Your Wealth Reserve: August 2019

Friday, August 30, 2019

Tax benefit to the rich runs up our debt

American ‘socialism’ for the rich runs up our debt

Since Trump’s tax benefits went to the top 10% and Trump’s tariffs are taking $1,000 per family, you have to consider each taxpayer will pay $17,000 for his national debt increase. And the tax benefits were NOT paid for by increased business. Usually when the economy is booming and unemployment is low, government pays down the debt. Not this time. We are still paying corporations $100 billion in subsidies every year even though Trump just cut their taxes from 35% to 21%. Many pay NOTHING due to the loopholes our representatives gave them. There are tax credits we can use.

Use your tax credits: https://www.amazon.com/Tax-Credit-Class-your-credits-ZERO/dp/1539462382

Put your money to work so you don’t have to.

Accumulate $250,000, $500,000 even $1,000,000.

Compounding is what Warren Buffett counts on for success.

“My wealth has come from a combination of living in

America

, some lucky genes, and

compound interest.”

How much can your money earn for you? $1 million from your $99,000 investment.

Your $250 a month investment may grow to $1,000,000 or more and it can be tax FREE. That $3,000 a year for 33 years ($99,000) compounds to $1 million if you put it to work: Low-cost stock index fund earns 11% per year after fees over time. Advisor-managed funds earn 3.79% over time. Compounding does not work as well if your advisor is trading, market-timing, rebalancing or rotating sectors.

Put money to work: https://www.amazon.com/DIY-Financial-Independence-Freedom-Workbook/dp/1088908500

Claiming 150% of SS benefits even if one spouse did not work

Even if one spouse has no Social Security benefit of their own, together a couple would get 150% of the worker's monthly benefit for life. This rule comes from the time when only one bread winner ‘worked.’ (SS does not count taking care of 2 kids.) See Mr. Blandings Builds His Dream House. The worker has to file for benefits first but then spousal benefits can be taken too. The worker who claimed before age 66 would lose some benefits if they continued to work. Since the rules are complicated, you should visit your local SS office as soon as one of you reaches age 62. Find out the best plan for the both of you since you may receive more as a couple than separately. The future of SS and Medicare is uncertain so don’t rely on these alone. The GOP got their tax bonanza and now wants to cut our ‘entitlements’ even though we already paid for them. Remember, GOP pays no FICA tax on income over $132,900 and no FICA or Medicare tax on their capital gains and interest incomes. For instance, Warren Buffett pays a lower tax rate than any of his employees: 17.7% vs 32.9%. youtube.com/watch?v=Cu5B-2LoC4s

Plan ahead: https://www.amazon.com/Forget-Social-Security-Medicare-Lifestyle-Security/dp/1466394285

Give your child a leg up: Make sure they can make and manage money
Only 17 states require your child to learn how to determine which investment pays the highest return on their money. Most think it is a savings account. This could be one reason most of us are going to be broke in retirement and the amount of credit card debt has doubled to over $8,000 per household. Children are moving back home after racking up huge student loan debts. Most parents have no clue about the fundamentals of personal finance—investing, interest rates, compound interest, why the rich get richer, and avoiding debt by creating your own ‘bank’ of tax-FREE accounts. Unbiased advice is easily available. For instance, if I loaned $250 a month to big companies we use every day, over time, with interest on my money left with them, would grow to be $63,000 in 10 years, $245,000 in 20 years, and $790,000 in 30 years. The Miracle of Compounding: I loaned them $90,000 ($3,000 X 30 yrs) and now I have $790,000. If I use a tax-FREE account, the amount is not taxed—now or later. I learned from John Bogle that you give up 63% of your total potential nest egg if you pay someone 2% a year to handle your money. Warren Buffett’s advice is so simple, anyone can follow it.
Explain the ‘facts of life’: https://www.amazon.com/Give-your-child-leg-manage/dp/1096505355/’

Why do we try?

It’s the active-passive paradox – almost every investor agrees that it’s nigh impossible to beat the market, and almost every investor tries to beat it anyway. Vanguard funds—those with stock-picking managers—repeat the same outcome. Only two of the 57 funds consistently outperformed their benchmarks. This study of managed funds concluded that all of Vanguard’s active strategies could be replicated “more cost effectively through the use of index funds.” Even with lower costs, Vanguard’s managed funds could not beat its own index funds. Costs turn out to be important—even for low-cost Vanguard funds.

