Prospect: 80-year-old CEO and his 66-year-old new spouse
Situation: Client stated three times, “Don’t sell me life insurance. I am old, I don’t have children, and I don’t need it.”
Solution: We honored his request, focusing on his investment portfolio and how our investment advisory partner could help with their unique investment strategy that lowers client risk while still participating in upside market performance. The prospect was very excited about the investment strategy, and as part of the conservative piece, he was introduced to the concept of the Flexmethod® insurance component instead of using a bond fund.
We discussed the tax advantages and the potential tax-free income he and his wife would enjoy in a few years. Our team generated a personal design for his new wife, and after seeing the potential income for herself as well as a death benefit that would go to her son at some point, she stated emphatically, “This is what I want!” The CEO who had told us early on, “Don’t sell me life insurance” initiated a $500,000 premium policy with the Flexmethod® and is very pleased with his overall financial strategy (investments, insurance, and tax mitigation).
Prospect: 56-year-old widow who recently lost her husband
Situation: This client was VERY conservative and did not want to lose money. She needs income in five years and recently sold a business.
Solution: We asked her what the #1 most important thing on her mind was when it came to finances. Her response: not losing the profits from her business sale to taxes. With her tax advisor and investment partner, she opened a DST (Deferred Sales Trust) which allowed her to KEEP the sales proceeds and grow them for many years instead of writing a large check to the IRS for her business sale. Inside the DST, we set up a Flexmethod® strategy for the client that included a well-funded life insurance policy and investments from the securities partner that are safe and conservative. This will generate income for her in 3-5 years, meeting her desire to:
1. Mitigate taxes on the business sale
2. Remain in safe assets
3. Generate income for life
She smiled as she stated, “I feel so good about this! I can focus on things I enjoy in life instead of worrying about money!”
Prospect: 51-year-old veterinarian with spouse and two children
Situation: This couple had children late in life and wanted to take care of them financially. They also needed to create an income stream that will allow the veterinarian to retire in five years.
Solution: In our discovery process, we found his top priority was to mitigate taxes and also generate wealth in order to create his own paycheck in retirement. We brought in our tax professionals to create a plan to save him tens of thousands of dollars in taxes. We also created a Flexmethod® strategy that currently has this family invested in a sound portfolio and a Flexmethod® strategy including two life insurance policies on himself and one on his wife. These policies will replace their income in five years and set their children up for a legacy that will bring financial peace for generations to come.
Prospect: 51-year-old dentist looking to sell his business
Situation: When asked what his biggest financial concerns were, he didn’t hesitate: “Taxes! I feel like I’m going to get hit very hard and need direction on what to do.”
Solution: US Life partners with some of the top tax professionals in the nation, and this was a perfect opportunity to bring them onto the client’s team. This prospect is very philanthropic and charitable, and a course of action was designed to help mitigate taxes while developing a plan to contribute to his church and various charities. The client will save a significant amount of his profits from the sale of his business. In addition, he initiated a $400,000 premium policy that will bring a legacy to his wife, children, and future generations as well as generate tax-free income in retirement. The client stated, “I couldn’t be happier. I am going on vacation and will sleep like a baby knowing you guys are helping me through this business sale!”
Prospect: 55- and 57-year-old couple who own a business and lost over a million dollars to a financial scam artist
Situation: They were quite wounded and skeptical of financial “experts” and any part of the financial industry.
Solution: This was a new introduction for us, and they came to us via personal referral. We are taking baby steps to try and simply restore their belief in the goodness of humans. The first thing we have tried to do is build trust. We have discussed the integrity and ethics of our founder and CEO and how this is prevalent through our firm and its culture. Our investment partner put the money they didn’t lose into a conservative investment that is fully backed by the cash value of life insurance (a tier 1 asset). Meanwhile, the couple wanted their four adult children to become prosperous and have a sound financial road map. We initiated a new insurance policy on each of the four adult children and began a healthy journey for each of them to provide a legacy and future income for their families.
