Life Time Planning

Evaluating your insurance needs is part of financial planning.  The insurance industry has changed a great deal over the past few years and there is a whole array of new products.  Some of them may be better options than your current coverage.  We are constantly working with out client’s insurance agents to make sure they have adequate coverage.

Life Insurance plays a part in most estate plans.  When evaluating our client’s estate plans we make sure they have sufficient coverage so their family members can maintain their current lifestyles after they are gone.  For larger estates that may be subject to tax even when family trusts are used, life insurance can provide the funds needed to pay estate taxes without liquidating estate assets.

In situations when a client has a substantial amount of life insurance, we may want recommend that they create an irrevocable trust to help beneficiaries manage the proceeds ad potentially reduce estate taxes.  With a life insurance trust, the trust is the owner and beneficiary of the insurance policies.  At the client’s death, the trustee collects the proceeds and manages them for the benefit of the family or other beneficiaries.

As long as the trust is properly structured, the insurance proceeds won’t be included in your estate for federal estate tax purposes, with one exception.  The proceeds of any insurance policies that are transferred to a trust within three years of death will be included.  This can be avoided by:

They can transfer the insurance policies to a trust while the policy holder is in good heath or having the trust buy new policies rather than transferring the existing ones.

At Sattler & Company we dedicate ourselves to helping our clients understand the importance of Life Time planning.  We take the time to design and implement a plan that gives them comfort of knowing their loved ones will be financially secure upon their passing.


100 Crossways Park West, Suite 100,
Woodbury, NY 11797
Telephone: (516) 364-9393
Fax: (516) 677-9537