Buffett advises index too: https://www.amazon.com/Warren-Buffetts-Vanguard-Funds-Retirement/dp/1496148592

When to file taxes separately

Generally it is advantageous for a married couple to file jointly. Filing a joint return comes with many well-known benefits, including a lower tax bracket at both the federal and state level, a larger standard deduction and the opportunity to qualify for multiple tax credits. However, there are particular instances when a couple should file separately. Married taxpayers may be aware of certain “red flag” situations, for example when one spouse has significant debt, past unpaid tax liabilities, ‘shady’ tax history, or income-based student loans. Healthcare may be a lesser-known reason to lead a married couple to file separately. Ask your tax pro about situations when filing your tax returns as ‘married filing separately’ is best. Verify your tax-FREE retirement account.

https://www.amazon.com/Marriage-Money-Book-Start-Together/dp/1517572525

When is the best time to buy stocks?

Warren Buffett has followed his mentor Benjamin Graham’s advice: “buy stocks as they bought their groceries, not as they bought their perfume.” If your supermarket has a sale on your favorite food, do you buy more? When chicken breasts are on sale for $1.99 a pound, I buy two family packs. I freeze one—regular price $5.89/lb. Buffett recently won his bet with a hedge fund guru who used 5 different investment strategies to beat Buffett’s choice. Buffett bet $1 million that the Vanguard 500 Index would outpace the manager’s picks. Buffett won: 7% a year versus 2.2%. He did not trade or time the markets. When we buy on sale, we get 10 fund shares instead of just 8. When the price goes up each year, our account value increases exponentially.

Buy on sale: https://smile.amazon.com/Buffett-Strategy-854-000-not/dp/1978481020

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How Govt wastes our money: Congress spends another 1.7 Trillion we don’t have!

Trump’s Justice Dept sends scary white nationalist emails to court workers.

What would you do if your vehicle worked only HALF the time? Send it back?

Trump lets truckers drive longer hours: 4,657 trucks involved in fatal crashes More?

Trump wants to use nuclear bombs to kill hurricanes and us too: Mad-- 'What the f---?

Another national monument gone to oil and gas industry: Trump destroys our heritage.

ICE would not need raids if employers only hired citizens who wanted $15 an hour work.

Trump breaks law: refuses to hear asylum seekers: US indicted for sending them to death

Trump the ‘environmentalist: Alaska forest to be destroyed by loggers/miners. Congress?

Trump to pass more gas to make climate hotter: drillers can let it rip! CO2 released too.

Congress sits on its hands while Dictator removes ‘power of the purse’: money to WALL

Trump: Our kids born overseas are no longer citizens anywhere: non-citizens must apply

Denver lets mom give birth alone in her cell: Don’t even call the ambulance!

Trump to pardon law breakers who claim they helped build his WALL: Dictators do this.

Trump aide admits he faked the calls to China to silence Street’s trade concerns: Creds?

SCAMS/SPINS:

Trump: claims King of the Jews https://twitter.com/hashtag/KingofTheJews?src=hash

Trump declares he is the chosen one: https://twitter.com/hashtag/chosenone?src=rela

‘Absolute’ dictator: I have the ‘absolute right’ to order US firms leave China if I want.

Trump fears women the most: Core--White nationalists are mostly men.

UK has given up traditional democracy to right-wing authoritarianism. Even Queen

Digital assistant can get you scammed: It is not smart about crime.

Is your advisor really a real person or just a fake with fake creds fake bio fake clippings?

Motty Mizrahi, CA caught promising no risk returns: ‘sophisticated trading strategies’

Maxitransfers caught violating customer disclosure on sending money to countries.

WellsFargo caught with its brokers/agents not registered in MA: client sales fraud

Larry Carr Cita FL caught selling fake loan notes to widows in Ponzi: 4 years jail

Jesse Gil Allstate caught taking money from widow for his trip to Spain

Bobby Coburn disbarred: failed query on sales practices of unapproved securities.

