PLANNING OPTIONS
Next Generation Gifts can be created numerous ways.
- Savings Account
- Certificates of Deposit
- Annuity Funds
- Life Insurance Death Benefit
Key Considerations include
- No other foreseeable need for the funds; and
- A commitment to the recipient
o Family Member or other Identified Person
o Church
o School
o Community Foundation
o Other Charity
LIFE INSURANCE ADVANTAGES
Life Insurance is less likely to get mixed in with other savings…and spent for other purposes.
Life Insurance proceeds are not subject to ordinary income tax.
Death Benefits are payable to a beneficiary, which you can change as you see fit –
- A loved one
- A trust
- An institution
- A designated financial trustee
ERIE FAMILY LIFE
Erie Family Life polices outlined here feature –
- Permanent insurance
- Develop Cash Value
- Minimum $25,000(1) Face Amount
- Issue Ages 15 Days – Age 85
SINGLE PREMIUM UNIVERSAL LIFE
Example: Man, Age 65, Non-Tobacco, Good Health
- Has $20,000 in CDs & Savings
- Has identified a designated recipient
- Instead, pays single $20,000 Premium
- Immediate $50,927 Policy
SINGLE PREMIUM UNIVERSAL LIFE
Example: Woman, Age 45, Non-Tobacco, Good Health
- Has $50,000 in CDs & Savings
- Has identified a designated recipient
- Instead, pays single $50,000 Premium
- Immediate $336,059 Policy
NSS LIFE
NSS Life policies outlined here feature –
- Permanent Insurance
- Issues Ages 0-95
- Minimum $5,000 Face Amount
- Develop Cash Value
- Eligible for Dividends
SINGLE PREMIUM WHOLE LIFE
Example: Man, Age 65, Non-Tobacco, Good Health
- Has $11,560 in CDs & Savings
- Has identified a designated recipient
- Instead, pays single $11,560 Premium
- Immediate $20,000 Policy
SINGLE PREMIUM WHOLE LIFE PAID OVER 3 YEARS
Example: Woman, Age 60, Tobacco User, Good Health
- Trying to put aside funds
- Has identified a designated recipient
- Goal is to save $1,760 per year over 3 years = $5,280
- Instead, pays $1,760 per year Premium for 3 years
- Immediate $10,000 policy