Edward Sanders

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401k - IRA Account

Tax Free Savings Account

                                We found 10 out of 10 people are unaware close to 40% or more

                       of our retirement money will disappear to taxes.


Review Aesop’s Fables; The Tortoise the Hare and the 401k.


Scroll down for video comparing future income from a 401k vs. a Tax Free Account:


Our clients are concerned about:
    No control over taxes
    No control over stock market losses

Our plans solve for both of these concerns.

Comparing a 401k or IRA to a Tax Free Account
1)    What will be the taxes on our retirement money?
2)    What if we are under 55 years of age
3)    What if we are close to 59 ½

4)    Video comparing future income from a 401k vs. a Tax Free Account

5)    What’s Provisional Income
6)    What are the comparison benefits of a 401k vs. a Tax Free Account

#1 There are no answers to what tax bracket we will be in when we retire. Unless, we are broke or don’t have any retirement investment dollars remaining.


Why? Because the government has not told us yet.

The majority of people invest in a 401k or an IRA thinking we are getting a great tax break; when in fact we are postponing the taxes and the tax bracket. Remember, in a 401k or IRA we will pay taxes FOREVER as long as we are taking money from the account. By the way, taking money out of these accounts is mandatory starting at the age of 70 ½ or pay major taxes and penalties.

#2 If we are under 55 years old and saving in a 401k or IRA it might be beneficial for us to compare which is going to serve us better in retirement. Contact us to arrange for an on line assessment using our “Retirement Ready or Not” software.

#3 If you are close to 59 ½ years old with a 401k or IRA account it may be beneficial to compare if it makes sense to keep all our savings in the 401k/IRA or use a strategy to convert dollars to a tax free account without paying the taxes out of our wealth (like a Roth IRA). Contact us and we will gather some information about your plans and then run your plan into our “Retirement Ready or Not” software. You may be really surprised to see how much money slips away to taxes.
Without the taxes we would probably receive approximately 200% or more of income.


#4 Watch this video to see the affect of taxes on our 401k/IRA dollars. Contact us if you would like to see a specific illustration of your particular situation.























#5 Provisional Income – The IRS considers any form of income (earned or unearned) to be income. That means a married couple with income greater than $44,000 will have 85% of their Social Security added to their income and taxed at the then highest marginal tax rate. Unearned income is any income received from investments, savings etc.


#6 Comparing Five Major Benefits of a Tax Free Account:




SAFETY OF PRINCIPLE:                                                                    NO SAFETY OF PRINCIPLE:                                               

Our money is NOT invested in the Stock Market                                          Our money IS invested in the Stock Market
Our money is not subject to volatility                                                          Our money is exposed to investment risk

All annual growth is LOCKED-IN permanently and amount​                               Growth is not locked-in and account CAN 

    CANNOT depreciate in value                                                                            depreciate in value.


TAX CONSEQUENCES:                                                                      TAX CONSEQUENCES:


Our money grows Tax Free                                                                         Your money grows tax deferred

There are NO taxes when we withdraw our money                                        You pay taxes when you withdraw your money

There are no taxes when we die                                                                  Taxes are paid when you die

​There are no taxes when money passes to our families                                  Taxes are paid when money passes to the family


ACCESS TO OUR MONEY:                                                                           ACCESS TO OUR MONEY:


You can access our money whenever you need it.                                         We have limited access to our money

There are NO early withdrawal penalties.                                                      We pay early withdrawal fees

We don't have to pay it back                                                                       We have to pay it back


RESTRICTIONS:                                                                                         RESTRICTIONS:


There are no IRS limits to how much we can contribute to our plan                 There are limits to how much we can contribute

There is no age restriction for what we may withdrawal.                                There is an age restriction for withdrawals


FEES:                                                                                                        FEES:


Charges are a fraction of the fees within a qualified account (401k).                  Charge significant fees and expenses to cover                                                                                                                           investment expenses and administration costs even                                                                                                                   if the account depreciates in value.

                                                                                                                  See Shocking Videos on 401k fees