April 2013 ALB Office Closings
Mark Milbrod, CLU
"Supercalifragilisticexpialidocious"
As the song points out, if you summon this word up, you'll have plenty to say. Although it's a lot cuter coming from a sweet British nanny flying by on an umbrella, there is a point here... We have a lot to say...
With Spring in the air (well, at least in theory anyway), we have a lot to speak to our clients about. We are at the tail end of tax season, and with it, a heightened awareness of one's finances. I'm sure this year, more than others, clients have been keeping their accountants/tax preparers busy with a number of questions regarding their retirement, healthcare, income taxes, etc.
It is a great opportunity to talk to your clients about how to utilize the products and services that we offer to assist them with a number of obstacles that have been created this year. Let's face it, in prior years, all we heard about was Estate Planning and with The American Taxpayer Relief Act of 2012 (ATRA), we have a shift to Income Tax Planning. What's interesting is that the latter effects a wider spectrum of clients, rather than Estate Planning that limited our focus and scared away some of you that didn't think that you were in that market.
Things are different thanks to ATRA 2012. With the top tax rate now set at 40% (plus possible investment income Surtaxes on top of it), suddenly, Life Insurance as a Cash Accumulating Product, has become so much more attractive. You still get your tax deferral on the build up and ultimate tax-favored withdrawals. Same old story, but more timely TODAY! Also, Capital Gains rates have been increased to 20%, making the cash value build-up of life insurance more attractive compared to other investment vehicles that are subject to the higher Capital Gains rate.
During this tax season, there is also a lot of emphasis put on the rising costs of health care. This is a great opportunity to talk about ways we can help our clients through offerings of Long-Term Care Insurance, MoneyGuard, Long-Term Care Riders on Life Insurance, etc. There are many strategies that you can use with these products to take advantage of what this tax season brings.
Now I'm not saying to go out an try to fly through the air with an umbrella and sing silly songs. The end result wouldn't be good for many reasons. But what I am saying is that we do have a lot to say. These issues are just the tip of the iceberg. We have so much to talk about and the clients will listen.
Talk to them about what matters most. Keep the silly song in your head and develop your own words to keep "your tune" in their heads.
Happy Selling! |