Wealth Preservation and Wealth Wealth Preservation and Wealth TransferTransfer

Increase in Your Estate ValueIncrease in Your Estate Value Protect Your DependentsProtect Your Dependents Leave a Lasting LegacyLeave a Lasting Legacy

Wealth PlanningWealth Planning

• Began with your first job

• Savings Plan for housing, car, family, etc ..

• Deposits into retirement plans

Wealth PreservationWealth Preservation

• Begins after, or during wealth planning stage

• Merges retirement planning strategy (accumulation)….

• And estate planning (distribution)

• These factors are just as important ALL Individuals, REGARDLESS of their net worth.

THEY ARE THEY ARE

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3 Issues That Affect Most Clients 3 Issues That Affect Most Clients ……

3 Issues That Affect Most Clients 3 Issues That Affect Most Clients ……

1. Planning, Creating, & Preserving Wealth

• How will I use this money?• Where will it come from?• Will it be sufficient for my

retirement income.

3 Issues That Affect Most Clients 3 Issues That Affect Most Clients ……

2 QuestionsQuestions

3 Issues That Affect Most Clients 3 Issues That Affect Most Clients ……

3 Wealth Transfer

The Situation TodayThe Situation Today

• Your concern is enhancing your estate and passing it on to heirs (children, grandchildren, schools, clubs, charities or religious organizations), while maintaining control over the estate during your lifetime.

DecumulationDecumulation

• Is there a “tax time bomb” in your deferred annuities?

• Annuities provide excellent tax deferred growth but do not pass to the next generation free of federal income tax.

• What happens if you die with funds still in the tax deferred annuity?

Legacy PlanningLegacy Planning

• Clients who plan to pass assets to heirs want to preserve as much of the asset’s value as possible.

• The effect of income taxes (either during your

lifetime or at your death) is a common oversight in planning for Wealth Transfer.

• Money in annuities, mutual funds, and CDs, that is not needed for income, should be repositioned to MINIMIZE TAXES and MAXIMIZE VALUE.

Lets Summarize!Lets Summarize!

1) We’ve discussed your assets and you’ve told me that there is a pocket of money earmarked to be passed down. Correct? _____________

2) Again, what is that amount? $__________________

3) We’ve briefly discussed your health and it sounds as though you are in relatively good shape. Correct?______________

4) In discussing your assets we’ve looked at the 3 ways to pass down assets to your heirs.

A. ) One way is pay tax NOWB. ) Another, pay tax LATER, orC. ) Pay ZERO TAX

Which way makes more sense to you? A, B, or C.

Lets Summarize!Lets Summarize!

5) We’ve discussed “the tax time bomb” and the tax situation with annuities? Correct? _________________

6) Let’s take a look at a Wealth Transfer illustration from one of the leaders in this marketplace.

Lets Summarize!Lets Summarize!