Tax Free Life Insurance
One thing you will never regret when getting life insurance protection is to make sure you are getting life insurance that is tax free for your loved ones for your beneficiaries when you die.
It’s the type of life insurance that you have or that you’re getting that determines if it is tax free insurance.
If you get a universal-holder life insurance policy that is going to potentially grow, the cost will actually increase on those policies if that’s a policy that’s going to grow in the face amount.
With universal life insurance, you pay a monthly fee that splits into two parts: One covers life insurance and the other goes into savings and investment. It’s meant to be more flexible by allowing you, the policy holder, to choose how much premium you pay within a certain range.
It’s going to grow in the face amount. It’s going to grow and you’re very likely going to see some tax for your loved ones.
Standard Life Insurance Policies Are Tax Free
If you’re going with a standard, typical whole life insurance package or your typical term life insurance, any term life insurance package, those will not be taxed. Also, there’s no tax write off on your payments so it’s not taxed on either side.
So plan ahead with that. Feel free to verify with your accountant, your CPA, bookkeeper, whoever does that work for you.
But, with your term life insurance policies, whether they are return of premium or whether they’re not, whether they’re just your run of the mill normal policies, mortgage protection policies, there is no taxation and no tax.
Again, also with your typical whole life insurance, permanent life insurance policy, the typical burial insurance policies, those will not be taxed.
The one thing that you just need to verify is if your policy is a universal whole life insurance policy or not.
Learn More About Tax Free Life Insurance
Of course, if you’d like to get a policy, that’s where we really shine. So just give us a holler and we’ll help you out however we can.
We hope this has been helpful. If you have any other questions, reach out to us.
Please just reach out. The best way is to send us an email or call us. You can email us at firstname.lastname@example.org or you can call our office at (928) 323-0933. And you can ask a question requests that there’s a video for it, and we’ll be happy to do that.