Prospect: 61-year-old female who recently went through a divorce and lost her business in the separation
Situation: She was experiencing a very difficult life transition and trying to put the pieces back together.
Solution: We allowed her quite a bit of personal space as she went through a very challenging time in her life. She was no longer married and no longer running the businesses she had built and that had become part of her identity. We had multiple conversations to see what was most important in her life going forward. She had taken some of her life savings and invested it with a financial “gunslinger” who promised her double-digit returns. We strongly encouraged her to move her money out of there. Literally three days after she took her money out, the SEC moved in, shut the company down, and began court proceedings to liquidate the firm. She likely would’ve lost nearly all of her money if she had not spoken with us and heeded our advice. She was so shook up by this “near miss” that it took her 20 minutes during a Zoom meeting to gather her composure. The great news is that her money was saved, and it is now in a safe place. We helped her begin a policy with a $1,000,000 premium; this will ensure her children are taken care of and that she will generate a very handsome income several years down the road. She appreciated receiving guidance from a company she can trust and who has her best interests at heart. She stated multiple times, “I cannot thank you enough.”
Prospect: 60-year-old single mom
Situation: She worked 50 hours per week and did not have a retirement plan. She figured she would work until she was 75 years old or later.
Solution: We took her small nest egg and designed a personalized solution for her. She now has an income plan set in place and is planning to retire instead at 68, while spending more time with her grandchildren. This client literally cried when we presented the plan to
her. She has been unable to spend much time with her children; she now has HOPE for the future – one of the most important aspects of the Flexmethod® strategy.
Prospect: An agent’s mom and dad (70 and 77 years old)
Situation: The couple was able to manage financially because of the husband’s pension. However, at 77 years of age, when he passes – his wife’s only option would have been to run an Airbnb in her home.
Solution: Quote from the couple, “I’ve got money sitting in a checking account not doing much. What can you do with it?” Answer: We can help build a future that brings stability and financial peace for you and your family. Using the Flexmethod®, we are building a strategy that will care for Mom after Dad passes away.
Prospect: A 53-year-old woman who works as a nurse practitioner and the sole breadwinner, while her 63-year-old husband, an attorney and PhD, focuses on caring for their autistic son
Situation: Despite the wife maxing out her 401(k), they struggled to save more due to high expenses, including special programs for their son. On top of that, they were hit with a $160,000 tax bill because she worked in New York while living in New Jersey.
Solution: We introduced them to our tax partners who helped reposition $100,000 toward her retirement, saving them significantly on taxes. Initially, they were hesitant about using any kind of leverage, but we were able to pivot and introduce our investment partner that gave them a strategy which aligned better with their comfort level. The flexibility of our strategies gave them confidence in moving forward, and they appreciated how we could meet them exactly where they were financially.
Prospect: 54-year-old husband and 48-year-old wife who are current Flexmethod® clients in Idaho
Situation: Client had been in the strategy for a while, but they misunderstood some key aspects. They were excited by the end result, but didn’t fully grasp how we get there, which led to doubt.
Solution: When we reconnected with our client, we provided a simplified explanation, breaking down how the Flexmethod® works and how they could make it successful. Their finances were already tightly allocated, so we introduced a tax strategist who helped wipe out their tax liability, allowing them to redirect that money into the strategy. This not only solidified their commitment, but also opened up a continuous monthly flow to ensure long-term success. It’s powerful when you can simplify things for a client, boosting their confidence in the strategy.
Prospect: 53-year-old female, current client we sold a policy to a couple years ago, hoping to utilize the Flexmethod® within an IUL for some supplemental income in retirement
Situation: About a year into her strategy, she was told she may have breast cancer.
Solution: This potential diagnosis brought life into perspective for her. Because of her policy, she not only has peace of mind knowing that her family would be ok financially if she passed away, but she could also access half of her death benefit if she ever couldn’t perform her daily activities. Luckily, she’s doing a lot better and is ok for now, but what a blessing it was to have her policy put in place just a year before!
Prospect: 47-year-old woman semi-interested in the Flexmethod®
Situation: She stated she had a net worth of $250,000 looking for $25,000 in premium.
