Great content. Well explained. Just got approved for a personal whole life plan thanks to the help of one of your team’s members. I will evaluate in a year or two the possibility of incorporating this model on my own business. Keep the good work sir,
@IBCGlobalInc3 жыл бұрын
Thanks Osiris! Appreciate it. I believe you are working with Phil, correct? He's one of our senior agents and puts a lot of time into everyone he works with. Would be happy to connect with you anytime to discuss your policy, and/or the business model.
@ingosiris3 жыл бұрын
@@IBCGlobalInc yes, that is correct! Phil has been very helpful and patient, answering a ton of questions I have shot at him. Yeah, I’ll be happy to connect. Shot me a text/email to coordinate 👍🏽
@stephensampson13 жыл бұрын
Thank you Steve for the clarity in this presentation. I'm still trying to wrap my head around some of the concepts of this for businesses.
@IBCGlobalInc3 жыл бұрын
Thanks Stephen!
@brainzmusic6223 жыл бұрын
This was great 👍🏽 When I start hiring executives I will definitely get you redesign my policy lol Thanks for this information Steve 🙏🏽🙏🏽🙏🏽🙏🏽
@IBCGlobalInc3 жыл бұрын
Thanks Ainz! Appreciate it 😁
@jeffamponsah1786 Жыл бұрын
This was a great explanation
@Allenballen883 жыл бұрын
This is beautifully explained information! thank you so much!
@IBCGlobalInc3 жыл бұрын
Thank you!
@jamescrane68362 жыл бұрын
Steve you failed to mention when you exchange a policy for a new insured policy the original policy is surrendered and any gain is taxable.
@IBCGlobalInc2 жыл бұрын
Thanks for the comment, James. The policy owner does not change in the case mentioned in the video. A new policy is not started, and the policy is not surrendered in this case. In this particular case, a taxable event does not occur. For example, if the transfer is done on a 20-year-old policy, the policy is still 20 years old after the transfer occurs, just on a new insured. The company continues to own the policy as it originally did. Because no transfer in ownership occurred, no taxable event occurs. If a transfer of ownership occurs, then the gains are taxable as you state. Let me know if this helps or if you've seen/heard of taxes occurring with a transfer of insured rider exercised.
@NGF-Life3 жыл бұрын
Great video. This is very interesting. When John and Joe are in different age group, say 50s and 20s, what happens to the premium cost normally? Readjust accordingly when switching from 50 to 20? I recently watched another video you layout the bank put in 1 million premium and you immediately see positive cash flow, does business policies have advantage over individually owned policies? From corporate tax perspectives, is there a work around to have employee pays for the tax that contributed into the cash value, so the business doesn't have to take a hit? Thank you!
@IBCGlobalInc3 жыл бұрын
Thanks for the comment! Good questions. Regarding John and Joe, yes, the premium pricing readjusts accordingly. Regarding the cash values, the majority of corporations use traditional policies that have 87-95% equity in the first year. It is possible for some companies to acquire a pure COLI, which is almost identical to BOLI. Most small to medium size corporations elect against a pure COLI as it is usually a MEC and restricts access to cash value. Visuals to come in the next video! :)
@creditplug Жыл бұрын
How does life insurance benefit an S-Corp for reducing tax liability and In what scenario can contributions be made with pretax revenue?
@IBCGlobalInc Жыл бұрын
Good question. Premium & PUA payments are generally not tax-deductible as a business expense. It is possible to hold a life insurance policy in a qualified plan in order to deduct payments, but this will result in the cash value being treated similar to a 401(k). Most will fund a policy with after-tax dollars in order to maintain access to the cash value. Of course, none of the above is tax advice :)
@dallintagg19502 жыл бұрын
Hey Steve, could you just take out a term policy on your employees and invest separately to pay for their retirement?
@IBCGlobalInc2 жыл бұрын
Good question! Yes, you could take out a term policy and invest the difference to incorporate the same strategy. If the client is interested in both, we would show both strategies side-by-side.
@eben-ezerpointdujour428 Жыл бұрын
Hi Steve, Can you get a Whole Life Policy with guardian under a small business that is not generating enough profit to match the money funding the policy per year? The reason is the small business is part time job. I also have a full time job. Please feel free to elaborate.
@advisorandres8 ай бұрын
You can get a policy for your personal use based off of income
@biglo87572 жыл бұрын
This is Gold
@masfprb4a2942 жыл бұрын
Great information!
@IBCGlobalInc2 жыл бұрын
Thank you! :)
@jabarihoyett30643 жыл бұрын
Why aren't the contributions tax deductible? It would be employee compensation or wages which is totally tax deductible, right? It would just have to go on a 1099 or W2 to the employee...
@IBCGlobalInc3 жыл бұрын
Good question. The retirement benefit is tax-deductible to the corporation as a compensation expense. The company contribution to the plan is not tax-deductible. All premium/PUA payments are made with after-tax dollars (not deductible) which allows the corporation to access the funds anytime.
@mc_913surge52 жыл бұрын
Great video
@financialeducationcanada2 жыл бұрын
Can this same strategy be used for a company of 1 or 2 employees? Where the company takes a policy out on the owner of the company.
@IBCGlobalInc2 жыл бұрын
Yes, but a small business owner will sometimes take out a personal policy instead of one owned by the company. This depends on the owner's preference and their long-term plans with the business.
@SaveTheEarth82023 жыл бұрын
#IBC #1
@reoman81792 жыл бұрын
Will the retirement paid by the cash value of the policy eventually run out somehow?
@IBCGlobalInc2 жыл бұрын
Good question. The income should not run out if the projections are run properly. We'll model income disbursements based on the current dividend rate, conservative assumptions, and the guaranteed rate. We'll monitor performance each year while the policy is growing and also while distributing income.
@norachetz Жыл бұрын
how do i go about getting contracted for a company that offers this type of whole life
@IBCGlobalInc Жыл бұрын
We would recommend reaching out to your local agency offices and requesting broker contracts. We offer ILS Agent Academy for licensed agents. This is a training program, but we also assist with broker contracts.
@orlandogarcia3018 Жыл бұрын
Can Small Business do the 10-90% split as well?
@IBCGlobalInc Жыл бұрын
Yes :)
@reoman81792 жыл бұрын
Also can this be done with say a UIL policy?
@IBCGlobalInc2 жыл бұрын
It is possible with IUL's. We don't use IUL products for this strategy though.
@lilyg300 Жыл бұрын
Can you make a loan with draw from it
@IBCGlobalInc Жыл бұрын
Good question. You can take a withdrawal from the cash value after the first 7 years or take a loan against the policy in any year. Below is a video that provides more information on withdrawals & loans. - kzbin.info/www/bejne/qHm1gpmJrt9sqMk