These are ways and options to be able to have tax free money, many clients also want to leave a legacy behind. For some clients these fees make sense, would they prefer paying the amount in taxes or in life insurance. Insurance also doesnt fit in everyones planning.
I do both. I have ETFs that pays monthly then use the life insurance whole life for when the market tanks. Its 2 hedges for the price of one: life & liquidity when there is none 😊
Very mis-leading video and especially wrong that it is only right "if you have a lot of money". Let's start with how much is a "lot of money"? Who gets to define that? You? Without the knowledge of someone else's financial situation you have no clue if this is right or not. Whole-Life insurance is absolutely a great financial 'vehicle' IF designed properly for maximum cash value to be used with the infinite banking concept. But term insurance (20 year level pay) is the way to go IF the only thing your concerned about it the death benefit. PS.. I don't sell insurance. Just someone who has done their homework over the course of 72 years of living. Those who take this as 100% accurate need to do their own homework. Research IBC wholelife insurance.
1. Whole life and IUL’s are different types of policies. 2. IUL’s are not investments, they’re life insurance with cash value accounts that mirror the market. 3. IUL’s can be very affordable if they’re structured right. Low death benefit to maximize cash value.
Life insurance is bot an investment. First and foremost it is a death benefit. There are only 2 types of life insurance: term and perm. The rest is life insurance products.
She’s wrong, I have 2 whole life insurance policies and none of them cost me anything near 8k annually. I pay closer $1400 a year; 😊😊anything extra is put into an investment account to earn compound interest tax free. Please do your own due diligence before you listen to these self proclaimed experts.
This is accurate the average cost is $500 and up for whole life insurance depending on your coverage but it is a great investment tool if you have the means
Fot whole life etc, your payments get split between the insurance, cash value, and huge fees (and the first few years of the policy is just pure fees without adding to the cash value at all). And you can only ever have either the cash value or the insurance (via your family getting the pay out). If you're family gets the insurance, the company pockets the cash value. If you borrow against the cash value, that gets taken away from the insurance. So you pay for two things and only actually get one. You could instead by term (for way cheaper than the whole life insurance payment) and put the difference into almost anything else (and also pay way less in fees), and the end amount youll have will be way higher. A lot of other things will also get you a higher interest rate
The problem with this kind of advice—also peddled by Dave Ramsey and his types—is that most people will NOT invest the so-called difference. They will also miss out on locking in permanent life insurance—which can also be designed to include other safety net riders such as critical care and/or illness—at a younger age, especially while you are healthy. The future is inherently unpredictable and therefore whole life insurance is meant to provide a cushion for you later in life.
In comparing the returns, she didn't consider taxes. Life insurance growth and payouts are tax free where as you'd pay capital gains taxes on the stock investment she suggested. You just gotta do the numbers for your situation … no rule of thumb should be used.
Insurance broker here. I sell Life Insurance and we have to do a financial review of your debt and how your family can proceed to live without your income. Life Insurance is not meant to be investment but there is a cash value account that helps you grow money over time. The people online selling permanent life insurance do have correct information but it is only correct information to some people. There's more, idk who is reading this but I hope it helps.
No, she is scamming you don’t listen to anything that she says I am a life insurance representative and I represent buying term and investing the difference just because it is much better in the long run
higher returns in the stock market means higher taxes and will have fees. If market crashed , money crash. Life insurance , i die , whoever gets all that money, get it tax free.
Please stop! Buy Whole Life or other permanent life insurance if you want to GUARANTEE some cash to someone at a future date. Stocks and Mutual Funds and other securities were not designed to GUARANTEE anyone anything. While there are some in my industry who present permanent life insurance as an investment, there are others like me who do not. An investment can be defined as an outlay of cash for a return or a profit and that definition can make life insurance a bad investment compared to stocks and mutual funds. That definition can also make stocks and mutual funds bad life insurance because they do not provide the one thing that separates life insurance from other financial instruments: a GUARANTEED Income Tax Free pay out to Beneficiaries one day! (there are some instances where it may not be income tax free, but that is usually in a unique setting). Permanent Life insurance supports and protects an investment portfolio. It is not a replacement nor a competitor. Buy the life insurance product that fits your strategy because there is no one size fits all life insurance. I'll stop here, but there's more you said that I disagree with.
