A reader suggested a post dealing with two of his concerns with purchasing a Life Insurance Policy. These concerns were the same as many of my clients had. So let’s discuss them.

His first concern was that the insurance company could “jack” up the fees once the policy was in place. There are limits put in place on the amount of fees insurance companies are allowed to charge and there are contractual limits. Now, first off I need to point out that with Minnesota Life they have never increased the fees associated with a life policy on policy owners since at least WWII. So, even though they could increase some of them, they never have [the exception is insurance charges]. The reason they haven’t is pretty simple, they manage their risk well and have never found themselves in the position of having to make up for poor reserve management by extracting more money from their policy owners.

There are several classifications of “fees.” [Read more...]

My mom always told me I liked to do things the hard way and by now I understand she was right! I could be selling mutual funds to folks and call it financial planning but nooooo, I need to be a little different and really help people get their retirement on the right track. But that means dealing with a lot of roadblocks both psychological and other.

Most people are happy to just go along with what everyone else is doing and hope it all works out well. So they let Wall Street and the government plan their retirement. How do you think that will work for them? Haven’t we seen exactly who Wall Street cares about? And the government, however well-meaning, would be the last folks I let plan my retirement. [Read more...]

Many of my clients are curious about the historic returns inside the EIULs I sell.
So I thought the readers would appreciate this historical analysis and history.

The first analysis looked at 30 years of historic data.  That ran 20 year and 1 year rolling month analysis. This means they looked at all the possible 20 year and 1 year returns starting every month for the last 30 years.  

This assumed the current 15% cap. [Read more...]

Um, that’d be yours truly. No big deal, as I confused the first and second parts of a series written by John Park, my in-house self-directed IRA/401k expert. I’ll be publishing Part I tomorrow.

Meanwhile, here are a couple suggestions for some reading.

Many ask what I think is of paramount importance, and my stock answer is the combination of the client’s comfort zone and cash reserves. I began calling those reserves a ‘Sominex Account’ which is an OldSchool version of Ambien, a sleeping pill. Get it? The cash reserves let you sleep at night? Yeah, I know, kinda lame. But it does get the point across. You may wanna type Sominex in the search box to read a post or two on the topic.

I’d suggest you do the same for the words, Strategy, EIUL, and Asset Protection.

There, I don’t feel like such a TechTard now.

I’ll still need a fix tomorrow, so call me, will ya? My number is 619 889-7100. Let’s talk about you and your retirement. Have a good one.