recovery now gone, panic selling continued and the market fell another 12%.

    Recovering from the 1929 Stock Market Crash

    Over the next month the market continued to decline sharply, however, the market would not bottom out until July 1932, when the Dow hit 41 from a high of 381 in 1929. That’s a decline of nearly 90%! Even as the market started to rise in 1932, it would take another 22 years before the Dow would climb above the levels seen in 1929.

    In total, 14 billion dollars of wealth were lost during the market crash.

    The Crash of 1987

    The markets hit a new high on August 25, 1987 when the Dow hit a record 2722.44 points. Then, the Dow started to head down. On October 19, 1987, the stock market crashed. The Dow dropped 508 points or 22.6% in a single trading day. This was a drop of 36.7% from its high on August 25, 1987.

    During this crash, 1/2 trillion dollars of wealth were erased.

    The Crash of 2000
    From 1992-2000, the markets and the economy experienced a period of record expansion. On September 1, 2000, the NASDAQ traded at 4234.33. From September 2000 to January 2, 2001, the NASDAQ dropped 45.9%. In October 2002, the NASDAQ dropped to as low as 1,108.49 – a 78.4% decline from its all-time high of 5,132.52, the level it had established in March 2000.  TO DATE IT’S NEVER COME BACK TO IT’S ALL TIME HIGH!

    A total of 8 trillion dollars of wealth was lost in the crash of 2000.

    Crash of 2008

    We hit another milestone in ’09. The market had fallen farther faster than it did during the Great Crash of 1929-1932.

    The stock market peaked on Oct. 9, 2007. Then, the S.&P. 500 went down 56 percent and the Dow -53 percent.
    On Jan. 29, 1931 — the identical number of days after the 1929 market peak — the S.&P. 500 was down 49 percent and the Dow was down 56 percent. The 1929 crash got off to a much faster start, but we have now more or less caught up.

    HERE ARE SOME THINGS TO CONSIDER:

    1)  Note that it continually refers to the amount of money LOST at the end of the downturn.  THAT’S BECAUSE IT WAS LOST!!  In other words, as in never to be found again.  Why is this an important distinction?  Because I hear people all the time say, “Oh, I just lost it on paper.” or “Well I didn’t lose my principal!”  Like somehow what you LOST was not real money!

    LET’S GET REAL COULD WE PLEASE! If you had taken the money out before you didn’t lose your principal YOU’D HAVE HAD A HECK OF A LOT MORE MONEY WOULDN’T YOU? So just face it YOU BLEW IT!  You lost it and can’t ever get it back.  Did you lose money in 2000-03 – how ’bout ’08?  HOW MUCH WOULD YOU NOW HAVE IF YOU’D NEVER LOST IT IN THE FIRST PLACE?  Are you back “even” yet?  If not, why are you using the same strategies and expecting to get a different result?  (Einstein said that was the definition of insanity.  So ARE YOU INSANE?!) I don’t think so.  You just don’t know you have an alternative. (and there is an alternative)

    This principal of avoiding losses is called taking advantage of OPPORTUNITY COST.  In other words, if you never lose the money it will continue to earn interest for your benefit; you earn interest on your money, interest on the interest and interest on the money you would have lost but instead were wise enough to preserve; opportunity cost.  Other OC  besides losses, are fees and taxes that can be avoided.

    2) THE MARKET IS COMING BACK! Really?  It hasn’t come back from 2000 yet!  What makes you think things are going to get better any time soon?  You’ll notice that  in most cases the market gave the impression that it was on the rise only to fall lower than the first crash.  And in most cases the second crash is worse than the first.  FOLKS, I BLIEVE THAT’S WHAT WE’RE HEADED FOR! If history repeats, and it usually does, we’re coming up on a worse collapse than the first.  It doesn’t take a genius to look at economic conditions, which are NOT improving, and know that something has to give.  Please, don’t let your retirement savings be the sacrificial lamb!

