Most of us have a generous streak. We realize there’s more to life than “stuff.” But giving – by definition – means giving up income, assets, or net worth.
That makes giving a tough decision. We don’t know what life has in store for us, and if those unknowns require our financial resources, we hold on to them – even when we might prefer to give some of them away to benefit others.
Here’s a very unique and powerful strategy that can let you scratch your charitable itch – without the usual financial consequences of a giving transaction.
Margaret moves $100,000 from bank CD’s that are paying her very little, into a special kind of life insurance policy. Most of her money goes into a “Money Contract” account that will grow – and that she can access at any time. A small portion of that growth is used to fund the policy’s death benefit going forward – so she never writes a premium check.
Here’s the magic part. The insurance company will let Margaret take an advance on the life insurance benefit – and give it to charity. Margaret also gets a tax deduction when she gives it to charity. The death benefit is decreased by the amount of the advance – but it’s still several multiples of her $100,000 premium deposit – which is safely growing inside the money contract side of the policy.
She’s just accomplished something huge – she’s given away insurance company money, not her own. I’m not aware of anything like this anywhere – and it’s very exciting for savers and charities alike. Reply to learn more.