Life Insurance Doesn't Require Murder To Get Paid $500,000 in Cash

Online, February 14, 2011 (Newswire.com) - Most people believe life insurance policies require that one has to pass away in order to get paid. You will notice in this news article a husband in the United Kingdom who has murdered his 2nd wife. Simply to receive his $250,000 in compensation. You can read his freakish and greedy story here in the UK Life Insurance Post.

Unfortunately, this husband didn't understand how the ultra rich leverage life insurance to pay themselves monthly and secure their financial future.

Today some more advanced thinking Americans understand to leverage life insurance as a tax free investment. Some common fears Americans have is you must be super affluent in order to benefit from it's tax free savings. Due to the legal requirements and other fee's that most assume may be involved.

Unique Life insurance policies have been structured for much more than tax benefits. While it is true the "ultra rich" do know how to leverage life policies. It is not as difficult as one would think. Many Americans are leveraging life insurance to reap the rewards from their strict discipline to save money. Resulting in policy holders being able to receive financial compensation monthly. Plus, life insurance holders families still receive the benefits when the initial policy holder passes.

Read About The Popular Misconceptions and How The Ultra Rich Leverage Life Insurance

Misconception: Tax-Free Life Insurance ONLY For the Affluent?

Felicia Waters Reports:
"Now I came across a post in the NY Times which stated Life Insurance is one heck of an investment. It was hinted that it's only for the SUPER RICH!!! What...? well first I have to say, you just need the right policy and it's not hard at all. If you know the secrets."

"2nd... yes I did learn about leveraging life insurance from the ultra rich, but it was easy to do and they keep it a secret so it doesn't get abused. Think about it... if millions knew about tax free investments. Government will simply create another method to receive their tax money. It happens all the time."

The NY Times Post on How Affluent Use Life Insurance

"IT'S viewed as an insider's secret for the affluent: a legal way to invest in hedge funds and other potentially lucrative assets, all without paying taxes on the gains.
But private placement life insurance, as it is known, is still unfamiliar to many wealthy people - and trickier to design properly than even some savvy investors realize, tax lawyers andfinancial advisers say.

"It sounds so good - 'I can invest tax-free and get the money' - but it's actually very complex," said Jonathan Blattmachr, a retired estates and trusts partner from the Milbank Tweed law firm in New York."

"Private placement life insurance is an investment wrapped inside an insurance policy."

"The Internal Revenue Code treats the taxation of insurance differently from that of investments, like stocks or hedge funds, and does not levy federal income tax or the 15 percent capital gains on a life insurance policy when it pays out upon the death of the holder. So by stuffing an otherwise taxable investment inside a tax-free life insurance policy, investors can reap the compounded gains of that investment and the death benefit, all tax-free."

"The insurance is a form of variable life insurance whose cash value depends upon the performance of investments held in the policy. It is particularly lucrative because hedge funds, which trade frequently, otherwise often carry the 35 percent short-term capital gains tax."

"William Waxman, a principal at Waxman Cavner Lawson, an insurance broker for the wealthy and a financial adviser in Austin, Tex., said that demand for hedge funds, even in a down market, "is driving a lot of the private placement insurance market." Still, he said, the private placement life insurance industry was relatively small; the cash value of all policies outstanding amounts to perhaps $4 billion to $5 billion. "

"While brokers pitched the policies to many family offices on the East Coast, he said, West Coast offices appeared less tapped."

"There are other lucrative benefits besides the absence of income taxes." Continue Reading The Post on the NY Times...

Felicia's recommended next steps.

"Honestly, I have had sit down chats with the "Ultra Rich" and their are life insurance policies which not only pay you monthly while alive...."

"But you can use these life insurances to setup you own personal banks. The "ultra rich" been using Life Insurance for years to do this. It's called the Infinite Banking secret."

Find out How To Set Up "Infinite Banking" Up on My Facebook Page..