    Most of you have been smart enough to move out of the market by now, although there are some I’ve talked to that, to their peril, are for whatever reason sticking it out and risking it all!  Congrats to those of you who at least moved to money market or CD’s.  Though there’s a problem with that as well.

    The problem is your now are NOT making enough to keep up with future inflation AND the number of banks that are in trouble are at an all time high and more to come.  Here’s anther lesson from history in case you missed it; during the Great Depression the banking industry lost 44% or 10,000 banks!  There are currently 829 banks on the watch list; more than we’ve seen in several decades.  What if history repeats?  How much will you lose?  Maybe everything?  The fact that it’s a possibility should be enough to make you want to find a better solution.

    THE SOLUTION!

    Life Insurance products! Oh, I know over the years they’ve gotten a bad name for who know what reasons.  But before you tune me out here’s another history lesson for you; during the Great Depression that spanned 24 years, the insurance industry only lost 6/10 of one percent of it’s net worth and NOT ONE PERSON WITH AN ANNUITY LOST A DIME! That’s a pretty decent record I’d say… wouldn’t you?  Here are some of the options:

    * Indexed Universal Life Insurance – buy dollars with pennies, offers Tax free retirement income as well as offering a Tax Free death benefit to your heirs, tax benefits – interest tied to index for market like returns with NO RISK OF LOSS GUARANTEED!

    * SPIA’s – Single Premium Immediate Annuities – Turn a lump sum of cash into a lifetime income stream – Personal Pension, if you would – exclusion ratio reduces taxes

    * Fixed Annuities – Shorter terms, high interest rates than CD’s or Money Market, Tax deferred, Income guaranteed for life

    * Fixed Indexed Annuities - Same as Fixed but interest earning tied to an index to give higher yield with the market WITH NO LOSS GUARANTEED!  Some longer terms but offering high interest potential – bonus offers from 4-20% added to your funds up front

    * NEW income riders can be attached to some annuity products giving you a guaranteed income stream for life WITHOUT ANNUITIZATION allowing you access, use and control of your money – 4-10% GUARANTEED MINIMUM INTEREST RATES for income on some products – some offer income enhancements as high as 2x income for Long Term Care with NO underwritting

    These are just a few ideas.  There are many more concepts, many I’ve discussed in other posts.  I hope this helps.  If you need more information or would like to see how these products might enhance your current plan please -

    REQUEST A FREE RETIREMENT & INCOME PLAN ANALYSIS!

    I can show you how long your money will last and the effects of inflation, death of a spouse, Long Term Care and other factors to your income.  ALL AT NO COST OR OBLIGATION!

    Safe savings,

    Roger

    PS:  If you’ve found this info helpful, please hit the like button, leave a comment, and send to a friend.  Thanks!

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    The PERFECT Tax Free Retirement Plan for Business Owners

    Friday, August 27th, 2010

    One of the problem business owners have – especially small business owner – is how to set up their retirement plan without having to provide it for the whole world!  If you try to set up a 401k or other Federal plan you have to include your employees.  Now as a small business owner myself, I want to look out for my employees I GAVE THEM A JOB!  But when I think about the extra cost of setting them up with a 401k it’s out of the question; especially in these turbulent financial times.  I HAVE A SOLUTION! But more about that later; first lets look at the problem.

    THE PROBLEM!

    When the Feds came up with brilliant idea to allow 401ks, they also included certain negative features that, in my opinion, are not good for you OR your employees.

    * First of course, if you do it for yourself, you have to offer it to employees.

    * Second there are limits on how much you can save.

    * RISK!  The biggest problem I see is that what you can save is at risk of loss, as in most cases your money is IN the market.

    * You can’t touch the money till your 59 1/2 without a 10% penalty and of course pay the tax.

    * It’s tax deferred but that only postpones the tax AND the tax calculation.

