{"id":842,"date":"2018-05-17T17:37:19","date_gmt":"2018-05-17T17:37:19","guid":{"rendered":"http:\/\/www.himmelsteinfinancial.com\/?p=842"},"modified":"2018-05-17T17:37:19","modified_gmt":"2018-05-17T17:37:19","slug":"tax-leveraged-supplemental-retirement-income","status":"publish","type":"post","link":"https:\/\/staging.himmelsteinfinancial.com\/index.php\/tax-leveraged-supplemental-retirement-income\/","title":{"rendered":"Tax Leveraged Supplemental Retirement Income"},"content":{"rendered":"

<\/p>\n

There is an opportunity for your company to pay for a Supplemental Retirement plan which may be leveraged between different tax brackets, either between your company and yourself and\/or your company and a key employee.\u00a0 We designed a solution for business members which allows for a transfer of capital from the corporation with limited tax implications, thus, providing substantial benefits that are very lightly taxed to either the business owner, as a participant, or a key employee.<\/p>\n

There must be a separation of tax brackets or entities in order for the full benefits to be realized.\u00a0 One also needs a life insurance contract which can defer the income for the owner and\/or employee.\u00a0 The life insurance contract is the vehicle which makes this possible.<\/p>\n

Additional appropriate questions<\/p>\n

    \n
  1. Is it more important for the business to get their money back or to have whatever it spends as premium as a write-off?<\/li>\n
  2. Does the business want any type of vesting schedule or does the employee have to be completely vested to receive the benefit (golden handcuffs)?<\/li>\n
  3. Is the business or participant most interested in\u00a0potential retirement income?<\/li>\n
  4. Are there any real health challenges in the proposed participants that they are aware of?<\/li>\n
  5. Does the business have any specific agreements or contracts it wants to fulfill with these contracts? (Buy Sell Succession, Key Man, Deferred compensation, Estate Liquidity for owners)<\/li>\n<\/ol>\n

    What will the Business Accomplish by establishing a plan?<\/p>\n

      \n
    1. Defers income for a owner or key employee.<\/li>\n
    2. Differentiation from other businesses that have not made any plans.\u00a0 This makes it more attractive to employees as well.<\/li>\n
    3. Potential Golden Handcuffs<\/li>\n
    4. Turning lesser taxed business dollars to lightly or tax-free dollars to the participants in the form of benefits at their higher tax bracket personally<\/li>\n
    5. Potential no out of pocket costs to the business<\/li>\n
    6. Opportunity to leverage the corporate dollar to get a substantial write-off<\/li>\n
    7. A method of insuring that agreements and obligations will be met.<\/li>\n<\/ol>\n<\/div>\n

       <\/p>\n","protected":false},"excerpt":{"rendered":"

