Wealth Transfer Strategy: Protecting Your Assets Through Fixed Life Insurance


A potentially tax-efficient way to leave your legacy to your beneficiaries

Design an inheritance strategy for the future
If you are over age 59½, in good health (or have a spouse who is in good health) and have ample retirement income and emergency funds, you can use wealth transfer strategy to reduce or even eliminate your remaining assets from the taxable estate at death – and potentially leave a greater amount to your beneficiaries.

With wealth transfer strategy, you can create a stream of income from the unneeded asset by annuitization or through a systematic withdrawal plan, both subject to income taxation. Then, you can leverage the income stream by using it to purchase life insurance.

Why consider wealth transfer strategy?
If you have money that you won’t need for your retirement, consider these benefits:

Wealth transfer strategy gives you the opportunity to potentially increase the amount of wealth transferred to your beneficiaries
It is an income tax-free death benefit
It offers the potential to avoid probate
It offers the potential to avoid federal estate tax
Several methods are available to fund your account, including systematic withdrawals or lump-sum deposits from an existing asset, annuitization payments from a current deferred annuity contract or the required minimum distributions from IRAs or qualified retirement plans. You can even use money from savings accounts or CDs.  Before using a CD it should be understood that Certificates of Deposit are insured by the FDIC, offer a fixed rate of return and, if held to maturity, provide a guaranteed return of principal. 

 Work with your legal or tax advisor to find the best system for you.

A few other things to consider
Nationwide® does not give legal or tax advice, so talk with your legal or tax advisor for answers to your specific questions.
The guarantees and protections discussed above are subject to the claims-paying ability of Nationwide Life Insurance Company or Nationwide Life and Annuity Insurance Company.
If you’re looking for opportunities to increase the value you pass to the people and organizations that matter most to you, then talk to your insurance or investment professional today. Nationwide’s strategy for transferring wealth may be just what you need to create the legacy you’ve envisioned!
Life insurance products are issued by Nationwide Life Insurance Company or Nationwide Life and Annuity Life Insurance Company, Columbus, Ohio.

• Not a deposit • Not FDIC or NCUSIF insured • Not guaranteed by the institution • Not insured by any federal government agency • May lose value