    * Related to this is the fact not only can’t you touch the money till your 59 1/2 you HAVE TO TAKE THE MONEY OUT as a Required Minimum Distribution at 70 1/2.  Why?  Obviously because the Feds want the tax.

    Do you think they came up with the new Roth conversion out of the goodness of their hearts?  They wanted to accelerate the payment of the taxes on IRA’s – to do the conversion to TAX FREE you first have to pay the tax on every dollar.

    *  Taxable to your heirs.  In most cases they’ll be forced to take a lump sum distribution costing them 50-80% in taxes depending on your estate tax situation.  Wouldn’t you like your heirs to get more the 20% of what’s left?

    SO WHAT’S THE BIGGEST PROBLEM HERE?  T-A-X-E-S!  So lets look at the tax issue.

    Did you know that average tax percentage since the inception of taxation is around 65%?  We’re currently at one of the lowest times in history a good time to pay the tax on the seed rather than the harvest.  Did you know the highest tax bracket ever was in 1945 at 94% for those making over $200,000?  At that time the deficit was ONLY $2 trillion.  Now the deficit is over $13 trillion and still climbing.

    With the Federal debt growing, what does the government need more than anything?  MONEY!  So let me ask you, “DO YOU THINK TAXES WILL BE GOING UP OR DOWN in the future?”  If taxes do go up, you’ll pay tax not only on the contribution but also on the gain and, if your an employee, on the match.  So again I say it’s a good time to pay the tax and move to a product that will be TAX FREE moving forward.

    THE SOLUTION!

    Before I tell you the name of the product let me tell you the benefits… you know… build the suspense.  (NO PEEKING!)
    * GUARANTEED NO LOSS (unlike market risk products)
    * Tax Deferred grow (no 1099)
    * TAX FREE INCOME at retirement
    * TAX FREE to your heirs
    * Competitive internal rates of return
    * Creditor proof
    * Available as collateral
    * LIQUIDITY, USE AND CONTROL (no age limitations, access cash at any time)
    * Living benefits for Disability, long term care, terminal illness

    So what is this miracle financial savior?

    AN OVER FUNDED INDEXED UNIVERSAL LIFE INSURANCE!

    SAY WHAAAAT! You read it right.  A properly structured life insurance policy can do ALL this.
    Life Insurance was designed for LIFE BENEFITS not just death benefit.  True, Life Insurance is designed to replace your income if you die so your family can continue on but it can accomplish sooo much more as you can see.
    This is perfect for the small business man because you DON’T have to provide it to your employees.  Since I know you have a big heart and would want to help them, the good news is all you have to do is offer them the same opportunity I’m offering you and they can save for retirement just like you but YOU don’t have to pay for it.
    I know this is a new concept for you and there’s a lot more detail I can share with you but we’ll save that for a face to face meeting.  Just contact me to find out how this might fit into your retirement plan
    Safe Saving,
    Roger

    Posted in Life, Strategies, Uncategorized | No Comments »

    Retirement Investment Advice: LET GO OF THE ANCHOR OR DROWN!

    Thursday, August 26th, 2010

    The following is fictional.  The names have been changed to protect the innocent. :)

    John had just retired and like many newly retired folks he decided to buy a boat and do some fishing. He bought the boat, the equipment and last but not least searched high and low for the perfect anchor. As it happened, his lovely wife bought what he wanted to help fulfill his dream; it was the perfect anchor and now carried special significance having come from his dear wife. Over the years he bought several newer boats but would always lovingly transfer that old anchor his wife had given him to the newest “hole in the water to through money in” (boat).

    He went fishing one very blustery day. The wind was raising some heavy chop. He needed to transfer the anchor to a different cleat so he untied it but as he moved into position before he could get it tied a larger wave hit the boat and he lost his balance and dropped the anchor into the water.