Ummmm….except stocks aren’t guaranteed payout. Whole life insurance is…. So you’re gonna take the risk of ending with nothing at all with stocks. How is that better? Please explain. Also, premiums go by age and health, so what age and health are you talking about in this video? That price is pretty high which means it’s probably someone that waited to get life insurance until they were much older. So this is not factual. Sorry.
90% of term life never pay out. its good when you have a MGT and other HUGE debts like AUTO and SL's. a 30 years will only last 30 years some when your 65 it expires and it doesn't pay out. whole life final expense never expires so when your 75 or 80 your be paying a life insurance like your 35, is its super cheap(depends what age you get it) I got IULs for my babies 1400 a year when they are 60 that policy pays 4Ms
You forget one important thing, stock market is risky & taxed on capital gains, government doesn’t care if you win or lose, you need to pay taxes, stop making videos that are half truth, educate people correctly, just to get some likes & grow your channel stop using public life this, educate properly & fully without wanting to gain anything
Whole life Insurance has never been an "Investment" for me. It's guaranteed growth which is tax free that saves me all the interest on purchases and investments that also has a life benefit to that I'll actually one day leave to my family. Whereas term life is a money giveaway. Term life pays out less than 2% of the time. Please show me where that's incorrect
Both forms of investing only make sense if you properly managed your expense and eliminated debt. Difficult to by a whole life policy or invest in the stock market if you have debtors and your expenses are out of control.
Here’s what Vivian gets wrong—and it’s the SAME mistake some whole life agents also make!
Whole life does NOT have an “investment component,” nor is it an “investment” at all.
Whole life has a SAVINGS component which should be evaluated as a cash equivalent and compared with assets such as CDs, MYGAs, or treasuries.
It should not be compared with the stock market, nor should stock investments be compared with it. (Apples and oranges is an understatement!)
Whole life cash value is at zero risk, can be leveraged collateralized to 90-95%, has protections against creditors and predators (far better than banks, varies by state).
It also (often) comes with useful riders that allow it to provide disability benefits and benefits for chronic, specified, and terminal illnesses. If you are diagnosed with a terminal illness, you get access to much of your death benefit while you are still alive. (You can gift it to beneficiaries, travel if you are well enough, or even seek alternative treatments not covered by insurance.)
Where it comes into play as an “investment” is when people build enough cash value to leverage their policy to make investments, such as a down payment on a rental property, or using arbitrage to earn a higher rate than the policy loans costs.
After the costs and commissions—including the mortality cost of the life insurance component—a well-designed whole life policy earns around 4 percent annualized gains over time, sometimes more—IF the agent knows how to combine whole life with a term rider and maximum PUAs (paid-up additions).
The savings return is usually more than what banks are paying, plus the additional benefits make it one of the best choices for long-term savings.
However, it is NOT a short-term savings solution. There’s little point owning it for 5 or 10 years. (Just buy term!)
The risk of “buy term and invest the difference” is that too many young families buy term and SPEND the difference instead! Whole life is helpful for establishing a financial foundation, for establishing protection and liquidity. It’s a “self-funding” savings plan that ensures that if you start saving for a child (or grandchild’s) college tuition, your plan cannot fail if something happens to you. The life insurance company will complete what you started.
Life insurance is literally the asset created to pass legacies onto beneficiaries, spouses and children, with no probate or taxes.
And you don’t have to be wealthy to use it. I’ve known families that got their teenagers saving with it (sometimes the parents gave the policy a head start). 10 years later, the kids were young adults borrowing against the policy for a down payment on their first home.
But it’s NOT an investment. It’s just silly to compare it with the stock market. At the very least, compare it to the bond or cash portion of a diversified portfolio.
(End of polite rant. And ICYW, I don’t sell life insurance, but I’ve helped write 4 books on it. And I know the best person to design a policy right for maximum cash value!)
And what about the iul?
These are ways and options to be able to have tax free money, many clients also want to leave a legacy behind. For some clients these fees make sense, would they prefer paying the amount in taxes or in life insurance. Insurance also doesnt fit in everyones planning.
Spot on. Keep going!
And when the stock you have your money on gets on fire and loses your money, what do you do?
