When it comes to life insurance as an investment, think about buying it “for your child” not on your child.
Whatever your child’s future holds, participating whole life insurance grows with them. It
provides access to cash value they can use to help fund their education, purchase and home, start a business, supplement their retirement income, or eventually provide for their own family’s financial wellbeing.
Permanent whole life insurance could be one of the smartest investments you make for your child’s future.
Let’s look at an example:
BUY: - First things first, you will purchase a whole life policy from Volpe Financial Solutions - Let’s say premiums are $2,400/year and are paid for 20 years OUTCOME: That equals a total payment of $48,000 over the 20 years (and yes…no more premiums after 20 years - guaranteed!)
CREATE: - You have now created a stable investment with tax-advantaged growth! - As your child’s policy grows, the increased total is Guaranteed! If markets fall, it is protected. It cannot be reduced or used unless your personally authorize a withdrawal. - Investment growth is made through policy dividends, and the dividend scale interest rate reflects the investment performance of the participating account, which is smoothed to reduce volatility.
WITHDRAW: After the 20th year, your child will be able to withdraw $4,800 annually for 60 years, which equals a total cash withdrawal amount of $288,000! Or You can gift the entire cash value amount to your child, which will enable them to either carry the plan until retirement without making any more payments or withdraw the entire cash value amount on a tax preferred basis to purchase a home, car, business etc. Utilizing whole life insurance as an investment for your children’s future is a strategy we a Volpe Financial Solutions are very excited about. We’re always striving to bring valuable options to our clients to help them make more informed, beneficial decisions.
If you’d like to chat about this fantastic opportunity, we’re always available to help. You can reach us at 416 702 1017, info@volpefinancialsolutions.com, or simply fill out the form below.
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