Investing is about compound interest not stock picking
Many of my readers never made more than $100,000 a year yet have grown their nest egg to over $1,000,000. It starts with a goal and commitment to invest $250 a month or $8.33 a day. Investing is about keeping the commitment to yourself and your family. “Staying the course” was what Vanguard’s founder, John Bogle used to say when he gave advice. For the most part, that is what his investors have done during the downdraft of 2022. In your index account, your first 5-year total may be $19,500. Your 10-year total return is about $51,600: 15-year total $104,400; 20-year total $191,400; 25-year total $334,400; 30-year total $569,800; 35-year total $957,000; and 36-year total $1,060,400. It is all about compounding from $250 a month over 36 years. You paid $108,000 total over 36 years and compounded $250 a month to over $1 million. Low-cost index funds earn over 10% a year on average. Of course the value of $1 million is eroded by inflation over time but would you rather have $1,060,400 or $108,000? And you could spend it all without Fed or state income tax using your tax-FREE account.
All it takes is TIME: https://www.amazon.com/Your-Tax-Haven-Tax-FREE-Americans/dp/1482659441
What does Charlie Munger (Warren Buffett’s colleague) say?
What does Charlie Munger say about paid investment
management? “How many managers are going to beat the indexes? All costs
considered, I would say maybe 5% could consistently meet the averages. Everybody
else is living in the state
of extreme denial. They’re used to charging big fees and so forth for
stuff that isn’t doing their clients any good. It’s a deep moral
depravity. If some widow comes to you with $500,000 and you charge her
1 point [.01%] a year for, and you could put her in the indexes, but you need
the 1 point. And so people just charge somewhat a considerable fee for worthless
advice. And the whole profession is full of that kind of denial. It’s
everywhere.” In Munger’s company 401k, only index funds are offered since
participants keep the 1-2% usually taken from their returns. Participants keep
all their money’s returns. They avoid giving
up to 63% of their returns to
‘professionals’.
https://www.amazon.com/You-Beat-Wall-Street-professionals/dp/1986031373
Portfolio positioning for the long haul (10+ years)
Readers who have built up their “balanced” portfolio using mutual fund account with 60/40 bonds/stocks have given themselves an edge in this uncertain time. Many who have been moving money to their Vanguard Wellesley Income Fund will find that any recovery in the bond and stock markets will help them continue their periodic RMDs through retirement. This fund has provided 5.8% average annual returns over 10 years. It has produced a negative 1-year return of 4.6%. Its average return has been over 9% per year since 1970. This should easily sustain an annual RMD over time to provide a comfortable retirement income without the life-long excessive annuity costs.
https://www.amazon.com/Not-Buy-That-Annuity-Guaranteed/dp/1466494573
Is long-term care insurance right for YOU?
7.7% Increase in
Long-Term Care Benefits Payouts
The number of claimants increased 2.7%, to 345,000, and the average amount of benefits per claimant increased 4.9%, to about $38,400. LTCI growth slowed around 2000, when insurers started to realize that claims would be much higher than expected. Insurers forgot people are living longer and interest rates would not continue at 6-8% after the 1980s. This means that new policies are higher in cost with fewer benefits. A LTCI policy will no longer cover most of your needs. Spending more for a contract now may hinder your ability to come up with your out of pocket expenses later. You may be better off finding a fee-only financial planner (not LTCI salesperson) to help you decide how much to spend on LTCI vs making sure you and your spouse have a better plan. Some readers have decided to spend down their assets so they qualify for nursing home care from Medicaid. Others have chosen to cover the possible costs of part-time help with ADLs or housing alterations.
https://www.amazon.com/Long-term-Care-Insurance-Updated-2013/dp/148274001X
?**********ACCOUNTABILITY**************?
Like 1776, this
period is a test
of democracy—We
rejected an "American
fascist" once
The
Path to Dictatorship: 2010-2030
Parallels of this era in the past
may hint at our future: democracy breaks apart legally
Billionaires
paid $881 million for votes in 2022
midterm elections
Nov 2020 Wealthy
discredit election process
Jan
6 2021 Direct
assault failed: guns
& bombs ready
Trump
engaged in a "criminal
conspiracy" to stop Biden
“I
don’t f—ing care that they have weapons”
Trump was “detached
from reality”
Trump
used mafia-style intimidation on the defenseless
Trump still terrorizing
election woman
Parscale: “a
sitting president asking for civil war.”
