Sentences with phrase «death benefit of the life insurance policy subject»

Not exact matches

Loans and partial withdrawals will decrease the death benefit and cash value of your life insurance policy and may be subject to policy limitations and income tax.

For life insurance policies that pay death benefits in the form of a lifetime payout, the portion of the payout that is not subject to tax if the policy has no refund provision or stated time period guarantee which is determined by dividing the amount of the death benefit by the life expectancy of the beneficiary.

Typically, the death benefit of a life insurance policy is not subject to income tax.

In the event the executive dies, the life insurance policy death benefits are available to fund the plan and provide a lump sum benefit to the executive's beneficiary subject to the terms of the agreement.

Furthermore, the gains associated with the death benefit of a life insurance policy is typically not subject to ordinary income tax.

If your policy was issued after 8/16/2006, the life insurance death benefit on the life of a company employee payable to policy owner / employer can be subjected to income taxes.

The death benefit of any type of life insurance policy, including variable life, is not subject to income taxes.

Purchasing a life insurance policy with a death benefit large enough to offset the amount of capital gains and estate tax you expect your estate to be subjected to, guarantees your beneficiaries will not be forced to sell your assets or be left with a fraction of your estate.

Be advised that when you take a loan out against your life insurance policy, the loan is subject to a market value interest rate and it also can reduce the amount of the death benefit as well as the amount of the cash value.

If the legal owner of a large life insurance policy passes and that person's gross estate value is greater that the current estate tax exemption, then the death benefit from the policy would likely be subject to steep estate taxes.

If your estate is worth more than the exemption, the death benefit from your life insurance policy will be considered part of your estate, and will be subject to estate taxes.