Click on each highlighted area for conversation starters that will help you to uncover the needs and sales opportunities that may have otherwise gone unnoticed.
If Your Client Has Charitable Deductions.
This is another opportunity to let your client know that life insurance can provide valuable death benefit protection, as well as the ability to access cash values through loans and withdrawals in a tax-advantaged manner.¹
¹ Outstanding loans and withdrawals will reduce policy cash values and the death benefit and may have tax consequences.
Federal Income Tax Withheld from Forms W-2 and 1099
If your client overpaid his or her taxes, let him or her know that it may be more advantageous to withhold an amount more in line with what he or she owes. The amount that used to go toward withholding could go toward life insurance premiums to fund buy-sell arrangements, key person coverage, or a qualified retirement plan.
If your client is entitled to a refund and you’ve already established a life insurance need, ask the client what his or her thoughts are about paying this year’s premium with his or her tax refund.
Amount You Owe
In addition to serving as a solution to your death benefit needs, there are tax-advantaged strategies that leverage life insurance. Let your client know that you can work with his or her tax and legal advisors on ideas that may help him or her reduce the amount owed in the future.
Clients should seek the guidance of their tax and legal professionals before making any decisions. Life insurance is issued by The Prudential Insurance Company of America, Pruco Life Insurance Company (except in NY and/or NJ), and Pruco Life Insurance Company of New Jersey (in NY and/or NJ). All are Prudential Financial companies located in Newark, NJ.
© 2015 Prudential Financial, Inc. and its related entities.
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