Friday, March 2, 2018

Are you making Fidelity owners wealthy?

Are you making Fidelity owners wealthy?
Your fund fees gave the Johnson family a boost. Fidelity Investment’s income rose even as its investors quit its active trader funds. Active trading fund investors are moving to passive funds on the realization that fees and trading reduce their earnings. Buffett won his bet with 5 Wall Street ‘professionals’ that the Vanguard 500 Index fund would provide a better return: 94% vs 24% over 10years. Why don’t most investors use index funds? They think the Johnson family has managers that are smarter than the market itself. They earn a lot of fees from that myth.
Bet on Buffett’s judgment not on the Johnson’s.

Budget tight?  Buy new car or $1 million retirement?
Should you use $300 a month for a new car or your $1 million nest egg?
That is what it comes down to for many people: Current pleasure of being seen in a shiny new car or silently investing for a great future. Let’s do the math. $300 a month for 7 years pays for a new chevy. By then you will need to buy another one so you will spend another $300-400 a month. Most people go through 9 cars while working. Consider buying $1 million nest egg instead: Buy used cars with cash from your tax-FREE investment account. After you have invested that $300 a month for 7 years in a low-cost market account, you will have about $35,000 from your $25,200 contributions. You can take $10,000 from this account without taxes to buy a new used car. After going through this same pattern of investing instead of using your payments for a new car, your tax-FREE investment account will provide you with a $1 million retirement fund. Yes, you will not have to pay tax on money for your cars or for your retirement income. 
New cars or $1 million fund—which is for you?

GOP has no plan to stop Putin-Trump election meddling—“aiding and abetting”
Aiding and abetting is a legal doctrine related to the guilt of someone who aids or abets in the commission of a crime. It allows a court to pronounce someone guilty for aiding and abetting in a crime even if they are not the principal offender. “Russia, if you are listening, find the 30,000 emails that are missing,” is clearly encouragement. Trump admits he fired Comey because of “this Russia thing with Trump,” is clearly complicity in the crime after the fact not to mention obstruction of justice.  
Conclusion: Trump as commander in chief and Congress with the power to declare war on cyber criminals is ignoring the acts of war by Russia. Both fail to protect our democracy.
                        If they were doing their duty, they would be protecting us from Russian cyber war. Trump failed to carry out Congress law on more Russia sanctions. GOP thinks of Russia, which is out to destroy democracy, as an ally.
WOW! Reagan turns over in grave.
            Can we say that this sounds like Benedict Arnold? He received money and other things of value from the enemy. As Jr said, “We see a lot of money pouring in from Russia.” Putin may have discovered something that Trump wants more than being president. GOP wants to hold power at any cost: President does money laundering, sexual assaults, lack of leadership, obstruction of justice, and conspiracy with Russia to win election.
Former presidents have faced impeachment for lesser crimes. Clinton charged with lying. Nixon subpoena before resigning. Trump guilty of aiding/abetting the enemy, obstruction of justice, failure to protect us in war, misuse of power, violation of emoluments clause, sharing secrets with enemy in Oval Office, inciting violence by incendiary remarks, lying about immigration, lying about trade. Mueller will need to indict Trump kids before he resigns—son and daughter have no clearance and using their office to make private deals.

Electrics are not perfect either
Experts say a Toyota Prius software fix may reduce fuel efficiency. Meanwhile, some owners of Tesla’s Model 3 are reporting quality problems. These vehicles have been at the top of most quality and reliability surveys. Battery overheating still remains a problem. Perhaps new technologies need to time to sort out long-range use. JD Power still finds a 3-year-old Lexus has the fewest problems. Cadillac fell to poor while Kia rose. Buick remains high on the list. Used cars to avoid include the most expensive, according to Consumer Reports. Some 1-year old cars lose 30% ($11,000) of value. Electrics and new technologies don’t seem to help when it comes to insurance costs either. Consumer Reports found that there were almost no discounts for new technology like blind-spot warnings. Sell your gas car to

Trump adopts NRA new line—more guns in ‘hardened schools’
But he promised no guns in schools: Trump denied wanting guns in school: Tweeted ‘Wrong’ to Hillary accusation I want guns brought into the school classroom,”
Formerly, NRA said “no guns in schools, period.” Now gun battle is for your ‘freedoms’ not guns. Makes it look like the gun lobby is saving democracy. They sell GUNS.
Now Trump wants guns and “hardened” schools—like banks. NRA proclaimed “hardened” schools and more guns to fight other Americans in TV advert.
Parkland had armed guard but high school shooter got in and out as student. Virginia Tech had teachers with guns and couldn’t stop killer.
Now Trump mimics NRA—Dictator Trump wants to scare voters: Dems want to take away your 2nd Amendment ‘freedom’ to kill your ‘enemies’—other Americans.
FL legislature already decided NOT to have discussion about assault weapons in FL. Arm the teachers.

Warren Buffett provides FREE advice on how to beat the Wall Street pros
He bet a market guru on Jan 1 2008 that his SIMPLE advice would beat the professional money managers. He took a bow in his annual letter to his fund owners:
“A virtually cost-free investment in an unmanaged S&P 500 index fund would, over time, deliver better results than those achieved by most investment professionals …” And his choice did after inflation—8.5% a year vs 2.9%. “American investors pay staggering sums annually to advisors, often incurring several layers of consequential costs,” and with little to show. Buffett’s final message: “As an investor’s investment horizon lengthens, however, a diversified portfolio of U.S. equities becomes progressively less risky than bonds.” Read how a really successful investor earns over 19% a year.