    He watched in horror as it began to sink our of sight. He had just the presence of mind to reach for the rope before it went….too late – he missed the line. Frantic and not thinking he launched himself into the foaming blue water and lurched toward the line… success – he had it. But he realized to late it was heavier than he expected.

    Somehow he managed to struggle to the surface and saw the boat a few yards away. “I can reach it!” he thought. But the wind was contrary and the boat was drifting away from him. He struggled to swim with one arm as the other held the beloved anchor. But it was a losing battle and soon he realized he needed to do the unthinkable – LET GO OR DROWN! With tears mixing with the blue salt water he slowly let the anchor line slip through his fingers and watched as his “Precious” sank out of site.

    Have the light bulbs come on yet.  Is the current plan for your retirement savings acting more like and ANCHOR than a sail? If your like many I speak with, the answer is probably a resounding YES!  Just like the fellow in our story you watch as your money sinks deeper & deeper.  You desperately want to save it and you think you see daylight – you can see the boat (your last high water mark) Your inching toward it but …. but then another wave of market disturbance takes you under again and you can’t breath.  But you struggle because you’ve had your anchor (broker) for years; he’s never let you down… you thought!  But now it looks bleak.  Your drowning and you need to make a decision before it’s too late and you lose it all. All your broker keeps telling you is, “Don’t move now, you’ll lock in your losses!”  ”Don’t move now, the market will come back!”  Words you’ve heard time and again but here you are once again seeing all the profits you held on for vanishing!  So here’s the question that needs an answer:

    ARE YOU GOING TO LET GO OF THE ANCHOR OR DROWN!

    Unfortunately too many of you will go down with the anchor and that breaks my heart because I have solutions that will save your retirement savings and give you the safety you’re looking for and deserve but you have to be willing to let go of the old rope attached to your old broker that’s become a noose around your savings that will kill them!  If you really want solutions, read on.  If not, just stop reading but you better stop watching the news as well or reading the newspaper because they’ll just be reminders of the decision that demands to be made.

    SOLUTIONS YOUR BROKER & BANKER WON’T TELL YOU:

    * Have a NEW plan made. unless you know what you’re REALLY facing you can’t make an informed decision and so you won’t make any decision.  Plus the plan you had was for when you were younger and in accumulation mode.  Now you’re older and in protection and distribution mode.  You simply don’t have time any longer to wait for the market to come back.  It too 24 years for the market to get back even.  Can you wait that long; 20 years, 15?  What if you have to start taking income when the markets down.  If that happens at the beginning or during retirement, it can be a death blow to your ability to maintain your lifestyle.

    *  When your plan is fully developed you should be able to answer questions like - How long will my money last?  What happens if inflation kicks in, if a spouse dies, if a spouse needs Long Term Care, if there’s another depression, if taxes go up?  How much do I actually need to move to get the income for life I want or how much income is guaranteed for life?  (CAN YOU ANSWER ALL OF THESE?)

    *  Put some of your money in a “safe” haven like Annuities. (Bonds aren’t safe, neither are CD’s… not in this economy.  44%, 10,00 banks went under during the Great Depression, and bonds are on shaky grounds with municipalities and corporations running out of money.)

    *  If you’re younger, under 60, what about using life insurance to build a TAX FREE retirement savings that will come out for retirement income TAX FREE and go to your heirs TAX FREE? (Catch a pattern there? :) )

    *  Give up those CD’s that aren’t paying anything and  pay even less because you have to pay taxes on the gain each year.  Try looking at 3-5 year Annuities paying as high as 4.5% right now TAX DEFERRED – no 1099 each year.

    *  Want Market like returns but no risk of loss? Fixed indexed annuities can provide gains attached to an index with no risk of loss and annual reset which allows you “LOCK IN” interest each year so it can’t go backwards and resets the index to the new number so you don’t have to “GET BACK EVEN” before you start earning for the next year.

