I’m confused by the numbers above.OP here. After a second call to NWM, they agreed to send an in-force illustration. We have now received it. It indicates that the policy is a "paid up life" policy of $5850. I am guessing that is the basis should we cash it out?Code:
1 2 3 45 6 7 89 10 11I calculated the annual increases shown in the last column (11) and the non-guaranteed increase (column 9). A couple questions I still have:Code:
75 2023-24 $63,419 $1,687 $57,902 -- $56,215 --76 2024-25 $65,320 $1,746 $- $2,136 $- $60,038 3.69% $56,592 0.67%77 2025-26 $67,275 $1,809 $- $2,212 $- $62,250 3.68% $56,972 0.67%78 2026-27 $69,280 $1,868 $- $2,304 $- $64,555 3.70% $57,371 0.70%79 2027-28 $71,323 $1,918 $- $2,425 $- $66,980 3.76% $57,822 0.79%80 2028-29 $73,364 $1,935 $- $2,593 $- $69,574 3.87% $58,390 0.98%81 2029-30 $75,480 $2,029 $- $2,817 $- $72,391 4.05% $59,051 1.13%82 2030-31 $77,798 $2,249 $- $3,095 $- $75,486 4.28% $59,741 1.17%83 2031-32 $80,440 $2,590 $- $3,394 $- $78,881 4.50% $60,377 1.06%84 2032-33 $82,820 $2,379 $- $3,938 $- $82,820 4.99% $61,571 1.98%
1. Is the paid up life policy value of $5850 the basis should she cash out the policy?
2. The illustration only runs to her age 100, where the insurance is equal to the cash surrender value assuming the non-guaranteed returns. Does this mean that after age 100 there will be no more increases? The maximum death benefit will then be $82820 even if she lives to 105 or 110? Is that right?
3. She does not need or want the cash from this policy. It would knock her into paying IRMAA premiums for the year she received it. But, if she did want the cash for some unexpected expense, could she take a loan? I assume that is not considered income, right? How do those loans work? Is the interest paid by the owner, or is it withdrawn from remaining cash value?
Can you please add column headings?
And can you tell us what “$5850” is? - I don’t see that on the information presented.
Statistics: Posted by Stinky — Wed Jan 24, 2024 8:13 am — Replies 50 — Views 3186