Is Saving Money Through A 401k or IRA The Best Way To Save For Retirement?

We Are Part of a Unique Network of Financial Professionals With a Different Philosophy
We Are Deeply Concerned About The Direction America is Headed
The Information We Have To Share With You Is Critical To Your Financial Future!
Since 1985
Over 24 Years
of
Experience!
We Feel That Educated Client’s Make Better Financial Decisions
Milwaukee Magazine
http://consumerist.com/consumer/clips/snl-skit-dont-buy-stuff-you-cant-afford-252491.php
Single Click On Link Above To View SNL Skit About Credit Card Debt – 2 minutes

A New Approach
To Building Wealth

Sudden
Impact
“As a country, we’ve hit an iceberg, we’re taking on water, and the band plays on as if nothing has happened!

CouldTraditional Financial Advice Be Out-of-Touch Today?
Pay Less Taxes In Retirement
Focus on Higher Returns
Diversify Your Investments
Maximize Contributions To 401(k) Plans, SEP Plans & IRA’s
Make Extra Payments To Your Mortgage Company

Demographics
Baby-Boomers, Gen X, Gen Y
78 Million Baby Boomers Are Turning 60 Every 7 Seconds For The Next 19 Years
Stress On Social Security System
Medicare & Medicaid
Transferring Money Out Of Stock Market
Into Conservative Investments
Life Expectancy Increase
Plan Living 25 Years In Retirement
Average Boomer Has Less Than
$50,000 In Retirement Account

Government
Spending
$11 Trillion in U.S. Government Debt
$41 Million in interest on U.S. Gov Debt/Hour
$11,500 Interest on U.S. Gov Debt/Second

One Trillion
Dollars
Double Stacked Pallets of $100 Bills

A
Wake Up Call
“We are heading to a future where we’ll have to double federal taxes or cut federal spending by 60%.”
Former Comptroller General: David Walker
http://www.youtube.com/watch?v=QxoP_9W6FC8
Single Click on Link Above – 8 minutes

Is Postponing Tax
Really The Best Idea?
Today After Tax $513,825
BeforeTax$885,906
Future After Tax $318,926
30 Year Old
$6,000 Yr Contribution
1,500 Yr Match
7,500 Yr Total
Your IRA, pension and 401(k) benefits will be taxable at retirement, probably at a higher tax rate.
MF p.236

Who’s Retirement Are You Planning Yours or Uncle Sam’s?
$885,906 401k
@5%
$44,295 Gross Income
- 14,174 Tax
Due Every Yr 25 Yrs Retirement!
$ 30,121 Net Income
Uncle Sam’s Total Income
$354,350
Your Total Income
$753,025
At Your Death
Heirs Receive
$513,825
At Your Death
Uncle Sam
Receives
$372,081
Total Benefit To Uncle Sam
$726,431
You’ve Become The Perfect Tax Payer!

U.S. Tax History
1916 - 2008
If You Think Taxes Can’t Get Worse,
Think Again!
100
61.48% Average!
90
80
70
60
Top Tax Rate %
50
40
30
20
10
1916
1928
1940
1944
1956
1968
1984
1996
2008
1920
1924
1932
1936
1948
1952
1960
1964
1972
1976
1980
1988
1992
2000
2004
Years

IRA/401k
Tax Time Bomb!
Former IRS Agent CPA Ed Slott
http://www.youtube.com/watch?v=GSJoFaIy27c&NR=1
Single Click on Link Above - 10 minutes

Has Your IRA/401k
Lost 30% to 40%?
Best Selling Author and Financial Strategist Doug Andrew
http://vimeo.com/1705571

What If
You Could Create An Asset
Tax Deferred Growth & Tax Free Withdrawals
Liquid – Not Tied Up To Age 591/2
No Market Risk To Principal – Growth S&P 500
Protected From Creditors
Self Completing In Event of Death
Can Avoid Estate Tax – Avoids Probate
Complete Control of Asset
Passes Tax Free To Family Members

Where is the Answer?
IRS Tax Code
Passes On Tax Free
Properly Structured Maximum Funded Equity Indexed Insurance Plans
Accumulation Tax Free
Withdrawals Tax Free

Insurance Mortality and Expense Charges
TEFRA 1982
Corridor dictates the minimum death benefit required based upon the insured’s age and gender to accommodate the ultimate desired aggregate premium basis.
DEFRA 1984
TAMRA 1986
New Cash Contributions
Compound Interest
Male Age 30
8.00%
Total Premiums Allowed:
$ 178,500 GSP
Year 5
After Tax Contributions
$5,100 To Age 65
$5,100
Year 4
$5,100
Minimum
Death Benefit
Required:$ 548,353_
Year 3
$5,100
1.5%
$5,100
Year 2
$5,100
Year 1
At Age 65 $60,734 Yr Tax Free Income For 35 Years

Equity Indexed Investing
Annual Lock-In & Reset
$177,718
$175,959
Linked S&P
500 Index
$168,221
$177,718
$150,198
1600
1500
1400
1300
1200
1000
800
600
400
$123,459
$143,456
1484
$119,217
$129,240
1418
1433
$117,969
$115,393
1262
$100,000
1274
$112,000
$112,000
1205
$104,991
1202
$105,990
1144
$100,249
1088
$100,000
$95,175
$90,516
895
816
162% Better!
$109,832 More!
$74,460
$ 67,886
As of December 1, 2008
98 99 00 01 02 03 04 05 06 07 08
* This is a hypothetical illustration and assumes a 12% cap and a 1% floor. S&P 500 from December 21, 1996 to December 1, 2008

The World ofSuccessful Equity Management
True Asset Optimization

Home Equity
Management
Best Selling Author and Financial Strategist Doug Andrew
http://vimeo.com/1560909

3 Reasons To Separate Home Equity
Liquidity
Safety
Return

Home EquityManagement
Protecting Your Equity
http://www.wisn.com/video/16706830/index.html
Double Click on Link Above – 2 minutes
Lake Delton, WI - June 9, 2008
Darlene & Donald Kubenik
Separate Home Equity To
Protect It!

Equity Trapped In Home Has No Rate of Return
$80,000
$200,000
$ 160,000
$ 400,000
Opportunity Cost
10 Years @ 7.2%
10 Years @ 7.2%

Which Cost Are You Incurring?
Mortgage
Opportunity Cost
Employment Cost
$80,000
6.0%
7.2%
4.0% Net
MF p. 90

Your
Family Bank
Net Cost
Net Growth
Net Gain
$3,200
Year 1
$83,200
$3,200
$48,000
$205,773
Year 15
$157,773
$96,000
$709,012
Year 30
$613,012
Separate
$80,000 Equity
Borrow at 6% / 4% Net
Investing at 8%
Compound Interest @ 8%
Simple Interest @ Net 4%

Become Your Own
Banker!
Arbitrage
http://www.youtube.com/watch?v=31W3YoEEzp85 minutes
Increase Retirement Income
50% to 100%
Without Spending One More Dime!

Our Planning Process
Call Us At 262-646-4443
For A Free Consultation

Is Saving Money Through A 401k or IRA The Best Way To Save For Retirement?

by jimkipp on Jun 24, 2009

Accessibility

Upload Details

Usage Rights

Statistics

Is Saving Money Through A 401k or IRA The Best Way To Save For Retirement? — Presentation Transcript