Are you investing in 401K? How about learning advantages and disadvantages between 401k and IULs. Let’s compare!

Check this article about 401k. 401k most may not know but its tax deferred plan where employers sometime contribute, and employees contribute same or more as investment grows tax deferred and client can’t pull it till, they retire. Only issue, 401k money locked with today purchasing power and by the time, client ready to take out, they already lost most purchasing power due to inflation and on top of it, they have to pay prevailing TAX.
I don’t know if you know but once in USA, patrons paid upto 96% tax.
Its not rocket science to figure out that taxes will go up and so inflation so what’s alternative. #money #science #taxes #tax #power #investment #401k #401kexposed.
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Do you know there is a product called IUL? Lets learn about 401k and IULs. Well, IUL is a type of permanent life insurance, meaning it can accumulate cash value and provide a death benefit. This article will discuss the differences between the two, their investment options, non-profits percentage, incentive, and taxable income.

IULs can be only sold by Life insurance agents.

Some call IULs like Swiss knife as its unique Life insurance policy where clients contribute funds and these provide growth upto 11.75% (AIG) like stock market, provide safety like Banks or clients never lose money (check blue line below graph) , Provide Life insurance protection and Tax-Free loan option so some also call it Smart Phone when comparing this to old whole life insurance policy as Dial phone

401K – IRA	Tax-Free IUL Savings Vehicle
Safety of Principle:	Safety of Principle:
Your Money IS invested in the Stock Market.	Your money is NOT invested in the Stock Market.
Your Money IS subject to volatility.	Your Money is NOT subject to volatility.
Your Money IS exposed and IS subject to investment risk.	Your Money is NOT exposed or subject to investment risk.
Your Money IS subject to investment loss.	Your Money is NOT subject to investment loss.
Growth is NOT locked-in and account CAN DEPRECIATE in value.	All annual growth is LOCKED-IN permanently and account CANNOT ever depreciate in value.
Tax Consequences:	Tax Consequences:
Your money grows Tax Deferred.	Your money grows Tax Free.
You PAY Taxes when you retire and withdraw your money.	There are NO Taxes when you retire and withdraw your money.
You PAY Taxes when you die.	There are NO Taxes when you die.
You PAY Taxes when you pass your money to your family.	There are NO Taxes when you pass your money to your family.
Access to Your Money:	Access to Your Money:
You have limited access to your money OR You have to wait until you are age 59.5+ to use cash without penalties and taxes..	You can access your money whenever you need it OR You do not have to wait until you are age 59.5+ to use this cash without penalties and taxes.
You PAY early withdrawal penalties.	There are NO early withdrawal penalties.
You have to PAY it back if you withdraw before Maturity	You don’t have to pay it back.
Restrictions:	Restrictions:
There IS a limit on how much you can contribute to your plan on an annual basis.	There contribution is directly proportioanl to death benefit
Unless you’re still working with the same employer, you’re required to begin taking minimum distributions from a 401(k) beginning at age 72. Failing to do so can trigger a tax penalty equivalent to 50% of the amount you were required to withdraw.	There is NO age restriction for withdrawal.
Fees:	Fees:
Charge significant fees and expenses and the administration of your account even if the account depreciates in value.	Charges are a fraction of the expenses and administration cost of a traditional qualified plan.
BENEFITS	BENEFITS
There is no medical benefits	Some Companies like AIG/F&G/North American give FREE Chronic/Critical and Terminal benefits.
In this some employers contribute upto 3%	Its your money that you invest and no employer contributes
There is no death Benefit	Client has Death benefit from day one.
Your money is 100% exposed to market volatility	There is no risk to your money as Floor is Guranteed Zero or if market dips, your money locks at last Point