If you are still relying on traditional retirement accounts to secure your future, you are playing by outdated rules. It's time to operate like the Fortune 500, reclaim your tax dollars, control your capital, and secure your legacy God's way.
Purpose
Create tax-efficient retirement income without contribution limits like 401(k)s or IRAs.
Shift taxable income into tax-advantaged assets using Section 7702 of the Internal Revenue Code.
Reduce business taxable income now and build private tax-deferred wealth.
Biblical Lens: "Steward the increase wisely to leave a harvest for future generations." — Proverbs 13:22 (paraphrased)
Winning in Wealth Now – The Millionaire Legacy Blueprint
NATALIE TAYLOR
SPEAKER | Financial Expert
Core Structure:
The company sets up an Executive Compensation Plan.
The company funds a life insurance policy (typically a cash-rich Whole Life or Indexed Universal Life — IUL) on the executive/owner.
The executive receives the policy personally (the business pays premiums as compensation).
Premiums are considered additional taxable W-2 income to the executive but the company gets a full deduction.
The policy grows cash value tax-deferred and can be accessed tax-free via loans and withdrawals in retirement.
Section 7702 Overview (Insurance Code Reference)
Defines how life insurance policies grow cash value tax-deferred.
Allows loans against the policy without triggering taxable events.
Outlines how the death benefit stays tax-free for heirs.
✅ Major Corporate Advantage:
No contribution limits like traditional retirement accounts
Liquidity access much earlier.
Higher accumulation potential.
CLIENT EXAMPLE (FULL WALK-THROUGH):
Category
Value
Gross Revenue
Operating Expenses
Net Income (Pre-Strategy)
$1,000,000
$800,000
$200,000
🔺 Tax Exposure at $200k:
If taxed at ~37%, the client could owe $74,000 in Federal Income Tax alone (plus State)
✅ Strategic Move:
1. Set a reasonable salary for the business owner at $300,000 (IRS approved guidelines for reasonable compensation).
2. Fund $300,000 into an Insurance-Based Executive Compensation Plan
(7702 structure).
3. This $300k is deductible as compensation expense to the business.
After Strategy
Value
Gross Revenue
Operating Expenses (now $800k + $300k)
Net Business Income
$1,000,000
$1,100,000
- $100,000 Loss
Impact:
No $200k taxable income left.
Business posts a $100k loss → potential carryforward to reduce next year’s taxes.
Owner now has a $300,000 funded insurance plan building private, protected wealth.
Cash value grows tax-deferred retirement income can be accessed tax-free.
Bonus Move:
Plan is creditor-protected in most states (especially important for entrepreneurs).
Citing Corporate Precedent:
GE (General Electric) April 15, 2018 Statement Executive Compensation Filing
GE's SEC 10-K filing detailed how corporations fund executive compensation plans using life insurance premiums that significantly exceed their contributions to traditional retirement plans.
Example from GE:
Executive compensation through life insurance-based plans was hundreds of thousands higher than typical 401(k) or defined benefit contributions.
Purpose: tax-advantaged accumulation + retention + deferred taxation.
✅ Lesson: Major corporations move premium dollars into policies because it creates a better ROI, tax-shielded growth, and employee retention.
KEY ADVANTAGES FOR BUSINESS OWNERS
Benefit
Explanation
Massive Tax Deduction Now
Shifts taxable income into deductible executive pay.
No Contribution Limits
Unlike 401(k)/IRA caps, you can fund hundreds of thousands per year.
Tax-Free Retirement Income
Structured properly (loans/withdrawals) to pull income tax-free.
Wealth Protection
Life insurance benefits + asset protection benefits.
Legacy Creation
Death benefit creates instant estate liquidity without taxation
✅ Executives own the policy, not the company (unless a split-dollar structure is used).
✅ Policies are custom-designed for maximum cash accumulation (not just death benefit).