creating a family legacy with life insurance john bledsoe 940-455-7006 john@johnbledsoe.com

Creating a Family Legacy with Life Insurance

John Bledsoe

940-455-7006

john@johnbledsoe.com

Current Law 2006 Exclusion Equivalent is $2,000,000 2007 Exclusion Equivalent is $2,000,000 2008 Exclusion Equivalent is $2,000,000 2009 Exclusion Equivalent is $3,500,000 2010 Exclusion Equivalent is $Unlimited 2011 and beyond Exclusion Equivalent is

$1,000,000

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Millionaire Next Door

Invisible

Everywhere

They need us

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Perfect Estate Plan

Motivation of Having Wealth

Control

Access

Default Beneficiaries

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Target Market Advanced Planning

Age

Net Worth

Family

Types of Assets

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Logical Progression

Living Trust Plan

Double Exclusion for married couples

Irrevocable Trust

Call it an ILIT at your peril

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Irrevocable Trust

Annual exclusion gifts (currently unused) Explain Crummy Expanded “Crummies” (without dummies) Friendly trustee with broad powers Main trustee ingredient First question they will ask No Brainer to maximize funding every year

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Asset Allocation of Irrevocable Trust

What assets are being transferred Cash is common Life Insurance as the custom built investment Not Protection Compare to bond yield IRR on death

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Life Insurance Examples

Term Permanent Single Life or Survivorship BOCA (not Raton) Guaranteed products It’s a tax play all right…income tax

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Benefits of Life Insurance

Death benefit

Premium notices

Income tax treatment

Rate of return

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What happens if estate tax is repealed longer term?

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Action Steps Identify Prospective Clients Show Prospects the Merits of Annual Transfers Draft Irrevocable "Gifting Trust" Underwrite for Life Insurance if Appropriate Transfer Annual Maximum to New Trust Rinse and Repeat

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