Solution: She seemed a bit standoffish when it came to her finances at first, but after telling her about what we do and being transparent about the downsides to the Flexmethod®, she became more open and comfortable with us, telling us she is worth a lot more than the initial $250K net worth she originally stated. She has a net worth of about $4-5,000,000 and wants to look at putting $350,000 – $400,000 in premium toward a new policy once she can finalize a sale in November. It pays to be honest and genuine with people!
Prospect: 60-year-old man with a large loan and no retirement plan
Situation: He was paying into a substandard policy with a sizable loan, making premium payments as the loan was growing.
Solution: We 1035 exchanged into a new policy; he now no longer has premium payments and has a projected income after 11 years of almost $200,000. He said, “If you ask anyone who knows me, they would say that I’m a planner. If I was asked what was my plan for retirement, I would have said I have no idea. Not only have you saved me from paying $120,000 a year in premium, I no longer worry about the loan of $600,000 in the policy, and I now have a tax-free retirement income. THANK YOU!!!” He referred family and clients. We closed four of his referrals.
Prospect: A life marketer at a large IMO
Situation: We asked her how business is over at her IMO.
Solution: She stated that last month was the best month that she has ever had in her career. She said she just bought a new car last night. Her brother was in management and stepped down; he is now working alongside her recruiting new agents. They are as excited as they come!!!
Prospect: Married couple, both 54 years old
Situation: Their agent was looking at putting them into an IUL where they would pay $60,000 per year for several years in order to secure future income. The agent was new to the Flexmethod® strategy, and the clients were just learning about IUL and the tax advantages, but they were concerned about the low growth potential.
Solution: We showed them a design for $80,000 for two years and it showed more income than the original agent plan with less cash out of their pockets. This was exciting to them, and ever since then, they have been big fans of our investment advisory partner and their offerings. They are always calling me and asking me financial questions; they have complete trust in us as a firm. They are hoping to do much more utilizing the Flexmethod®.
Prospect: 62-year-old husband and 57-year-old wife
Situation: They had existing insurance premiums equaling $20,000 total per year, and they were curious what we could do to improve.
Solution: With the Flexmethod® strategy, we showed them how to redeploy existing cash value plus a little out of pocket in order to have the same coverage AND no more annual out-of-pocket premiums. They were so excited!! Two days later, they asked how much input money was required to generate $10,000 per month after 5-7 years? We answered that it would require $250,000 in premiums per year. They are now in underwriting for this amount!
Prospect: 70-year-old father with a daughter with special needs in her early 30s
Situation: He wanted to figure out how he could help set his daughter up financially when he is gone so she can continue to have the care she needs. He does have some life insurance, but not enough to take care of her, and the cost of insurance on himself is too much.
Solution: Working with him, we found out he also has a son in his mid-20s that is healthy and strong. The father is opening a trust and starting the Flexmethod® on his son. His son’s policy will generate income for his special needs daughter, and the income will be protected within the trust.
This gentleman said, “This is life changing! Thank you for helping me find a solution to help my daughter.” The Flexmethod® gave this man peace of mind and a strategy that will help both of his children well after he is passed and gone.
Prospect: 58-year-old doctor
Situation: Dr. X had a number of different life insurance policies and, after working for various hospitals and different companies in multiple states, he had amassed a number of different company-provided retirement accounts. It was difficult to keep track of it all and, although he knew he would have money available to him during his retirement, he dreaded the day when he would have to figure out how to access all of the different accounts and keep up with paying all of the taxes.
Solution: When he first learned about the Flexmethod®, Dr. X saw a way to potentially consolidate his resources into one strategy that would provide him with a lifetime of tax-free retirement income. With the help of his highly dedicated agent, Dr. X was able to gather up all of those available funds and put them to work in the Flexmethod®. He now has a solid plan in place for supplemental income, and couldn’t be happier. In fact, Dr. X has already begun referring family members to the Flexmethod®. We are currently working with Dr. X’s sister to get her Flexmethod® strategy up and running. Helping entire families like this is one of the many reasons why we love what we do.
