TU Section2

Section 2 – Introducing the Wealth Transfer Plan

The System approaches estate planning in a totally different manner than the conventional system (only trying to reduce the estate tax). The System shows you step-by-step how to create a Wealth Transfer Plan tailored to both your personal situation and your specific business needs.

How does a Wealth Transfer Plan differ from an estate plan? Simply, a Wealth Transfer Plan deals with the assets you own, rather than the estate tax caused by those assets.


Let’s look at a typical real-life example from the confidential files of ILB Enterprises, Inc. (ILB for short). Call our client Joe Rich. After the usual preliminaries, here’s how our conversation with Joe might sound.

ILB: “How much are you worth?” … Joe: “$10 million.” ILB: “Do you know how much estate tax will be due?” … Joe: “Yes, about $4.2 million.” (If Joe doesn’t know the painful tax bite, we help him discover the answer.) Then we tell Joe, “Our network has created a unique system that allows you to transfer your entire $10 million dollars of wealth to your family… all taxes paid.”

The conversation may vary a bit, but Joe (like most clients) has a flood of questions: “Can I (Joe) maintain my lifestyle (and my wife’s) after I’m gone? … “Can I control my assets (particularly my business) for as long as I live?”… “Can I change my mind?” As we respond, “Yes!” to each question Joe’s interest intensifies.

The System’s emphasis is on the value of the assets you own, not lowering the estate tax. The System works for everyone — old, young, rich or very rich — and for all types or combination of assets owned.

Now, STOP READING for a moment. Write down two numbers: First, your current net worth. Next, estimate your net worth down the road, just before you pass on. And, to enhance your learning experience, start making a list of your questions as you continue reading this tutorial. Your numbers and questions will lay the foundation for building your own Wealth Transfer Plan.

Your tailor-made Wealth Transfer Plan, as taught on this website, is an easy way to turn the tables on the IRS and eliminate the potential shocking loss of your hard-earned wealth.

The Wealth Transfer Plan (as opposed to conventional estate planning) has become the standard against which all other estate planning techniques are measured.

Breaking the Tax Paradigm

We are now ready to break another very old paradigm: You can’t beat death and taxes.

Let’s go after the “taxes” part. As in estate taxes. You will soon realize that the estate tax is not a real tax, but a voluntary tax.

A good place to start is by taking a closer look at…


(The kind of planning done using the conventional wisdom)

Traditional estate planning — what The System has upgraded to Wealth Transfer Planning — is a complex maze.

Every well-conceived plan must have a target. Sure everyone wants to lower his or her estate taxes. Forget about the poorly done Estate Plans. Let’s talk about the typical well-done Estate Plans. The target of these Plans is to reduce estate taxes, provide the liquidity to pay the anticipated tax or both.

The Three Basic Traditional Estate Planning Strategies

Almost all Estate Plans that follow the conventional wisdom use only three basic strategies:

1. A revocable trust (more often called a living trust) attempts to avoid probate. It can never save you one cent of taxes. Why? Because it is revocable (can be changed at your whim), the IRS ignores it for tax purposes. Still, you should use it. We do. Not as a tax-saver but as a convenient way for your heirs to deal with your assets after you are gone.

2. A two-trust arrangement (usually called “Trust A” and “Trust B,” or “Marital Trust” and “Family Trust,” or something similar) is used to get the first $2 million) — of a married couple’s wealth to their heirs free of the estate tax. (The amount is exactly half — $1 million — if you are single. We like to call the free amount your lifetime freebie.) This type of arrangement is a worthwhile tax-saver. If you are married you should probably use it.

3. Some form of the marital deduction, which is a worthwhile — but temporary — tax friend for married folks. Careful, the instant your surviving spouse dies, the benefits of the marital deduction die too. Then the IRS collects its pound of flesh. Do not be fooled into thinking this deduction saves taxes. At best it only defers them.

That’s it. Three strategies. (But note, the strategies are designed to offer tax savings only after you die.) The rest, as far as tax savings are concerned, is usually boilerplate or does not address other tax-saving possibilities.

It’s a shame:

More than 50 percent of the estate plans we review, fail to take advantage of “The Three Basic Traditional Estate Planning Strategies.”


All three strategies have something in common. What?… The tax benefits all kick in at the same time — when you die. Then, it’s too late to implement the many tax-savings strategies that are available to you during your life.


One-size-fits-all estate planning does not work. Yet, we often see the estate planning documents from many professional offices (can be large or small, but specializing in estate planning) where the documents and the plans contained in them are identical for ALL clients. Whether the estate is large. Or small.

The real sin is a traditional estate plan for all who walk through the office door. Do you have a traditional estate plan as your entire plan? If so, read every word that follows.


We’re not complaining about traditional estate planning. It’s a good start.

Chances are — based on our years of experience — you just don’t have a Plan that is designed to solve the financial goals (we’ll talk more about solving your specific goals later) for you, your family and your business.

So, you don’t really have an Estate Plan. You have death documents… documents that will sit in a drawer or vault until you die.

Then, you likely will guarantee the IRS a big payday.

In spite of it’s limitations, traditional estate planning has been, is and will continue to be (unless there is a drastic change in the law) the bedrock of every Estate Plan. The System builds on traditional estate planning techniques and, in fact, reshapes the current estate-planning model (basically death planning) as currently used by advisors in the United States.

The System shows you how to create a Wealth Transfer Plan (basically lifetime planning) that moves piles of principal (wealth) and streams of income around in an organized fashion (like a master chess player), changing their character and taxability so that by the time the wealth and income get to the other side of the board (the time of your demise), the government is out of the game. Every System move is designed to be ethical and legal. Working together, the client and the professional advisor (not the IRS) are in control.

To get the best tax-saving results, you must develop a Lifetime Wealth Transfer Plan (starting today) and dovetail it with your Death Plan.

The more important fact is that you ain’t dead yet… Unfortunately, Traditional Estate Planning only prepares you to die. It leaves you without a Lifetime Tax Plan to effectively manage, increase and protect your wealth for as long as you (and your spouse) live.

Revolutionize Your Planning

The model-T Ford revolutionized land travel. But today, you would not think of using one of those old wonderful driving machines to take a cross-country trip. We all know why… for many reasons you could not get the results you want and need. Yet, a modern automobile — a much improved version of the old Model-T (and still evolving) — is the only intelligent choice.

Like the old Model-T, Traditional Estate Planning can no longer deliver the results you want and need.

To win the estate tax game and get the results you want, you must be proactive. Starting now.

Want to learn exactly what you must do next to pass ALL your wealth — intact — to your family? read more here…