Dan Nozaki is talking about how to protect your family's financial future with life insurance.  For a free 15 minute consultation call me at 559-288-4634

Retirement Planning & Life Insurance Resources
  • Missed Fortune 101: A Starter Kit to Becoming a Millionaire
    Missed Fortune 101: A Starter Kit to Becoming a Millionaire
    by Douglas R. Andrew
  • Stay Rich Forever and Ever
    Stay Rich Forever and Ever
    starring Stay Rich Forever & Ever With ed Slott
Living Benefits Video

Why now is the best time to invest your money in a safe account





Are you losing money in your 401k or IRA?

Why are you not taking steps to protect your money? I was talking to a client last week and was looking over her and her husband's IRA statements; they had lost a couple thousand dollars in the last quarter in their investments. I asked her if she was concerned with the loss of money in her accounts and her response shocked me. She said Dan I don't feel bad about losing money in these accounts because everybody is losing money along with me.

Why would you knowingly invest in an account that is actively losing money? Does that make any sense at all? Just because all of our coworkers, relatives, and friends are heading for financial ruin, does that make it acceptable? Life insurance is the answer to your retirement dilemma, we have a fairly new product that was introduced about 10 years ago. This product is a life insurance product where the insurance companies guarantees no loss on the principal investment with a guaranteed floor of 2% to 3%. This is indexed through the S & P 500 or one of the other exchanges. So you can get stock market like gains without the risk. Once the account is credited the gain it is locked in and cannot be lost.

As a side feature the money can be used in retirement without having to pay taxes at retirement. The money is liquid after the first year with no penalty or income tax liability via a loan. Sounds too good to be true, do the research you will be amazed. It is called an Equity Index Universal life policy and most insurance agents don't even know that it exists. Get the facts and get educated because if you don't your retirement years might be spent working.



Transfering Wealth to Your Children and Staying Rich Forever & Ever

Let’s discuss the ways that you can transfer your assets to your children without the IRS taking a large portion of the money. Financial Guru's are talking about the tax implications of transferring your assets and wealth to you children. What is the best way to do this without Uncle Sam taking most of the money? A leading CPA and Estate Planner Ed Slotts who has been featured on public TV recently talks about transferring wealth from generation to generation through life insurance. In his DVD seminar Stay Rich Forever & Ever, Ed does not go into detail on what type of life insurance you should use, he just states that this is one of the best ways to accomplish wealth transfer from generation to generation.

There are several types of life insurance that you can choose from and they all have different pros and cons. One of the best types of life insurance for this type of wealth transfer is a permanent type of insurance to accomplish this goal. For obvious reasons you would not want to have a temporary type of life insurance that might not go till you die.

Why life insurance to transfer wealth to your children? Well for one with life insurance the beneficiary does not have to pay any kind of probate, estate, or capital gains tax. So it goes directly to your loved ones without any probate hassles. This process takes about 30 to 60 days after death so it is a very short process to receive the money. This money can be reinvested into another life policy to be used in transferring the wealth to the next generation. This continues the wealth transfer from generation to generation. And that is how wealthy people Stay Rich Forever & Ever.

Lastly, here’s a little story that happened to my family. My grandmother passed away a few years ago and left a house in Hawaii to my mother this was the only asset she had left and it was worth about $750,000. This is the house my mother grew up in and we as grandchildren went to stay with our grandmother every summer. When she passed away there was a lot of probate and estate taxes that they wanted my mother to pay so we had to sell the house in Hawaii to pay off the taxes. What was left of the money my mother used to buy a small retirement home in California and the money is all gone. In one generation we lost a family legacy because of improper planning.

Lets rewind the clock and see what would happen if my grandmother instead of paying off her house had bought a million dollar life insurance policy. The house was bought in the late 1939sa mile from Waikiki beach probably for a couple hundred thousand dollars. Instead of paying off the house if they had bought a million dollar life insurance for my grandmother when she was still young and had paid into the policy during her life time, when she passed away, she would have left my mother a $750,000 dollar house in Hawaii and a million dollars life insurance policy. My mother could have used the money to pay all the probate, estate, capital gains taxes, and the mortgage and she still would have had money in the bank. Because of improper planning in one generation we lost everything.



Retirement Strategist and Insurance Agents needed



We are actively looking for business partners in every state. My Company is called First Financial Security, Inc. and we are an Independent Marketing Company that is a marketing arm of some of the largest Insurance Companies in the nation. Our Company was launched about four years ago with a sister company that dealt with Mortgage and Real Estate. For the last six years we were focused on the mortgage side and did not concentrate on the retirement and life insurance section. So with the fall out in the mortgage industry in the last couple of years we started to focus on the Life Insurance and Retirement Company about a year ago.