Adam Vinoskey Sentry Equip caught overcharging employees for Vinoskey’s stock

Marcus Boggs IL caught fleeing with stolen $2 mil from clients: ‘very charming’ works.

Brenda Smith PA caught $63 million hedge fund fraud promised 30% from slick trades.

Cambridge Capital caught defrauded 20 investors with ‘advance loans’ and high fees

Michael Hild Live Well caught inflating bond value to defraud lenders: $24 mill comp.

YouTube Netflix viewing slowed down even when networks aren't crowded. 5G scam?

80 scammers caught: $ billions email, romance, elder fraud by Nigerian “money mules”

Johnson & Johnson caught fueling opioid epidemic: deceptive marketing of painkillers.

Fake discounts: marketing is word game that catch attention: ‘sale’ ‘50% off’ ‘closing’

Asset Recovery Associates caught misleading debtors with fake legal threats: fine, no jail

BEWARE: Annuity sellers claim insurance firm bonds ‘safe’ as CD protections

Ford recalls 550,000 trucks and SUVs: seats not hold you in crash.

Jobs

Follow the money: we still need engineers.

Teachers spend $459 on supplies for the kids: we overpay their bosses: $242,000 in 2014

Who owns your account now?

Why Robo callers can’t be stopped by government or tech or God: We get 8 per day still!

Long-term care accounts need help: watch change of ownership

Gun liability insurance: cover damage/expenses to clean up the mess guns leave.

Long-term care premiums rising faster than incomes.

Miracle:

She’s the One who could beat him Can you see it?

Queen suspends Parliament so right-wing can end ties to Europe without discussion

Miracle: No opioid exec goes to jail: their company pays fine; they got bonuses. We died.

Alex Trebek beat the cancer that kills: Pancreatic 4 used to guarantee death.

IAN

41 Watchung Plaza, B242

Montclair, NJ 07042

973.746.2014

www.InsuranceAdvisorsNetwork.com

Alerts

Friday, August 23, 2019

Recession talk scare you?

Where to put your money if recession talk scares you?

There is talk of recession since people who claim they know economics get paid to scare us. Since no one knows for sure when and how this event will take place, we are on our own to decide what to do. Some are already running for their money market accounts even with low rates compared with inflation. Clearly stock and bond markets will be unsteady. Our choice, as always, will be decided based on our time horizon. Warren Buffett is looking for bargains at this point. He already had tons of cash. But he isn’t selling his portfolio as if the world will give up on capitalism. Long-term stocks will beat inflation. Our cash and bonds may help us avoid a big plunge in current account values. However, like Buffett, we should hold our long-term investments with a balanced approach. If we need cash in the next year we should have been accumulating it up to now. Many of our members have been buying the balanced fund Wellesley Income for years since it has maintained a return of over 9% since 1970 with low expenses.

No-worry money advisor: https://www.amazon.com/Best-Robo-Advisor-Ultimate-Automatic-Management/dp/1537111957

Elder bankruptcy up

Bankruptcy has increased to 12% from 2% in 1991 for retired persons. Weakened trade unions, stagnated wages and the disappearance of pensions are among the factors that contributed to rising elderly bankruptcy. Many retirees also face rising medical costs as they live longer than expected and Medicare covers a smaller share of their health care needs. What can pre-retirees do? Contrary to what many people think, saving for retirement can help employees boost their ability to pay their student loans, according to a CNBC article. That’s because pretax contributions to traditional retirement plans can help minimize their adjusted gross income. Since the monthly student loan payments are based on AGI, a lower AGI could result in lower payments. “Any time you can put money into your qualified retirement plan at work, it’s always a good thing,” according to an adviser. The most important factor in avoiding a lack of cash later is using the miracle of compounding as early as possible. Compounding can double your money in 7-10 years. Thus doubling your 401k contributions to low-cost stock funds even at age 50 can improve your nest egg three fold. Warren Buffett says compounding made him wealthy.

https://www.amazon.com/Miracle-Compounding-Turn-day-into/dp/1470176513/

Is your advisor helping you this year?

