Life Happens – Be Prepared – Part 10 of a 12 part series
Posted by Dimmitt Insurance on
Plan for Retirement with Permanent Life Insurance: Yes, Life Insurance
One of the best reasons to invest in a permanent life insurance policy is to fund your retirement. Many people believe that life insurance is solely for those who you leave behind. While these policies do offer a payment to beneficiaries after your death, these whole life policies can do more. They can, in nearly every situation, provide you with the funds you need to meet your retirement needs.
Utilizing Permanent Life Insurance Cash Value to Pay for Retirement
What do you plan to do during your retirement? You may want to spend time traveling, more time enjoying your family, or embarking on a new adventure. If you’ve started early, you may be able to tap into the cash value of your permanent life insurance to supplement your retirement income. This could give you the boost you need to live a bit more comfortably.
You’ll contribute to your policy throughout your lifetime. As you do, a portion of your premiums are invested. When those investments perform well, you earn a return or dividend. These funds can be paid back into your policy to build up the value or cashed out. Over time, the value grows significantly. You can use these funds when you decide to do so for any need you have. There are advantages:
There are no taxes paid when you withdraw them.
You can take out as much or as little you want.
Unlike retirement accounts, there’s more flexibility in using these accounts.
If you’re ready to find out more about how permanent life insurance can contribute to your retirement income stream, contact Dimmitt Insurance. Our team is happy to discuss how the process works, what you can expect, and when you can start thinking about retirement. Call us at 866-763-6627 or use our online quote request form to request a permanent life insurance quote right now. We’re an independent insurance agency working to help you find the lowest costs available.