      There is an opportunity for your company to pay for a Supplemental Retirement plan which may be leveraged between different tax brackets, either between your company and yourself and\/or your company and a key employee.\u00a0 We designed a solution for business members which allows for a transfer of capital from the corporation with limited tax […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"spay_email":""},"categories":[1],"tags":[],"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"jetpack_shortlink":"https:\/\/wp.me\/pdUwpZ-dA","jetpack-related-posts":[{"id":791,"url":"https:\/\/staging.himmelsteinfinancial.com\/index.php\/tax-leveraging-the-new-tax-law\/","url_meta":{"origin":842,"position":0},"title":"Tax leveraging the new tax law","date":"04\/03\/2018","format":false,"excerpt":"Tax leveraging the new tax law Under the new tax structure, businesses may elect to be taxed at a lower rate than individuals that own them. Many owners and their key people may be personally taxed as much as 37% federally.\u00a0 Even this new rate can be a misnomer because\u2026","rel":"","context":"Similar post","img":{"alt_text":"","src":"https:\/\/i0.wp.com\/gallery.mailchimp.com\/98ad10abd4ba836a05eaa66a0\/images\/c48dc069-7894-485b-978a-1452acb7403c.jpg?resize=350%2C200&ssl=1","width":350,"height":200},"classes":[]},{"id":829,"url":"https:\/\/staging.himmelsteinfinancial.com\/index.php\/tax-leveraged-life-insurance\/","url_meta":{"origin":842,"position":1},"title":"Tax Leveraged Reduced Cost Life Insurance","date":"05\/08\/2018","format":false,"excerpt":"There is an opportunity for your company to pay for Reduced Cost Life Insurance which may be leveraged between different tax brackets, either between your company and yourself and\/or your company and a key employee.\u00a0 At Himmelstein Financial, we design a solution for business members which allows for a transfer\u2026","rel":"","context":"Similar post","img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.himmelsteinfinancial.com\/wp-content\/uploads\/death-benefit-split-dollar-1.jpg?resize=350%2C200","width":350,"height":200},"classes":[]},{"id":795,"url":"https:\/\/staging.himmelsteinfinancial.com\/index.php\/tax-leveraged-long-term-care-plan\/","url_meta":{"origin":842,"position":2},"title":"Tax Leveraged Long-term Care Plan","date":"04\/06\/2018","format":false,"excerpt":"There is an opportunity for your company to pay for a Long-Term Care policy which may be leveraged between different tax brackets, either between your company and yourself and\/or your company and a key employee.\u00a0 The Himmelstein Financial, in cooperation with Lincoln Financial, designed a solution for business members which\u2026","rel":"","context":"Similar post","img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.himmelsteinfinancial.com\/wp-content\/uploads\/Tax-Leveraged-LTC-SPlit-Dollar-Plan-300x232.jpg?resize=350%2C200","width":350,"height":200},"classes":[]},{"id":622,"url":"https:\/\/staging.himmelsteinfinancial.com\/index.php\/the-deductible-insurance-policy\/","url_meta":{"origin":842,"position":3},"title":"The Deductible Insurance Policy","date":"02\/16\/2017","format":false,"excerpt":"Many an advisor or agent has asked me about tax deductibility of premiums when in fact that could change some of the best attributes of the 4 way tax shelter or the Super Roth for the higher compensated person.\u00a0 That is right other than the insurance costs which over\u00a0a long\u2026","rel":"","context":"Similar post","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":786,"url":"https:\/\/staging.himmelsteinfinancial.com\/index.php\/professional-tax-relief-act-of-2018-reap-the-rewards\/","url_meta":{"origin":842,"position":4},"title":"Professional Tax Relief Act of 2018 Reap the Rewards","date":"03\/27\/2018","format":false,"excerpt":"These are exciting times because for the first time in years there are tax breaks that a professional can get that they didn\u2019t have available before.\u00a0 The unintended consequences of the recent tax act gave opportunity to the professional person that fits in the category if they wanted to be\u2026","rel":"","context":"Similar post","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":129,"url":"https:\/\/staging.himmelsteinfinancial.com\/index.php\/advisors\/","url_meta":{"origin":842,"position":5},"title":"25 Items Advisors Need","date":"05\/11\/2016","format":false,"excerpt":"25 Items Advisors Can Find Opportunities with Their Clients and Look like a Hero at the Same Time If you read this and it sparks attention please don\u2019t be afraid to call or email. Waiting or talking RMDs only at retirement. If they hate paying taxes now they will hate\u2026","rel":"","context":"Similar post","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]}],"_links":{"self":[{"href":"https:\/\/staging.himmelsteinfinancial.com\/index.php\/wp-json\/wp\/v2\/posts\/842"}],"collection":[{"href":"https:\/\/staging.himmelsteinfinancial.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/staging.himmelsteinfinancial.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/staging.himmelsteinfinancial.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/staging.himmelsteinfinancial.com\/index.php\/wp-json\/wp\/v2\/comments?post=842"}],"version-history":[{"count":1,"href":"https:\/\/staging.himmelsteinfinancial.com\/index.php\/wp-json\/wp\/v2\/posts\/842\/revisions"}],"predecessor-version":[{"id":843,"href":"https:\/\/staging.himmelsteinfinancial.com\/index.php\/wp-json\/wp\/v2\/posts\/842\/revisions\/843"}],"wp:attachment":[{"href":"https:\/\/staging.himmelsteinfinancial.com\/index.php\/wp-json\/wp\/v2\/media?parent=842"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/staging.himmelsteinfinancial.com\/index.php\/wp-json\/wp\/v2\/categories?post=842"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/staging.himmelsteinfinancial.com\/index.php\/wp-json\/wp\/v2\/tags?post=842"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}