estate planning group
Estate Planning Part 02 – Life Insurance and Estate Planning
As we mentioned in previous article, estate planning is the process of accumulating and disposing of wealth before death of individual of group of owner known as estate owner including married couple. It aims is to maximize the wealth of the estate owner.
I. Life insurance
The most important goal of estate planning is to make sure that the greatest amount of the estate passes to the estate owner’s intended beneficiaries while paying the least amount of taxes. Life insurance if one of the vehicle that can ensure that because life insurance is tax free on hand of beneficiaries upon the death of the estate owner.
II. How it works
1. The proceeds from the insurance can be used to pay off any probate, taxes and fees and leaving the accumulated wealth of your estate for intended beneficiaries.
2. Under universal life policy and the growth of assets in your life insurance policy is tax exempt. The proceed of life insurance plus fund values will be not be taxed on hand of your designated beneficiaries and it can be used to pay off the debts of your estate that accrue at your death.
3. While you are a live, the funds value that are not registered in the policy can be withdrawn anytime that adds to the income. Funds that are registered can provide additional income when your retired. Since the funds can be withdrawn anytime, it give some security in case of emergency needs.
4. Life insurance in group plan not only can be used as enhancing employee benefit packages, providing coverage to protect against loss due to the death of a business partner, it also can be used as a strategy to minimize corporate taxes.
I hope this information will help. If you need more information or insurance advices, please follow my article series of the above subject at my home page at:
http://medicaladvisorjournals.blogspot.com
http://lifeanddisabitityinsuranceunderwriter.blogspot.com/
http://estateplanning02.blogspot.com/
About the Author
All rights reserved. Any reproducing of this article must have the author name and all the links intact.
“Let Take Care Your Health, Your Health Will Take Care You” Kyle J. Norton
I have been studying natural remedies for disease prevention for over 20 years and working as a financial consultant since 1990. Master degree in Mathematics, teaching and tutoring math at colleges and universities before joining insurance industries.
What is meant by Estate Papers?
My wife recently passed away and she was enrolled in a group life policy. I made contact with the carrier and informed I was not the beneficiery. The amount is just 4 figuers, but I was informed, due to the confidential laws, the carrier can,t disclose who is the beneficiery or any clue as to who is! So this is my delemia someone in my family is entitled to the policy amount. My wife never had an estate plan of any sort.
So what is my options and what is estate papers . I would like to avoid an attorney for they charge $400.00 an hour that can be expensive in relation to the small amount of her policy.
Find the policy. Beneficiary is named there.
Family Wealth Law Group, Sacramento Estate Planning, Probate and Living Trust Attorneys