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					    HOW TO HELP
    PROTECT YOUR
ASSETS IN TODAY’S
 UNCERTAIN TIMES




                    18073 1652111
                                      PROTECTING
                                     YOUR ASSETS

• You’ve spent a lifetime
  accumulating your assets
• You want to help protect your
  assets from risk, liabilities, and
  taxes, while you’re alive and at your
  death…
• If you don’t plan to protect your
  assets someone else will plan to
  take them!



Source: Life Expectancy Tables from www.efmoody.com/estate/lifeexpectancy




                                                                            18073 1652111
   HOW IMPORTANT IS
IT TO YOU TO PROTECT
     YOUR ASSETS IN
  TODAY’S UNCERTAIN
           TIMES?




                       18073 1652111
THREE COMMON
  FEARS AND
  CONCERNS:

• Outliving your money and not being
  able to provide for yourself
• Becoming a financial burden to your
  children
• At your death, making sure your
  assets get to your heirs as easily as
  possible

 Do you have these fears and concerns
  when it comes to your current assets?




                                     18073 1652111
 ANNUITIES CAN HELP YOU PROTECT
AGAINST THESE COMMON FEARS AND
           CONCERNS



   Three Types of Annuities:
   • Variable
   • Fixed
   • Indexed




                               18073 1652111
    VARIABLE
    ANNUITIES

• No guarantee of principal or interest
• Tied to market values which may
  fluctuate daily
• There are many costs associated with
  variable annuities not found in fixed
  annuities (management cost,
  advertising costs, and sales expenses)




                                     18073 1652111
              FIXED ANNUITIES


• All of your money goes to work for you
• Compared to variable annuities, there
  is little investment risk to the owner
• No direct downside market risk
• Allows you to enjoy a potentially
  higher rate of return




  Annuities are long-term products of the insurance industry designed for retirement income.
   They contain some limitations, including possible withdrawal charges and a market value
                         adjustment that could affect contract values.

                                                                                           18073 1652111
                    FIXED ANNUITIES


• Give you the ability to create a
  guaranteed monthly income you
  cannot outlive
• No other financial product provides
  the tax advantages and guarantees
  like fixed annuities




Guaranteed lifetime income available through annuitization or the purchase of an optional lifetime income
rider, a benefit for which an annual premium is charged. Guarantees provided by annuities are subject to
   the financial strength of the issuing insurance company; not guaranteed by any bank or the FDIC. It’s
 important to know that qualified plans, 401(k)s and IRAs are already tax-deferred. Therefore, an annuity
 contract should be used to fund an IRA in order to benefit from annuity features other than tax deferral,
             such as the lifetime income options and guaranteed death benefit payout options.


                                                                                                  18073 1652111
CHOOSING THE RIGHT ACCUMULATIO
 VEHICLE FOR RETIREMENT CAN BE
          DIFFICULT…


 On one hand, you       On the other hand,
  want the safety and     most people
  guarantee of            prefer the
  principal and past      potential of higher
  earnings                returns by being
                          linked to the
                          market, a return
                          that a fixed rate
                          investment cannot
                          offer


In the past, Retirement Savers had to
   make a decision on which hand to
              choose from.

                                         18073 1652111
…THAT WAS THEN,
 THIS IS NOW!

  NOW with an INDEXED ANNUITY ,
you can have the best of both worlds!

• Guarantee of principal with a
  minimum interest rate guarantee
• Avoid direct downside market risk,
  while still participating in a portion of
  market index-linked returns
• Protected growth and diversification


 Principal is only guaranteed if no withdrawals in excess of the contract's free amount are taken
 during the withdrawal charge period. Fixed indexed annuities are not stock market investments
 and do not directly participate in any stock or equity investments. Clients who purchase indexed
                    annuities are not directly investing in a stock market index.

                                                                                             18073 1652111
   OUTLIVING RETIREMENT
         INCOME
“I want two GUARANTEES for my retirement income”



• My monthly income checks STAY THE
  SAME every month, never decreasing
  when interest rates decline.
• My monthly income checks must
  keep coming to me no matter how
  long I live.



   A married couple age 65 has a
   45% chance that one spouse will
            live to age 95


                                            18073 1652111
                                               ANNUITIES
                                              GUARANTEE:

• Monthly income checks will be
  the same every month
• Your income will never decrease
  even when interest rates decline
• With a life income option, your
  money will never run out




  Guaranteed lifetime income available through annuitization or the purchase of an optional
          lifetime income rider, a benefit for which an annual premium is charged.


                                                                                          18073 1652111
                EASY ACCESSIBILITY


 PROBLEM:
 • Most financial products charge penalties for
   withdrawals on the entire account balance.


 A SOLUTION:
 • Annuities have guaranteed, penalty-free withdrawal
   options that allow you to access a portion of your
   money without paying any company penalties or
   charges
 • In the event you are confined to a nursing home, you
   may have access to a larger portion of your money,
   penalty-free



 Principal is only guaranteed if no withdrawals in excess of the contract's free amount are taken during the
  withdrawal charge period. Taxable amounts withdrawn prior to age 59½ may be subject to a 10% IRS
 penalty in addition to ordinary income tax. Withdrawals are not credited with index interest for that term.
Withdrawals in excess of the free amount are subject to withdrawal charges and a market value adjustment.


