Friday, July 6, 2018

Who will pay the Trump tariffs?

Who will pay the new Trump tariffs?
We will, of course--in higher prices. Kiss the $900 tax break goodbye. Trump tariffs are now clawing back tax savings at a rate of roughly $10.6 billion per year. The levies already in place include 25% on steel, 30% on solar panels, 10% on aluminum and 20% on washing machines. Of course we don’t buy these directly but almost everything we buy uses these materials. Also if you shop at any retail store you are probably paying for the tariffs on goods from countries Trump does not like. On July 6, a 25% tariff on 818 Chinese imports worth $34 billion, costing Americans another $8.5 billion a year. If China retaliates, Mr. Trump has said he’ll slap a 10% tariff on an additional $200 billion of Chinese exports. He could levy a tariff on $200 billion more in Chinese exports. And an administration proposal for a 25% tariff on 284 Chinese exports to the U.S., whose value was $16 billion in 2017, is pending. ‘National security’ is the reason for tariffs on imported vehicles. Even GM imports parts and cars like XTSCanada is termed a ‘threat to security.’ All this Trump B.S. will cost us $81 billions. If you work at some steel, coal and farms targeted in this ‘war’ this tariff could cost you your jobNot a smart move.
Trump’s Make America Great is turning out to be a Twilight Zone episode.
Can Congress cancel the tariffs? Constitution says YES but GOP sold out to The Leader

Can you live on $1,180 a month?
Most of us will not have enough money in retirement. $1,180.80 is the average monthly Social Security benefit. It will be reduced in 2034. Fewer have pensions or self-pay funds than in the past. The Disruptors help us KEEP more of our money. The main reason we will struggle is the lack of a plan. Most of us settle for a 'fantasy' $ million—playing the lottery weekly. A $1 million fund is not hard to reach with a plan and TIME. Most of us do not have the essentials of a plan because we never learned about them. No one taught us. Our schools never taught us. Most of our parents couldn't teach us either. Even now pre-retirees lack vital knowledge to fix their shortfalls. 
Now the DISRUPTORS of financial services have made it easier to create an efficient financial plan. Now we can create wealth for our family— $1,000,000 and more—by using new wealth-building tools from the DISRUPTORS. The average advisor-assisted investor earned just 3.79% instead of the market rate of 11%. Dalbar's QAIB. 
You can set up your account in 1 hour FREE. Start earning 11%: earn more; keep more. $250 a month over time provides $200,000 and more.

The Trump tax breaks makes using real estate trusts more efficient for the wealthy. The rich get richer. We have to pay for the courts, police, military, roads, airports, etc. that the rich use but pay fewer taxes. Trump’s new law makes using Real Estate Investment Trusts more attractive as a diversification asset. REITs qualify for the new 20% deduction on pass-through income—a deduction capped at the greater of 50% of wages paid by the business or 25% of wages plus 2.5% of the property’s original purchase price. REITs were created in 1960 “so the average person could invest in a professionally managed portfolio of real estate in a tax-favored manner,” one analyst said. “Under prior tax law, a REIT dividend paid to an individual investor was taxed at ordinary rates, the old top bracket of 39%, with the tax bite making REITs less attractive than investing in securities that created qualified dividends. REITs would make up this tax disparity by paying a high yield, since the REIT doesn’t pay the entity level tax." Trump gives a preference to real estate assets since his experience and friends are in this sector. REITs can be complicated by rising interest rates so the average investor is unlikely to be rewarded in this asset.

SCAMS: Beware illegal unregistered securities scheme
Brokerage firm BankAmerica-MerrillLynch caught changing trading confirms, hiding secret trading, and selling at prices below market. SEC also found them not supervising brokers. The Securities Act of 1933 requires that investors receive valid information about the securities they are sold and that sellers don’t mislead investors about them. This is accomplished by the registration of all but govt securities sold by the firm. Various tricks are used to offer these investments for sale. Confirms should give accurate information about your purchase. There is supposed to be transparency—no hidden secret trading operation for the wealthy to trade at better prices, and lying about their own ‘best’ price in-house trading. Unfortunately, the industry has little oversight of the supervision of their brokers. Investors have few tools to discover this firm-wide ‘fraud.’ The firm’s culture is all about taking money--caveat emptor and white collar crime is NOT a priority for Sessions and Trump. No one at Merrill is even charged let alone going to jail. $42 million fine just added to your commissions and fees of doing business.

Working millionaires hire family to shield income from taxes
Many entrepreneurs put their family on the payroll. Why? They put much of the spouse and kids salaries into a 401(k) or profit sharing plan. That reduces their joint taxable income and boosts retirement funds. The maximum contribution for 2018 is $18,500, or $24,500 for those 50 and older. Most solo 401(k) plans allow you to add family. Plus each can add $5,500 to an IRA. Depending on the business type, the owner can defer taxation on $54,000. Each child can put earnings into a 529 college savings plan or Roth IRA for tax-FREE income for life. There is no minimum age. Their income tax bill will be 0-10% on most of their income. Pay less; keep more from the family business.