I do both. I have ETFs that pays monthly then use the life insurance whole life for when the market tanks. Its 2 hedges for the price of one: life & liquidity when there is none 😊
Very mis-leading video and especially wrong that it is only right "if you have a lot of money". Let's start with how much is a "lot of money"? Who gets to define that? You? Without the knowledge of someone else's financial situation you have no clue if this is right or not. Whole-Life insurance is absolutely a great financial 'vehicle' IF designed properly for maximum cash value to be used with the infinite banking concept. But term insurance (20 year level pay) is the way to go IF the only thing your concerned about it the death benefit. PS.. I don't sell insurance. Just someone who has done their homework over the course of 72 years of living. Those who take this as 100% accurate need to do their own homework. Research IBC wholelife insurance.
Wrong. This chick is a stockbroker.
Stupidest video yet….Vivian is given the worst advice to us all and nothing to back it.
👏👏👏👏👏
What if it’s max funded dear?????
1. Whole life and IUL’s are different types of policies.
2. IUL’s are not investments, they’re life insurance with cash value accounts that mirror the market.
3. IUL’s can be very affordable if they’re structured right. Low death benefit to maximize cash value.
Life insurance is bot an investment. First and foremost it is a death benefit. There are only 2 types of life insurance: term and perm. The rest is life insurance products.
Correct. OR if you are a senior whose family needs insurance when you pass where TERM is not an option.
She’s wrong, I have 2 whole life insurance policies and none of them cost me anything near 8k annually. I pay closer $1400 a year; 😊😊anything extra is put into an investment account to earn compound interest tax free. Please do your own due diligence before you listen to these self proclaimed experts.
Term life cancels. Doesn’t matter what you pay or what you get….policy is likely gone when needed.
This is accurate the average cost is $500 and up for whole life insurance depending on your coverage but it is a great investment tool if you have the means
You can borrow against your cash value life insurance and invest in the stock market.
Wow- this is all wrong lol
Fot whole life etc, your payments get split between the insurance, cash value, and huge fees (and the first few years of the policy is just pure fees without adding to the cash value at all). And you can only ever have either the cash value or the insurance (via your family getting the pay out). If you're family gets the insurance, the company pockets the cash value. If you borrow against the cash value, that gets taken away from the insurance. So you pay for two things and only actually get one. You could instead by term (for way cheaper than the whole life insurance payment) and put the difference into almost anything else (and also pay way less in fees), and the end amount youll have will be way higher. A lot of other things will also get you a higher interest rate
The problem with this kind of advice—also peddled by Dave Ramsey and his types—is that most people will NOT invest the so-called difference. They will also miss out on locking in permanent life insurance—which can also be designed to include other safety net riders such as critical care and/or illness—at a younger age, especially while you are healthy. The future is inherently unpredictable and therefore whole life insurance is meant to provide a cushion for you later in life.
In comparing the returns, she didn't consider taxes. Life insurance growth and payouts are tax free where as you'd pay capital gains taxes on the stock investment she suggested. You just gotta do the numbers for your situation … no rule of thumb should be used.
How about LIRP?
Tax free, i can borrow against it for projects or business investment
Insurance broker here. I sell Life Insurance and we have to do a financial review of your debt and how your family can proceed to live without your income. Life Insurance is not meant to be investment but there is a cash value account that helps you grow money over time. The people online selling permanent life insurance do have correct information but it is only correct information to some people. There's more, idk who is reading this but I hope it helps.
No, she is scamming you don’t listen to anything that she says I am a life insurance representative and I represent buying term and investing the difference just because it is much better in the long run
higher returns in the stock market means higher taxes and will have fees. If market crashed , money crash. Life insurance , i die , whoever gets all that money, get it tax free.
Please stop! Buy Whole Life or other permanent life insurance if you want to GUARANTEE some cash to someone at a future date. Stocks and Mutual Funds and other securities were not designed to GUARANTEE anyone anything. While there are some in my industry who present permanent life insurance as an investment, there are others like me who do not. An investment can be defined as an outlay of cash for a return or a profit and that definition can make life insurance a bad investment compared to stocks and mutual funds. That definition can also make stocks and mutual funds bad life insurance because they do not provide the one thing that separates life insurance from other financial instruments: a GUARANTEED Income Tax Free pay out to Beneficiaries one day! (there are some instances where it may not be income tax free, but that is usually in a unique setting). Permanent Life insurance supports and protects an investment portfolio. It is not a replacement nor a competitor. Buy the life insurance product that fits your strategy because there is no one size fits all life insurance. I'll stop here, but there's more you said that I disagree with.
