Join Early Retirement Today
Thread Tools Search this Thread Display Modes
Old 10-21-2010, 04:41 PM   #81
Gumby's Avatar
Join Date: Apr 2006
Posts: 10,686
Originally Posted by Emeritus View Post
Insurance is insurance, investment is investment.
I can think of one narrow circumstance where it may make sense to go with a whole life policy. Suppose one is an employee in the top tax bracket and has exhausted all means of tax deferred saving -- i.e. maxed out 401k, maxed out non-deductible IRA. Depending on the crediting rate, the mortality charges (and the equivalent charge for a term policy), and any commissions or surrender charges, it may make sense to buy the whole life policy now, allow the policy earnings to grow tax free and then, once FIRE'd and presumably in a lower tax bracket and without an ongoing need for insurance, simply cash out the policy. One can get tax deferral and meet one's insurance needs at the same time.

Living an analog life in the Digital Age.
Gumby is offline   Reply With Quote
Join the #1 Early Retirement and Financial Independence Forum Today - It's Totally Free!

Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that is a great community to join. Best of all it's totally FREE!

You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!


Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off

Similar Threads
Thread Thread Starter Forum Replies Last Post
Most Americans are unprepared for retirement JustCurious FIRE and Money 10 04-12-2008 04:51 PM
Hi Folks---- fire153k Hi, I am... 4 02-05-2008 05:46 AM
What about OLD FOLKS??? frujinator FIRE and Money 14 04-06-2006 04:15 PM
Hi folks... DW Hi, I am... 15 10-23-2005 05:35 PM
please help me help my folks gravesend FIRE and Money 16 06-02-2005 08:56 PM


All times are GMT -6. The time now is 02:13 AM.
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2018, vBulletin Solutions, Inc.