                                                                                                  18073 1652111
  ANNUITIES CAN OFFER
   PROTECTION FROM…



• Creditors
• Bankruptcy
• Liens


Helps protect your
 lifetime savings



                     18073 1652111
                  TAXATION

   • Federal Income Tax Paid on:
        § Bond funds (except special tax-free bonds)
        § CD’s
        § Corporate bonds
        § Dividends on stock
        § Mutual funds
        § Stocks
        § T-Bills

     ALL are taxed each year even if you don’t
                 spend the income.




This material has been prepared for informational and educational purposes only. It is not intended to provide,
 and should not be relied upon for tax or investment advice. Please consult with a professional specializing in
                  these areas regarding the applicability of this information to your situation.
                                                                                                   18073 1652111
 SOCIAL SECURITY BENEFITS MA
         BE TAXABLE



                                         INCOME THRESHOLD*

                                           Single Filing   Married Filing
                                              Status          Status




   % Social
                             85%           $34,000         $44,000
    Security
    Income
   that may
  be taxable                 50%           $25,000         $32,000

*This calculation includes TAX FREE income
Source: http://www.socialsecurity.gov/planners/taxes.htm



                                                                     18073 1652111
                                  TAX BENEFITS OF
                                    ANNUITIES


• Interest credited to your annuity
  account is tax deferred
• You will not pay taxes on your
  annuity interest income until you
  take it out
• Less taxes paid means more of
  your Social Security income
  coming to you



  This material has been prepared for informational and educational purposes only. It is not
 intended to provide, and should not be relied upon for, accounting, legal, tax or investment
      advice. Please consult with a professional specializing in these areas regarding the
                       applicability of this information to your situation.



                                                                                           18073 1652111
 TAX DEFERRAL MEANS THE
POTENTIAL FOR COMPOUNDING
        INTEREST


You receive:
• Interest on principal
• Interest on interest (compounded)
• Interest on deferred taxes (money
  that would have been paid for taxes)




   This material has been prepared for informational and educational purposes only. It is not
intended to provide, and should not be relied upon for tax or investment advice. Please consult
 with a professional specializing in these areas regarding the applicability of this information to
                                           your situation.

                                                                                               18073 1652111
 ANNUITIES PROVIDE
  OTHER BENEFITS


• Ability to add additional money*
• Tax-free exchanges
    § Internal Revenue code section 1035 provides
      for a tax-free exchange of like to like assets
      from insurance company to insurance
      company

• The IRS will allow you to transfer your
  IRA, 401(k), 457 and TSA’s to an
  annuity
• With a properly designated
  beneficiary, annuities can avoid
  probate!
*Available only through flexible premium annuities

                                                     18073 1652111
                                          PROTECT YOUR HEIR
                                            FROM PROBATE


• Probate administrative costs and fees can
  run 3-8% of the assets
• Assets are not available to the heirs until
  approved by the probate court
• Assets may be tied up one to two years in
  probate
• All records of the assets are available to the
  general public
• Without a will and proper estate planning
  the court will transfer your money only as
  directed by law



   The insurance agents presenting this information are not licensed to give legal or tax advice
 regarding individuals’ tax situations. Please consult with a professional specializing in these areas
                  regarding the applicability of this information to your situation.
                                                                                                 18073 1652111
    WHAT IS THE GREATEST
     FINANCIAL RISK TO
     RETIREES TODAY?
 The high cost of long term
        nursing care!
According to AARP 50% of seniors over
       85 will develop Alzheimer’s


                                        18073 1652111
WHAT ARE YOUR FUNDING OPTION
FOR NURSING HOME STAY/HOME
       HEALTH CARE?


• Spend your savings
• Use nursing home stay/home
  health care insurance
• Qualify for government
  assistance (Medicaid)




   Annuities may offer Confinement benefits or waivers. These are not long term care
    insurance, nor are they substitutes for such coverage. Availability varies by state.



                                                                                           18073 1652111
    WHAT IS MEDICAID?
                ( MEDI-CAL IN CALIFORNIA)



• A joint federal/state program that can pay a
  share of nursing home costs for those
  qualified individuals over 65 or who are
  disabled
• Rules vary from state to state but generally
  eligibility is determined by one’s income and
  how one’s assets are arranged
• You’re allowed to rearrange your assets at
  any time within guidelines, to qualify



  It’s the ability to rearrange assets and still
     qualify that creates the value of Medicaid
                        Planning
      These materials are provided for informational purposes only, do not constitute legal
     advice on Medicaid Planning, and are not guaranteed to be correct, complete, or up-to-
                                date. Consult your legal advisor.
                                                                                              18073 1652111
     YOU SHOULD CONSIDER AN
         ANNUITY IF YOU:

• Want safety of principal                                • Want a better return
                                                            than you are getting
• Want to protect your                                      from your CDs, plus
  liquid assets from                                        tax deferred benefits
  creditors
                                                          • Want the power of
• Want to protect your                                      compounding interest
  assets from Medicaid
  spend-down                                              • Want an income that
                                                            you can’t outlive
• Want to reduce or
  eliminate income tax                                    • Want easy access to
  on your Social Security                                   your money
  benefits
                                                          • Want to potentially
• Want to control when                                      avoid probate
  YOU pay taxes
• Want to transfer your
  IRA, 401(k), 457, or
  TSA to annuities
  without incurring taxes

  It’s important to know that qualified plans, 401(k)s and IRAs are already tax-deferred. Therefore, an
   annuity contract should be used to fund an IRA in order to benefit from annuity features other than
      tax deferral, such as the lifetime income options and guaranteed death benefit payout options.



                                                                                                 18073 1652111
    WHERE DO WE GO
     FROM HERE?


• Do it yourself
• Work with others
• Work with us
• Procrastinate




                     18073 1652111

				
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