Life Insurance, The Super Roth as a Roth IRA Alternative

 Here's A Great Alternative To The Roth IRA
 
Roth IRAs provide attractive tax benefits to incentivize saving for retirement, such as:
· Withdrawals are tax-free in retirement.
· They are not subject to required minimum distributions so you can let the money compound for longer.
· Money in a Roth IRA can be turned over to heirs tax free, as long as you owned it for more than five years. 

But those benefits are only available to individuals who don’t earn too much. Those above the income threshold of $198,000 can’t take advantage of a Roth IRA, meaning they can’t grow their retirement savings completely tax-free. So smart advisors developed the Super Roth IRA strategy.
 
Life insurance, The Super Roth, as a Roth IRA Alternative, and More
A life insurance policy is another way to build tax-free income in retirement.
Essentially, you would purchase the life insurance policy. Part of the premium funds the growth in cash value. You can withdraw the portion related to their premiums tax-free and take a policy loan against the rest of the cash value that will have accrued. The additional withdrawals will serve to reduce or eliminate the death benefit. Upon your death, the death benefit passes to your heirs tax-free. 
 
Life insurance benefits match and exceed the Roth IRA
· Withdrawals and growth are tax-free
· They are not subject to No required minimum distributions
· Money can be turned over to heirs tax-free via the death benefit. 

Indexed Universal Life Insurance (IUL) can be a powerful vehicle to get the same tax-free retirement income and growth as the Roth. IUL allows you to earn market-like returns without actually having the market risk. 

See the below Life Insurance (IUL) as a backdoor Roth IRA alternative example.^†

The life insurance underwriting class is subject to underwriting approval. The figures depicted in these examples assume an 8% gross rate of return which are not guaranteed. 

Along with tax-free income distributions and tax-free growth, these plans will include Chronic, Critical, and Terminal Illness coverage.

Source: John Hancock Life Insurance Company

†Life insurance product features and availability vary by state. Restrictions and limitations may apply. For federal income tax purposes, life insurance death benefits generally pay income tax-free to beneficiaries pursuant to IRC Sec.101(a)(1). In certain situations, however, life insurance death benefits may be partially or wholly taxable. Please consult a financial professional for additional information. All guarantees are based on the claims-paying ability of the insuring company.