What are 7702 retirement plans – What is a 7702 retirement plan? 1-800-566-1002 . What are the best types of 7702 retirement plans and learn how you can avoid the most common mistakes that individuals have made when looking to purchase a 7702 retirement plan.

7702 Retirement Plan: The New Qualified Retirement Plan
Did you know that 7702 retirement plan is considered the new qualified retirement plan? I didn’t either until I came across a revolutionary product. Let me share some facts about traditional qualified retirement plans and how they compare to a properly structured 7702 retirement plan policy.
A qualified retirement plan according to the IRS includes 401K, individual retirement accounts (IRAs), pension plans and annuities. While the structures of these plans are good, they are not the best. Here are some known facts about retirement plans:
Retirement plan savings are accumulated tax deferred. Although the money is tax deferred, have you ever thought about what tax bracket you will be in when you retire? More than likely it will be the same bracket you are currently in or a higher bracket because of the amount of money you will need to withdraw monthly to maintain your lifestyle. Who wants to pay more taxes when they retire? Not me.
Retirement plans have a maximum contribution amount per year. Now let’s be clear that I am only speaking about retirement plans that you as the owner can contribute to. There are plans such as pensions and defined benefit plans that only an employer can make the contribution to. A 401K has a $17,000 and individual retirement accounts (IRA) have a maximum $5,000 contribution limit per year. What if you want to save more?
Retirement plans have required minimum distribution age. The Uncle Sam, wanting to keep his hand in your pockets as usual, requires that you must start making withdrawals from your retirement plan by age 70 ½, unless it is a Roth IRA. Whether you need the money or not Uncle Sam forces you to receive regular distributions based on a calculation they came up with AND you have to pay taxes on it.
Retirement plans cost you early withdrawals fees and penalties. Now suppose you need the money before you turn 59 ½, do you think you can take what you want with no problem? Nope. If you make a withdrawal before you are 59 ½ you will not only have to pay tax, but also a 10% penalty fee. But isn’t it your money?
Now let’s compare these same benefits of retirement plans to a 7702 retirement plan policy. With 7702 retirement plan policies, it includes a cash value account. This account is, in simple terms, a savings account that can be used as a retirement account. Did you know that IRS code 7702 states that you can use a retirement account as a supplement retirement account? It is truly an amazing thing. Let’s compare. 7702 retirement plan cash accounts are accumulated tax-free. That’s right tax free. Since you pay your 7702 retirement plan premium after tax, the monies allocated to your cash account are after tax. This means that if and when you decide to pull funds out of your account, you will not have to report them to the Uncle Sam.
7702 retirement plan cash accounts have a higher maximum contribution limit. I would love to tell you that you can shelter any amount of money you want in a 7702 retirement plan policy but that is no longer the case. At one point in time you in fact could do this but over the years the rules have changed. However, the great thing about this limit is that it is based on the size of your policy and how much you contribute above your premium every year. As a result, this limit can be higher than the $17,000 maximum 401K limit.
7702 retirement plan cash accounts can be withdrawn at any time. The cash accumulated in a life insurance contract can be taken out at anytime. The key is to withdraw these funds as a loan and not as a basic withdrawal. Why you ask? As a withdrawal, there is a possibility that you will have to pay taxes on the interest earned in that account. But with a loan you will not have to pay any tax. In fact you won’t even have to pay the loan back. As long as the policy is current, the loan balance will remain. In the event that the funds have to be distributed to the beneficiary, the loan balance will be deducted from the payout amount.
7702 retirement plan cash accounts do not cost you additional fees.

Feel free to subscribe to our YouTube channel and receive instant access on different retirement related topics. Thanks for watching!

Related Search terms:

7702 retirement plan
7702 retirement plan income
7702 retirement plan explained
7702 retirement plan reviews
7702 retirement plan review
What is the best fixed indexed 7702 retirement plan vs the top immediate income 7702 retirement plan

…(read more)

LEARN MORE ABOUT: Qualified Retirement Plans

REVEALED: How To Invest During Inflation

HOW TO INVEST IN GOLD: Gold IRA Investing

HOW TO INVEST IN SILVER: Silver IRA Investing