What Is Better Than A 457 Plan? - YouTube

457 plans are okay. In this episode, I'm going to address the question. What is  

better than a 457 plan? Get ready, you're  going to be blown away how you can have  

the benefits of a 457 and a whole lot  more without all the strings attached.

So, my name's Doug Andrew and I've been a financial  strategist and a retirement planning specialist  

for more than 47 years and so I've helped many  many people plan for a comfortable retirement  

by optimizing their assets minimizing taxes and  empowering what I call their authentic wealth. 

So, I notice that most Americans I think  are duped into putting money for their  

future retirement into traditional accounts like  IRAs 401ks 403bs 457s and the like. Now, these  

are all government-sponsored type of savings  plans and I've never liked Uncle Sam being my  

partner. Because Uncle sam has certain rules and  they want their piece of it they want to tax that.  

So, let's just go through a simple explanation  of 457s and then I want to share with you what  

I think is far better because you can have all  the benefits of a 457 and a whole bunch more  

without all the strings attached that I'm going  to talk about next. So, a 457 is technically not a  

qualified plan it's called a non-qualified plan  but it's still regulated under the government  

rules that are assessed there and 457 plans  are like a 401k. But it's usually offered to  

certain public servants most of them are  government 457s there are some non-government  

457s. But if you are a firefighter, a police  officer, or a school teacher, or maybe you are  

working for a hospital that's non-profit that's an  academic hospital or whatever they may offer a 457  

plan. Some of the advantages are you can actually  contribute to a 457 up to the limit each year and  

the limit by the way as of the recording of this  episode is about 19,500 you can do catch up. If  

you're over age 50 you can put in an extra 6,500. At the last three years before you retire you can  

put in double the amount that you could put in  normally. So, you can put in a lot of money into  

it's a deferred compensation plan. So it's not  really your money until you receive it. It belongs  

to your employer which may help you if you get  sued because the 457 monies that haven't been  

paid to you are not subject to the claims of your  creditors. But it means if the employer got into  

trouble their creditors could grab that money but  it's probably unlikely a government would get into  

trouble or is it? I don't like to trust my money  with the government but that's me personally. Now,  

the beauty of a 457 plan to most people is you can  put money into it on top of these other plans and  

if you leave your employer you can access the  money without a 10% penalty even under the age  

of 59 and a half. You can't do that with a 403b  or a 401k. So, what are the advantages at 457?  

I can put in up to the allowable amount. I can play  catch-up and then when I go to access the money  

I can do it without a 10 penalty as long as i  leave the employer. Well, often I ask this question.  

What if the rules for a 457 plan allowed you to  put in whatever you want? There was no limit. If you  

wanted to put in 30,000, 50,000, 100,000 you could. You don't have to. 

If you could put in 100,000 you only put  in thirty thousand you could play catch up with  

the other 70,000 anytime you want in the  future and in a year you didn't put in the maximum  

amount you can add all that up and throw it in one  fell swoop somewhere down the road if you had a  

windfall and what if you could take out the money  without leaving your employer in your 30s, 40s,  

50s, and there's no 10 percent penalty. You don't  have to wait to leave your employer to access it  

and it's tax-free when you access it. So it's  like a Roth 457. Yes, there are Roth 457 plans.  

So, what is this? Now, before I go any further.  If this is intriguing you I would recommend  

you share this video with somebody who maybe is a  firefighter a police officer a teacher that has a  

457 plan or they're wondering should I participate  or contribute to a 457 deferred compensation plan.  

Well, I'm going to show you something that I think  is far better with way more flexibility than a 457  

plan. So, what I was asking is what if you  had a 457 plan where you could put in  

as much as you wanted. You designed it  to accommodate even 100,000

300,000 a year you don't have to  put that much in. But if you don't put in that  

much you can make up the difference  you can play catch up whenever you want. 

Sort of the advantage of a 457 plan but you can  access your money without leaving your employer  

and there's no 10% penalty and it's totally tax  free so it's like a Roth. People say, "Well, what 

is this?", well it doesn't have the strings  attached is what I'm talking about.  

Share this video with somebody you know that would  like to learn this and by the way click on here  

and subscribe and click the bell so that you'll  be notified every time I post a new video. Because  

I post an in-depth answer to a financial question  almost on a daily basis on this channel. But stay  

with me to the end, I want to gift you a copy of  my most recent 300-page best-selling book. So,  

let me talk about this incredible dream solution  plan that you ought to have instead of a 457. This  

is an instrument that I have used since 1980 it's  like a sacred tax-free cash cow in the internal  

revenue code it's called an MFTA maximum funded  tax advantaged indexed universal life insurance  

contract. Now, before you go, "What? I've never heard  of this. I've never seen one that grows very well." 

Well, then, you haven't seen the thousands of ones  that our clients own where they earn average  

rates of return between seven to ten percent net  cash on cash tax-free for the last 30, 35, 40, years.  

