Real Estate
Tax-Free Wealth Transfer with Corporate Structure for Real Estate Investor
Client Profile
45-year-old Real Estate Agent
Annual Net Profit: $450-500K
Challenges
- Accumulated corporate surplus facing high passive investment tax
- Concerned about tax burden during asset transfer
- Wanted to establish long-term protection for family
Solution
Holdco + Participating Insurance + CDA
- Established holding company structure for optimized asset allocation
- Purchased participating whole life insurance through corporation
- Utilized CDA account for tax-free wealth transfer
Results
Saved tens of thousands in taxes
Tax-free death benefit to family
Clearer succession structure
Retirement
Business Owner Retirement Planning with Policy Loan Strategy
Client Profile
50-year-old Single Business Owner
Stable Business Operations
Challenges
- Limited retirement income sources
- High personal tax on corporate fund withdrawals
- Wanted assets to continue growing
Solution
Participating Insurance + IFA (Policy Loan)
- Corporation purchased large participating whole life policy
- Tax-free cash flow through policy loans in retirement
- Continuous policy value growth with tax-deductible loan interest
Results
Stable retirement cash flow
Avoided high personal taxes
Continuous policy value growth
Succession
Family Business Equity Succession Planning
Client Profile
55-year-old Manufacturing Business Owner
Company Valuation: $5M+
Challenges
- Rapid equity appreciation creating heavy future succession tax
- Children involved in business, needed fair equity distribution
- Wanted to retain control while completing succession
Solution
Estate Freeze + Family Trust + Insurance
- Implemented Estate Freeze to lock current equity value
- Established family trust to hold new equity
- Purchased insurance to cover future tax obligations
Results
Significantly reduced succession tax
Clear equity distribution for children
Retained operational control