Tax free foundational asset retirement

Foundational Asset Management™

Breakthrough Anti-Tax Money Strategy!End Taxes on Non-IRA Savings & Investments and. . .

Be Able to Spend 25 to 46 Percent More Income When You Retire,

Tax-Free!

MISSION STATEMENT

We are dedicated to helping you grow your wealth and stay wealthy through the application of cutting edge Foundational Asset Strategies™ that will enhance your estate, improve your lifestyle and provide a safe, comfortable and rewarding retirement.


SecurityPredictabilityChoiceControl

SOUND PRINCIPLES TO FOLLOW


FOUR PHASES OFRETIREMENT PLANNING

IRA / 401(k)

TaxFavoredCONTRIBUTION

TaxedWITHDRAWAL

TaxedTRANSFER

TaxFavoredACCUMULATION

Your benefits will be taxable at retirement,

and probably at a higher tax rate.


12/09/2009

After $787 billion in stimulus spending and $700 billion in bank bailouts, 2010 is fast shaping up to be the year of the federal budget diet

The Nation's Bulging Debt is now $12 Trillion

Bipartisan support is growing in Congress for action to stabilize the nation's debt

The Congressional Budget Office projects annual interest on the public debt would be about $800 billion by 2019, but the Heritage Foundation's Brian Riedl and other analysts estimate it could surpass $1 trillion by then.

$1 Trillion in justInterest per Year

Who is going to payall this interest?

THE ONLY SOLUTION SEEMS TO BE…

HigherTaxes!


DEFERRED TAX RETIREMENT PLANS

There is currently $3.7 trillion in IRA’s in the US today that have not been taxed.

Taxes on these funds have only one logical direction, and that is to increase!


Ours or Uncle Sam’s?

Whose Retirement Are We Really Planning?

Withdraw a net $75,000 per year

from a $1 million IRA earning 7.5%

in a 35% tax bracket

$1,000,000 Account Value

7.50% Rate of Return

35% Tax Bracket

$115,385 Total Withdrawal

$75,000 Net Foundational Asset Management™

Age Retirement Acct Withdrawal Interest Acct Value

64 1,000,000 75,000 1,075,000

65 115,385 71,971 1,031,587

66 115,385 68,715 984,917

67 115,385 65,215 934,747

68 115,385 61,452 880,815

69 115,385 57,407 822,838

70 115,385 53,059 760,512

71 115,385 48,385 693,512

72 115,385 43,360 621,487

73 115,385 37,958 544,060

74 115,385 32,151 460,826

75 115,385 25,908 371,349

76 115,385 19,197 275,162

77 115,385 11,983 171,761

78 115,385 4,228 60,605

79 60,605 0 0

Withdraw a net $75,000 per year

from $1 million earning 7.5%

in a 0% tax bracket $1,000,000 Account Value

7.50% Rate of Return

0% Tax Bracket

$75,000 Total Withdrawal

$75,000 Net Foundational Asset Management™

Age Retirement Acct Withdrawal Interest Acct Value

64 1,000,000 75,000 1,075,000

65 75,000 75,000 1,075,000

66 75,000 75,000 1,075,000

67 75,000 75,000 1,075,000

68 75,000 75,000 1,075,000

69 75,000 75,000 1,075,000

70 75,000 75,000 1,075,000

71 75,000 75,000 1,075,000

72 75,000 75,000 1,075,000

73 75,000 75,000 1,075,000

74 75,000 75,000 1,075,000

75 75,000 75,000 1,075,000

76 75,000 75,000 1,075,000

77 75,000 75,000 1,075,000

78 75,000 75,000 1,075,000

79 75,000 75,000 1,075,000

TAX FREE ALTERNATIVES

Roth IRA

Roth 401(k)

Municipal Bonds

Equity Index Life Insurance


TAX-FREE OPTIONS

Roth IRA: Good…but with limitations$5,000 max contribution per year < 50 years old$6,000 per year > 50 years old$0 per year if income > $116k (single) or $169k (married &

filing jointly)

Roth 401(k): better…if you can get oneNo income restrictions to contributeExisting 401(k) contribution limits remain

$16,500 annually total <50$22,500 annually total >50


TAX-FREE OPTIONS

Equity Index Life insurance:No age or income restrictionsGuaranteed safety, exceptional liquidityOutstanding, TAX-FREE rates of return Section 7702 and 72(e)


SECTION 72(E) AND 7702

The most unique feature of permanent life insurance is that under Section 72(e) and 7702 of the Internal Revenue Code the accumulation of cash inside the insurance contract is tax advantaged. Not only can the cash value accumulate tax free, but the cash can also be accessed tax free.

Hence, the beauty and magic of life insurance: It is a unique vehicle that allows tax free account value accumulation, allows you to access your money tax free, and, when you die, blossoms in value and transfers income tax free!


Floor

2.00%

• Have the potential for market gain without risk of principal

Ceiling

14.00 %

“Cap”

• Use of an index like Standard and Poor’s 500 or the DOW

• Guarantee of principal

Equity Index Life Policy

Goals


$100,000

Gains BecomePrincipal

That is a $14,850 difference because of the annual lock in and reset.

