Friday, April 10, 2015

Will you inherit $11 million Tax-FREE?

Will you inherit over an $11 million estate Tax-FREE?
Are you one of the lucky families that will inherit over $11 million estate tax-FREE?
Our Congress just voted to give a BIG tax break to the 5,000 wealthiest families. Repeal of the estate tax would mean that the wealthy with over $11 million can create a family dynasty. None of these wealthy people works on a farm or would lose their farm if Obama vetoes the bill. We would lose $300 Billion in taxes and we must make up. The 5,000 would still have $ millions after state inheritance tax in some states.

You can create a legacy for your family that is NEVER taxed
Your heirs have the option to keep building your legacy for another generation. They can either roll your Roth IRA into their own Roth IRA or cash out the account without penalty regardless of their age. Your beneficiary can transfer your non-taxable Roth IRA into their own account, if they do not need the money for retirement. They can then designate the account for their beneficiary. This can be repeated for each generation. If any heir doesn’t do the transfer, your account needs to be distributed within five years of the death or paid out in equal amounts over their lifetime. 

Wealthy avoid taxes by NOT working
If you work, you pay taxes before you can buy food, housing or anything else. Not so with the wealthy. Look back to the 2011 Romney tax return shared by the candidate. Romney reported NO earned income. He actually paid more tax than required so that he could claim he was not one of the “47% of Americans who pay no income taxes. He called us “victims” who feel entitled to government handouts.” But we pay 33% on average—more than double his 14% rate.
Congress has reversed the American progressive tax system. The wealthy pay a smaller percentage of their income than we do—14% vs 32%.

Is an HSA right for you?
A Health Savings Account is tax-FREE money when it is combined with a high-deductible health plan. The IRS defines HDHP as an annual deductible of at least $1,250 per person or $2,500 family. Your HSA is deductible even if you don't itemize deductions. The HSA is great if you don’t have high health costs but a large deductible can prevent you from getting the care you need. You can write off $3,350 ($6,650 family) in HSA contributions on your federal income tax for 2015, plus a $1,000 catch-up if you're 55 or over. HSA balances roll over year to year so you could earn interest. Unlike an HSA, you must use an FSA by yearend or lose it.

Is Free File tax prep right for you?
The number of taxpayers filing self-prepared returns increased nearly 6 percent by the end of February according to the IRS. It has authorized a number of online software firms to provide FREE tax prep help at The cost of commercial tax prep has increased with new ACA forms added this year so you can save up to $500. And there are still organizations that can help seniors and non-computer users. AARP offers in-person FREE file:

Will the IRS keep your refund?
You may find a hole in your bank account if you were spending your tax refund before it came. The IRS can take it for several “worthy” causes: Delinquent student loans, ObamaCare penalty and/or subsidy, past-due state income tax, past-due child support, etc. The Treasury's Bureau of Fiscal Service, which actually issues refund checks, will inform you by letter of the dirty details. If they made a mistake, dispute it. Hey, you never know.

You can turn your IRA required distribution into TAX-FREE money
Many people work after age 67—the SS retirement age—and by age 71 are receiving mandatory distributions from their IRAs, 401k, 403b rollovers, and other pensions. These retirement funds were never taxed so Uncle Sam wants to be paid. You can pay it and then never pay tax on the earnings again. If you don’t need the money right now. You can send your RMD, as it is called, to your low-cost mutual fund inside a Roth IRA. When you need the money later, it and its earnings will be TAX-FREE. This will lower the income taxes on your other taxable accounts and Social Security benefits. You pay less tax overall with Tax-FREE income.

GOP crazies
America’s future looks grim using the just-passed GOP budget blueprint:
Military spending increase to $612 billion so we can prop up 3 Middle East countries; and Japan, Germany and S. Korea don’t have to pay for their own defense departments.
CUT $431 billion from Medicare. Convert seniors to voucher-like program.
CUT $236 billion from the budgets of non-defense agencies—fewer people services.
CUT $1 trillion from food stamps and welfare and repeal of the Affordable Care Act.
CUT Medicaid $913 billion. Convert to state block grants to shift cost to states.
37 million people would lose health insurance, doubling the ranks of the uninsured.
Obama says “failure to invest in education, infrastructure, research and national defense.”
McCain says “not legitimate budgeting.”
Ken Buck, (R) CO says “It’s all hooey.”
 “I don’t know anyone who believes we’re going to balance the budget in 10 years.”

