Your Wealth Reserve: How to get your 401k to $100 million

How to get your 401k to $100 million

Obviously, we’re not talking about your 401(k) plan. There are limits to how much you can contribute to a typical 401(k) plan each year. But there are a few workarounds that the rich know about and participate in regularly. The best way to take full advantage of a 401(k) plan is to be self-employed. If your wife is an employee of your business, then each can contribute of up to $56,000. That’s $112,000 for the two of you. The full amount of the contribution will be tax-deductible to your business. $112,000 every year is a big tax deduction. Meanwhile, the investment income accumulating within the plan is tax-deferred. Also a Roth 401(k) allows you to hedge against future higher tax rates–a not unlikely prospect given the 2019 $1 trillion federal budget deficit. With a Roth 401(k) contribution, you’re paying your taxes now, at today’s comparatively low rates. Later when you take your retirement money, you can take it tax-FREE or let it grow. Roth distributions are NOT subject to RMD withdrawal rules. Great for your legacy.

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

Why we can’t afford retirement anymore

A new study shows the average compensation of CEOs in the largest firms was $16.3 million in 2014, up 3.9% since 2013 and 54.3% since the recovery began in 2009. More impressively, from 1978 to 2014, inflation-adjusted CEO compensation increased 997%, a rise almost double stock market growth and substantially greater than the painfully slow 10.9% growth in a typical worker’s annual compensation over the same period. So, the CEO-to-worker compensation ratio was 303-to-1 in 2014, lower than the 376-to-1 ratio in 2000 but far higher than the 20-to-1 in 1965 and any time in the 1960s, 1970s, 1980s, or 1990s. Our taxes went up while theirs went down: More of us pay 32.9% compared with less than 20% that the wealthy pay. As Buffett pointed out, he pays only 17.7% with no tax shelter. Corporations like Apple, Google, Amazon, Boeing, and GE have overseas shelters to hide their incomes. So 2/3rds of all businesses pay $0 tax. Plus we taxpayers must subsidize many profitable businesses like oil, gas, agribusiness, air carriers, energy etc. Many aren’t even American. It is time for the wealthy to contribute to this society like they once did. We need a tax shelter too. The American Dream is fading.

Use your tax-free account: https://www.amazon.com/Tax-FREE-Retirement-code-lifetime-income/dp/1475206976

How much is $20 worth in retirement?

It is hard to visualize how quickly your money can grow when you invest in the stock market using a low-cost index fund. In a simple stock index fund like Vanguard’s 500 Index, your 401k contribution of $20 per week can grow to $400,000 by the time you need it. In 500 businesses, your $20 a week produces dividends and increases in value over time. You don’t see it in the first year but it is clear in this chart, which can be translated into a picture of what you will have in the future. When you receive a 401k company match, you can double your money for FREE. When you allow a person, be it an advisor/broker/agent to take 2% in fees and market timing, you give up about HALF what you could have had. That is because the average investor using a managed account earns just 3.79% over time instead of the S&P 500 index 11%. Using a low-cost index fund with no income taxes, you can count on more for later even when you can’t see it.

Use the Buffett strategy: https://www.amazon.com/Warren-Buffetts-Vanguard-Funds-Retirement/dp/1496148592

Why doctors prescribe higher-cost drugs than equivalents

Over half of all US doctors get money from pharma each year. Is it any wonder that we have a drug addiction problem in America? Drug makers and medical device makers are still spending between $2.1 billion and $2.2 billion a year to woo doctors into prescribing and using their products, according to a new investigation by ProPublica. Between 2014 and 2018, more than 600,000 of the approximately 1.1 million doctors in the US received at least one payment from industry in any given year. Thanks to ObamaCare, we know the payments were for things including speaking fees, consulting, meals, gifts, travel, and royalties. While thousands of doctors have made $100,000 or more, more than 2,500 received $500,000 or more in the five-year period—and those payments do not include royalties. More than 700 received at least $1 million. Our doctor may make more as a drug pusher than as a healer. Is it any wonder millions have become addicts?

Check out your doc: https://openpaymentsdata.cms.gov/

Why we need one size fits all health care coverage

People are so confused about the costs covered by their health insurance that they're avoiding medical treatment. Polygenius survey found that 27% of respondents avoided medical care or treatment because they were unsure of what their insurance covered. The annual survey found that more than 85% of respondents didn't know the basic benefits that health insurance plans must cover under the Affordable Care Act, up from 80% in 2018 and 78% in 2017. "The survey data suggest the reason people avoid care is because they don't fully understand their insurance coverage and would rather avoid a surprise bill.” For example: my provider ‘group’ sent me a bill for part of my colonoscopy. I sent them a copy of the ACA regs since I fought a bill last time and didn’t pay a dime. Didn’t matter, they put the bill to their collectors. I finally wrote the CEO of my insurer asking him to fix it. His office called and I gave them the number of the provider ‘group’ billing located in another state. They got through and Karen of ‘group’ admitted I was right and she would cancel the collection. Most people are NOT in the business and don’t know about free screening tests: that is what the ‘professional groups’ are counting on to take more money from us. Last time, a surprise bill from a guy I never interviewed for my test sent me a bill. I just sent it back and he gave up. The ‘group’ never heard of him either. Scammers know Trump will not defend ACA so they know they will not be caught/jailed

Know what you’re buying: https://www.amazon.com/Health-Insurance-ONLY-right-policy/dp/1480125083

Is an ‘online installment loan’ right for you?

Remember the bad headlines for the ‘payday lending’ industry? Many alternative credit providers soon began generating the bulk of their revenue from installment rather than payday loans. Yet the shift came with a major consequence for borrowers. By changing how customers repaid their debts, subprime lenders were able to partly circumvent growing regulatory efforts intended to prevent families from falling into debt traps built on exorbitant fees and endless renewals. Instead, families in need can borrow more than $2500 for longer periods up to 60 months. Of course, once trapped, families pay rates between 34% and 155%. Payday lenders are now better off with larger balances and more revenue than ever before the regs. Lenders pray on those hit by medical bills or a job loss. The surging popularity of online installment loans, combined with a growing ability to tap into big data to better screen customers, has helped boost the fortunes of many subprime lenders. The Trump administration’s decision earlier this year to delay and potentially weaken planned restrictions on payday lending that were announced in 2016 has also bolstered the industry’s outlook. Trump loves debt—he never pays his.

Avoid the Trump debt trap: https://www.amazon.com/Trump-Tax-Shelter-Avoid-taxes/dp/1985448300

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Trump to shut govt to shut impeachment process: No hearing hall; no impeachment!

US president using high-level diplomacy to advance his personal political interests.