What can go wrong when we don’t use Buffett as our advisor?
Harvard’s highly paid money managers thought they could manage risks other schools avoided. They blew $1 billion in bet on tomatoes, sugar, and eucalyptus. Don’t feel sorry for Harvard or all the other wealthy school endowments. They still have $37.1 billions to lose. However, because these smart people think they can earn more by paying more expensive managers, they have earned only 4.4% a year over the last 10 years. They and MIT, Columbia, Princeton, and Yale would have been better off going with Buffett’s advice. If you used him as your advisor, you would have earned 8.5% a year for the last 10 and more years. In fact, Buffett’s choice of mutual funds would have earned 11% before inflation. Forget paid advisors. They can’t even make money for the wealthy.

Best last minute tax saving move
Tax filing began Jan 29 even though all the forms are late in arriving. If you find you owe tax instead of hitting the refund button this year, you may still be able to claim your refund. You can reduce your 2017 income and receive a tax credit. Credits reduce your taxes dollar for dollar. In effect, Uncle Sam can help you reduce taxes AND save for retirement at the same time. On line 32, Form 1040 or line 17, Form 1040a, you can enter up to $5,500 ($6,500 over age 50) as IRA contribution to reduce your income. If you meet the qualification, a credit will show up on Line 51, Form 1040 or Line 34, 1040a. You subtract this credit from your tax. EG: Income $66,000: tax refund is $3,335, without IRA contribution. With the contribution, the refund is $4,392 or $5,553 if you both make the contribution. Credit against tax is $400. IRS checks to see you have IRA.

Is your employer’s 401k robbing your retirement income?
Retirement lawsuits are on the rise so employers are taking steps to protect themselves.
Experts warn that high fees, lack of investment options or poor investment options and breach of fiduciary duty are going to cost employers. Fee lawsuits have “exponentially increased over the past two years,” says Nancy Ross, a partner Mayer Brown in Chicago. “We saw a lot of it last year and we are seeing a lot of it this year.” Employees claim they are hurt by high priced retail mutual funds rather than lower cost institutional mutual funds, she says. For employers, it is cheaper to settle than to fight. Second, employees claim investment options include funds owned by the plan sponsor making them poor performers. Third, self-dealing, kickbacks and overpaying plan advisors are alleged.

IRS free filing sites avoid $300+ cost of filing taxes
Commercial tax prep sites offer expensive loans as advances on your refund but you can keep your whole refund using the IRS free filing partners. Refunds can be in your account within 2-3 weeks. Remember: IRS does NOT call you. The average refund is over $3,000. Check your refund:
You can create a tax-free retirement fund of $500,000 with that amount each year. If you need free tax preparer service for your 1040, use AARP Tax Aides near you. Bring last year’s return and ID:
Use your refund to fund your tax-FREE IRS approved account:

Saving taxes in 2018
Take advantage of these steps to save the most in 2018. If your tax bracket fell, you might see more in your paycheck. However, there are other serious ways to save on taxes. 1. contribute more to your 401k, 403b, or IRA especially if your employer matches contributions. 2. use your HSA if your health plan is high deductible as a tax-FREE fund for later. 3. have more kids: child credit doubled. 4. use a 529 education account for tax-FREE growth for current and future kids. 5. convert your IRA deposits into long-term tax-FREE retirement income each year as you go. 6. start a side business to deduct some of your expenses that will not be deductible with the new standard deduction of $12,000 and $24,000 for joint filers and the loss of deductions for state and property taxes. (NJ property owners may use charity instead.) Since our higher tax brackets return in 2026, it may take us another generation to pay off the $2.4 Trillion extra bonus Trump gave to his wealthy friends.

Make “The Don” Great Again

Palace intrigue: Trump’s movie will star himself and family in 2022. Putin does cameo.
(A movie is the only way to understand how Putin got Trump elected)

Jr didn’t. ‘collusion;’ … or treason!

Trump Is 'Doing Putin's Job for Him' by Attacking our FBI: McCain
Mueller indicts 14 more conspirators for illegally helping Trump win election
How many other people can Trump blame for Putin’s meddling?

GOP House will never impeach their ‘Savior’

“I have absolute right to do what I want to do with the Justice Department,”

Bannon and I wish to “destroy the state”–our government: “I want to destroy
FBI doing its job following Kremlin ‘advisor’, Page, a suspected Putin spy

“Why are we having all these people from ‘shithole’ countries come here?

‘I’m the only one that matters’ Mob Boss, Nov 3, 2017
The Don’s enforcers lie re: contacts to Putin and list longer: Why all the lies if innocent?

GOP suppresses vote: can voters make America normal again?

‘I was elected President.’ (to destroy ‘the state’)
Dictator’s greatest weapon is fear: Dems are evil (TV ad)

            Take the guns first, go through due process second,” dictator Trump said.

How Govt wastes our money: Naked politics at work
GA law gives Delta a tax advantage others don’t receive and NRA controls GA lawyers

Some states want teachers to kill students; no states are FOR assault rifle ban. NRA win!

Congress stopped making laws for us when our ‘reps’ could receive unlimited money.

Trump’s Housing Ben Carson buying a dining room set with our tax money. Caught!

            Arming teachers was not even recommended by police—NRA idea to sell guns.

Citibank owes you refund: claims its bankers can’t calc interest on cards correctly

Trump killed GOP party—no GOP principles left. Rule of law and democratic way dead?
            Most Americans think The Dom is a racist. 57%; 85% of Dems

"The Faith of Donald J. Trump: A Spiritual Biography." Really? By his religionists. Oh

Bitcoin scam: pizza cost $67 if you can find some place to take it. Bitcoin accepted.

Those who keep working may live longer or not, studies unclear.

Who owns your account now?
Moving your bank accounts for NO-fee services:

Will Miami flood if North Pole stays above freezing longer each year?

Aaron Feis gave his life so that others might live.

41 Watchung Plaza, B242
MontclairNJ 07042

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