If you have assets like a CD, money market account, stocks or bonds that you have been planning to transfer to the next generation as a legacy, here is something you should know: These types of assets often pass to your beneficiaries with either tax or probate consequences.
Transferring your wealth does not always mean adding new money; it could simply mean repositioning your existing dollars.
Take a fixed annuity for example: In a recent LIMRA study we learned that approximately 89 percent of people who own an annuity die before any funds are distributed. This means some of the wealth will be lost to taxes.
If you have an annuity with funds you do not intend to use, consider repositioning those funds for the benefit of your heirs. Talk to your Financial Benefits Counselor today about how a Single Premium Whole Life certificate could reduce your tax liability!
*Withdrawals and surrender may be subject to federal and state income tax and, except under certain circumstances, will be subject to an IRS penalty if taken prior to age 59½.