Saving adequate funds to live a comfortable existence for their remaining years is the greatest source of worry for many senior citizens. Many are also would like to leave something to their sons and daughters and grandchildren. On the other hand, with people living longer, many investors are worried that they may be forced to forfeit one ambition for another. The answer may be with universal life insurance (UL). The benefits of UL enable you to have the capability to shell out based on the claims-paying capacity of the life insurance company. Costs, such as surrender and loan charges, may need to be paid and it is not government or FDIC insured. To begin with, you supply a loan to a new or existing UL policy for a several years. How much money and the length of time are deduced from your age, physical condition and the amount you want to leave for your family. Then, the policy's returns could possibly mean that you are free from having to pay any more. You then could cash in on your funds without the need to pay any income tax in view of the fact that it is treated as the repaying of a loan. Moreover, the cash still tied to the policy continues to mature tax free and may be taken out as a tax-free loan down the line. The funds doesn't have to be returned until after your death. These funds plus interest accrued will be deducted from the death benefit, which will be given to your family tax-free. The system can change depending on the length in years you would like to invest and the ultimate end is that you choose: either cash or the ideal death benefit. Yet, it is a novel scheme to provide income for retirees and leave a special legacy for your family.