Paul Pent & Associates - Retirement Planning by Intelligent Design

Let us help you save for retirement, reduce taxes, maximize your Social Security, and avoid wasteful financial fees.

Latest from Our Financial Insight Blog

Turn Your taxable IRA into a Tax-Free Benefit for Anyone

Turn Your taxable IRA into a Tax-Free Benefit for Anyone

 

 

The IRS is looking forward to taking their portion of your IRA. Even if you plan on using your IRA as little as possible. At age 70.5 all owners of IRA’s have to withdraw what is known as their “Required Minimum Distribution”. If you die and gift your IRA to a spouse, the IRS will continue to tax your money, and if you don’t have a spouse to bequeath it to, the IRS likes that even more. They’ll tax the whole amount all at once as regular income. In a situation like the latter, your IRA will be worth only abut 65% of it’s original value upon your death.

 

 

Say you were to pass away and leave your kids, loved one, or charity an IRA worth $500,000. The IRS will gladly take approx. $175,000. (That’s assuming taxes do not continue to go up.)

 

 

There is a way to gift your whole IRA without slapping someone with a giant tax bill. We call it a “Pension Funded Irrevocable Life Trust”. Here’s how it works:

 

  1. We shop for the highest pay-out pension/annuity on the market backed by a pre-qualified pension/annuity company.
  2. The IRA transfers (non-taxable event) to the pension/annuity company.
  3. The annuity company pays payments for the owners life to the IRS and…
  4. …funds an irrevocable life trust that is activated upon death of the owner.
  5. The beneficiary of the trust will receive the original balance of the IRA, TAX FREE.

 

 

This is not a difficult process if enacted properly. Here was a recent case based on a 75 year old male, in mediocre health, and a $500,000 IRA. 

 

  1. We found him the company that would pay the highest lifetime pension.
  2. The IRA was directly transferred to the annuity company.
  3. The annuity now directs a portion of the payment to the IRS and…
  4. …an irrevocable life trust. 
  5. The beneficiary (his son) will receive $500,000 TAX FREE. 

 

 

If you have any questions and would like to stop paying unnecessary taxes, or would like to see how this could work for you, call us at 1-904-460-1100

or you can call me directly at 904-540-4913

 

Sincerely 

Philip Pent

Skip the Free Meal Seminar

If you are in or near retirement you've probably received an invitation to a "Free Meal" seminar. This is where you can get a free piece of chicken or steak and then you watch a slide show about all the latest financial products...yawn...

We've taken all the hastle out. You can skip the "Free Meal Seminar" and save yourself the agony. Go to paulpentpresents.com

There you will find all the resources you need in order to complete an anxiety free retirement. 

Watch and set up your free consultation this month and we'll send you a copy of our new book: "The Financial Second Opinion to a Better Retirement."

click here: paulpentpresents.com

How to order your “Online Financial Second Opinion”

How to order your free online financial second opinion..see an example of our safe and proven way to fund retirement.

See our video by clicking here: "Retiring for Half: Example Financial Second Opinion"