Prospect: 56-year-old male client who has Stage 4 cancer
Situation: He purchased his wife a NW policy to take care of her when he passes. He also has two sons, ages 19 and 23, and he wants to make sure they are taken care of after he passes.
Solution: He has a corporate-owned policy that will pay out $1.2M in death benefit to his family. He is setting up a trust and is using the death benefit payout to set up Flexmethod® policies for both of his sons. He really understands the importance of life insurance in his situation. Although this is obviously a difficult situation, the client has peace of mind knowing that his family will be taken care of after he passes.
Prospect: 44-year-old Dentist
Situation: After recently graduating as a dentist and working with a couple other dentists, he came to Kirk looking to start his own practice. He had already bought a regular insurance policy with a good carrier, and he used the policy as many agents would over the years to borrow against and start his business.
Solution: When Kirk encountered the Flexmethod®, he reached out to him to show him how it works – how he could increase the income his existing policies were bringing in and how he could get more personal tax deductions with what he was already doing—at no extra cost or outlay on his part. Kirk also showed him how the Corporate Flexmethod® could work with his company through buying policies on his employees and in turn providing his business with some extra tax deductions and a place to park the company’s cash—all while providing his employees with the ability to keep the death benefits of their policies. Going through the Flexmethod® has worked out well for our client and his practice.
Prospect: 55-year-old Certified Public Accountant
Situation: Kirk had been meaning to show his CPA the Flexmethod® when he found he had an interest in it. However, it seemed that any time one of them had the time to meet, the other was busy, and the meeting just never took place.
Solution: About a year or two ago, they were meeting to work out Kirk’s taxes and they finally got to talking about the Flexmethod®. After talking for a bit, he told Kirk he wanted to see what $50,000 in the Corporate Flexmethod® would look like. Once he saw the outcome, he asked to see what $150,000 would look like.
Finally, he told Kirk, “Ok what would $200—actually, I have $300,000 I could put into this, but I would need $100,000 at the end of the year for a few months until it gets replenished. What would that look like, if it’s even possible?”
After all was said and done, he was able to get about $800,000 in policies, covering himself, his wife, and his employees. He was also able to keep a high availability of his capital in case of an emergency, and anticipated a great rate of return and income for his business.
Prospect: Kirk’s friend’s 65/66-year-old sister
Situation: Recently divorced and very anxious about her financial wellbeing, she had never had to deal with money before in her life and was concerned with how she was going to pay her bills and what she could or could not afford.
Solution: The divorce left her with a modest sum of money, and she had some income coming in from social security, but the funds were not enough to be able to retire. Her biggest questions were: What do I do? What can I afford? What is the future going to look like for me?
We talked to her about budgeting, looked at traditional investments for her, and introduced her to the Flexmethod® and our investment partner and their strategies. In the end, she was able to keep some of her money within the market (but in a safer way) and created a Flexmethod® policy on herself. While we couldn’t get a lot of money on her own policy because she wasn’t working at the time and would not qualify for a lot, we were able to have her start policies on her daughter and son-in-law, who would keep the death benefits, but allow her to take the growth and income of the policies to help supplement her retirement income.
Overall, not a substantial amount of money was started with, so there was not a huge amount of income, but it was about 4x more income than if she had gone with a traditional investment portfolio. For her, this was a huge lifestyle difference between what she would have had and what she had after working with us. On top of it all, we were able to provide her with the peace of mind that her finances would be taken care of and would not need to be a major worry in her life.
Prospect: Single, 40-year-old, successful chiropractor
Situation: He had met Kirk through working with another agent and started working with him and his investments before we had the Flexmethod®. Eventually, the agent he was going through left the business, so he reached out asking us to evaluate the policies he had bought.
