Ed Slott and Taxes

The Merriam Webster definition of Freedom is the quality or state of being free:  such as

a: the absence of necessity, coercion, or constraint in choice or action

b: liberation from slavery or restraint or from the power of another : INDEPENDENCE

c: the quality or state of being exempt or released usually from something onerous

For me, Freedom is the opportunity to choose our own future.  But it’s a choice we have to make.  To help us on this path, having guides and experts can help illuminate the road we must go to find our own freedom.


As it relates to your personal finances, I wanted to share a short message and article from one of the leading minds in the Investing and Retirement Industry.


One speaker I’ve followed for years and respect is Ed Slott.


Ed is a CPA who understands the value Whole Life Policies and Roth IRA’s bring to the table and has made it his mission to ensure that Advisors and their Clients truly understand the challenges that the U.S. is facing.


Most Importantly,  The TAX Impact that could be levied on Families who DO NOT HAVE a plan for Tax-Free assets in some form or fashion.


In a recent newsletter, Ed was sharing some insights on a few things,


Including the value that Life Insurance plays on a Family’s Balance Sheet.


And he mentioned 2 things in particular that I wanted to share with you:

  1. Withdrawing IRA funds to pay for life insurance can be a creative strategy to turn potentially much higher-taxed assets in the future into never-taxed assets in the future.
  2. Life insurance is one of the most neglected assets on most clients’ balance sheet and should be reviewed on a regular basis.

These are the reasons why, when I work closely with clients to guide them, we look at current life insurance as well as explore the use of Life Insurance when it makes sense for them.


And for folks who really want to make an impact in their lives, we’ve been analyzing the benefit benefit of moving dollars from Not-Yet-Taxed Accounts(IRA’s, 401k’s) to Never-To-Be-Taxed-Again Accounts like Whole Life and Roth IRAs.


Here’s a link to a recent article (December) where Ed talks about this stuff:  https://www.forbes.com/advisor/retirement/ed-slott-interview-roth-ira/