How to Save Tax & Stay Compliant with PPLI and EWP

How to Save Tax and Stay Compliant with Private Placement Life Insurance, (PPLI) &  Expanded Worldwide Planning, (EWP)

Tax Savings with PPLI and EWP

If you are an international family looking for ways to reduce your tax burden and protect your assets, you might have heard of #PPLI (Private Placement Life Insurance) and #EWP (Expanded Worldwide Planning). These are powerful tools that can help you achieve your financial goals in a tax-efficient and compliant manner. But what are they and how do they work?

PPLI is a type of life insurance that is customized for each client’s needs and preferences. Unlike conventional life insurance, PPLI allows you to invest in a wide range of assets, such as stocks, bonds, real estate, private equity, hedge funds, and even your own business. The returns on these investments are not subject to income tax, capital gains tax, or estate tax, as long as the policy is in force. You can also access the cash value of the policy through tax-free loans or withdrawals, subject to certain limitations.

EWP is a holistic approach that combines PPLI with other elements of wealth planning, such as trusts, foundations, holding companies, and family offices. EWP creates a comprehensive structure that integrates your assets, liabilities, income, expenses, and legacy objectives. EWP also ensures that your structure is compliant with the tax laws and regulations of all the jurisdictions where you have connections, such as citizenship, residence, business operations, or beneficiaries.

One of the key benefits of EWP is that it allows you to make in-kind premium payments for your PPLI policy. This means that instead of paying cash for your policy, you can transfer your existing assets, such as your business shares or real estate properties, to the insurance company. The insurance company will hold your assets in a separate accounts, then engage an independent asset manager. You can give this asset manager an investment mandate that will mirror your own risk tolerance.

By using PPLI and EWP together, you can enjoy the following advantages:

– Tax savings: You can defer or eliminate taxes on your investment income and capital gains, as well as reduce or avoid estate taxes and inheritance taxes.

– Asset protection: You can shield your assets from creditors, lawsuits, divorce, or political risks.

– Privacy: You can keep your financial affairs confidential from intrusive third parties.

– Flexibility: You can choose the assets, beneficiaries, investment strategy, and jurisdiction of your policy.

– Simplicity: You can consolidate your assets under one policy and one structure, reducing administrative costs and complexity.

Learn more about the Six Principles of EWP

If you are interested in learning more about PPLI and EWP, you can contact EWP Financial. They are experts on these topics and have helped many international families achieve their financial goals. They can design a customized solution for you that meets your specific needs and preferences.

by Michael Malloy, CLU TEP RFC.
CEO, Founder @EWP Financial

~ Your best source for PPLI and EWP

Michael Malloy-CLU-TEP








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