If you are paying your advisor for money management—1-2% of your TOTAL nest egg—you have a right to ask this question. What is their track record? The market has provided 9% for the last 10 years including -37% in 2008 (2008-2018). So far in 2019, you should have earned over 17% with 11% long term returns. If that ‘professional’ advice you are overpaying for has not been useful, perhaps it is time to switch to Warren Buffett’s strategy. When you need special advice you could pay for it at the CFP’s hourly rate like a lawyer. $750 for 3 hour review of your plan vs $7,500 over 10 years of fees. Otherwise, Buffett recommends low-cost index funds. Morningstar has found that the most important determinant of investment success is the cost.

Try Warren’s Way: https://www.amazon.com/Warren-Buffett-Your-Investment-Advisor/dp/1518690963

DIY Financial Independence: Freedom Workbook

Put your money to work so you don’t have to.

Use your IRS-approved tax shelter—Pay 0% on asset gains.

Accumulate $250,000, $500,000 even $1,000,000 tax-FREE. You achieve Financial Independence by having enough money to do what you want. When you don't have to rely on work to survive, you are financially independent. Playing it safe won't achieve it. You don't have to be super wealthy to become free of money worries. Financially independent people have one thing in common: they put their money to work so they don't have to. If you don't put your money to work, you will never be free. 'Compound interest' is the name of the process by which money makes money. You don't need to do a thing besides sending $250 to work every month. You earn money every time you buy things. You own part of the businesses. Compounding is what Warren Buffett counts on for success.

“My wealth has come from a combination of living in America, some lucky genes, and

compound interest.”

How much can your money earn for you? It depends on how long it works and where you put it to work. The best strategy is to use your Wealth Reserve to shield your money while it works in places you shop. You can use a special IRS-approved Tax-FREE account to avoid all tax on investment dividends, earnings and interest. You can also avoid the fees and commissions on this account. Your $250 a month investment may grow to $1,000,000 or more and it is all tax FREE. That $3,000 a year for 33 years ($99,000) compounds to $1 million if you put it to work: capitalism.

Put money to work: https://www.amazon.com/DIY-Financial-Independence-Freedom-Workbook/dp/1088908500

Women: Median Retirement Income Is 42% Lower Than For Men

An average working woman earns 21% less than an average working man. While a portion of this earnings gap is caused by different career and lifestyle choices between men and women, gender discrimination still sandbags women’s ability to earn an income and thrive during their working years. The gender earnings gap has implications for women as they age. For example, the average woman qualifies for Social Security benefits 23% lower than the average man. On average, women have life expectancies five years longer than men, requiring higher levels of retirement saving. The report’s authors also found that women face higher retirement health-care costs, needing an average of $140,000 by age 65 to have a 90% chance of covering their health care costs, versus $124,000 for men. Women have less income to accomplish higher retirement income needs than men. So women have a greater need to make their investment dollars grow faster than men. Warren Buffett recommends that we are more successful investors by being patient. Women are more successful investors because they are less likely to engage in rapid asset transactions. Buy and hold is often the best strategy.

https://www.amazon.com/Ensure-Your-Financial-Health-Wealth/dp/1466388293

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How Govt wastes our money: Congress spends another 1.7 Trillion we don’t have!

Families torn apart by Trump’s actions sue $ billions from US not Trump. harmed or fondled!

Trump’s 2017 tax break for family recalled in Trump tariffs: we pay $1,000/year in tariff

Trump considers payroll tax cut to boost failing economy: He also claims not failing!

Trump plans capital gains tax cut: why even bother with Congress taxing authority?

Bank lobby killed rule that kept banks from making wagers with our deposits: Bailout II?

Pentagon cancels ‘missile killer’ project: saves US $1.2 Billion

SCAMS/SPINS:

Bundling your car and home insurance may not be as good for you as it is for insurer.

Trump calls El Paso mayor a RINO to his face: Weak dictators insult grieving to face.

NRA tells Trump to forget background checks: blame mental ill as diversion for votes.

Scam to steal your Medicare ID promise screening for cancer: suffer emotional abuse

Trump rallies are full: participants receive overtime pay from employers.

Now he is calling the Jews ‘disloyal’: his concentration camps are built and ready

Trump changes rules to hold immigrant families ‘indefinitely.’ Jail kids over 20 days.

Trump considers cuts to Medicare to trim deficit: Wealthy tax cuts created $1 Trillion

Trump to end your child’s birthright: we have to pay to buy our kid’s citizenship. Insane!

