Life Insurance
Life insurance can be a major part of financial planning for individuals and business owners. The best way to determine the amount of life insurance you need is through a financial needs analysis. We can work together to help you determine the short-term and long-term financial needs of you and your family by looking first at the predictable financial issues you face.
Mortgage
We want to be certain that your life insurance will cover the remaining mortgage on your home.
Children’s Education
Income for Surviving Spouse and Dependents
We want to work with you to assure that your surviving spouse and dependents will have the income they need. To arrive at their income needs, we will discuss your other assets, retirement benefits, and Social Security. Important factors are your current age and health, and your spouse’s earning ability.
Estate Tax Liability
We recognize the need for liquidity at death to offset estate taxes, as well as maximizing the transfer of assets to future generations. We want to consult with your attorney or bring in a legal specialist to plan for a favorable result.
Additional Considerations
Analysis of Existing Policies
- Other Financial Obligations
- Wills and Trusts
- Savings
- Investments
- Retirement Benefits
We can help you select coverage from a variety of life insurance options to meet the needs identified in your financial security plan.
Other Issues Addressed By Life Insurance
| Situation | Issues/Objectives | |
| Do you own a family business? | How to pass estate/business to 2nd generation equitably | |
| Do you own annuities/IRA accounts of $500K+? | Income in respect of decedent No step up in basis, erosion of values from taxes |
|
| Do you own vacation homes? | Possible forced sale to pay for estate taxes | |
| Do you own low cost basis stock? | Can’t sell due to capital gains | |
| Do you own rental property? | Need liquidity to pay estate taxes | |
| Do you own assets from recent inheritance? | Need for tax planning, overall estate planning | |
| Are you making max annual exclusion gifts? | How to make additional transfers without incurring gift taxes | |
| Are you age 30-50, high income, and high net worth? | Need adequate retirement income, especially for survivor; potential estate tax issues | |
| Are you a professional, age 50+? | Large percentage of net worth in qualified plans; continued deferral compounds problems | |
| Are you a professional, age 30-50? | Limited with qualified plans, need for sufficient retirement income | |
| Are you a high-income family head? | Need for family income protection; typically have group term protection only | |
| Are you a corp. executive, 55+ with high net worth? | Will never spend benefits from ER-sponsored non-qualified plan | |
| Are you a corp. executive, age 30-50? | Limited with 401(k), need for sufficient retirement income | |
| Are you a new entrepreneur? | Banks often require coverage on key person; buy-sell in process | |
| Do you have 401(k) and/or pension accounts? | Highly compensated execs in group are victims of reverse discrimination | |
