Cash Value Life Insurance Calculator
Lever 3 of 7 · Whole Life vs IUL

Whole Life vs IUL: See How Your Cash Value Grows

Compare two strategies side by side. Adjust your annual contribution and time horizon. See how each product can build tax-free wealth (when IRS requirements are met) over 10, 20, and 30 years.

Your Situation
Annual Contribution $100,000
How much you'd put into the policy each year
Funding Period 10 years
How many years you'll contribute (then let it compound)
What do you want to compare?
Year-by-Year Cash Value Growth
Year Total Paid In Whole Life Cash Value IUL Cash Value Difference
Key Differences at a Glance
Whole Life (Foresters)
vs
IUL (North American)
Guaranteed cash value + dividends
Growth
Indexed to S&P 500, higher ceiling
~4% guaranteed + ~2% dividends = ~6%
Rate
0% floor, 9-12% cap, ~6.5% avg
Steady, predictable, never goes down
Volatility
Some years 0%, some years 10%+
Lower ceiling but guaranteed floor
Best For
Higher growth potential, OK with variability
Yes, via policy loans (not taxable)
Potentially Tax-Free Access
Yes, via policy loans (not taxable)
Yes, generally income-tax-free when properly structured
Death Benefit
Yes, generally income-tax-free when properly structured

Both Products Share the Tax-Free Triple Play (When IRS Requirements Are Met)

Whether you choose Whole Life or IUL, the tax treatment can be similar when IRS requirements are met:

$0
Tax on Growth
$0
Tax on Access
$0
Tax on Transfer
These projections are estimates for educational purposes only. Whole Life assumes ~4% guaranteed growth + ~2% dividend additions (based on Foresters 2026 dividend rate of 6.00%; dividends are not guaranteed). IUL assumes ~6.5% average indexed return after policy costs (based on S&P 500 annual point-to-point with 0% floor and 10% cap; actual returns vary by year). Both products have internal costs (insurance charges, administrative fees) that reduce the effective growth rate. Actual cash values will vary based on the specific policy, your age, health classification, and current rates at time of issue. This calculator does not replace a personalized illustration from a licensed agent.
These are estimates. Want your actual illustration?
We'll run a personalized illustration based on your age, health, and exact contribution amount. You'll see guaranteed values, projected values, and policy loan income projections.
Get My Personal Illustration See 10 Ways to Use This Strategy
Taylored Tax LLC · Terrence Okeke Taylor, EA & Al Darnell, Jr (BiG Al), EA, MBA · Enrolled Agents (IRS Licensed)
Licensed Financial Professionals, 28+ States · 10X Savings Guarantee

"Tax-free" refers to qualified Roth distributions and properly structured insurance benefits, which carry IRS requirements (for Roth: the 5-year rule and age 59½, with limited exceptions). Guarantees are subject to the claims-paying ability of the issuing insurance carrier. Educational information only, not tax, legal, or investment advice.