John Tillotson caught impersonating clients to transfer funds to his firm

Scott Strochak Castleberry caught fraud promised insured real estate returns

Sheraton caught letting legionnaires disease grow in water system: killed 1 guest

Insurance firms pay police/prosecutor to convict customers of faking theft/damage.

IRS does not send emails: do not open email from them

Jobs

The war for talent in the independent broker-dealer industry is real: Best get more fees.

CEO pay grown 940% since 1978, while workers’ pay only 12%. CEO’s power not skills

Execs get the raises this year: workers get discretionary bonus for top performers

Boeing hires to start delivery schedule of 737 Max

Goldman Sachs hiring coders to make trades: Program trading is dangerous like last time.

Who owns your account now?

Low cost places to live when you must start a new life on limited budget.

Vaping may cost you a lung: heavy breathing can give high too.

WV finds and returns $1.2 million in life insurance benefits people did not know about.

Why Robo callers can’t be stopped by government or tech or God: Window-dressing deal

Miracle:

Your lucky day: woman survives chute failure 5,000 foot fall—hit trees at 120 MPH

Miracle if Congress bans AR magazines: NOT for hunting; just killing: 41 in 32 seconds

Catholic teaching: the priest’s “racist” dog got black cleaning lady fired. He blames dog?

Trump retweet: Israelis “love him [Trump] like he is the second coming of God.”

IAN

41 Watchung Plaza, B242

Montclair, NJ 07042

973.746.2014

www.InsuranceAdvisorsNetwork.com

Alerts

Friday, August 16, 2019

How much does retirement cost?

How do average working people afford to live in retirement? Two-salaried clients— school teacher and office manager—making on average $60,000 during their whole careers, earned enough to have a $1.2 million retirement fund--$40,000/year. How did they do it? Bought 2 used cars every 4-5 years. They invested 5-8% of their checks in stock index funds inside tax-deferred accounts at work and their own deductible IRAs. Bought house 40 years ago $200,000; now worth $700,000. Camping/hiking vacations. Eat out once a month. Did their own home cleaning, repair or maintenance. Bought food, clothes, toys, etc on sale or house brand. Paid for 2 master’s degrees (no scholarship) and a child’s private college degree. Covered 3 lay off periods; bankrupt once. Saved $3-4,000 a year on securities and insurance. One took SS benes at 62; one at 70. Gross income now: $90,000—SS, pension, investments.

https://www.amazon.com/Your-Plan-to-Live-Age-100/dp/1548180793

Supremes give wealthy another way to avoid our taxes

Progressive tax rates at federal and state levels are meant to reduce the gap between us and the tax-shelter class that evades taxes. Taxes were meant to avoid another Robber Baron period. Now the Supreme Court has decided the wealthy were paying too much state tax. Now we will be forced to pay more to make up for the shortfall created because states can’t tax income from wealthy trusts. The rich can now move their trusts and avoid income tax for beneficiaries’ trust. The Supreme Court has essentially opened the door to trust planning that could ‘avoid state taxation altogether.’ Plus they can now avoid an audit when they move to a low-tax state. We, who are left, pay more state taxes.

Use your double tax shelter: https://www.amazon.com/Pay-No-Taxes-in-Retirement-legally/dp/1507527977

DIY Financial Independence: Freedom Workbook

Put your money to work so you don’t have to.

Use your IRS-approved tax shelter—Pay 0% on asset gains.

“My wealth has come from a combination of living in

America

, some lucky genes, and

compound interest.”

Put money to work: https://www.amazon.com/DIY-Financial-Independence-Freedom-Workbook/dp/1088908500

Trump’s medical price stability promise is dead

The health care companies have killed any chance for giving US a break. It is impossible to shop and compare prices even for a simple standard item. There are hidden costs in every procedure even if you knew the contract price between you doctor and the hospital. Those who argue that when we have ‘transparency’ we will shop and save are overlooking the conflict of interest of the sellers. I can’t tell my doctor to use the hospital or center where I found the lowest cost. I don’t trust the doctors who work at that center and vice versa. The doctor and the center are NOT on my side in this deal. Doctors make special deals with centers in their best interest, NOT mine. Like sales people, doctors make more by doing more volume with this center vs that center. Like my broker, they get paid more by selling one firm’s product over another. Or take a simple blood test. The median retail price in one place is $20 while the same test costs $443 in another. And what about life-saving insulin, up 1,700%? I can’t shop in

India

China

for insulin!

