Main Libraries

Federal Income Taxation

Sources of the FEDERAL TAX Law, Federal Income Tax: General Law, The Internal Revenue Code, Revenue Rulings and Other IRS Materials...

Life Insurance

Selected Laws Affecting Insurance, Federal Income Taxation of Life Insurance & Annuities: Personal, Community Property Rights in Life Insurance...


Taxation of Life Insurance, 1035 Exchanges, Gain or Loss on Surrender or Sale, Transfer For Value Rule, UL and VUL, Taxation of Annuities...

Split Dollar Insurance

A form of executive compensation that has been popular for many years is “split dollar” insurance...

Group Life and Health Insurance

Goverment Non-tax requirements, Taxation, Group Survivors’ income benefit insurance, Welfare benefit funds, Health Reimbursement Arrangements...

Stocks and Other Investments

Introduction: Taxation of Investments, Introduction to Stocks, Dividends, Stripped Preferred Stock, Other Investment Vehicles...


Introduction to Bonds, Treasury and Corporate Notes and Bonds, Convertible Bonds, Stripped Bonds and Coupons, Zero Coupon Bonds and Original Issue Discount...

Real Estate

Joint Tenancy and Tenancy in Common, Tenancy by the Entirety, Community Property, UNIFORM MARITAL PROPERTY ACT,Overview of Real Estate Investments...

Employee Benefits

Benefits Today, The Compensation Package, Cafeteria Plans, Fringe Benefits, Educational Assistance Programs, Educational Assistance Programs...

Executive Compensation

Effective Executive Comopensation, Property Transferred as Compensation, Golden Parachutes,Below Market Loans: Compensation-related...

Pension and Profit Sharing

Introduction, Types of Qualified Plans, Qualification Rules, Funding & Deductions, Plan Design, Fiduciaries and Plan Investments, Plan Termination...

Deferred Compensation - Taxation

Goverment Non-Tax Requirements, Tax Aspects, Death Benefit Only Deferred Compensation, Planning a Deferred Compensation Agreement...

Individual Retirement

Introduction, Erisa Provisions, Plan Requirements, Income Taxation,ROTH IRAs, EDUCATION IRAs...

Federal Estate Tax

Federal Estate Tax – General, Life Insurance/Health Insurance/Annuities: Personal Insurance, The Federal Estate Tax Deductions and Credits...

Estate Planning

Planning Techniques, Lifetime Giving, Wills & Trusts, Intestacy, Uses of Life Insurance, Gifts to Minors, Charitable Giving, Community Property...

Business Entities

Proprietorships, Partnerships, LLCs & Corporations, Buy-Sell Agreements, Partnership & Corporate Taxation, Family Limited Partnerships...

Gift and GST Taxes

The Federal Estate & Gift Tax, The Generation Skipping Tax, GST-Exempt ILITs, State Death Taxes...

Lifetime Gifts

Gifts to Minors, Charitable Giving, Crummey Powers, Gifts of Life Insurance...

Qualified Retirement Plans

Defined Contribution and Defined Benefit Plans, Profit Sharing and 401(k) Plans, ESOPs, Qualification Requirements, Tax Rules...

Investment Planning

Types of Investment Vehicles, Taxation of Investments, Investment Strategies...

Financial Planning

Financial Planning Concepts, Financial Planning for Special Circumstances...

AUS Special Reports

Topics of special interest to financial advisors.

State Law Digests

Covering Wills, Trusts, Intestacy, Insurable Interest,Insurance Exemption Laws..

Case Studies

How Would You Advise?

Tables and Inflation Adjusted Amounts

Tax COLAs, Qualified Plans, IRAs, 7520 rate

Specimen Forms

Various Planning Scenerios...

View All Main Libraries

A complete listing of all Main Libraries.

Topical Index

Index of General Subject Areas.

