Bruce Hosler’s full interview on Moving To Tax-Free with Tom Hegna, the legendary host of Fox Business Television.
Bruce Hosler, a financial advisor, and author, shares his journey from a tax accountant to a financial advisor, emphasizing the importance of planning for future tax implications in investments and retirement. Bruce is the author of “Moving to Tax-Free.” Industry legend Tom Hegna hosted this Fox Business Network interview.
In this interview, Bruce discusses with Tom the importance of tax planning, the benefits of Roth conversions and cash value life insurance, and the need for long-term care and Social Security planning. The key takeaway is the need to transition from tax-deferred to tax-free investments, a strategy that can help significantly reduce future tax liabilities.
You may also be asking yourself:
What is the most important question to consider when planning for retirement?
How can *cash-value life insurance fund long-term care and provide tax-free income?
What are the implications of future tax rate increases, and how can I prepare for them?
If you want answers to these questions and more, Founder and principal of Hosler Wealth Management LLC, Bruce Hosler new book is out, “Moving to Tax-Free: Strategies for Creating Tax-Free Retirement Income, and Tax-Free Lifetime Legacy Income for Your Children.” Â It may be one of the most valuable books to read not just during Financial Literacy Month but anytime you are seeking to lower your tax burdens. Bruce explains the gradual process of moving towards a tax-free financial status, outlining the strategic steps individuals can take over time to minimize tax burdens and maximize savings.
The sooner people prioritize building a tax-free portfolio to secure financial stability, the better. It is crucial to have financial policies in place to protect and shelter oneself during life-changing events. Working with a financial professional is essential for retirement and wealth building, as well as for tax planning.
Determined to build financial literacy in America, not just in April, Bruce co-hosts the successful bi-weekly podcast Protecting & Preserving Wealth. He discuss and provides timely answers for their listeners on a variety of financial topics from estate planning to learning when to convert your IRA to a Roth IRA. He started the podcast because he found being a wealth manager is much like being a doctor—once the general public finds out you’re a doctor, you get lots of medical questions, whether you’re at church, an event, or sitting on a plane. His podcast provides a venue for anyone seeking unique & strategic answers from a CERTIFIED FINANCIAL PLANNER® Professional on all the things they are concerned about at a time and place that is convenient for them. For more information visit www.movingtotaxfree.com. Purchase a copy of Bruce’s new book here.
Disclosure: Securities and advisory services offered through Commonwealth Financial Network®, Member www.FINRA.org/www.SIPC.org, a Registered Investment Adviser. 700 S. Montezuma Street, Prescott, AZ 86303. Phone: 928.778.7666. The Financial Advisors associated with this website may discuss and/or transact business only with residents in states in which they are properly registered or licensed. No offers may be made or accepted from any resident of any other state. Please check Broker Check for a list of current registrations. Information presented on this site is for informational purposes only and does not intend to make an offer or solicitation for the sale or purchase of any product or security.
Fixed insurance products and services are separate from and not offered through Commonwealth. Tax preparation and accounting services offered by Hosler Wealth Management, LLC are separate and unrelated to Commonwealth. Commonwealth Financial Network® does not provide legal or tax advice. You should consult a legal or tax professional regarding your individual situation.
*Considerations for using a LIRP.
Life insurance retirement plans (LIRPs) have special qualification requirements and may not be suitable or available to all investors. LIRP retirement plans are long term strategies, and even though they can provide access to tax-free cash value via policy loans, if they are cancelled prematurely generally in the first 10 years, you can potentially incur an expensive surrender penalty. The IUL (Indexed Universal Life) policies referenced in this article have flexible premiums requirements unlike some other cash value life insurance policies. The LIRP generally invests in an equity index like the S&P 500, with a floor of zero (If the market loses value, {i.e., -22%} you earn zero for that year) and with a cap in the ranges of 8%-9.5% as an example). If you have a cap of 9% and the S&P 500 earns 12% for the year you will only earn the cap of 9%. Potentially the LIRP could experience lower investment returns than traditional retirement plans like IRAs, and 401K that invest in the markets without a cap. The LIRP could also protect your plan value with the 0% floor in down markets. If you borrow from the policy the insurance company will charge an interest rate (i.e., 4%) but will leave your investments fully invested with a potential average long term historically return of around 6%. Potentially allowing you to enjoy the benefit of arbitrage of about 2% (6%-4%) on the amounts you have borrowed for income purposes. The premiums (investment amounts) for LIRPs are generally much higher than normal life insurance policies as you are attempting to overfund the life insurance policy to the maximum extent allowed by the IRS. This enables you to build cash value in the policy, and shelter that cash value from future income taxation. Allowing you to take tax-free income during your retirement and leave a tax-free death benefit to your loved ones when you die.
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