All these people make more than I do: https://www.amazon.com/Americas-Socialism-for-Rich-not-little-people/dp/1535218584

What can an annuity do for your retirement?

Congress wants to let the financial industry make a killing on annuity sales to retirees. Is this good for US as we retire at 10,000 per day? An annuity is a steady income for your lifetime. Insurers buy bonds with your money and dole it out to you monthly over time. You will receive less in buying power over time. Inflation takes HALF the value in 20 years. Insurers earn 1-3% depending on the type you buy. You receive a good deal if you live to be over 90. If you die before age 85, you lose. However, if you don’t feel comfortable using a 0.23% balanced (stock/bond) fund and having the fund firm send you a monthly check, this may be your best deal. A balanced fund earning over 8% a year can beat inflation over time. You keep your buying power and have a legacy too.

https://www.amazon.com/Not-Buy-That-Annuity-Guaranteed/dp/1466494573

What are the options to save for college?

A tax-advantaged account called ‘529’ is available through any financial firm. What are the alternatives to a 2% savings account? Investment options range from all stock to all bonds. The middle road, overweighted to bonds, seems to work best for the 15-20 year average time to accumulate. Some plans offer age-based options. Some states provide a tax deduction. Some plans are sold direct without commissions and some cost you more. Many states allow anyone to use their plan. Some states offer low-cost management. Usually you can invest whatever amount you like but $100 a month for 15 years could provide over $40,000 for school for young and old—any educational purpose.

Learn more: https://www.savingforcollege.com/college-savings-101

Give your child a leg up with money

Make sure you teach your kids how to create wealth the easy way. At my first job, I had no clue which investment option to use for my 401k contribution and company match. The HR person told me to put it into the 'safe' stable value fund. That was the worst choice at my age I learned later when I got my securities licenses. If I had followed their advice I would have ended up with $150,000 instead of a Wealth Reserve of $877,233 about 33 years later. We have used this 'Wealth Reserve' as I call it to have funds to buy low-cost insurance, two homes and 5 cars with higher down payments or cash. Now we receive $2,500 a monthly in retirement supplement.

I found the advice of the smartest money manager of our time--Warren Buffett--is the best. It turns out his simple investing plan is best. Buffett: Panic is buy signal.

https://www.amazon.com/Give-your-child-leg-manage/dp/1096505355/’

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How Govt wastes our money: Congress spends another Trillion we don’t have!

Half the opioid pills were purchased by just 15% of the drugstores: 15 killing fields!

Trump confirms his ‘socialism for rich’: paying farmers more than if they produce soy!

Background checks are useless: OH shooter had 10,000 rounds to kill ½ Dayton

GOP McConnell helps USSR buy KY industry: ‘Moscow Mitch’ & ‘Mad Max’ Mnuchin

"He Has Gone Mad": Danish MPs On Trump's Reported Plan To Buy Greenland

SCAMS/SPINS:

Trump’s own construction crew are guys without papers: ICE doesn’t dare touch them.

Trump comments on FoxNews’ fake news comes true because USSR TV paid for it!

Trump says Clinton killed Trump’s buddy Epstein in prison of all places: Demented!

Trump: I saved steel industry with tariffs: “Steel was dead. Your business was dead,” now business is thriving.”

Trump plans to eliminate endangered animals: oil gas coal producers have won!

Trump:“Prices not up, no inflation. Farmers getting more than China would be spending”

Melania actually took home that El Paso survivor? Sick to use baby as photo prop

IRS lets advisors pull fees from the cash value of your annuity without you paying taxes.

Crypto currency scams on all social media: get-rich-quick is offer—get poor quick results

“We are worried,” Bank of America Merrill Lynch chief economist said. Panic buy signal

Steve Baptist caught taking commissions on trades in dead client accounts. New B-D.

Richard Duncan MA caught making Turkish scam on his clients: 100% return

Dawson James FL caught soliciting DoNotCall list: $20,000 fine but not ‘guilty’ plea.

