Delta Pilot GVUL Information Part 2

Is a GVUL a good investment?

It just depends. By putting money in a GVUL, it’s not going to grow at the most efficient rate. If you invested tax-efficiently inside a brokerage account, and you do tax loss harvesting during the bad years, you could argue that it’s probably better to do that and have liquidity versus locking funds up. However, a lot of people like the idea of depositing money into this so it grows and you get the tax deductibility right away.

What to do before investing in a GVUL:

  1. Eliminate all debt (Credit card, car, etc)
  2. Have an emergency fund in place (6 months living expenses)
  3. Save pre-tax into your airline 401k plan
  4. Do a backdoor Roth IRA
  5. Then, contribute to the GVUL if you’re still in the 37% tax bracket and trying to get out

What happens when you leave the airline?

When you leave the airline, the GVUL policy is portable. However, you’re going to have to keep paying those premiums for your policy. Keep in mind that when you pull the money out, it is going to be taxed as income, not capital gains. When you pass away, your your beneficiaries will inherit this money as income.

If you missed our prior video on Delta Pilot GVUL information, click here to watch that.

Contact us if you have more questions. Click here to schedule a consultation with one of our financial advisors.

Casey Smith
President, Wiser Wealth Management

Listen to Our Podcast:

learn-more

Categories

Recent posts

  • What is the best way to take your RMD?
  • Does a Qualified Charitable Distribution (QCD) reduce taxable income?
  • Why Financial Planning is Different for Pilots

Share This Story, Choose Your Platform!

Wiser Wealth Management, Inc (“Wiser Wealth”) is a registered investment adviser with the U.S. Securities and Exchange Commission (SEC). As a registered investment adviser, Wiser Wealth and its employees are subject to various rules, filings, and requirements. You can visit the SEC’s website here to obtain further information on our firm or investment adviser’s registration.

Wiser Wealth’s website provides general information regarding our business along with access to additional investment related information, various financial calculators, and external / third party links. Material presented on this website is believed to be from reliable sources and is meant for informational purposes only. Wiser Wealth does not endorse or accept responsibility for the content of any third-party website and is not affiliated with any third-party website or social media page. Wiser Wealth does not expressly or implicitly adopt or endorse any of the expressions, opinions or content posted by third party websites or on social media pages. While Wiser Wealth uses reasonable efforts to obtain information from sources it believes to be reliable, we make no representation that the information or opinions contained in our publications are accurate, reliable, or complete.

To the extent that you utilize any financial calculators or links in our website, you acknowledge and understand that the information provided to you should not be construed as personal investment advice from Wiser Wealth or any of its investment professionals. Advice provided by Wiser Wealth is given only within the context of our contractual agreement with the client. Wiser Wealth does not offer legal, accounting or tax advice. Consult your own attorney, accountant, and other professionals for these services.

Sign up for our newsletter!

Our latest blogs, podcasts, and educational videos delivered to your inbox weekly.