But you probably won't see a dime of it. Why? If you work for a large corporation there's a chance that they've taken out what's called a "dead peasant" insurance policy on your life. This isn't the same as your employer insuring you as an asset because they have a vested interest in keeping you safe, like they did with Mary Hart's legs. It's pure economics: "...the purpose is basically profit. The life insurance proceeds are tax-free. The policies have an investment component that allows companies to earn tax-deferred returns while the employee is still alive. And, of course, companies can take out tax-free loans on the policies. All these gains and income are used to fund operations, pay for executive compensation or boost other benefits", according to MSN. They can even cash in on these policies if you die after you leave the company.
Shady.
No comments:
Post a Comment