Advisor's Journal

Avoid Leaving Money on the Table Under New Social Security Rules
By Robert Bloink and William H. Byrnes
The new rules governing Social Security claiming strategies are still confusing to many. While many of the old strategies have been eliminated, action can still be taken in order to obtain the highest possible Social Security benefit. As a result, it’s crucial that advisors gain a comprehensive understanding of the new rules
New Regs Encourage Split Annuity Pension Option
By Robert Bloink and William H. Byrnes
A client may face whether to accept a lump sum option from a pension plan. Deciding between a lump sum and an annuity option can be critical. The IRS agrees an all-or-nothing choice is not necessary. New regulations offer an option that provides income security but also gives clients access to a lump sum.
IRS Offers a Get Out of Jail Free Card for Late IRA Rollovers
By Robert Bloink and William H. Byrnes
Missing the 60-day rollover deadline for transfers between retirement accounts can cause problems for a client. IRS recently granted relief with a new self-certification process. Despite this, clients need to be made aware of the fine print-not every late rollover will qualify, and complications arise even for those that technically do satisfy all IRS criteria.
Small Business Self-Funded Health Insurance Surges
By Robert Bloink and William H. Byrnes
Small business owners struggle to remain competitive in the wake of the Affordable Care Act. Many are not required to provide health coverage, but failing to offer this important employee benefit can hinder a firm’s ability to retain crucial employee talent. Self-funding health coverage has recently surged in popularity among small business owners.
Cash Balance Plans Supersize Small Business Retirement Savings
By Robert Bloink and William H. Byrnes
Retirement income planning presents complications for small to mid-sized business owners. Many have been unable to save during the early years of a business, and need to maximize retirement contributions now. Hybrid cash balance plans can provide business owners with an opportunity to more than quadruple annual retirement savings later in the game
Dodging a Pro-Rata Rule Tax Debacle on IRA Transactions
By Robert Bloink and William H. Byrnes
Clients may own retirement accounts that contain a combination of pre-tax and after-tax contributions—which will likely trigger the distribution rule known as the “pro-rata rule”. Failure to understand and consider the pro-rata rule can, of course, lead to unpleasant tax surprises down the road.—especially when engaging in rollover or Roth conversion transactions.
Outsourcing Fiduciary Duties Offers Small Businesses a Lifeboat
By Robert Bloink and William H. Byrnes
The Department of Labor (DOL) fiduciary rule has left the retirement industry reeling. The threat of increased fiduciary liability makes us wonder where the industry as a whole is heading. For smaller businesses the primary focus will likely be on mitigating risks through the use of outsourcing.
New IRS QTIP Rules Boost Estate Tax Portability Benefits
By Robert Bloink and William H. Byrnes
Uncertainty in estate planning has persisted over whether clients can take advantage of planning techniques involving qualified terminable interest property (QTIP). Newly released guidance allows a powerful new planning strategy that can be used by wealthy clients to maximize a deceased spouse’s federal estate tax exemption that may be “ported” to the surviving spouse.
GAO Report Could Kick-Start 401(k) Annuity Offerings
By Robert Bloink and William H. Byrnes
Annuities play a valuable role in client retirement income planning. The Government Accountability Office (GAO) has released a recommendation to allay plan sponsors’ fears of liability. The GAO has recommended that the Department of Labor (DOL) modify rules governing plan sponsors’ fiduciary liability to facilitate in-plan annuity products within 401(k)s for the middle market.
Community Property: Avoiding a Collision with Federal IRA Rules
By Robert Bloink and William H. Byrnes
Experienced advisors know the importance of beneficiary designations for retirement accounts. The impact of state community property rules on beneficiary designations are less clear. A recent IRS ruling highlighted when federal and state rules collide. The ruling makes clear the importance of proper planning for the disposition of IRAs in community property states.
Self-Directed IRAs: Avoid Stumbling Into Fiduciary Liability
By Robert Bloink and William H. Byrnes
The Department of Labor (DOL) fiduciary rule will likely usher in an increase in the number of self-directed IRAs in retirement planning. Changes in the cost structure is expected to push more middle market clients into self-directed IRAs. Despite this, the role of the advisor does not end once a client chooses a self-directed IRA.
