QLAC RMD Tax Reduction

Lower your client’s taxes and increase their overall retirement income using the new IRS rules on QLAC!

If you’ve checked out our educational section, you will find a white paper discussing Qualified Longevity Annuity Contracts and the exciting new IRS rules regarding QLAC. Here are some of the practical advantages:

1. Lower tax bill for several years
2. Avoid “bracket creep”
3. More assets at age 85 that traditional treatment of qualified money (see math here)
4. Never outlive assets
5. Clients get to enjoy retirement during their most active retirement years by freeing up Non-Qualified assets to actually be used for the travel and activities they’d otherwise bypass in their worries about qualified money being spent down through RMDs.

Additionally, besides using the new IRS rules to assist your current clients who don’t like being forced to take RMDs, use this concept to gain brand new clients without having to prospect too hard!

How to use QLAC to expand your client base. Do you have relationships with CPAs? Be a hero to them by discussing how the IRS allows seniors to shield up to 25% of their Qualified IRA/401k money from RMDs all the way out to age 85. Every year accountants have clients upset at the tax bill on their RMDs. You know how excited CPAs can get when they find a way to save clients on their taxes! So, start off your conversation with one simple question: “What if I could save your clients 25% on their RMD tax bills from now until they turn 85?” Do you see them funneling clients your way? Think about not just the extra annuity business, but Assets Under Management, MoneyGuard/LTC, or life sales with these brand new clients with whom you’ve never had a previous relationship. Get your accountant friends excited about saving their clients taxes on one of the biggest sources of taxation aggravation among seniors and watch them feed you new clients!

Check out these articles, FAQs, and home office pieces to get up to speed, then call us to discuss a plan of action.

〉 Curtis Cloke DIAs & QLACs What the new Treasury regulations mean for ad (PDF)
〉 QLAC AIG Client Piece (PDF)
〉 QLAC AIG FAQ For Professionals (PDF)
〉 QLAC AIG FAQ (PDF)
〉 QLAC Minimize RMD Income (PDF)
〉 QLAC White Paper (PDF)
〉 QLAC Basics (PDF)
〉 QLAC Lincoln Offering Q&A (PDF)
〉 Retire Without Reducing Social Security Benefits (PDF)