No matter what the economy does, taxes are always a key component of planning for every individual and business. Inflation is still high, but certainly lower than last year, resulting in a more modest increase in the numbers for 2024. For example, Social Security’s COLA increase is 3.2% (down from a substantial 8.7% increase last year).
This information has been around for months, but it is worth repeating. The 2024 pocket tax guide is available to you inside of the OneAmerica Financial OneSource Online portal.
It’s more than a one pager showing tax rates and what is deductible for long term care premiums. This is a pretty comprehensive guide to taxes, limits, and deductions.
Get more from your Asset Care illustrations
As you might recall, last fall OneAmerica Financial introduced the new interactive Ensight consumer presentation for Asset Care. Well, the presentation has been expanded to include a segment (or chapter) for Asset Care when being funded using the turn-key solution only available from OneAmerica Financial.
Remember, the only way to get access to the presentation is to either generate an illustration through the OneAmerica Financial OneSource Online portal or by contacting your internal sales partner at OneAmerica Financial.
To learn more about the Asset Care consumer presentation from Ensight, please contact my internal sales partner Justin Fox at (844) 658-3725 or via email at justinfox.isp@oneamerica.com
Another thing to remember, the consumer presentation can be used as a static presentation or interactively with clients. And, each presentation is unique to each illustration generated. My suggestion is that when you elect to use the dynamic interactive presentation that you are there with your client to walk them through the discussion THEN leave behind a static presentation in hard copy for them to review.
Transform Tax Deferred Growth into Tax Free LTC
I’ve shared this concept with you for years. Yet, it remains as one of the least utilized strategies for long-term care funding. All we are doing in this strategy is converting the tax-deferred growth inside of a nonqualified deferred annuity or cash value life insurance policy into tax free LTC benefits using Annuity Care.
The ideal client is someone who is 70 or older (up to age 85) with nonqualified annuities sitting on the sideline that have been earmarked as their emergency money. According to a Gallup survey, over 70% of annuity owners have designated their annuity as a health care emergency fund.
This is where a little move can make a big difference.
Consider this – in a traditional nonqualified deferred annuity, the gain is taxed as ordinary income regardless of how it is utilized. With a nonqualified deferred annuity that meets the Pension Protection Act requirements like Annuity Care, distributions when made to fund long term care support and services are tax free.
Consider the impact that this might have. A distribution from the traditional annuity could potentially move the annuitant into a higher tax bracket which could impact “means tested” benefits such as Medicare premiums.
Simply transforming tax deferred accumulation from their stagnant nonqualified deferred annuity into an annuity that can provide tax free LTC benefits could save them thousands. AND, this would not impact their current income.
Learn more about it at https://fridayswithfisher.com/million-dollar-annuity/. Or, you can contact either Justin Fox or me for more details.
Fridays with Fisher 
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