Small Business Group Health Coverage: Back for a Sequel?
By Robert Bloink and William H. Brynes
As the labor market improves, many small business owners want to adjust existing policies to remain competitive—especially in light of the Affordable Care Act. Many have discovered that not having group health coverage creates a barrier to retaining qualified employees. These clients are now looking for advice on offering group health coverage.
GRAT Valuation Discounts Disappearing Soon
By Robert Bloink and William H. Byrnes
The Treasury Department released proposed regulations that will substantially limit currently existing valuation discounts for transfers of interests in family owned businesses. However, because the regulations are not likely to become effective until mid-2017, clients have a short window to take advantage of valuation discounts under today’s rules.
The No-Tax Distribution: Alternatives to the RMD Tax Bite
By Robert Bloink and William H. Byrnes
Most clients view a retirement plan distribution as a tax hit—especially when it’s a required minimum distribution (RMD). It is not true that a tax hit must result from each retirement account distribution. A variety of circumstances exist that can allow a client to take tax-free (or reduced tax) distributions from a retirement plan.
The Deciding Factor: Post-Pension Buyout Investment Management
By Robert Bloink and William H. Byrnes
Lump sum windows are effective risk management tools for pension plan sponsors. Changes to mortality rates, rising interest rates and PBGC premiums, make buyout offers attractive for plan sponsors. The client’s most important consideration are the options for reinvesting the pension funds.
Risks & Rewards: HMRAs Reduce Small Business Health Coverage Risks
By Robert Bloink and William H. Byrnes
Advisors must go above and beyond to help small business clients develop insurance strategies. Questions regarding healthcare planning are some of the most frequently encountered issues advisors face. This is perhaps most apparent in the small business health insurance arena. A traditional HRA with an employer health matching reimbursement account (HMRA) can provide a solution.
The Post-70½ Contribution Rules
By Robert Bloink and William H. Byrnes
Many clients reaching 70 ½ know about required minimum distributions (RMDs) retirement accounts. A client may wish to continue contributing to retirement past the age when RMDs begin—perhaps making up for missed contributions during earlier years. Clients cannot always contribute after reaching age 70½ as different rules govern each type of account
Shifting Ground: Broker-Dealers Embrace Best Interest Contract Exemption
By Robert Bloink and William H. Byrnes
Several insurance carriers have indicated they will attempt to comply with the best interest contract exemption, rather than exiting certain lines of business. Various preexisting compensation arrangements would continue to be viable, if the exemption’s requirements are strictly followed—and could mark the next trend in the broker-dealer industry.
Annuities as an RMD Answer: Navigating Potential Pitfalls
By Robert Bloink and William H. Byrnes
There are valid reasons why a client may be interested in an annuity-within-an-IRA strategy. Pitfalls associated with a poorly executed annuity purchase strategy can cause unnecessary expenses. This is especially true if the client is planning to use the annuity as a tool for simplifying his or her IRA required minimum distribution (RMD) obligations.
ABLE Accounts Unlock Door to Tax-Preferred Special Needs Savings
By Robert Bloink and William H. Byrnes
The Achieving a Better Life Experience (ABLE) Act was enacted nearly two years ago, but only recently has the savings account for disabled individuals become a reality. ABLE accounts represent a valuable tax-preferred planning tool for disabled individuals. Relying on these vehicles alone can be a mistake and are just one piece of the puzzle.
NUA: One Potentially Pleasant Tax Surprise
By Robert Bloink and William H. Byrnes
Leaving an employer often has clients wondering what to do with the funds in an employer-sponsored 401(k) plan. Transferring those assets into an IRA maintained by the client is one response. The tax benefits involving the net unrealized appreciation (NUA) of employer securities held in tax-deferred accounts can provide a tax surprise that’s actually pleasant.
The Variable Annuity’s Post-Fiduciary Rule Revival
By Robert Bloink and William H. Byrnes
While the sale of variable and fixed indexed annuities remain permissible under the DOL rule, recommended products must be in the client’s best interests and compensation must be “reasonable”. A commission-based product is unlikely to remain viable. Enter the fee-based variable annuities insurance carriers are beginning to revamp—potentially signaling a comeback for these products.
