Case Study

Retired Business Owners Creating a Meaningful Legacy for Their Three Children

Key Takeaways

Age

$350,000 each

Total out-of-pocket- contribution

$4,788,000

Total tax-free income received (65–95)

Client Profile

Age: 45

Health: Average

Contribution: $70,000/year for 5 years per child (3 total). Assumes equal age and health for simplicity.

Total out-of-pocket: $350,000 each

Bank Leverage

Years 1–5: $52,071/year each

Years 6–10: $120,721/year each

Total lender contribution: $863,960 each

Total Contributions

Combined total: $1,213,960 each

Disclosures

Assumes excellent health
Non-tobacco and non-marijuana user
At higher ages, $25,000 may fall below the program’s minimum contribution requirement.
These illustrative numbers are hypothetical and may change with shifts in interest rates or market conditions

What Does the Client Get?

Life Insurance Protection

Net death benefit from day one: $2,004,640

Living Benefits

Includes built-in living benefits that allow access to policy values if needed during life.

Tax-Free Retirement Income

Starting at age 65:

(Net of all loan repayments)

Legacy + Liquidity at Age 95

Total tax-free income received (65–95): $4,788,000

Remaining death benefit to beneficiaries: $1,552,685

Why This Matters:

John and Mary (both age 70) have three children (around age 40, standard health) and have already achieved financial independence. Their goal is to: Create a meaningful legacy gift Provide lifetime income and protection for each child Do it in a structured, tax-efficient way Rather than waiting until death, they want to begin transferring wealth now—intentionally and efficiently.

This is how the wealthy use life insurance.

Not just for protection—but as a smarter asset class.

If you’re a high-income earner, business owner, or executive looking to:

Create more retirement income
Reduce future tax burdens
Offer elite employee benefits
Protect your estate while still growing your wealth

…Kai-Zen may be worth exploring.

801-698-1329

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