Setting up the Gift of a Lifetime

One idea that we would like to share with the advisors we work with is a concept that many people have found to be worthwhile. We call it, Gift Of A Lifetime or GOAL.

Gift of a Lifetime is a concept that you can share with clients who may be parents or grandparents on how they can use a limited payment life insurance policy as a gift that keeps on giving for their child or grandchild.

The policy is usually in the form of 10 or 20 payments.For instance, you might put a gift of $10,000 a year for 10 years into the policy. In policy year 20, you can use the values in the policy to pay back any and all college loans. A few years later when the child, now a young adult, is getting established, you could use the policy to potentially help either start a business or as a down payment for a home. As older adults, they may be able to take out a nice tax-free retirement income.

This can be done without contributing any more money after the initial 10 or 20 years or ever paying back any of the money used. A GOAL is a significant gift provided by the parents or grandparents that will keep on giving throughout the child’s life.

I’ve attached a brochure entitled Gift of a Lifetime that goes over this product in more detail. If you would like to learn more or run some illustrations, please let us know.

Do you have clients who are parents or grandparents? This might be the perfect GOAL for them to set.