Funding Illustration — Team Cocco Financial Planning

📊 Common Parameters

Annual Funding ($)

Same amount into each vehicle

Funding Years

Analysis Period (Years)

Total years including post-funding

Marginal Tax Rate (%)

Capital Gains Rate (%)

Inflation Rate (%)

🏦 Vehicle-Specific Parameters

Permanent Life Insurance (IUL/WL)

Gross Crediting Rate (%)

Policy Cost / COI (%)

Avg annual cost of insurance

Death Benefit ($)

Included with the vehicle

Taxable Brokerage Account

Expected Return (%)

Dividend Yield (%)

Taxed annually

Annual Fees (%)

Roth IRA

Expected Return (%)

Annual Fees (%)

Annual Limit ($)

Max Roth contribution

High-Yield Savings / CD

Interest Rate (%)

Annual Fees ($)

🏆 After-Tax Values at Year 40

📈 Growth Comparison

📋 Side-by-Side Comparison

Year	Life Insurance (Net)	Brokerage (After-Tax)	Roth IRA	Savings (After-Tax)

💡 Funding Vehicle Insight

Key Differences:
• Life Insurance: Tax-free access via loans, death benefit, no contribution limits, tax-free transfer at death
• Brokerage: Full liquidity, no contribution limits, dividends taxed annually, gains taxed at sale
• Roth IRA: Tax-free growth & withdrawal, but contribution limits and income restrictions
• Savings: Safe, liquid, FDIC insured, but interest taxed annually at ordinary rates

Key Principle: There is no single "best" vehicle. Each serves a purpose. The key is understanding the after-tax, after-fee reality and leveraging the unique benefits of each.