Premium Finance Worksheet: Non-Financed Vs. Financed Policy Prepared for: Valued Client Age 45 Male, Preferred Non-Tobacco Product: IUL @ 6.5%
Non-Financed Policy
Financed Policy
Summary at Life Expectancy
Year
Age
Annual Net Outlay
Total Net Outlay
Cash Surr Val
Net Death Benefit
IRR
Annual Net Outlay
Total Net Outlay
Cash Surrender Value
Net Death Benefit
1
45
$171,187
$171,187
$0
$20,000,000
11736.94%
$33,394
$33,394
$276,994
$19,909,689
60575.77%
IRR
2
46
$171,187
$342,374
$0
$20,000,000
935.50%
$71,912
$105,306
$1,201,211
$19,877,001
2244.97%
3
47
$171,187
$513,561
$0
$20,000,000
351.35%
$117,260
$222,566
$2,187,858
$19,906,343
662.88%
4
48
$171,187
$684,748
$0
$20,000,000
197.75%
$163,936
$386,502
$3,241,541
$20,002,321
329.99%
5
49
$171,187
$855,935
$0
$20,000,000
132.22%
$211,087
$597,589
$4,366,226
$20,169,101
203.67%
6
50
$171,187
$1,027,122
$0
$20,000,000
97.06%
$259,566
$857,155
$5,566,511
$20,411,281
140.82%
7
51
$171,187
$1,198,309
$0
$20,000,000
75.45%
$308,139
$1,165,294
$6,945,196
$20,733,861
104.25%
8
52
$171,187
$1,369,496
$0
$20,000,000
61.04%
$312,124
$1,477,418
$7,457,774
$21,139,039
81.01%
9
53
$171,187
$1,540,683
$0
$20,000,000
50.80%
$317,437
$1,794,855
$7,997,950
$21,571,815
65.13%
10
54
$171,187
$1,711,870
$0
$20,000,000
43.18%
$320,093
$2,114,948
$8,567,807
$22,034,272
53.75%
11
55
$171,187
$1,883,057
$0
$20,000,000
37.30%
$321,421
$2,436,369
$9,305,068
$22,664,133
45.40%
12
56
$171,187
$2,054,244
$0
$20,000,000
32.67%
$163,012
$2,599,381
$6,461,549
$23,141,549
39.06%
13
57
$171,187
$2,225,431
$0
$20,000,000
28.92%
$0
$2,599,381
$3,457,242
$23,457,242
34.15%
14
58
$171,187
$2,396,618
$0
$20,000,000
25.84%
$0
$2,599,381
$3,797,156
$23,797,156
30.28%
15
59
$171,187
$2,567,805
$0
$20,000,000
23.25%
$0
$2,599,381
$4,162,899
$24,162,899
27.17%
16
60
$171,187
$2,738,992
$0
$20,000,000
21.07%
$0
$2,599,381
$4,581,476
$18,850,976
21.69%
17
61
$171,187
$2,910,179
$0
$20,000,000
19.20%
$0
$2,599,381
$5,033,856
$19,441,411
20.00%
18
62
$171,187
$3,081,366
$0
$20,000,000
17.58%
$0
$2,599,381
$5,522,620
$20,020,800
18.56%
19
63
$171,187
$3,252,553
$0
$20,000,000
16.17%
$0
$2,599,381
$6,049,801
$20,740,035
17.39%
20
64
$171,187
$3,423,740
$0
$20,000,000
14.93%
$0
$2,599,381
$6,618,245
$21,459,224
16.38%
21
65
$171,187
$3,594,927
$0
$20,000,000
13.83%
$0
$2,599,381
$6,647,931
$21,587,579
15.29%
22
66
$171,187
$3,766,114
$0
$20,000,000
12.85%
$550,000
$2,049,381
$6,690,042
$21,669,843
14.52%
23
67
$171,187
$3,937,301
$0
$20,000,000
11.97%
$550,000
$1,499,381
$6,743,688
$21,898,567
13.90%
24
68
$171,187
$4,108,488
$0
$20,000,000
11.19%
$550,000
$949,381
$6,808,902
$21,874,554
13.29%
25
69
$171,187
$4,279,675
$0
$20,000,000
10.48%
$550,000
$399,381
$6,883,907
$22,004,862
12.80%
26
70
$171,187
$4,450,862
$0
$20,000,000
9.83%
$550,000
$150,619
$6,968,161
$22,079,808
12.36%
27
71
$171,187
$4,622,049
$0
