DID YOU KNOW?

Did you know the average American has less than $100,000 in savings when they retire? This often falls short of the funds needed for a comfortable retirement. 

Whole Life Insurance History

Did you know whole life insurance has been providing financial security for over 150 years? Famous policyholders include Walt Disney, Rockfellers and J.C. Penney, who used their policies to fund their businesses during tough times.  

Banks and Whole Life (BOLI)

Banks use Bank-Owned Life Insurance (BOLI) to:

• Fund employee benefits

• Enhance capital reserve

• Generate tax-advantaged returnsInvestopediaft.com+4Andesa+4Investopedia+4ohiobankersleague.com

As of September 30, 2024, 3,053 banks nationwide reported cash surrender values on their regulatory filings. 80% of banks nationwide with assets between $500 million and $10 billion currently own BOLI. The total cash value of BOLI held by banks was $205.7 billion

Tax-Free Loans

Did you know you can typically borrow up to 50% of your 401(k) balance (up to $50,000)? You must repay it with interest within five years to avoid taxes and penalties. If not repaid, the unpaid balance is treated as taxable income, and penalties may apply if you're under 59½. 

Social Security Taxation

Did you know up to 85% of your Social Security benefits could be taxed if your income exceeds $34,000 per year for individuals or $44,000 for married couples? Proper financial planning can help reduce this burden. 

Whole Life Dividends

Did you know whole life insurance policies can pay dividends? These dividends grow through uninterrupted compounding, helping you build wealth over time without the risk of market volatility. 

Death Benefit and Taxes

Did you know the death benefit from a whole life insurance policy is passed to your heirs tax-free? It’s a reliable way to leave a legacy without losing value to taxes. 

Financing Through Whole Life Insurance

Did you know Individual Retirement Accounts (IRAs) were established in 1974 and 401(k) plans followed in 1978? These retirement savings options are relatively new compared to whole life insurance, which has been around for over a century. . 

Whole Life vs. Bank Failures

Did you know that whole life insurance companies have a failure rate of less than 1% over the past 30 years, compared to the 3% failure rate of banks during the same period? This long-term stability of mutual life insurance companies underscores their financial security, especially during periods of economic turbulence. In contrast, banks have been more vulnerable to crises and recessions. Whole life insurance provides a reliable foundation for building wealth over generations, offering peace of mind for policyholders.

Pensions and Legacy

Did you know most pensions don't transfer to your heirs if both you and your spouse pass away? Your legacy could be lost without proper estate planning. 

Real Estate and Business Wealth