GOP President-to-be claims he is Hispanic to gain votes or impress Miamians?
Jeb Bush admitted Monday that he made a “mistake” in 2009 when he listed his ethnicity in a Miami-Dade County voter-registration form as “Hispanic.” The likely 2016 Republican presidential contender is, obviously, not Hispanic. How can you make a “mistake” since we answer “race/ethnicity” all the time? He did on March 6, 2009. Does Bush senior know Mrs Bush had a Hispanic son?
Can we see Jeb’s birth certificate? Is this another “oops, I forgot” GOP moment? Did he serve in the “National Guard” like W claims?

NJ Gov gives Exxon a break
Master ‘negotiator’ Chris Christie accepts only $225 M instead of $9 Billion and then uses the money to fill his budget gap and still can’t pay promised pension bill. Is this how the GOP will run the government? He is losing his shouting match in the polls.

74% of us have never calculated our monthly retirement needs
Also, 51 percent of retirees have never tried to determine if their current savings will be enough to last through retirement – though 39 percent assume what they have will not last 20 years – grim statistics indeed.

Do you know what you pay your broker/advisor?
A significant number of investors are in the dark about the fees they pay brokers, according to a new survey by a state regulator association. While most brokers/advisors charge annual fees to manage accounts, one-third of customers aren’t aware of the expenses, according to the survey by NASAA. The industry makes it hard to find the costs because they take as much as 63% of our retirement money in fees.

Long-term care insurance at risk
Genworth is weighing a breakup after steep losses on policies covering long- term medical care. GE is dumping its financial units so policy owners must contend with rising premiums and underwriting standards. Current owners may have some protection from state insurance funds. Future owners may be better off using alternatives.

Students lose coverage while in school
Some universities that provide health insurance to their students are stopping the practice, as they say the Affordable Care Act’s minimal essential health benefits requirements have led to unsustainable cost increases. Those that remain are turning to their brokers to determine the best way to continue offering coverage to their students.

SCAMS           Why are we still paying $700 Billion a year for WWII deployments? That is 27 cents of each dollar in taxes—the largest part of our money—and we aren’t even at war. We could pay off our debts and fix our schools, roads and bridges!
We are paying for 164,253 of our active-duty armed personnel to be in 150 countries around the world. We have about 50,000 in Japan and 50,000 in Germany.
Are we preparing for WWII again? There are 1,208,083[1] armed personnel in the United States. Our taxes pay for about HALF of the WORLD’s military expenditures every year. We have wasted $398.6 billion so far on the F-35 program—they can’t fly safely.
We just can’t afford to pay for everyone else’s defenses anymore.
Japan, Germany and S. Korea can pay to defend themselves.
The War on Terror requires SEALS’ attacks on top terrorists at their homes. Iraq proved converting a nation to Western-style republic doesn’t work. The troops we trained ran away. We are wasting $4 billion a year on Afgan tribal rivalries; paying ransom to Al Qaeda; supporting corruption with our money.

LPL Accused Of Improper REIT Sales By NH Regulators
LPL settled a similar case with the FIRA paying $950,000 for supervisory lapses in the sale of direct investments. In December 2012, LPL paid $2.6 million to settle a Massachusetts case involving improper sale of nontraded REITs. Last year, LPL’s top executives saw their bonuses drop, due in part to the adverse impact of regulatory charges. No one was fired or jailed. Will they do it again?

Wall St Banks need bailout by US for bets on oil prices
The same ‘players’ insured the oil drillers that prices would not fall. Now they must pay $26 billion. When they claim they nave no money, we will pay because Congress lets banks gamble with our money.

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