What will you do when the market falls 10 or 20%?
Most savers will panic and cash in. That is what many did in 2008-9 when their shares lost value by 50%. They switched to fixed return funds and have lost money since then due to inflation. If they had held their shares (shares own real S&P 500 firms) they would have more than doubled their money. They own shares not a savings account. The number of shares they owned increased because gains and dividends are reinvested. They earned 13% for 5 years and 10% for 10 years. Keep your long-term money in the market. Keep your short-term money in a 2-3 year CD. Renew when rates go up. Pay the penalty if you need the money. Or short bond fund at current 2.4% yield. Never sell shares—you will always lose more than you could gain. Returns have always been positive over almost every 10 year period. Hold shares forever like Buffett.

What can you do if you don’t think you will have enough in retirement?
A new study tells us there are things we can do to improve our situation without “working till we drop.” The list includes lowering the standard of living in retirement, delaying retirement, increasing contribution rates, and investing more aggressively. For instance, most working people can shift their options at work to higher annual earnings. Moving investments from fixed or stable value funds 1.9% to appropriate target date funds can double or triple their accumulations in 15 or 20 years. Most target date funds provide 8-10% returns. Contrary to Wall Street myths, it is buy & hold—compounding over time—that creates comfortable retirements. By culling through current expenses that provide little value and investing tax refunds, many can add $3,000 a year to investments. Just by working until age 67, almost 70% of retirees would avoid extreme poverty. $3,000 for 20 years = $200,000. You don’t need all $200K in the first year you retire.


Make America, “The Don” Great Again

Two Americas: A Banana Republic? Do we really want an infant king?

Trump TV propagandist moves into WH to run the spin machine.
‘Judge Judy’ to become a Supreme: it is all propaganda, message molding, image.

Trump: my critics are “dangerous for the country” they’re very bad”: he signals base!
Trump has encouraged violence by his base through his campaign talk and actions

Trump makes 3 year olds defend themselves in court—How did America get like this?
Trump separated kids 10/2016 as test: no records kept of parent link. Nazis had records.

Coal lobbyist replaces oil lobbyist to ‘protect’ our water, air and mountains

Supremes kill law requiring communication: options notice violates free speech rights??

Middle class shrinking: wages for ‘nonsupervisory’ jobs falling even in great market
            Men are no longer in the workforce. 31% vs 14% in 1950 are not contributing.
            Number of products NOT made in America is growing: cheap labor, automation
            Europeans will NOT have to pay tariff on Harleys: Trump sends Europe our jobs
            Workers worse off than in other developed countries except GreeceSpain.
            Workers borrowing more to live on: personal loans up 18%; 23% rate is common.
Supremes help destroy unions—freedom to cut wages, benefits, bargain, membership

Trump really hates Obama: alleges give Iranian citizenship: Americans say he is racist.

Pre-Roe, abortion was illegal in 30 states even raped: Banana Republics outlaw it too.

Trump wants to use military to invade Venezuela like Panama Grenada. For Oil?


CitiBank caught overcharging credit card interest on 1.75 million people $335 mil refund. 
Cornelius Peterson, James Polese, MA caught taking clients’ $500K without consent.

Joel Tucker MO caught faking loans and selling personal data to collectors Castle Peak
Scott Tucker MO caught charging 1000% on payday loans: prison 16 yrs
Edward Lee Moody Jr CM Capital VA stole $4.95 mil Ponzi promising high returns  

Scam: Made in AmericaNot really but sounds good and people buy so profits up
There’s no warming … but “Scotland set its hottest temperature on record.” Roof melts.
            Miami underwater or build sea wall

Trump wiretaps on citizen up 40%; drug crime taps down; taps on foreigners down.

Trump Putin deal: Putin to Trump: I don’t meddle; Trump ends sanctions: Trust & Verify  

When we all have guns for ‘protection’ who will police shoot first? Don’t need police?

GM Fiat tell Trump tariffs NOT good for jobs—moving work around the world

Miami building to stay above water: poor become rich with ocean-front property
$75,000 base pay for these top jobs in many fields: Boomers make future sunny too.
Trump to support jobs in ocean wind farming: speed license, materials

Who owns your account now?
Mortgage refi, reverse or buying: unbiased advice from expert:
Despite Trump GOP ‘end to ObamaCare’ 10.6 million paid for 2018 up 3%. ‘Godsend
Bonus for new credit cards--$150 for using card for 3 months or travel points
TIAA hacked: CT 529 plan balances drained—NOW adds security—refunds investors

Can we trust Ari Melber to explain the legal case against POTUS? Steele?

Patron purchased $1 million worth of Toys-R-Us toys to donate to local children.

Dead’ car accident victim found breathing in morgue: miracle or bad medics training?

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