Tax Reform and Life Insurance Planning

AALU Tax Reform Update The AALU recently released an update on the much-anticipated tax reform and how it impacts life insurance planning.  President Trump wanted to have the tax reform completed by August, however, it has now been pushed back to the end of 2017.  Health care reform continues to loom large as a hindrance… Read more »

Financial Planning on the (Possible) Eve of Tax Reform

Tax Reform Status President Trump’s tax reform proposal mirrors what he promised during his campaign.  With the prospect of major tax reform on the horizon, it is important to stay calm, be proactive, and plan ahead when it comes to your financial planning. Tax reform has received a lot of press recently.  But it is… Read more »

Top 2017 Compensation Questions To Ask

It’s no secret that the new administration has very different governance practices and priorities.  Congress and CEO Pay Ratio regulations are being examined and the SEC has opened the topics for discussion.  Change is here and boards will likely encounter unforeseen challenges during the transition.  This begs the question: How can boards prepare their organization… Read more »

Tax Reform Faces an Uphill Challenge

Many Americans are eager to enjoy the across the board tax rate cuts that President Trump promised so frequently during the election. There are numerous Republican law makers that have said their top priority is a large tax cut. House Speaker, Paul Ryan, and Ways and Means Committee Chairman, Kevin Brady, have prepared a detailed… Read more »

Retirement Security Concerns Rise Post-Election

I recently attended The American College of Financial Services Board meeting where there was much discussion on the need for retirement income planning in today’s society.  As President Donald Trump begins executing his agenda, investors are expressing a degree of apprehension and have concerns about what might lies ahead and how potential policy changes could impact… Read more »

Best Practices for Managing Life Insurance Trusts

Best Practices for Managing Life Insurance Trusts   Irrevocable life insurance trusts (“ILIT’s”) are facing fiduciary challenges in asset management and administration. Litigation directed toward trustees of ILIT’s for breaches of fiduciary duty is on the rise due to tax laws and technical complexities of corporate trustees and ILIT administration.   Breached fiduciary duties of ILIT… Read more »

Succession Planning In A Family Business

Recently, I attended a speech related to business succession planning in family-owned businesses. The speakers included a panel of three majority shareholders of family-owned businesses, one of which was working on its fourth generation of ownership. There were several excellent ideas and insights shared that I would like to share with you below. Here are… Read more »

Pension Plan Funded Status

An article in CFO Magazine outlines the status of pension plans in Fortune 1000 companies.  By the end of 2015, there was not a change in the pension plan funded status of the U.S. corporate plan sponsors.  According to a new survey, it is hypothesized that most likely a rise in interest rates helped to offset weak global stock markets. The aggregate… Read more »

Positive Development on Taxation of Cash Values

Yesterday, the Joint Committee on Taxation (JCT) issued its latest report with estimates for Federal tax expenditures for FY 2015-2019. This year, the Committee made the decision to remove those items on its annual “tax expenditure” list for which no provision of the Federal tax law specifically allows an exclusion, including inside build-up within life… Read more »

How Executives Minimize the Retirement Tax Hit – Plan Ahead

Nikki Kook – Marketing and New Business Make a plan for your large retirement payouts, such as stock awards and deferred compensation, at least one to two years before leaving. In addition, take inventory of short-term cash flow needs in retirement, such as health and insurance needs and exercised stock-option taxes. Lastly, always review the… Read more »