Antonio Bravata started his second scam before he finished sentence for his first fraud Andy Gamber Voyager Financial caught fraud on disabled veterans: fine no firing squad

Craig Rumbaugh caught promising ‘safe’ real estate-backed returns Werth’s Ponzi

CA bans pesticide Trump defends: developmental neurological damage in humans.

Court: Trump must provide food, water, beds, toothbrush, soap just like Stalag 13.

Police Chiefs demand assault weapon ban: Congress & Trump in clutches of NRA!

Jobs

Civilian Spy: MicroSoft has employees and vendors listening in to your Skype, Cortana

Retire early? You are likely to experience bouts of anxiety and self-doubt.

Physicists found new state of matter: increase storage quantum computer. Stream movie?

Physicists: temperature is property of quantum entanglements of ultracold atoms: Save E.

Who owns your account now?

Your old debt (past limit) can haunt you if you or collector makes a payment later.

SEC video about your advisor or broker: how to pick and how they get paid

Miracle:

Takes a miracle: Despite the news, even Pope’s letter, priests still abusing children. Jail?

Take a Miracle? Police lead black man on rope by horseback through town like past.

Save this spaceship: Troops with heatstroke double from 2008: EPA kills Bristol Bay life.

Angry neighbors turned nice: “Kindness goes such a long way. Gratitude goes such a long way.”

IAN

41 Watchung Plaza, B242

Montclair, NJ 07042

973.746.2014

www.InsuranceAdvisorsNetwork.com

Alerts

Friday, August 9, 2019

Put your money to work so you don’t have to.

DIY Financial Independence: Freedom Workbook

Put your money to work so you don’t have to.

Use your IRS-approved tax shelter—Pay 0% on asset gains. Accumulate $250,000, $500,000 even $1,000,000 tax-FREE. You achieve Financial Independence by having enough money to do what you want. When you don't have to rely on work to survive, you are financially independent. Playing it safe won't achieve it. You don't have to be super wealthy to become free of money worries. Financially independent people have one thing in common: they put their money to work so they don't have to. If you don't put your money to work, you will never be free. 'Compound interest' is the name of the process by which money makes money. You don't need to do a thing besides sending $250 to work every month. You earn money every time you buy things. You own part of the businesses. Compounding is what Warren Buffett counts on for success.

“My wealth has come from a combination of living in

America

, some lucky genes, and

compound interest.” How much can your money earn for you? It depends on how long it works and where you put it to work. The best strategy is to use your Wealth Reserve to shield your money while it works. You can use a special IRS-approved Tax-FREE account to avoid all tax on investment dividends, earnings and interest. You can also avoid the fees and commissions on this account. Your $250 a month investment may grow to $1,000,000 or more and it is all tax FREE. That $3,000 a year for 33 years ($99,000) compounds to $1 million if you put it to work.

https://www.amazon.com/gp/product/B07W6RPB24

Why do we earn so little in a managed account?

In every period of time for the last 30 years, we earn much less in our advisor-managed account. DALBAR tracks the performance of our accounts versus the market indices and finds less each period. For the last 30 years, we earned 3.79% vs 11.06% for the market. Morningstar blames costs: “In every single time period and data point tested, low-cost funds beat high-cost funds." It is a Wall Street myth that we need an advisor. Now we have research and data that tells us (for free) that we can earn more by paying less. Trading, market timing and expense ratios can reduce our total possible accumulation by 63%. Most clients claim they need an advisor for guidance but they don’t consider inherent conflict of interests. First, advisors can’t give unbiased advice: they sell what for-profit firms pick for profits. Second, advisors are trained as salespeople—they don’t know what the markets will do. They learn to win our trust so they can sell us anything. Third, most advisors do NOT know about the best products for us. The products they sell must have higher costs built in. For instance, most 401k and 403b savers/investors believe their employer does not charge for their retirement plan. Most think the plan was chosen wisely: greatest benefit possible for us. There are no price tags on the retirement stuff we buy so we end up with $104,000 instead of $151,000. Your plan costs are hidden because your employer does not want to pay for them. Ask how much you pay!

Pick Buffett as your advisor: https://www.amazon.com/Warren-Buffett-Your-Investment-Advisor/dp/1518690963

Are commission-FREE ETFs really free?

