Estate Planning and Wealth Transfer
A well-designed estate plan provides assurance to our clients that their assets will be used to benefit the people or institutions that they choose, in the amounts that they choose. It begins with a candid discussion of client goals and objectives.
While we do not offer legal advice, in conjunction with our clients’ other advisors, we will discuss the various options available to our clients. Our focus is to provide the proper liquidity to ensure the smooth transition from one generation to the next.
Insurance strategies come in many forms and types. It is our goal to implement and maintain a strategy not only to meet fundamental needs, but also for sophisticated asset allocation strategies. A well designed life insurance strategy will not only consider the importance of death benefit protection and the tax-advantaged cash value accumulation potential of permanent life insurance, but also the role of life insurance in legacy planning and wealth preservation for multiple generations. Our extensive experience in the design, implementation and monitoring of insurance plans spans over 30 years.
We routinely perform an insurance analysis as a service to our clients. The process includes analyzing your current insurance strategy, surveying the marketplace and assessing any adjustments that may be appropriate to help you optimize your insurance portfolio. Engaging our clients in this process can help assure goals are met. The flexible nature of many modern life insurance policies provides a powerful means to address a wide range of personal, business, and charitable situations.
- Family Protection: Provides a source of cash for surviving family members to utilize for living expenses.
- College Funding: Provides a funding source for college education of children or grandchildren.
- Debt Protection: Generates cash to pay off an existing mortgage or other personal debt.
- Wealth Creation: Provides funds to leave as an inheritance or to equalize inheritances among family members.
- Estate Tax Liquidity: Creates liquidity to pay estate taxes rather than requiring liquidation of existing estate assets.
- Gifting Leverage: Leverages the use of the annual gift tax exclusion, the lifetime exemption, and/or Generation Skipping Transfer Tax exemption.
- Key Employee: Provides funds to aid in the search for a replacement in the event of a key employee’s death.
- Executive Recruitment and Retention: Used in a variety of nonqualified benefit programs to help attract and retain key employees.
- Business Continuation: Provides funds to aid in the continuation of business in the event of an owner’s death or disability.
- Succession Planning: Provides liquidity to purchase the ownership interest of a deceased owner.
- Debt Protection: Creates a pool of money that can be used to pay off borrowed money.
- Wealth Replacement: Used with many charitable gifting programs to replace, for heirs, the value of estate assets that were gifted to charity.
- Gift Creation: Used to create a significant donation to charity at death or during life.
- Gift Leverage: Used to maximize the eventual charitable donation at the death of the insured.
Although often mistakenly viewed as a price-only decision, the long-term nature of life insurance necessitates careful consideration in the selection of the insurance carrier, the product type, and the insurance professional to represent you and interact with your heirs. When purchasing life insurance, some questions to consider include:
- Does the insurance professional have a business succession plan that provides for continued service after the retirement or death of the original agent?
- Does the insurance professional have sufficient experience to adequately meet your needs?
- Does the insurance professional have any influence with the carrier selected?
- Is the carrier financially sound?
- Does the carrier have a history of equitable treatment of existing policyholders?
- Will the service levels provided by the carrier satisfy your requirements?
- Will the product be able to adapt to changes in your personal and financial goals or situation?
- Are the pricing assumptions of the product economically sound?
- If a term purchase, what products may be converted?
Issues such as the ones above highlight the power of M Financial Group. As an M Member Firm we are active members of a community of leading professionals in the life insurance business. The collective buying power of M Financial often allows us to utilize a more favorable pricing experience than off-the-shelf products and to garner unique service considerations. These and other advantages through M Financial make the selection of an M Member Firm as your representative a prudent choice. Please go to www.mfin.com/DisclosureStatement for further details regarding this relationship.