At the end of my last post called “Stop Saving Into a 401(k),” I promised to share options to save for retirement that could trump a 401(k) to provide, tax-free, vibrant funds. Here’s how to do it…
Create a savings account using a “High Early Cash Value” whole life insurance policy from Mass Mutual Life Insurance Company. This will yield incredible results. Please feel free to challenge me on this. Here’s how:
Send any and all investment opportunities to me at email@example.com and I will answer you with details, diagrams and numbers that will contend with what you suggest. If your investment option is better than mine, I will send you a $25 Visa gift card. I admit it will be hard to balance all the benefits to analyze which is best, because there are so many wonderful features and benefits to consider when looking at a life insurance savings program that builds cash value. But I am willing to do the work to add to anyone’s perspective. Please include the following:
- Your date of birth.
- The amount of money you want to save each year.
- Whether you are male or female.
- Include your financial goals, ever so briefly
- Contact information
Now the structure I am referring to is a high early cash value design. The extra cash created in the first few years causes a larger dividend. This bigger dividend allows you to purchase much more paid-up-additional life insurance, which creates a bigger dividend and compares very well to any other standard investment being sold in the market.
Remember that your investment option must beat my structured policy in these ways:
- Keeps ahead of inflation.
- Cannot have any market risk.
- Can never create a tax liability of any kind.
- Creditors cannot have access to the cash.
- The money must be liquid, meaning available to you within one week.
- The net rate-of-return, after all the costs that may be associated with your investment option, must be better than a bank or credit union’s 5 year Certificate of Deposit.
- After being able to use this money to pay down debts, help with college education and invest in new businesses, the balance has to triple in value upon your death without any taxes.
Those are the parameters. Best of luck!