Indexed Universal Life (IUL) insurance is often marketed as a "tax-free retirement income" solution, but how do these policies really work over time? To cut through the noise, financial planner Andy Panko, CFP®, RICP®, EA, decided to run his own real-time experiment. He bought an IUL, fully documented the structure, costs, and performance, and is openly sharing the results year after year.

In this episode, Andy joins us to explain what IULs are, why he launched The IUL Experiment, and what every financial planner should know before considering them in retirement planning conversations. We talk about:

The structure of IULs and why they're so often misunderstood
The gap between marketing promises and actual performance
The potential benefits—tax deferral and downside protection—and their trade-offs
Why transparency and ongoing tracking matter for evaluating these products
How planners can approach IUL conversations with clarity and objectivity

Whether you've advised clients on IULs, been pitched them, or just want to better understand how they fit (or don't fit) into real financial planning, this episode gives you a front-row seat to an experiment playing out in real time.

AICPA Resources:
Tools: Life insurance policy evaluation
Podcast: Life insurance planning strategies for individuals
Webcast: Advanced strategies for life insurance policies
Checklist: Life insurance policy checkup

This episode is brought to you by the AICPA's Personal Financial Planning Section, the premier provider of information, tools, advocacy, and guidance for professionals who specialize in providing tax, estate, retirement, risk management and investment planning advice. Also, by the CPA/PFS credential program, which allows CPAs to demonstrate competence and confidence in providing these services to their clients. Visit us online to join our community, gain access to valuable member-only benefits or learn about our PFP certificate program.

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The IUL Experiment with Andy Panko

AICPA Personal Financial Planning (PFP)

The IUL Experiment with Andy Panko