10%

$110,000

$99,000

-10%

2%$112,200

$126,225

$111,375

12.5%

12.5%

12%

The Powerful Advantage of Locking in Annual Gains


J FMAM J J A SOND J FMAM J J A SOND J FMAM J J A SOND J FMAM J J A SOND J FMAM J J A SON J FMAM J J A SOND J FMA550

600

650

700

750

800

850

900

950

1000

1050

1100

S&P 500

$117,810

14%Cap

940

How Index Reset Works

650

920

$120,166

2%Floor

$136,989

Average Tax equivalent is

11.23 %

AverageTax equivalent is

2.49 %

RECOVERY OF LOSSES

Edward Winslow, Author of, Blind Faith,

“96% of professional money managers do worse than the S&P 500 index”.

“It will take the average household over thirty years to recover the wealth lost in 2000 and 2001 from market declines”.


PROTECTED INVESTMENT

Edward Winslow, Author of, Blind Faith,

“If unprotected against loss, an investment in stock or an equity mutual fund is nothing more than a gamble”.

“The primary objective of an intelligent investment strategy should be to preserve capital and build on it at a consistent, moderate rate in both bull and bear markets”.


THE ADVANTAGES OF EQUITY INDEX LIFE

Distributions from an Equity Index Life Contract are NOT included in income calculations for Social Security Taxation

Principal guarantees

Annual lock-in of index gains, annual reset of index

Minimum rate of return combined with maximum cap on gains

Tax free distributions


NATIONAL DEBT AND SOCIAL SECURITY

In 2016 we will begin paying more in benefits than we collect in taxes. Without changes, by 2037 The Social Security Trust Fund will be exhausted*

and there will be enough money to pay only about 76 cents for each dollar of scheduled benefits. We need to resolve these issues soon to make sure

Social Security continues to provide a foundation of protection for future generations.

1. Social Security Administration sample statement from www.ssa.govFoundational Asset Management™

HOW CAN YOU REDUCE YOUR SOCIAL SECURITY TAXATION?

Distributions from

Equity Index Life contracts

are NOT included in

income calculations for Social

Security Taxation!


EQUITY INDEX LIFE POLICYA Tax-Free, Non-Qualified Retirement

Plan

Mortality & ExpenseCharges

Premium Contributions Compound Interest

Maximum Premiums

Minimum Death Benefit

TEFRA 1982

DEFRA 1984

TAMRA 1988

Dictates the minimum death benefit required based upon the insured’s age and sex to accommodate the desired premium.

Grandfathering provision

RESOURCES TO FUND AN EQUITY INDEX LIFE POLICY

LifestyleMoney

AccumulatedMoney

WealthTransfers

Under performing assetsSavingsExcess 401(k) contributionsOld 401(k) and IRA’sReal Estate equity

Credit Card PaymentsExcess Mortgage PaymentsOld Life Insurance PremiumsTaxes on Social Security


TOP FAQ’S

1. What is the risk of the insurance company going bankrupt?


A life insurance company that maintains reserves at least equal to the minimum prescribed by law or regulation in the state in which it does business. These reserves are based on actuarial formulas and are designed to allow the company to meet all of its financial obligations.

Legal Reserve Life Insurance Company


TOP FAQ’S


2. With the government needing so much money these days, won’t it take away the tax exemption of life insurance?


• Our government knows that most people will be shortsighted and not take advantage of this opportunity people tend to focus on the short-term cost and not the tax-free windfall they will receive later.


• Our government is broke. This is why they encourage us through tax deductions to give to charity, the more we give the less burden put on Uncle Sam. It’s the same with life insurance. The government wants us to use life insurance to help take care of our families so they don’t have to. Foundational Asset Management™

• 80% of our senators and representatives use the life insurance exemption themselves. It is unlikely our legislators would wipe out a perk that benefits them.


TOP FAQ’S



3. Can I move my 401(k) or IRA into an Equity Index Policy?


If your over 59 ½ years old you can move money from a qualified plan into an equity index life contract. You will be required to pay the tax on the funds using the current tax rates in the year the premiums are paid.


If your under 59 ½ years old you can utilizing IRS code 72(t) to transfer funds into the policy. This is a structured distribution I rarely recommend. A better strategies is to redirect annual contributions going into a qualified plan above your employer’s match to fund the policy.


TOP FAQ’S



3. Can I move my 401(k) or IRA into an Equity Index Policy?

4. If I have health issues can I still utilize this strategy?


There are 3 components to a life insurance policy

• The owner • The insured • The beneficiary All three of these components can be held by different people. You do not have to be the insured to be the owner of the policy. Many of our clients are not the insured, but own and control the cash distributions of the equity index life contract.Foundational Asset Management™

“AMERINSUR” SEMINAR EVALUATION

Foundational Asset Management

I wish to take advantage of a FREE CONSULTATION and ANALYSIS[ ] Yes [ ] No

I would like to meet in your office concerning: ( all that apply)

A comprehensive analysis of my current life insurance portfolio and advantages of converting to an Index Universal Life Contract.

Tax-free retirement alternatives to IRA’s, 401 K’s, etc.

Convert my IRA to a Tax-Free Roth IRA.

Tax-free college funding

Using the Index Universal Life Contract to build a Tax-Free Retirement


SCHEDULE A CONSULTATION

With This Breakthrough Strategy You Have

Thousands of Dollars of Tax-Free Income to Gain and Nothing but

Taxes to Lose!Foundational Asset Management™

Tax free foundational asset retirement

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