    * WHAT’S THE PRIMARY PURPOSE FOR THE MONEY YOU’VE SAVED FOR RETIREMENT? If it’s for income then income riders are the 9th wonder for the world, in my opinion!  Giving you 7.2 -10% GUARANTEED FIXED rate of return on an income account till you trigger income.  This means that you DOULBE the asset in 10 years and quadruple in 20 then income is a percentage of the accumulated value in the annuity or the income rider whichever is higher.

    One company offers an income that ratchets up with an index so that even after you trigger the income your income goes up every year, by whatever percentage the index goes up and once it goes up your income can’t go back down.  If your account value goes to zero before you die, you still get paid and your income still ratchets up.  If you die early, your heirs can inherit the account.  Another will double your income for Long Term Care if you need it with NO UNDERWRITING!

    * Get a complete legal package put together: Will, Living Will, Revocable Living Trust, Powers of Attorney health and financial & a pour over will.

    If you’d like more options or have a plan done for you, just contact me.  I’ll do it free of charge with NO obligation on your part.  Even if we do business together not one dime comes out of your assets to pay me.  Find out more about my FREE CONSULTATION!

    These are tumultuous times we live in.  I understand the fear – that FROZEN feeling – that STUCK feeling!   I’ve dedicated my life to helping folks like you get unstuck and free to enjoy your retirement rather than live in dread each day wondering whether there’s enough money.  The answer to the questions your asking is a phone call or e-mail away.

    Safe savings,

    Roger

    Posted in Annuities, Life, Strategies, Uncategorized | No Comments »

    The #1 Safe Retirement Savings Product: 4 Significant Benefits!

    Wednesday, June 30th, 2010

    Ok, if you promise not to dismiss this out of hand and leave, I’ll just come right out and tell you. On second thought you’ll have to read on to find out what this uniques product is. Here though are some of the benefits:

    * This product can replace your income. All of us will die sometime…it’s a fact! The problem is we don’t know when. When you die your income earnings potential goes with it. How will this impact your family, your wife or husband? It could be devastating especially if your spouse is not working. This product can replace that income and help them live comfortably without fear.

    * This product helps you create your own bank! Wouldn’t it be nice to not have to go to the bank for a loan? This product has monetary value that you can borrow from tax free and you can chose whether to pay it back or not. It grows TAX FREE, comes out in retirement TAX FREE & goes to your heirs TAX FREE! (Are you seeing a pattern here?)

    * This product makes an awesome gift! You could buy this product for a child or grand-child to help pay for college, create their own bank AND provide a substantial retirement fund. It would benefit them for the rest of their lives creating an excellent legacy for you – THEY’LL NEVER FORGET YOU!

    * This product is real property. In comes to full value exactly when you need it. It pays a higher amount at death or full accumulated value at retirement. It’s property so the Feds require the value to be declared in your estate but their are ways to avoid this scenario.

    Well maybe you’ve guessed it by now? This product is LIFE INSURANCE! That may surprise you. Most agents have not done a very good job explaining all the LIVING BENEFITS of this fantastic financial product. Most of you probably think of it only for it’s death benefit but that’s not the whole story.

    The rich figured out a long time ago guy it was the best place to put earnings to get back TAX FREE BENEFITS. The government also figured this out began to set regulations to get rid of the tax loop hole but there are ways around that as well.

    The new generation of Life Insurance also has living benefits that allow you to access a percentage of the death benefit for things like:

    * Long Term Care
    * Terminal Illness
    * Tax Free retirement income

    Click here for a FREE analysis to see how Life Insurance might benefit your retirement plan.

    Safe Savings – Roger

    Posted in Life, Strategies, Uncategorized | No Comments »

    Will your retirement income be tax free? It can be!! Life Insurance for “LIFE” savings!

