We deposited the $200,000 as a single premium, however she liked the concept so much, she wanted to add an additional $25,000 per year premium for the next ten years. Her initial death benefit was around $477,397. Over the next four years she had a total deposit of $300,000 and then she passed away in her sleep. Within a couple of weeks I was able to deliver to her husband a tax-free death proceeds check for $500,288. That’s excellent estate planning. Her granddaughters sure appreciated the love. How to Plan for a Business when You Retire: Real Life Case Study: A lady, age 62 wants to retire from her current company at age 72 so she can begin a business with less commitment and stress. She scheduled a time to meet with me, and we set up her Privatized Family Bank. She stopped putting money into her 401(k) at work and decided to deposit $30,000 annually into her Privatized Family Bank account. Her 401(k) was moved to a self-directed IRA. Here are the projections:
Age
Total Cash Deposited
Cash Value Opportunity
Tax-Free Death Benefit
62
$30,000
$15,128
$400,175
72
$300,000
$317,003
$622,681
85
No More
$763,675
$1,016,076
95
No More
$1,215,953
$1,368,364
139
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