Who’s Tracking IRA Basis?
By Robert Bloink and William H. Byrnes
Advisors and clients may believe they know the tax rules that govern IRA distributions. Rollovers, conversions, nondeductible contributions and inherited accounts can all impact how distributions are taxed, however. Tracking IRA basis is critical to helping clients avoid taxes and penalties and the financial advisor is the person best suited to help.
Putting Excess 529 Plan Funds to (Tax-Preferred) Work
By Robert Bloink and William H. Byrnes
Saving to cover the cost of a college is a guessing game. For over-funded tax-preferred college savings plans, it’s important to understand how excess funds can be put to good use. Rules governing excess 529 funds are nuanced—so the devil is in the details when it comes to maintaining their tax-preferred status.
When HSAs and Medicare Mix: Avoiding a Surprise Tax Hit
By Robert Bloink and William H. Byrnes
Once an individual becomes eligible to receive Medicare benefits, the rule is that individual is no longer eligible to contribute to an HSA. This rule is complex, however, and there are ways a Medicare-eligible person can continue HSA eligibility. It’s important that advisors have a full understanding of these important rules regarding Medicare and HSAs.
The Next Thing- Annuitant Driven Annuities
By Robert Bloink and William H. Byrnes
Postmortem tax issues on annuities can be addressed when the contract is purchased. This often occurs when the contract is annuitant-driven (rather than only owner-driven). Insurance carriers have a new form of annuitant-driven fixed indexed annuity that can avoid some of the complications that can cause both unanticipated retirement income outcomes and adverse tax consequences.
Estate Plan Redux: Emerging Strategies for a Post-Portability World
By Robert Bloink and William H. Byrnes
The past three years have ushered in a new era in estate planning. Many of these clients still rely upon their old estate plans though which could have adverse tax consequences later (i.e. credit shelter trusts). New techniques can help clients take advantage of new rules to minimize both estate and income tax.
Mitigating Postretirement Health Expense Risk
By Mitigating Postretirement Health Expense Risk
Postretirement healthcare costs are likely to be the most significant expenses that clients will incur after retirement. Costs continue to rise at a time when the client’s income has likely become relatively fixed. Health Savings account strategies can help with healthcare expenses with careful planning during the client’s working years.
Brave New World: Post-Fiduciary Rule Fixed Indexed Annuity Sales
By Robert Bloink and William H. Byrnes
Sales and recommendations of fixed indexed annuity products will cause an advisor to become subject to the new fiduciary rule and so advisors must determine whether these products are in their clients’ “best interests.” A more rigorous investigation and an understanding of both the contract itself and the client’s financial situation and goals is required.
The Math of Medicare Deferment Strategies
By Robert Bloink and William H. Byrnes
Many clients are working longer than ever with many clients having employer-sponsored health insurance well past the age of Medicare eligibility. While not every client will be eligible for delaying enrollment in all parts of Medicare, the financial benefits of delaying enrollment can be substantial and it is important to understand the rules that apply.
Fiduciary Rule Highlights HSA Retirement Income Value
By Robert Bloink and William H. Byrnes
IRA and other retirement planning advisors have long anticipated the release of the final DOL fiduciary rule. Putting HSA advisors under the fiduciary rule umbrella is the DOL’s acknowledgement of an important alternative use for HSAs in retirement income planning. It’s now important that HSA advisors understand the compliance requirements of the fiduciary standard.
Retirement Income Planning: Not Just for Grown Ups
By Retirement Income Planning: Not Just for Grown Ups
Planning for retirement is typically not on a teenager’s mind. The benefits of an IRA for a child though can be substantial. Adult clients can maximize tax-preferred savings for the family and provide a secure financial future for the child. The question of which type of account is used—traditional or Roth—has significant consequences.
Next Level RMD Planning: Avoiding the Post 70½ RMD
By Robert Bloink and William H. Byrnes
Planning for required minimum distributions (RMDs) after age 70 ½ is part of most client’s retirement strategy—even if the client wants to reduce RMDs. Clients can avoid taking RMDs by working past age 70 ½. The rules are extremely specific however and tax advice is necessary to avoid the tax hit of RMDs.