The last few years we've had many many clients who  have locked in gains of 16%, 25%, 30%, 61.33% how? This is  

a beautiful dream solution like a swiss army knife  that you can use for all kinds of financial goals  

and it is the best solution I feel for retirement  savings. Because it allows you to accumulate your  

money totally tax free that has been grandfathered  in the internal revenue code for over 107 years  

section 72(e). Section 7702 of the internal revenue  code allows you to access your money totally tax  

free. This would be just like a Roth you pay tax  on your contributions but it accumulates tax-free  

and you can access the money tax-free. Those are  the two benefits of a Roth. But this has four  

additional benefits the Roths will never have.  I can put in 100,000, 300,000.  

You're limited on how much you can  contribute to a traditional 457 or a Roth  

type of a 457. With the laser fund that's what I call it laser is an acronym that stands for liquid  

asset safely earning returns. I can contribute in a banner a year 300,000 if I want if I design  

it to accommodate it. I don't have to put in that  much I could put in one-tenth that 30,000.

But I can play catch up with all of the difference  anywhere down the road. You can play catch up with a  

457 but there's limits. But the neat thing about  it is if I want to access money anytime for any  

reason I don't have to prove a hardship people say,  "Well, I can access money out of a 457 plan if I'm  

really sick or disabled or I have a death in the  family or whatever", if you have a hardship type of  

provision you don't need to prove that to access  money out of a laser fund. You can access money  

I've had people put in 200,000 and four days  later access 160,000 of it. There's no IRS penalty.

You can take the money out it's tax-free I've  had people retire at age 35, 40, 55, they can access  

the money or they can just let it sit there and  compound tax deferred until they go to retire take  

out the money and it's totally tax-free. There's  none of these strings attached like wait until age  

59 and a half or until you leave your employer. At the end of the day, none of us are getting out of  

here alive we're gonna all die someday. The  laser fund blossoms let me explain that. I'm 69,   

if I died next week in an accident every million I  would have in my portfolio of laser funds would  

blossom to about two and a half million and  transfer totally income tax-free to my wife,  

my kids, my grandkids, a church, a charity. There's  not a 401k 403b or 457 around that will do that  

and people say well how much does that cost? Well, nothing's free but it doesn't cost me anything.  

It's being paid for with a minuscule portion of  money that most people shell out in unnecessary  

income tax on traditional 457s 403bs and 401ks.  Do you want to learn more about this amazing  

instrument what I call the dream solution.  Not only for retirement for many financial  

goals and where I have averaged 11.17 percent  return for the last 30 years netting over 10%  

cash on cash. You ready? So I've been calling this  the laser fund. In fact, I wrote a book about it and  

I've been sending out between 250 to 750 of these  a week. I want you to claim your free copy this is  

300 pages. It's actually two books in one and it's  titled the laser fund. Now, laser is an acronym that  

stands for liquid asset safely earning returns.  The subtitle is how to diversify and create the  

foundation for a tax-free retirement and so these  are the four pillars here liquidity safety rate  

of return and tax benefits. These knock the  socks off of traditional 401ks 457s 403bs  

or even the Roths. I have a little disclosure to  make here I've never owned an IRA 401k I never  

will. I've never owned a Roth IRA 401k 403b or 457.  I haven't qualified for those ever. But if I would  

have qualified I would not have participated. Why  would I do that when I can have all the benefits  

of a 457 and a whole bunch more by putting money  into a laser fund and as I indicated this is where  

I've been able to accumulate my money at rates of  return conservatively between seven to ten percent  

net cash on cash. Every million dollars saved  in a laser fund can predictably generate  

usually 80,000 up to 100,000 a year. An 8 to a10% payout without  

depleting principal as long as you live if you  live to be 120. You ever seen a 457 that can do  

that? So, I want you to claim your free copy of  this book. Now, it's two books in one. This side  

the white side is 200 pages 14 chapters with all  the charts and graphs and explanations and you'll  

understand why this is better. If you learn more  by stories and examples, you flip the book over  

this is 100 pages 12 chapters with 62 chicken  soup for the financial soul stories in there  

of how this is used for all kinds of financial  goals especially retirement. So you can read the  

stories in here. If you want to use both your right  brain and left brain you can read both books okay.  

So here's how you claim your free copy. If you  will go to laserfund.com click on the link below  

contribute a nominal amount towards the shipping  and handling. I'll cover the rest of that cost.

I'll fire out a free copy to you of this 300 page  book and there's options there if you like to  

listen and learn watch and learn and also you  can attend some of our educational webinars.  

But I recommend you subscribe to this channel  because I post in-depth answers to financial  

questions almost on a daily basis and it's  free. So make sure you claim your free copy of  

the laser fund and you'll understand why this  is far superior to a 457 plan in my opinion.