How a Fixed Annuity Can Fund a Deferred Sales Trust

Episode 45 explores using a fixed annuity inside a Deferred Sales Trust (DST) to defer capital gains tax on the sale of a business or appreciated asset. Lucas and Luna walk through a concrete example: a business owner selling their company for $5 million, rolling the proceeds into a DST that purchases a fixed annuity yielding 5.5% annually. They explain how the annuity provides predictable income during the deferral period, the tax treatment of annuity earnings inside the trust, and the risks—including loss of liquidity and counterparty risk with the insurer. The hosts also compare this strategy to a 1031 exchange and an installment sale. Listeners learn why combining a DST with a fixed annuity can be a powerful estate-planning tool for high-net-worth individuals targeting retirement income without immediate tax erosion. #FixedAnnuity #DeferredSalesTrust #CapitalGainsTaxDeferral #BusinessSale #EstatePlanning #RetirementIncome #TaxStrategy #LucasAndLuna #FexingoBusiness #BusinessPodcast #Finance #WealthManagement #AnnuityStrategies #1031Exchange #InstallmentSale #HighNetWorth #RetirementPlanning #InsuranceInvestments Keep every episode free: buymeacoffee.com/fexingo