Pension Rescue

Your clients will be shocked when they learn that their Qualified Plan assets may be subject to the highest possible taxes. You can help your clients out of one of the biggest tax traps that exist today. Q-Life offers an array of strategies to reduce your clients’ tax burden and substantially increase the after-tax net worth they transfer to the next generation.

Qualified Plan assets and the double tax dilemma

Approximately 25 percent of the total U.S. population – a total of 72,612,398 people – is between ages 58 and 92, according to the U.S. Census Bureau. Within that population, a substantial number of seniors have large amounts of money held in Qualified Plans that they do not need to provide retirement income in their retirement years.

• Qualified Plan assets left in the plan are subject to both estate taxes and income taxes, so heirs will experience significant shrinkage of the assets.
• During a lifetime, the IRS forces money out of the plans of those who don’t otherwise need those assets to live on. These taxable distributions are known as required minimum distributions (RMDs).

Specific Target Client

Pension Rescue encompasses several strategies to prevent qualified assets from losing 50 to 70 percent in value as a result of being inherited.

• High-net-worth
• Age 60 or above
• $1,000,000 or more in a Qualified Plan
• Has sufficient assets or income outside of Qualified Plan such that they do not need the money in the plan for retirement income and generally want to avoid touching it
• Wants to avoid taking required minimum distributions and paying the resulting taxes

Pension Rescue can be used with pensions, IRAs or other Qualified Plan funds. The process takes unused, unneeded Qualified Plan assets and turns them into estate-planning assets and uses leverage to maximize the amount of insurance and minimize client outlay.

Q-Life offers tools and techniques that will help you teach your high-net-worth clients the latest options to solve this very solvable problem. Many solutions are new, proprietary and little understood by most producers at this time. In addition, our national network of joint work professionals can assist producers and advisors who don’t want to go it alone.