GAO Offers a Revised Retirement Spending Model
By Robert Bloink and William H. Byrnes
Two key retirement issues for clients are the level of retirement savings needed and how to withdraw savings during retirement. The Government Accountability Office (GAO) released a new analysis on how spending patterns can change during retirement. Advisors should be on the lookout for valuable changes coming to the Department of Labor retirement income calculators.
Retaining Key Executives with Insurance Strategies
By Prof. Robert Bloink and Prof. William H. Byrnes
Developing tax-efficient compensation plans for key executive employees vital to the business can be complicated. Income and contribution limits for traditional retirement accounts make it difficult for these employees to accumulate substantial account values. Nonqualified compensation plans using life insurance can provide additional compensation to valuable employees and also offer tax advantages.
Avoid the Tax Trap with Trusts and Annuities
By Prof. Robert Bloink and Prof. William H. Byrnes
Both trusts and annuities can play powerful planning roles for clients in a variety of situations. When the two strategies collide, however, the tax consequences can be disastrous. Whether a trust is an owner or beneficiary of an annuity, the client purchasing the contract needs to be aware of serious tax consequences that can result
Avoid Policy Replacement Tax Traps
By Prof. Robert Bloink and Prof. William H. Byrnes
When a client is looking to replace an existing financial product with a new product, a tax-free IRC Section 1035 exchange may seem like a solution. Depending upon the types of products involved and various other factors, the path to a 1035 exchange can be littered with tax traps that must be avoided.
The Extra Mile: Understanding the AG 49 Impact on IUL Consumers
By Robert Bloink and William H. Byrnes
The March 1 effective date of the second phase of Actuarial Guideline 49 is just around the corner. As indexed universal life insurance grows, so too do the variations in both product design and use. An ability to convey the concepts espoused by the guideline can help advisors go the extra mile with clients.
ILITs Team Up with IRA Trusts to Maximize Inherited IRA Benefits
By Robert Bloink and William H. Byrnes
Estate planning for IRA’s can be complicated. Naming the spouse as beneficiary can diminish the value of IRA assets for the children after the death of the spouse. In providing for children, inherited IRAs are often no longer receive creditor protection. An irrevocable life insurance trust with an IRA trust can provide a solution.
Short-Term Care Insurance Takes Off
By Robert Bloink and William H. Byrnes
For many clients, long-term care insurance has become prohibitively expensive despite the need for coverage. This situation has created a need for what is called short-term care insurance. The need is reinforced by the fact that about one half of all long term care coverage is for less than one year’s worth of care.
No-Refund Options Double the Deferred Annuity Safety Net
By Robert Bloink and William H. Byrnes
Worrying about the possibility of outliving retirement savings is often inevitable, especially for healthy clients. No-refund deferred income annuities can double the otherwise available payouts late in life, when the risk of outliving savings is the greatest. While the prospect of doubling annuity payouts appeals strongly to some clients, this option also has potential downsides.
Online Roadmap to Post-File & Suspend Strategies
By Rober Bloink and William H. Byrnes
Several Social Security planning strategies were eliminated in 2015 and clients may need to make up for retirement income shortfalls. The Social Security Administration (SSA) offers an online system with calculators that can help clients. An online account can generate a realistic picture of the role of Social Security benefits will play in retirement.
Have it All: Optimizing Results with Whole Life + Indexed Universal Life Insurance
By Robert Bloink and William H. Byrnes
Today’s insurance product marketplace is flooded with options and insurance carriers have answered with product innovation that allows clients to combine the guarantees of traditional whole life insurance with the upside of indexed universal life insurance (IUL). Understanding these new products can help clients experience the best of both worlds, eliminating the need to choose
Wellness Initiatives-Not Just for Employer Sponsored Life Plans
By Robert Bloink and William H. Byrnes
Wellness programs have received attention in recent years—as a way to save on health insurance. Life insurance carriers have begun to include wellness programs too. These initiatives not only can help clients reduce the cost of life insurance protection, but they can actually provide a way for clients to increase their policy value.