So far we have about 5,000 agents nationwide and we project to follow the same growth cycle that allowed us to recruit and hire 300,000 Loan Officers and Real Estate Agents in 5 years. This is a ground floor opportunity in a company that is just starting but has the track record of success over the last thirty years. If you are a Life Insurance Agent that wants to take your business to the next level and expand nationwide, here is your chance. Or if you are someone that is an entrepreneur and can see the huge income potential in the product that we are selling, now is the time to get started.

FFS offers you the opportunity to build your own business, be your own boss, and to control your own destiny. Part time or full time you take it at your own pace, and learn the business on your own time frame. Supplement your income a few thousand dollars a month or build a business that can generate a six figure income per month.


The different types of Life Insurance


There are basically three types of Life insurance, Term insurance, Whole Life insurance, and Universal Life insurance. In each type of insurance there are a lot of different variations but for today we are going to talk about the basic ones and how they work. Let’s start with Term insurance, this is a temporary insurance that has an expiration date of 5 to 30 years and in some case they have 40 year term policies. This type of insurance is a lot cheaper that other types because it has an expiration date. The shorter the expiration date is the cheaper the cost of the insurance. The reason why term insurance is  cheaper is because the insurance company is expecting you to outlive the term of the insurance. This type of insurance should be used to supplement a permanent policy to cover short term gaps in coverage. We will discuss this later.

The second type of insurance is whole life insurance. This type of insurance usually goes till age 100 and if you live to age 100, the insurance company will return the face amount to you or the cash value ,typically which every is lower.   This type of insurance has some cash value but typically when you die the insurance company keeps the cash value and gives you the face amount. Interest on a Whole Life policy is anywhere from 2% to 6% return and usually is not used as a retirement fund. The cost for the most part is a lot higher than a Term policy because you’re going to get paid if you die before age 100 and if you live past it they still give you the cash value at 100. This is a permanent life insurance plan that is for the most part very costly.

The third type of insurance is a Universal Life policy and there are two basic types. One is a Variable Universal Life policy and the other is an Indexed Universal life policy. The Variable Universal Life policy allows you to have a life insurance policyand invest in a sub account where you can get a better return on your money because you are investing in the stock market through mutual funds or some other type of stock investment. The upside is that if you have a high risk tolerance you could get high market returns on your money. The downside is that you can also lose lots of money in your sub accounts too.  If you lose to much money in your Variable Universal policy the insurance company can close down your policy or you might have to pay a higher premium to keep the policy alive. In some case double or triple the amount that you started the policy with.

The hybrid of the VUL is the Index Universal Life Policy. This is a policy that takes the best of both a safe investment and the gains of the stock market. The way this works is that the money is not investing in the stock market it is index through an index like the S & P 500, the Dow Jones, or even the Euro Stock Index. This way if the index is doing well you can earn a return up to 12% to 15% and if the index is losing money you lose absolutely nothing. The insurance companies give you a minimum guaranteed floor of anywhere from 1% to 3% depending on the insurance company you chose. So the bottom lines is that even in a down market like we are in today you would still earn a few percent return on your investment. The trade off is that you’re capped at a 12% or 15% return no matter how high the stock market is doing. This is the trade that you make so that if the stock market is taking heavy losses you lose nothing.

So to sum this all up there is no good or bad type of insurance. Each type of insurance has its pros and cons you just have to use them in the right situations. Again there are many variations of each one of these types of insurance policies and you need to consult an expert on which type of insurance would be right for your situation. We recommend for the most part the IUL because it gives clients a piece of mind that their investments can't lose money and if the stock market is doing well they can participate in the gains of the market.


What to do with your 401k Roll Over

What should you do with your 401k account after you’ve reached 59 ½ years old, you quit your job, or your company lays you off? Where should you put the money? Should you roll that money into an IRA account? How about rolling your money into an Indexed Annuity where you’re guaranteed your principal?

An Indexed Annuity is an insurance based investment that provides an opportunity to potentially earn more interest than traditional fixed annuities and other safe money alternatives. This Indexed Annuity guarantees your principal without risk and in most cases comes with a bonus of 5%-10% on the amount that is rolled over. For example, if you rolled over a 401k account of $100,000 the insurance company would give you a $10,000 BONUS on your account. Now the account is worth $110,000. The account has a guaranteed minimum of 1% or 2 % and a maximum cap on the gains based on the index that is used. Your premium and credited interest can never be lost due to the Index falling. This Indexed Annuity also avoids probate in case of premature death. So access to the accumulated funds is not delayed by the probate process. Riders can be placed on the annuity to allow the owner life time income based on the income account value. There are surrender charges that are applied to the annuity if the entire contract is surrendered. Typically 10% of the account value can be withdrawn after the first year with no surrender charges and in case of terminal illness a portion can be withdrawn automatically at no cost. The Indexed Annuity is one of the best options to roll your money over if protection from loss is important to you and you want to have potential for stock market like gains. Preservation of principal plays an important factor in the latter stages of your retirement plan. Talk to an Insurance Agent and get the information to make an informed decision today.