Schwab has just added to its platform of no commission index (ETF) funds. Fidelity and Vanguard are in the price war too. But are there no costs involved? its bid/ask spread--the difference in the lowest price a seller is willing to accept and the highest price a buyer is willing to pay as of the last trade--was wide. When the spread is wide, you can end up paying more for an ETF than it is actually worth--and this can easily add up to more than a broker’s $10 trading fee. Unlike open-end mutual funds that are bought and sold at Net Asset Value (NAV), ETFs are traded throughout the day at whatever price clears the market. At times, an ETF’s price may deviate from its NAV. When an ETF’s price is more than its NAV, the ETF is trading at a premium. When an ETF’s price is less than its NAV, the ETF is said to be trading at a discount. If you buy an ETF at a premium, you’ll be paying more than you need to and putting yourself at an immediate disadvantage. Likewise, if you sell an ETF at a significant discount to NAV, you’ll essentially shortchange yourself on some of the gains. Some ETF’s are not traded often so you may have trouble selling them. Some have fees to sell if not held long enough. Some do not perform well so you lose. In real estate trusts, some are earning 8% where others earn 5%. Unless you have insider information, regular funds have better long-term returns.

https://www.amazon.com/Vanguards-Top-Ten-mutual-funds/dp/150073909X

Trump’s ‘National Socialism’

Trump’s tax-credit party is now demanding another tax cut for the rich. Every American who pays tax on their capital gains—dividends and earning from capital—will pay less tax. National Socialism means money from every working person that pays tax on wages will be used to benefit the top 5% of the wealthy who live on their capital. Wealthy folks demand more tax cuts after receiving a huge windfall this year. That’s outrageous! TX Cruz bid for reelection is cemented by goosing the Treasury Secretary to ignore Congress and just declare the tax break on capital by an executive order dictator. Meanwhile, Trump’s new tariffs will slow sales, jobs just to pay for new tax cuts for the rich. Trump still thinks China tariffs are paid by

China

instead of by Americans via higher prices. Americans who struggle to make enough to help their families survive will have to pay more for most goods—‘made in

China

’. Trump has adopted Marx’s idea: "From each according to his ability [to be taxed on wages], to each according to his needs" [for a tax break]. The tax-credit class needs to blame the minorities to divert attention and the state propaganda machinery (Fox) does it. Dems don’t even realize what is going on.

https://www.amazon.com/Tax-Credit-Class-your-credits-ZERO/dp/1539462382

Another way the wealthy avoid their fair share of TAXES

You could do this tactic if you had the money but you don’t. Wealthy buy or keep art then take a loan against it. They spend the money as tax-FREE income. Living off your Rembrandt for years? The majority of art lending clients are ultra-high-net-worth individual art collectors, according to a report by the European Fine Art Fair, with dealers accounting for just under 10% of borrowers. Most lenders will lend up to 50% of the value of the artwork, so a painting appraised at $10 million will be good for a loan of up to $5 million. Lenders across the industry said default rates are typically very low, almost negligible. Some borrowers are opportunistic—when they see a good business offer, or a chance to buy a great work of art, they want access to capital, and fast. An art lender only needs to value the art and write up a contract, compared with, say, a mortgage lender, who might need extensive credit checks, salary history, and the like. “It’s a way to buy art without having to disrupt your life.” Some just want more capital to buy stuff.

Shelter your income too: https://www.amazon.com/Trump-Tax-Shelter-Avoid-taxes/dp/1985448300

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How Govt wastes our money: Congress spends another Trillion we don’t have!

States rejecting the Obamacare program has come with a cost: rural hospitals gone.

GOP plans cuts in Social Security by just refusing to consider funding options.

Trump tariff costs us on electronics, phones, digital, stuff: Apple stock

Juries nixed: Trump to free the criminals HE likes: “I thought he was treated unfairly”

TX law gives greater access/use for guns Sept 1: Tragedy incites more armament.

Trump agency warning visitors to US to ‘generational fight’ ‘public is asset to prevent’

El Paso shooter’s mom told police weeks before about AR danger: Police deny contact.

SCAMS/SPINS:

McConnell role in aiding Putin’s mob to buy factories in his state show bias.