If you have come up against a competitor pitching a Split Funded Defined Benefit Plan and didn’t know how to come out on top you are not alone. While the concept of this Cash Balance Life Insurance Plan strategy is fairly straightforward, explaining it with confidence to emphasize the key tax-saving and cash growth advantages takes in-depth knowledge of how to achieve the maximum benefits. To test your grasp of these DB plans, and to see if you would benefit from partnering with our firm, and our decades-long design expertise on winning plans for tens of thousands of clients, ask yourself the following questions:
- Do you fully understand the benefits and features of a Split Funded (Insured) plan vs. an Uninsured plan?
- Have you passed up on cases with larger multi-partner firms with many employees because you thought or were told that they are not good prospects for Split Funded DB Plans?
- Have you lost cases because in a partnership, LLC, LLP, S-corp., C-corp. not all partners, stockholders, or family members wanted to participate so they rejected the deal?
- Do you think plans don’t work unless the owner’s salary is very high and constant for 5 or more years?
- Were you told that contributions to the plan are not adjustable and this perceived inflexibility scared the client?
- Do you lose insured pension cases to TPAs who don’t understand them and therefore push uninsured plans?
- Are you not able to effectively communicate the plan exit strategies for the insurance product?
- Have you been reaching for less tax-advantaged programs to fill the void?
- If a Split Funded DB Plan is not appropriate for a certain client, are you able to effectively pivot from a qualified plan conversation to a non-qualified strategy?
Be honest with yourself. Many Advisers are not life insurance specialists and sometimes need a boost from a firm like ours to bring that added resource. We don’t win them all but our track record speaks for itself. We help you overcome objections with solid answers and real solutions to motivate your high net worth client to action. We even help CPAs understand and get on board. Call us to discuss cases you couldn’t sell yourself. You have not seen designs like ours. Here’s the deal: you bring the prospect; we bring the design talent. The timing, at the start of Q4, couldn’t be better. [email protected].
cash balance plans, cash value life insurance, DB plans, Indexed Universal Life, IUL, overcome obstacles, PensionQuote, split dollar defined benefit plan, tax advantaged plans, tax free income, tax free retirement plans