At age 25, many people are still finding their way in life. But, even if a definitive career path is still on the horizon, retiring in the future is something that everyone strives for. A life insurance retirement plan can allow you to accomplish that goal – and much more – such as:
As an example, Jeannie recently graduated from college and was hired as an administrative assistant at an art museum – although her dream was to one day open her own art studio.
Because her job did not provide a retirement savings plan, Jeannie decided to start funding a life insurance retirement plan, because not only would this provide her with income in the future, it also gave her other financial options down the road.
Her annual premium of $6,000 per year over the next 40 years (for a total paid-in premium of $240,000) would provide Jeannie with a number of benefits, including over $155,000 per year in annual tax-free income from age 65 to 90. This equated to more than $4 million in total distributions.
In addition, her initial death benefit of $361,613 grew to more than $2.375 million, so not only was Jeannie about to secure her own financial future with the LIRP, but also that of her children and grandchildren in the future.