Bigger Pockets Money Podcast dives into episode 54 and talks all about whole life insurance. Check out our summary of the episode.
Whole Life Insurance and the Bigger Pockets Money Podcast
Whole Life Insurance and the Bigger Pockets Money Podcast
We are a big fan of the online community of Biggerpockets (BP). Many of our team members here at Top Whole Life participate as members of the BP community. The BP Money podcast has been an amazing addition to the BP community’s resources. The host of the podcast interview experts all with a focus on financial freedom and independence.
After following this podcast for months now I can honestly say that a great deal can be learned from all the interviews and episodes With that said…Before we go any further it I would like to make sure if you are familiar with who BiggerPockets is and what they are all about.
Who is BiggerPockets?
Direct from the Bigger Pockets website about us page :
“BiggerPockets is a complete resource for anyone looking to succeed in real estate investing. We offer free content, tools, and a community of over 1,200,000 members to help people avoid mistakes; learn valuable tips; find partners, deals, and financing; and make the best investing decisions possible.
Those who spend time on our site come from diverse financial backgrounds, have various experience levels and maybe striving for different goals. Regardless, our goal is to provide each individual with the resources and support they need to find their own success — whether that’s quitting a job to invest or simply creating additional passive income.”
What is the BiggerPockets Money Podcast?
Direct from the Bigger Pockets Money Podcast page:
“This show provides the education you didn’t get in the school including tips for getting your financial house in order and actionable advice from guests who have been in your shoes – and found their way out.”
Why is Episode 54 Interesting to Top Whole Life?
In this episode, Eric Brotman who is the quest speaker talks about the 6 ways to reduce your taxable income.
Eric is the CEO of BFG Financial Advisors.
Check out more about Eric here
Eric is a Certified Financial Planner and in this episode, he dives deep into his top 6 ways to reduce taxable income.
He uncovers several very interesting ways to reduce and potentially eliminate taxes, legally!
All of his recommendations are very attainable. With some thoughtful planning, you too could benefit from these six tax tactics.
Bigger Pockets Money Podcast Episode 54 Covers Whole Life Insurance
Eric explains in his interview that one of the 6 ways to reduce taxable income can be through the use of Whole Life Insurance policy.
Guess what Whole Life’s benefits are really amazing.
Here is what Eric explains:
- Term vs Permanent (Whole Life)
- Whole Life Insurance’s Guarantees
- How to buy a home with Whole Life Insurance
- How to start a business with Whole Life Insurance
- Whole Life is a Tax-Free tool
- How whole Life can help with social security
- Income tax-free distributions from whole life
- Like a Roth IRA with a death benefit
- Borrowing from life insurance VS 401K
Eric shares his own powerful story:
When he was 14, his parents purchased life insurance for him. Not because they were worried about having death benefit but because it was a great tax shelter.
When Eric turned 24 his parents transferred the policy to him (a non-taxable event). A gift that was not taxable!
His whole life at age 24 had cash value in it. Eric had a choice…he could surrender the policy and take the cash that his parents saved or he could continue to fund the policy.
Eric decided to keep paying premiums and funding the policy.
When Eric was ready to buy his 1st home (condo) in his late 20s he used his life insurance as the down payment for his first home.
He bought the condo $91K and then sold the condo for $225K and paid (no capital gains tax) due to being a personal residence.
Then I took some of the gains to put back into life insurance.
Next
In 2003 Eric started a company and when no bank would lend to him he again used his life insurance cash value to help get the business off the ground.
Eric says he currently has over $500,000 in cash value grows tax-free!
Don’t Take Our Word For It Goes Check Listen To The Podcast.
The entire podcast is VERY informative but if you don’t have an hour to listen.
Fast forward and listen to the minute 43:00 – 53:00.