Solution: We determined the existing policies were not bad, and then showed him how the Flexmethod® worked. Having a conservative outlook on finances, he wanted to make sure he had a stable income no matter what so he could retire peacefully. We showed him how he could get new policies even though he wasn’t interested in the death benefits of any new policies because of those he had from his existing policies, which he would give to his parents. He ended up getting a new whole life policy and IUL policy with some money he had set aside; he was only going to pay into those for a few years and then evaluate whether or not he wanted to continue with them.
After four years and contributing around $2,000,000 into those policies, he sold his practice and is now moving to Thailand. We’ve estimated that he has the ability to conservatively get an income of around $225,000, although he will most likely take out around $100,000 or so at the most. He hopes to send around $100,000 per year to India, where his parents are from, and do some charity work there. He loves the safety and conservative nature of these policies.
Prospect: 65-year-old husband and 62-year-old wife that run a multimillion-dollar family business
Situation: They know they have an estate tax issue and don’t want to work forever. They also have a 25-year-old son with special needs.
Solution: They saw the Flexmethod® as the perfect fit to safely transition into retirement while also taking care of their other concerns. The agent asked for a $400,000 design, but the appointment was going so well that he asked us to show $1,000,000 per year. After the call, the agent told me that the wife, who had been pretty quiet on the call, told her husband to apply for $2,000,000 per year because where else are they going to find something that addresses ALL of their concerns so completely?
They just PAID a Flexmethod® Plan for his 70-year-old brother and his 67-year-old wife for another $1,000,000 per year.
Prospect: Agent with 40+ years’ experience in insurance industry
Situation: The agent was busy and did not respond to calls
Solution: The agent took months to engage with us at US Life. Once he did, he saw the Flexmethod® and said, “Holy smokes, why didn’t I meet with you sooner?” He immediately began bringing clients to the Flexmethod® and has closed multiple deals. He recently qualified for a trip to Europe as a top producer for a major Carrier. A very common quote we hear from agents is: “This is the least amount of work I have ever done and the most amount of money I have made. I love the Flexmethod®!”
Financial solutions from dedicated professionals designed to be flexible enough to meet your unique needs.
The Stafford Corporation (“Stafford”) is a licensed insurance producer in Idaho and offers the Flexmethod® and insurance products and services through its licensed insurance brokers. The Flexmethod® may involve an asset-based lending strategy as one of its components that seeks to generate cash flow by borrowing using the value of an eligible life insurance policy as collateral. It may also involve coordination with your investment advisor, legal and tax professionals, but Stafford does not offer investment advisory services, securities, legal, or tax advice. Certain eligibility restrictions may apply. In connection with the Flexmethod® strategy, Stafford often recommends the services of other financial, tax, and legal professionals. One of those recommendations may be to Desert Rose Capital Management, Inc., an SEC registered investment adviser that provides investment management services and is an affiliate of Stafford. The compensation earned by this entity in connection with the Flexmethod® presents a conflict of interest because Desert Rose Capital Management, Inc. is an affiliate of Stafford. The statements contained herein are aspirational in nature and for illustrative purposes only. The suitability of the Flexmethod® and its results will depend on the facts and circumstances of the individual policyholder.
There are risks associated with the Flexmethod® that you should consider and discuss with your Stafford representative and other financial professionals, including, but not limited to, market risk, interest rate risk, and additional loan renewal requirements. Any guarantees and benefits of an insurance policy are subject to the claims-paying ability and financial strength of the issuing insurance company. It is possible coverage will expire when either no premiums are paid following the initial premium, or subsequent premiums are insufficient to continue coverage. Distributions taken through loans and withdrawals will reduce a policy’s cash surrender value and death benefit and may affect policy coverage and performance. In addition, if the policyholder fails to repay any insurance-backed loan pursuant to its terms, the loan could default, the insurance contract could lapse, and the value of the policy could be forfeited. The Flexmethod® seeks to provide access to potentially tax-free withdrawals because loans are generally not considered income; however, you should consult with your tax advisor regarding the specific tax implications of any strategy. Tax implications are possible if a life insurance policy is sold or surrendered. Not all Flexmethod® solutions are available in all states or jurisdictions. Please consult with your Flexmethod® professional and insurance agent for specific information related to your needs.
