Presented by Brian Leising
Four responses you can use with your clients.
4- Really? So, that means you love the government more than you love your family?
Did you know your money can go three places when you die? Your family, charity, or the government. Even if you will all your assets to your family, the government may still inherit part of it. All money in IRAs, 401(k)s or other Qualified Plans, plus growth in non-Qualified annuities is taxable to the person receiving it. The government is going to get their share, but will your family get theirs? Life insurance death benefits pass tax-free to beneficiaries. Why not purchase a life insurance policy to cover the taxes your family will pay the government upon your death? Better yet, you could omit the government completely with proper planning. You could name a charity as beneficiary of your Qualified money (charities pay no income tax) and replace the value of the asset with a life insurance policy. Your loved ones win, your favorite charity wins and the government gets nothing. As George Thorogood says, “Who do you love?”