Phone: 818-997-7879 Fax: 818-997-7844 EMAIL: info@getais.com
AFFIRMATIVE INSURANCE & FINANCIAL SERVICES
Phone: 818-997-7879 Fax: 818-997-7844 EMAIL: info@getais.com
FINANCIAL SERVICES:
ANNUITIES *
An annuity is an insurance contract that provides a series of periodic payments. The annuity period is the time span before periodic payments begin. An annuity can be immediate, providing an income stream that begins immediately (usually six months) after you have purchased the annuity, or deferred, where the payment period will begin at some future date. Annuities are most often used to build funds for retirement and offer the advantage of tax-deferral, which can help accelerate the growth potential of your money. They can be purchased with a single premium payment, or with multiple premiums paid at various or pre-set intervals.
BUY SELL *
An arrangement which provides for the disposition of a business owner’s share of the business at the time of his or her death or disability; for example, the agreement may provide that the remaining owners will purchase a deceased or disabled owner’s interest at an agreed-upon price and that the deceased owner’s estate, or the disabled owner, is obligated to sell the interest at that price.
KEY PERSON *
Most businesses have one or more so-called “key person.” These are employees whose services are especially crucial in connection with the income or profits of the business. To the extent that there is such an employee, it is obvious that the premature death or the total disability of that key employee could have disastrous effects upon the earnings of the business. Equally obvious is the fact that life insurance on the life of the key employee, the insurance being owned by the business and with the business the beneficiary of the policy, is prescribed. Then, following the premature death of the key employee, the insurance proceeds serve to reduce substantially the otherwise severe financial loss to the business. Similarly, the business would want to purchase disability income insurance on the life of the key employee, with the business names as beneficiary of the policy.
401 K *
Section 401 (k) plan is a qualified retirement plan established under IRA Section 401 (k) whereby an employee is allowed to defer a portion of his or her salary without current income taxation into an employer-sponsored retirement plan.
*These definitions are to give you an idea of what the type of coverage is; however, it is not in any way a legal or binding definition. If you need further information, please e-mail us or call our office. We would love to discuss.
AFFIRMATIVE INSURANCE & FINANCIAL SERVICES
Phone: 818-997-7879 Fax: 818-997-7844 EMAIL: info@getais.com