Even a penny per share is too expensive… not worth one penny.
I know you. It seems that sometimes your teenager kid gets a hold of this account to participate on this forum. I know that once something is over your intelligence level, you stay quiet. And you did it with my illustration for a very long time. I gave you a chance to make questions but you stayed quiet. You were dumbfounded, your ignorance was obvious, you didn’t expect me to fulfill what you asked for, didn’t you? What you saw, is something you couldn’t find any faul at all because the illustration was very explicit of charges incurred and compound interests accrued. It was well above your pay level mister. Now you are just throwing darts at the wall with blinders on your eyes.
You better go to get another Phd. And make sure it is on how to run a spread sheet because you are as dumb as you pretend I am when it comes to produce one.
OK…I am going to be very polite here and give you a last chance to understand MATH.
I will bring page 1 of the ledger.
Lesson #1= IC companies pay every month into 12 buckets, equivalent to 12 months. One month premium in, one loan out, one 5% is charged and put aside when the account closes at death or exercising the living benefits.
You will notice $100K premium, $80K loan, but the CSV cash surrender value is $90,967. It means that the following year your premium into the policy becomes $110,967. Do you get it?
The insurance company from the net death benefit column is sending you a present of $10,967 but you are crying about a few buck of interests? Are you kidding me?
Are you crying about getting $334K every year, tax free at age 70 which is the equivalent to have paid a home mortgage of $1200 for 30 years?
Answer this Marcus: Can you get the same results opening a 401K with $1200 a month and loaning 80%, and getting $3M for your family if you kick the can next day after being accepted? Are you again kidding me?
Marcus, open your eyes, let me tell you this again: The death benefit pays for all charges! That’s why we use an increasing level (B) where the DB increases every month to accommodate the charges. It is a rider the client pays and pays pretty good! All the numbers you see are playing free of charges.
Let me repeat it again: The death benefit pays for all the charges! It is a collateral account the IC opens to satisfy the rules of IRC 7702, there has to be a loan, otherwise it becomes a taxable event. We educate our clients to call and ask for a loan, not a withdrawal. A loan!
Are you good at math Marcus? Here you go:
Grab any accumulated value amount, and deduct the accumulated loan amount, that’s what you can loan that year. It is not $80K for sure.
Now, if you, as an investor in the stock, or the real estate market can’t get $4,000 income, gain, revenue, return on $80K, then you are so dummy! The $4,000 is from the interests on the $80K at 5% those charges again, are not paid yet!
The death benefit pays at the end when you or the client kicks the can! Jesus!
On top of that, who cares! Just pay your monthly cost of insurance if you don’t want to pay the excess and get a loan! As I explained before, you are being conservative when loaning only $80K, lots of $ are left there to pay for hard times. Is that hard to understand? When you get to year 10, you almost get $100K and loan $100K.
Lol, I’ll just let you chase yourself in circles. Now everyone can see the loan is compound interest and not simple interest. You admit loan interests aren’t paid yet. If you don’t realize that means are compounding, then I’m not sure what to say.
You also say there’s no risk. There very real risk on the index return being lower than your 5% loan amount. You don’t even realize borrowing is betting the index return is more than 5%. If it’s less, than you’re losing money for that year. Your loan interest will be higher than the investment gain. You have a little buffer in the delta between invested amount and loan amount, but the market has a negative return 20% of the time. You’ll earn zero on the index and still accumulate 5% compound interest on your loan.
It’s not the equivalent of paying the $1,200/mo mortgage. You’re paying the $1,200/mo + $10,0000/yr + $90,000 up front.
If you live long enough, then you’ll borrow against the death benefit. Meaning your family don’t get the $3M.
Again, don’t be dummy.
The loan is a monthly loan. Loan out, $4K to be paid by the death benefit. I knew you were brain dead, not my fault.
Again, again, and again. Why are you so dummy speaking of the costs of simple interest loans surpassing the returns of compound interests?
Where I got you, and you haven’t answered it to this point because is not convenient, right? is that you can’t answer the following question:
What can you make with $80K you loaned?
Come on mister know it all, come on! Tell me!
If you are brain dead, you didn’t get the idea.
Again stable genius, answer me: What’s the return you get with $80K invested in the stock market? Add it to the revenues of the 7% from the IUL, then subtract any cost of insurance or loan interests.
I am going to visit my Filipino friends, drink a beer, and laugh at your expense. I know you won’t answer the question. I expect another deflective comment.
Why should I pay the $80k into the policy in the first place? The average return is less than 6%, and I have to pay 5% interest to get it back. My net earnings on the $80k are less than 1% by putting it into the policy then borrowing it back. Are you going to argue that’s wrong?
Your question about what I can earn on the $80k borrowed shows you don’t get it. I don’t need to put the $80k into your policy just to get it back to invest. It’s my $80k. I can go invest it however I want. All your policy does if offer the extra less than 1% return by putting the money in the policy then borrowing it back. I’m supposed to get excited about a less than 1% return? Who cares if it’s tax free? I can get over 6% on tax free muni bonds.
It’s like you think I can’t invest the $80k myself without first running it through the insurance policy. The policy can’t take credit for how I invest the $80k, since I can do it without the policy.
Everyone is silent on this, since they realize what a scam it is. They just ignore you.
Don't buy a new car she says. Bad investment!
Don't buy a new car she says. Bad investment!
Is the total market cap of crypto increasing or is the money just shifting and chasing the latest flavor of the day? At the rate new currencies are creates profits, you need a lot of new money going in or the existing currencies will decline in value as money moves to newer ones.
WTF is bitcoin diamond?! Even the name sounds scammy af.
A friends 32 year old son in law has $9000 in Bitcoins
Probably one of the dumbest guys I know. Loves to play poker. Works graveyard at the local sewer treatment plant.
Is convinced he can retire on his bitcoins next year. This is the only person I’ve met that actually owns bitcoin. Fits the stereotype to the T… He does not understand bitcoins at all. Actually pays his 17 year old to do the trades. Even his son thinks it’s stupid…
So he already had a son at the age of 15? And his girlfriend was how old? A little too soon wouldn’t you say…
Like I said he is not smart. My friends daughter is the second wife.
Your friend’s daughter must be the 2nd dumbest person in the world.
In Tahoe the quality of the local dating pool is pretty low. Needless to say my friend is not fond of his son in law…
Better to stay single than marrying dumb people. It ruins your life.
Not necessarily… a dumb spouse is easier to control than a cunning one…
You want to control people so they can do useful work for you. What’s a dumb person good for?
Um… you don’t need to be a genius to produce babies…
You run the risk of the babies getting the non-genius genetics.
My friend wants his daughter to leave the loser and find a rich tech millionaire from the BA. She is tall beautiful and a tennis star. But she grew up in Tahoe and went to UC Santa Cruz. Has her head full of liberal horseshit. Too bad because her dad is a brilliant lawyer and I know that down below her liberal indoctrination she is is smart.