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The Second Disadvantage of Kai-Zen: Long-Term Investment

Investing Retirement Funding


Kai-Zen is a leveraged, tax-free retirement income plan. In which you make 5 annual payments, no more. You can receive the income in approximately 15 years. This has been back-tested to be accurate 99% of the time. So sometimes we can squeak out an income a little earlier, sometimes a little later. But 15 years, is a long-time to wait for your income.

Second, let me address tax-free. Life insurance pays your errors as a lump-sum, tax-free. If you accumulate cash value during the growth phase, while you're alive, it is tax-deferred but becomes tax-free when the event takes place, you die. Kai-Zen is tax-free retirement income because we borrow the money out of the policy as it's growing. But again, to be finalized as tax-free, you have to die.

See the two bullet points?

  • Income not until 15 years
  • Tax-free, you keep it while you're alive

Until next time, this is Jim Barlow from Oak Tree Premium Finance.

#kaizen #retirement #financialplanning #retirementincome