Practice Aids

Buy Sell Agreements
Stock Redemption and Cross Purchase Agreements, Family Attribution, Business Succession Planning...
Estate Planning
Wills, Trusts, Joint Tenancy, Tenancy in Common, POD accounts, Custodial Accounts, Intestate Succession...
Business Life Insurance
Key Person Insurance, Executive Bonus, Deferred Compensation, Rabbi Trusts, Secular Trusts, Split-Dollar, ...
Retirement Planning
IRAs, SEPs, 401(k)s, Qualified Retirement Plans, ESOPs, Rollovers, Life Insurance in Qualified Plans...
Financial Planning
Disability Income Insurance, Long Term Care Insurance, Health Insurance, 529 Plans, Taxation of Investments...
Employee Benefits
Group Term Life Insurance, COBRA, Cafeteria Plans, Flexible Spending Accounts, Health Savings Account...

Selected Highlights

Estate shrinkage is closely related to estate liquidity—or lack of liquidity. A certain amount of liquidity is needed to meet estate settlement costs that cause the shrinkage.
Under common law minors cannot own property in their own names. This does not mean that a minor cannot inherit an IRA or be designated as the beneficiary of an IRA; it means that their are special considerations.
Powers of appointment are a valuable tool in estate plans, because they allow for future flexibility in the ultimate disposition of the donors property which is placed in a trust.
For wealthier and more sophisticated investors 529 Plans may not be the best option to financially prepare for college.
A substantial portion of the wealth possessed by Americans today consists of IRAs, 401(k)s and 403(b)s. This article covers all the distribution rules and all aspects of trusts as beneficiaries of tax deferred retirement accounts including sample forms.
Certain high income clients who have not previously made deductible IRA contributions ought consider opening a traditional IRA this year and contributing the largest allowable nondeductible contribution they can manage.
The will approach is based upon one of two major assumptions. At the time of the interview, either the prospect has a will or doesn`t - there`s no middle ground.
Significant tax advantages can be achieved by widows and widowers who are beneficiaries of credit shelter trusts (established upon the deaths of their respective spouses), through the purchase...

Tax Facts


Estate Tax, Generation-Skipping Transfer Tax, Gift Tax, Valuation


Exchange-Traded Funds (ETFs), Hedge Funds, Mutual Funds, Real Estate Investment Trusts (REITs), Unit Trusts


Amounts Not Received as an Annuity, Amounts Received as an Annuity: Fixed Annuities, Annuity Rules: Variable Annuities, Charitable Gift Annuity, Death, Disposition, Divorce, Estate Tax, Gifts and Charitable Gifts, In General, Loss, Private Annuity, Structured Settlements, Taxation, Withholding


Bond Premium, Corporate Bonds, Inflation-Indexed Bonds, Market Discount, Municipal Bonds, Original Issue Discount, Other Issues Affecting Bonds, Short-Term Taxable Obligations (Maturities One Year or Less), Treasury Bonds and Notes


Accumulated Earnings Tax, Alternative Minimum Tax, Death Proceeds of Business Life Insurance, Estate Tax Issues, Gift Tax Issues, Premiums, S Corporations, Sale or Liquidation of Partnership Interest, Stock Purchase Agreement, Transfer of Policy








Funded Deferred Compensation (Annuities and Trusts), Unfunded Deferred Compensation



New Disclosure Regulations for Retirement Plan Service Providers





Corporations And Other Business Entities, General Rules



Abbreviations, About Summit Business Media, About the Editors, Introduction



Death Benefits, Group Permanent Insurance, Group Survivor Income Benefit, Group Term Life Insurance, Retired Lives Reserves


Employer-Provided Health Insurance, Health and Medical Savings Accounts, Health Insurance And The Estate Tax, Health Insurance And The Gift Tax, The New Health Care Reform Law


Distributions, Early Distributions, Eligibility, Employer-Sponsored IRAs, Estate Tax Issues, Filing Requirements, In General, Required Minimum Distributions, Simple IRA, Simplified Employee Pension (SEP)




Cash Value Increases, Collection of Delinquent Income Taxes from Life Insurance, Creditor Insurance, Death Proceeds, Demutualization, Disability Provisions Under Life Policies, Divorce, Gift Tax Issues, Gifts and Charitable Gifts, Government Life Insurance, Life Insurance Trusts, Life Insurance: Estate Tax Issues, Living Proceeds, Policies Insuring More Than One Life, Premiums, Single Premium Whole Life Insurance Policy, Taxation Of Distribution of Life Insurance Contract, Value of Unmatured Policy




In General, Non-Qualified Long-Term Care Insurance Contract, Premiums, Reporting Requirements, Taxation of Benefits




Insurance & Employee Benefits, Investments


Employer Deduction, Plan Types And Features, Qualification, Qualified Plans And The Estate Tax, Taxation of Distributions








Dividends, Sale or Exchange, Stock Options, Stock Warrants, Worthless Securities



Amounts Received Under the Plan, Changing Issuers, Contract Requirements, Contributions, Distributions, Excise Taxes, Plan Termination, Social Security and Withholding Taxes