Encore Roth IRA With Two “Funding Components”
Modified Whole Life Sold in Conjunction with a Flexible Premium Deferred Annuity (FPDA)
We Recommend initially dedicating 50% of the first year premium to the Flex Annuity Plus and the other half to the Modified Whole Life.
- Flexible Premium Deferred Annuity – “Flex Annuity Plus”
- Min Premium – $15mo.
- Max Annual Premium – $4,000
- Min guaranteed interest rate – 2%
- Current interest rate – 4%
- Can be classified as a Roth IRA
- Government Allotment Through payroll
- Modified Whole Life –
- Min premium – $25mo.
- Max Face Amount – $150,000
- Two Modifications
- 1st year life premium modifies after the first year. Premium decreases in half and remains that way for the duration of the plan. Remaining premium funds the FPDA.
- Ability to purchase paid-up policy after 10 years and then have all premium go towards FPDA.
- Death Benefit face amount modifies at age 65. Face amount decreases in half on anniversary date after proposed insured turns age 65.
- Builds cash value.