    Tuesday, May 4th, 2010

    We’ve heard it all before, “If it sounds too good to be true, it probably is!”.  Your mother said it, my mother said it but I’ve learned over time that in most cases, if it sounds to good to be true doesn’t mean it’s NOT true,  it just means THERE’S SOMETHING WE DON’T UNDERSTAND YET AND WE NEED TO ASK MORE QUESTIONS AND DO MORE RESEARCH NOT THROW not throw the proverbial baby out with the bath water!  I’ve had clients turn their back on the facts that were right in front of them and miss out on a great opportunity; like tax free income!!

    One couple I met with had all their money in CD’s making little in the way of interest and paying taxes on the earnings further reducing their earnings.  I showed them how to move the funds into a tax deferred account with a minimum guarantee of 8% plus make earnings as high as 11% tied to an index with no loss guaranteed!  Sound to good to be true? Well they thought so even though I showed them the company material, gave them my clients to call and the phone number for the insurance commissioner.  STUPIDITY comes to mind!

    So don’t be stupid and say it’s too good to be true when I tell you you can have retirement income for life TAX FREE!  Just do a little research.  Let me help you with that.  Let’s look at some saving’s options. Our money comes to us several ways:

    * Free Money – inheritance, match on 401k’s etc.

    * Tax Free – Roth IRA, Life Insurance Cash Value

    * Tax Deferred – Annuities, other qualified plans like 401k, 403b, IRA etc

    * Taxable – Wages, Capital Gains, 1099 income

    Of course this is the order of importance in how we’d like to get the money as well.  Free is always good but Tax Free is the next best thing.  Why?  Well let’s look our history and the history of taxes.

    Our government is out of control with spending.  It’s always been bad and has gotten progressively worse over the years as the power mad folks we’ve put in office fleece us and mismanage what we’ve given them to steward.  The current administration has quadrupled spending.  So the only way to get the money to pay the tab is to:

    1) REDUCE SPENDING OR

    2) RAISE TAXES

    So ask yourself this question, do you think the government will reduce spending any time soon! NOT ONLY NO….HELL NO! (as they say in the South).  That means you must believe that taxes will be going up.  Here’s an interesting stat for you; since the inception of taxation did you know that the average tax bracket is 65%?  It’s at 38% now it’s got a ways to go to get back to average but the odds are it will get there either directly through income tax or indirectly through a VAT or other form of tax.

    So if you look again at your retirement income options, would rather pay taxes on the seed (the money you put away now) or the harvest (the money you have after a lifetime of savings)?  Of course on the seed.  It’s much better to pay now while taxes are low and on a smaller piece of the pie.  There are two ways to accomplish this:

    1) Start a Roth IRA or convert your current IRA to a Roth (click the Roth button for more info on conversion)

    2) put your money in an overfunded cash value universal life insurance policy. (watch the TAX FREE RETIREMENT SLIDES)

    The Roth is the only decent thing congress has done for the taxpayer in awhile.  But it’s not all good news:

    * You can only put in a max of $5,000/yr, if you’re under 50 or $6,000 age 50+

    * You can’t touch the money – without some exception – until you over 59 1/2

    * Since it’s probably in a brokerage account of some kind there’s the potential for loss of principal

    There are no such limitations with Life Insurance:

    * Unlimited contributions (the Fed’s have figured out this is good stuff so they do have some restrictions on how the money can go in – TAMRA, DEFRA, TEFRA)

    * Access, use and control of the money before age 50 1/2 through access to cash value

    * Grows tax free deferred, comes tax free in retirement (through access to cash value), and goes to the heirs TAX FREE as a death benefit

    * Competitive internal rates of return with minimum guarantees and NO LOSS GUARANTEED!

    * Creditor proof

    * Access the death benefit for “Life” benefits like Long Term Care, In Home health Care, etc.

    So let’s sum show the comparison a different way:

    Savings comparison grid

    I think you can see that hands down Life Insurance wins this contest.  Each financial product has it’s use but if your goal is tax free retirement income start saving early and put it in Life Insurance!

    Posted in Life, Strategies | 13 Comments »