[Home Depot]

VUL: Variable Vs. Variable Universal Life Insurance

This may be the game changer for all of us who weighs the nasty effect of divorce laws against the wish of marriage. Here is a good summary of VUL. It gives you a wide range of options, and apparently, untouchable by divorce, medical bills, taxes, etc.

We in the manosphere are extremely concerned about the risk of divorce rape. Everyday, new threads announces another celebrity or megamillionaires been taken for a huge sum of money in the divorce court.

Given the way the divorce laws are adjudicated in american courts. I am wondering if VUL could be the ultimate shield against divorce theft.

Basically, it is a financial vehicle that allows you to made donations into a life insurance plan. It is tax-shielded and apparently divorce shielded since it is a life insurance plan. You can withdraw money from it(with penalties)as you see fit.

I just stumbled upon this today, i wonder if any person have more insights about this. Because this will be a game changer.

Wikipedia did a detailed breakdown on VUL. https://en.wikipedia.org/wiki/Universal_life_insurance

These parts caught my eye

Quote:

Withdrawals

If done within IRS Regulations, an Equity Indexed Universal Life policy can provide income that is tax-free. This is done through withdrawals that do not exceed the total premium payments made into the policy. Also, tax-free withdrawals can be made through internal policy loans offered by the insurance company, against any additional cash value within the policy. (This income can exceed policy premiums and still be taken 100% tax-free.) If the policy is set up, funded and distributed properly, according to IRS regulations, an Equity Indexed UL policy will provide an investor with many years of tax-free income. This can significantly outperform traditional investments such as stocks, bonds, mutual funds, CDs or annuities that are placed in taxable and tax-deferred accounts such as an IRA, 401(k) or 403(b).

Which leads to this question: Can i dump money into VUL, which is shielded from divorce courts; and later withdraw money from it for my own expenses as i see fit? I don't care about surchages, fees, etc. That is small potatoes compare to what you will lose in divorce court circa 2015 feminist america.

The guys have some negative criticism of VUL. http://thefinancebuff.com/10000-lesson-o...-life.html

The issue of Asset Protection against Divorce rape is a big issue. I came across this in Forbes. Perhaps, other can chime in.

Quote:

Assets placed in a trust established before marriage are typically treated as separate property.

As I mentioned a few weeks ago, before any woman gets married, she should carefully consider how to effectively protect her property rights and financial interests. For many single women, trusts are the most viable option –and remember: You do not need the approval of your fiancé (or anyone else, for that matter) to set one up.

For example, are you single, and a business owner? If so, you may want to establish a Domestic or Foreign Asset Protection Trust because it allows to you transfer the ownership of your separate property, including your company, into a separate trust. As a result, if you were ever to divorce, a trust like this could make the entire issue of separate property, and its appreciation, a moot point. How? Because once you have established a trust, the trust, and not you, would legally own your separate property, including your company.

In fact, according to Daniel S. Rubin, an asset protection planning attorney and partner with Moses & Singer LLP in New York City, the laws of certain domestic asset protection trust states, like Delaware, specifically provide that when the formation of the trust predates the wedding, the future ex-spouse has no claim against the trust property.

(If you have questions about how assets are divided in divorce, see my earlier article for a detailed discussion about the difference between separate and marital property.)

One note: A Domestic or Foreign Asset Protection Trust works for most entities –C Corporations, Limited Liability Companies, Limited Partnerships –but not necessarily for an S Corporation, since only certain types of trusts can own S Corporation stock. If your company is an S Corporation, you should discuss your options with a trust attorney who is experienced with asset protection trusts.

Anybody familiar with VUL? Any good inputs on what this is about? Reading about one of them.

[VolandoVengoVolandoVoy]

The only flaw I see in your plan is that it creates a financial incentive for your wife and whoever she's banging to just murder you.

[Engineer]

(01-07-2015 07:29 PM)VolandoVengoVolandoVoy Wrote:  

The only flaw I see in your plan is that it creates a financial incentive for your wife and whoever she's banging to just murder you.

Why would she even know it exists? If she found out (e.g. went thru your shit) then hopefully she would see that the beneficiaries are not her.

I got a lot of pressure from a friend to get one of these recently, and although I had to pass for unrelated reasons, I might recommend one for a young, single person thinking about marriage.

Counterpoint: A close relative is engaged, and has decided to go prenup instead of VUL. He thinks the VUL has terrible rates of return as compared to more conventional investments. He's in the field and highly successful.

[the virgin chronicles]

Best divorce shield: Don't get married.

[Peregrine]

Quote:

Counterpoint: A close relative is engaged, and has decided to go prenup instead of VUL. He thinks the VUL has terrible rates of return as compared to more conventional investments. He's in the field and highly successful.

Your close relative is correct - the ROI is worse than piss.

If you are that paranoid of divorce theft, don't get married.

[Home Depot]

How is it any worse than investing in the S/P 500 index? You can invest in the index in your VUL account.

You can also just imitate your vanguard fund in your VUL account. They give you range of options.

To the person that thinks your wife will kill you.... And why would you tell your wife in the first place? Everybody knows that the best shield against divorce rape is don't get married. Who doesnt know this? and why are you pointing out the obvious here?

The reason why VUL is being explored is to see what options are out there.

[Capitán Peligroso]

Quote:

How is it any worse than investing in the S/P 500 index? You can invest in the index in your VUL account.

Fees and maintenance costs.

[Home Depot]

(01-07-2015 10:36 PM)Capitán Peligroso Wrote:  

Quote:

How is it any worse than investing in the S/P 500 index? You can invest in the index in your VUL account.

Fees and maintenance costs.

Those fees and maintenance costs will be cheaper than any cost that will be incurred in a divorce court. risk/benefit analysis.

[Gorgiass]

Interesting, and good to know these exist. Still in the "don't get married in the first place" camp but I never say never.

[jimukr104]

Move cash and self overseas.