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Creative Wealth Maximization Strategies - October 2011

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This month's newsletter features the following articles:

“CAN WE MONETIZE IT?”
The process of converting something of value into money is called monetization. Because money has a superlative advantage over all other assets since it can be used to buy almost anything, monetization strategies are an essential part of financial decision-making for both businesses and individuals because monetization makes valuable assets spendable.
The concept of monetization is simple, and this simplicity may lead us to overlook its importance. But when we have valuable assets that are not monetized, we begin to see how crucial monetization is to financial success.

A “HIDDEN” MONETIZED ASSET: Your Human Life Value
As a parent, spouse, employee, you have a unique human life value to others. While much of the value you bring into these relationships may not be not financial, or even financially quantifiable, a life insurance policy allows you monetize your human life value when you are no longer there in person. When you obtain life insurance, you have monetized yourself.

MONETIZING HOME EQUITY WITH A REVERSE MORTGAGE
A typical method of monetizing real estate assets is taking a loan against the equity. But most monetizing strategies that involve conventional borrowing come with the obligation of regular, scheduled repayments. A reverse mortgage is a unique monetization-by-borrowing agreement that offers flexible and deferred repayment options. Along with several other unique advantages, a reverse mortgage can be a very attractive asset for older individuals to monetize.

THE BEST RESOURCE FOR LIFE INSURANCE
An ongoing philosophical debate in the financial services community is how financial professionals should be compensated, either by commissions or advisory fees. Since both sides are fairly well-entrenched on philosophical grounds, it is perhaps a surprising to read a practical, real-world perspective on how to obtain reliable financial advice, particularly in regard to life insurance.

REQUIRED MINIMUM DISTRIBUTIONS (RMDs): The distribution may be required, but what if you don’t want to spend it?
As life expectancy continues to increase and general good health extends later in life, many qualified retirement account holders age 70½ or older may still be working, and/or may not want or need to take distributions from their accounts. For these individuals, liquidation from a retirement account will result in additional taxable income, and the funding of a new, non-qualified accumulation vehicle. Both facets of this distribution process could benefit from some forethought and planning.

Related Documents

Ashford Advisors Creative Wealth Maximization Strategies - October 2011

Internet Marketing Firm: Full Media

Guardian, its subsidiaries, agents, or employees do not provide tax or legal advice. The Associates of Ashford Advisors, Inc., are not licensed to sell insurance in all 50 states. To find out if an agent is licensed in your state, please contact Johnny Howard at 770 390-2600. The Registered Representatives are securities licensed in Georgia, Florida, Alabama, Mississippi, South Carolina, North Carolina, Tennessee, Virginia, New York, Colorado, Arizona, Michigan, Illinois and Nevada and is strictly intended for individuals residing in those states. No offers may be made or accepted from any resident outside these specified states. The information or opinions contained in this Internet site should not be construed by any consumer and/or prospective client as an offer to sell or the solicitation of an offer to buy any particular investment product. The information contained herein is directed solely to those individuals who reside in jurisdictions in which the representative is registered in the state where the consumer and/or prospective client reside. Any subsequent direct communication with a consumer and/or prospective client shall only be conducted by a representative that is registered in the state where the consumer and/or prospective client reside. The information on this web site is designed to be general in nature and for educational purposes only. Guardian, its agents and employees do not give tax or legal advice.

The Living Balance Sheet® and the Living Balance Sheet® Logo are registered service marks of The Guardian Life Insurance Company of America (Guardian), New York, NY. The graphics and text used herein are the exclusive property of Guardian and protected under U.S. and International copyright laws. © Copyright 2005-2009, The Guardian Life Insurance Company of America

* Registered Representative of Park Avenue Securities LLC (PAS), Two Ravinia Drive, Suite 750, Atlanta, GA 30346. Securities products and services offered through PAS, (770) 390-2600. Financial Representative, The Guardian Life Insurance Company of America (Guardian), New York, NY. PAS is an indirect, wholly owned subsidiary of Guardian. Ashford Advisors is not an affiliate or subsidiary of PAS or Guardian.
PAS is a member FINRA, SIPC.

** Registered Representative and Financial Advisor of Park Avenue Securities LLC (PAS), Two Ravinia Drive, Suite 750, Atlanta, GA 30346. Securities products/services and adv isory services are offered through PAS, a registered broker-dealer and investment advisor, (770) 390-2600. Financial Representative, The Guardian Life Insurance Company of America (Guardian), New York, NY. PAS is an indirect, wholly owned subsidiary of Guardian. Ashford Advisors is not an affiliate or subsidiary of PAS or Guardian.
PAS is a member FINRA, SIPC.

Material discussed is meant for general illustration and/or informational purposes only and it is not to be construed as tax, legal or investment advice. Although the information has been gathered from sources believed reliable, please note that individual situations can vary, therefore the information should be relied upon when coordinated with individual professional advice.

Disability Income and Long Term Care products underwritten and issued by Berkshire Life Insurance Company of America, Pittsfield, MA, a wholly owned stock subsidiary of The Guardian Life Insurance Company of America, New York, NY. Products not available in all states. Product provisions and features may vary from state to state.

Guardian does not offer Property and Casualty insurance products or services.