All I can say is “WOW.” This commentary won’t be a long one, as you already know the potential problem here but wanted to review. So, we have some big plans going on in Washington today. I am not here to debate the merits of this potential program. But, I would rather focus on some ways they plan to pay for it. As you have read, they are looking at a myriad of ways to pay for this. They say it will only be for the ultra rich and corporations and the majority of Americans won’t pay a penny more in taxes. Okay… fine… we will see. But, I have enough gray in my hair to know that I have seen this movie before, and we will all pay in one way or another. But, let’s focus on our business and a potential great opportunity for us and many Americans. They are talking about taxing unrealized gains in people’s investment portfolios. So, here is an example:
Margie and Harry invest $100K in something. That “something” grows to $150K. Today, no taxes are due because this gain is unrealized… they didn’t take the money. But, the proposal would make the 50K taxable today. Holy Smokes. But, look ahead…
What if Margie and Harry’s account goes down, and it is now only worth $90K? What happens now? Will the government pay them back the taxes they paid on the $50K? And, what about the $10K unrealized gain? Okay, enough of this. This hopefully will be put back in the drawer. But, what if it goes through? What can we do? Finally… the answer.
Harry and Margie might just stick their money in a fixed annuity. Unless they try to change this law, the gains are tax deferred. Or, what if Margie and Harry place that money in a single premium life plan? They lever the death benefit, have growth and opportunities. Ladies and Gents, I suggest you pick up the phone and call your clients and prospects and fill them in. Let them know that there are other opportunities. Time for many to play it safe. Want to talk? Give our marketers a call and let’s discuss.
Margie and Harry invest $100K in something. That “something” grows to $150K. Today, no taxes are due because this gain is unrealized… they didn’t take the money. But, the proposal would make the 50K taxable today. Holy Smokes. But, look ahead…
What if Margie and Harry’s account goes down, and it is now only worth $90K? What happens now? Will the government pay them back the taxes they paid on the $50K? And, what about the $10K unrealized gain? Okay, enough of this. This hopefully will be put back in the drawer. But, what if it goes through? What can we do? Finally… the answer.
Harry and Margie might just stick their money in a fixed annuity. Unless they try to change this law, the gains are tax deferred. Or, what if Margie and Harry place that money in a single premium life plan? They lever the death benefit, have growth and opportunities. Ladies and Gents, I suggest you pick up the phone and call your clients and prospects and fill them in. Let them know that there are other opportunities. Time for many to play it safe. Want to talk? Give our marketers a call and let’s discuss.
 | Until next time… good selling! Raymond J. Ohlson, CLU, CRC, LACP President and CEO The Ohlson Group 1-877-844-0900 |
RSS Feed