Listen to how bad this is. I have put in $14K to date in a IUL and the cash value is $1,900, 😳🤯😭😭
Your wisdom “can” be true, but is not “ necessarily” true
Ummmm….except stocks aren’t guaranteed payout. Whole life insurance is…. So you’re gonna take the risk of ending with nothing at all with stocks. How is that better? Please explain. Also, premiums go by age and health, so what age and health are you talking about in this video? That price is pretty high which means it’s probably someone that waited to get life insurance until they were much older. So this is not factual. Sorry.
Is there a market for Final Expense life insurance and why? How long is Whole Life designed to be in place?
Don't listen to her i started my business with whole life insurance and paid my house off with it as well.
90% of term life never pay out. its good when you have a MGT and other HUGE debts like AUTO and SL's. a 30 years will only last 30 years some when your 65 it expires and it doesn't pay out. whole life final expense never expires so when your 75 or 80 your be paying a life insurance like your 35, is its super cheap(depends what age you get it) I got IULs for my babies 1400 a year when they are 60 that policy pays 4Ms
You forget one important thing, stock market is risky & taxed on capital gains, government doesn’t care if you win or lose, you need to pay taxes, stop making videos that are half truth, educate people correctly, just to get some likes & grow your channel stop using public life this, educate properly & fully without wanting to gain anything
Whole life Insurance has never been an "Investment" for me. It's guaranteed growth which is tax free that saves me all the interest on purchases and investments that also has a life benefit to that I'll actually one day leave to my family. Whereas term life is a money giveaway. Term life pays out less than 2% of the time. Please show me where that's incorrect
Lack of knowledge confuse people
This young lady is correct. Buy term, invest the difference you saved by not buying universal/whole life type insurance.
Is not an investment, it's a wealth planning and tax planning mechanism
Ok, so then investments would be better than insurance…got that disappointing…I understood it differently 🤔
Both forms of investing only make sense if you properly managed your expense and eliminated debt. Difficult to by a whole life policy or invest in the stock market if you have debtors and your expenses are out of control.
This BFF , is BS , she's just want to keep her audience broke and use her fake work at wall street to prove it !!!
Here’s what Vivian gets wrong—and it’s the SAME mistake some whole life agents also make!
Whole life does NOT have an “investment component,” nor is it an “investment” at all.
Whole life has a SAVINGS component which should be evaluated as a cash equivalent and compared with assets such as CDs, MYGAs, or treasuries.
It should not be compared with the stock market, nor should stock investments be compared with it. (Apples and oranges is an understatement!)
Whole life cash value is at zero risk, can be leveraged collateralized to 90-95%, has protections against creditors and predators (far better than banks, varies by state).
It also (often) comes with useful riders that allow it to provide disability benefits and benefits for chronic, specified, and terminal illnesses. If you are diagnosed with a terminal illness, you get access to much of your death benefit while you are still alive. (You can gift it to beneficiaries, travel if you are well enough, or even seek alternative treatments not covered by insurance.)
Where it comes into play as an “investment” is when people build enough cash value to leverage their policy to make investments, such as a down payment on a rental property, or using arbitrage to earn a higher rate than the policy loans costs.
After the costs and commissions—including the mortality cost of the life insurance component—a well-designed whole life policy earns around 4 percent annualized gains over time, sometimes more—IF the agent knows how to combine whole life with a term rider and maximum PUAs (paid-up additions).
The savings return is usually more than what banks are paying, plus the additional benefits make it one of the best choices for long-term savings.
However, it is NOT a short-term savings solution. There’s little point owning it for 5 or 10 years. (Just buy term!)
The risk of “buy term and invest the difference” is that too many young families buy term and SPEND the difference instead! Whole life is helpful for establishing a financial foundation, for establishing protection and liquidity. It’s a “self-funding” savings plan that ensures that if you start saving for a child (or grandchild’s) college tuition, your plan cannot fail if something happens to you. The life insurance company will complete what you started.
Life insurance is literally the asset created to pass legacies onto beneficiaries, spouses and children, with no probate or taxes.
And you don’t have to be wealthy to use it. I’ve known families that got their teenagers saving with it (sometimes the parents gave the policy a head start). 10 years later, the kids were young adults borrowing against the policy for a down payment on their first home.
But it’s NOT an investment. It’s just silly to compare it with the stock market. At the very least, compare it to the bond or cash portion of a diversified portfolio.
(End of polite rant. And ICYW, I don’t sell life insurance, but I’ve helped write 4 books on it. And I know the best person to design a policy right for maximum cash value!)