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Tax Free Income and Retirement

Tax Free Income

What is tax-free income?

Tax-free refers to goods, financial securities, and earnings that are not taxed by Federal, State or

What are some common sources of nontaxable income?

  • Disability insurance payments through payroll deductions
  • Employer-provided insurance through payroll deductions
  • Health savings accounts
  • Life insurance death benefits
  • Sale of a principal residence
  • Financial gifts
  • Inheritances
  • Municipal bond interests
  • Roth retirement account income
  • Workers’ Compensation

What are some ways to legally earn tax-free income?

  • Contribute to a Roth IRA
  • Contribute to a health savings account
  • Sell your home
  • Tax code 7702 planning
  • Invest in municipal bonds
  • Hold onto your stocks

Tax Free Retirement Services

What are some potential obstacles to my retirement?

When you’re planning for retirement, taxes may be one of the biggest obstacles that you face. As taxes go up, your retirement will likely go down, and this may cause you to have less money to pay your living expenses in retirement.

Are taxes expected to go up while I’m planning for retirement?

Even if Congress does not pass any laws about taxes, your taxes will automatically go up by 2026. Leading National Economist predict tax increases to 50% to pay for the Small Business bailout do to Covid-19 funding.

What is the difference between a Roth IRA and tax-free income?

When you have a Roth IRA, your earnings will not count as income as long as your withdrawals meet specific qualifications. However, if you take a non-qualified distribution, it counts as taxable income, and you may be penalized. With tax-free income, you and your beneficiaries will not have to pay taxes on your income.

Will my beneficiaries have to pay taxes on my tax-free income?

No, your beneficiaries will not have to pay taxes on your earnings through tax-free income.

What is the difference between life insurance and tax-free income?

With IRC 7702 tax-free planning, you can take the death benefits that your life insurance program offers for future use and put them to use today in the form of a tax-free income for retirement. All life insurance policy does not allow IRC 7702 tax-free income planning.


Tax-Free7702 retirement income planning is not well known and should only be handled by an experienced planner. The IRS code 7702 that allows tax-free income has been allowed by the IRS for over 100 years but only within the past 10 years computers have developed that can compute the complex Algorithmic calculation necessary to administer a tax-free income involving tax code 7702.

The adage, The Rich get richer while the Poor get poorer” is a true statement when considering
this type of retirements planning because the rich have the ability to pay for research to find tax
breaks in retirement.

There is a universal agreement among economist and tax specialist that taxes will increase to pay
for the Covid-19 bail out of small business and the economic stimulus payments by Congress.
We are introducing the IRC 7702 tax-Free planning to the middle-income families so they can
take advantage of this tax-free income that affluent clients have us for decades.


Information shared on this web page is for general information purposes only. It does not constitute legal, tax, investment, or other advice, nor is it intended to recommend any particular investments products, legal documents or financial instruments. Always seek advice from your financial advisor, attorney, or accountant with regard to investments, legal, or tax questions.

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