$20,000,000
9.24%
$550,000
$700,619
$7,066,291
$22,099,617
11.95%
28
72
$171,187
$4,793,236
$0
$20,000,000
8.70%
$550,000
$1,250,619
$7,176,157
$22,328,413
11.63%
29
73
$171,187
$4,964,423
$0
$20,000,000
8.21%
$550,000
$1,800,619
$7,302,539
$22,231,314
11.28%
30
74
$171,187
$5,135,610
$0
$20,000,000
7.76%
$550,000
$2,350,619
$7,442,886
$22,365,334
11.01%
31
75
$171,187
$5,306,797
$0
$20,000,000
7.34%
$550,000
$2,900,619
$7,597,414
$22,448,646
11.99%
32
76
$171,187
$5,477,984
$0
$20,000,000
6.95%
$550,000
$3,450,619
$7,766,679
$22,474,982
11.41%
33
77
$171,187
$5,649,171
$0
$20,000,000
6.59%
$550,000
$4,000,619
$7,952,542
$22,439,398
10.89%
34
78
$171,187
$5,820,358
$0
$20,000,000
6.26%
$550,000
$4,550,619
$8,157,686
$22,337,399
10.41%
35
79
$171,187
$5,991,545
$0
$20,000,000
5.95%
$550,000
$5,100,619
$8,374,082
$22,566,875
9.97%
36
80
$171,187
$6,162,732
$0
$20,000,000
6.60%
$550,000
$5,650,619
$8,601,254
$22,750,583
11.99%
37
81
$171,187
$6,333,919
$0
$20,000,000
6.23%
$550,000
$6,200,619
$8,846,631
$22,424,518
11.41%
38
82
$171,187
$6,505,106
$0
$20,000,000
5.89%
$550,000
$6,750,619
$9,096,244
$22,473,690
10.89%
39
83
$171,187
$6,676,293
$0
$20,000,000
5.58%
$550,000
$7,300,619
$9,350,629
$22,450,747
10.41%
40
84
$171,187
$6,847,480
$0
$20,000,000
5.29%
$550,000
$7,850,619
$9,578,352
$22,864,317
9.97%
41
85
$171,187
$7,018,667
$0
$20,000,000
6.60%
$550,000
$8,400,619
$9,782,653
$22,637,029
11.99%
42
86
$171,187
$7,189,854
$0
$20,000,000
6.23%
$550,000
$8,950,619
$9,975,941
$22,302,358
11.41%
43
87
$171,187
$7,361,041
$0
$20,000,000
5.89%
$550,000
$9,500,619
$10,107,469
$22,443,014
10.89%
44
88
$171,187
$7,532,228
$0
$20,000,000
5.58%
$550,000
$10,050,619
$10,222,217
$21,842,905
10.41%
45
89
$171,187
$7,703,415
$0
$20,000,000
5.29%
$550,000
$10,600,619
$10,255,385
$21,755,289
9.97%
46
90
$171,187
$7,874,602
$0
$20,000,000
6.60%
$550,000
$11,150,619
$10,190,180
$21,510,326
10.62%
47
91
$171,187
$8,045,789
$0
$20,000,000
6.23%
$550,000
$11,700,619
$10,010,495
$21,088,601
10.33%
48
92
$171,187
$8,216,976
$0
$20,000,000
5.89%
$550,000
$12,250,619
$9,710,163
$20,482,280
10.04%
49
93
$171,187
$8,388,163
$0
$20,000,000
5.58%
$550,000
$12,800,619
$9,293,478
$19,695,183
9.76%
50
94
$171,187
$8,559,350
$0
$20,000,000
5.29%
$550,000
$13,350,619
$8,785,688
$18,753,882
9.49%
Policy Details Total Net Outlay Cash Surr Val Net Death Benefit IRR at Life Expetancy
Non-Financed Policy $6,505,106 $0 $20,000,000 5.89%
Financed Policy $6,750,619 $9,096,244 $22,473,690 10.89%
IRR at Life Expectancy 12.00%
10.89% 10.00%
8.00%
5.89%
6.00%
4.00%
2.00%
0.00%
Non-Financed Policy
Financed Policy
Net Outlay and Death Benefit at Life Expectancy $25,000,000
$22,473,690
$20,000,000 $20,000,000
$15,000,000
$10,000,000
$6,505,106 $5,000,000
$0
Total Net Outlay
Cash Surr Val
$5,000,000
$6,750,619
$10,000,000
Non-Financed Policy
Financed Policy