Trump:
“Just
say the election was corrupt and leave the rest to me”
GOP fascism: “RINO
hunt armed; no bagging limit” J6
comm threat
January
6, 2021 “A
date which will live in infamy”
Trump’s Supremes END
personal rights & state
laws except for weapons
WMDs
Fascism: GOP
to stop women leaving state for abortion
It’s
not a court. It’s a junta: Two Americas
Trump: President
Biden is 'enemy of the state'
Christian
Nationalist Party (CNP) replaces
GOP
Jan 2025 Dictator
pardons himself: his Supremes agree
How Govt wastes our money:
US
wastes $400,000 on missile to shoot down $12 -$150 party/scientific balloon
Trump
cut train traffic safety rules Feb 2018 that may have led to OH accident
OH train crew and
observers knew
they had a problem before the crash: new rules?
SCAMS/SPINS:
Putin suspending participation in START nuclear
arms control treaty: ready for WWIII?
How image
makers trick us about people with a bad rap so they can rule
Children
used by meat cutting machines firm to clean sharp-edge blades: fine no
jail
Fox lied: Elites
giving conspirators what they want to hear: Tucker
agrees
SCAM: fraudulent
emails purporting to be from FINRA Financial Industry Regulatory Authority
Nikki: competency
for >75 yr politician+ Gaetz,
Santos, Boebert, Greene, Omar,
Sanders, Manchin
Southern
Baptist Convention defrocks largest congregation because they chose women pastor
Which
profession do you think has the MOST dishonest people: Politicians
TurboTax
tricked us into paying for filing after promising ‘free’: fine, no jail
GoodRx caught
selling private medical info to medical vendors: fine, no jail
Fake
Disney Plus Emails That Steal Your Bank Information
Teacher fired in FL after posting vid
of empty library/classroom bookshelves
Lies that Romance scammers tell to trick
you when you are desperate
Is
banning books the way to a better future?: Hitler thought so and made a
media event
GOP in ID: criminalize
vaccines for RSV, cancers, HIV, flu, Nipah, cystic fibrosis, etc
SNAP ends
for millions with less aid when inflation rates remain high: ext. ends
benefits
Fees fees fees: out of
control fees for everything: Congress is paid by the companies
Big pharma discriminates: Walmart
offers insulin for up to 75% off commercial price
7
Big Social Security Claiming Mistakes Couples Make
SuperBowl
commercials together
Walkers! Benz
has camera in dash to film videos to post karaoke sessions on TikTok.
Jobs
Some states will pay you to work/move to their places.
Fidelity Investments plans to fill 4,000 positions in the first half of 2023
The myth
that layoffs save companies money: window-dressing for bad management
Tips for a Successful
Modern Job Search
Number of major worker strikes rose in two
decades in 2022: education, health services
employment rate for Americans with disabilities hit a
new record last year
Who owns your account now?
Housing
Affordability Just Hit a Record Low
Mortgage
fee cut expected to save homebuyers, owners an average of $800 per year
80% of us aged 18-41
get financial
advice from social media: everyone’s an expert
Forms
required to file taxes: you or preparer need these plus last year’s taxes
to finish
Miracles:
ChatGPT solution
for lonely, singles, seniors, conversational therapy?
Some
Venice canals dry up: low tides, climate change
Miracles of
Miracles: Face
Development in the Womb
@
Our Universe is Mind-Blowing
Light is both
a particle and a wave depending on how we look at the light.
I
don’t think that there is any such thing as a position or a velocity of a
particle.
Everything (galaxies
to stones) in universe made of subatomic
energy ‘vibrations’
A subatomic ‘particle’
is the smallest possible vibration (quantum) of a quantum field.
Mass–energy equivalence:
E=mc^2. At the smallest level;
Everything is moving a little
Energy into matter: scientists
converted light energy directly into matter in one step
Physics Nobel Prize:
“entanglement” 2
particles share info instantly at a distance
“It may be that gravity and quantum mechanics are
exactly the same thing,” Leonard Susskind
Gravity
might induce the collapse of quantum vibrations into 1 quantum state—our
world
There is no TIME at this
level because of force fields come and go in all directions.
Universe expanding: events
may not come together like they did before.
Inside protons,
neutrons, it
is the fields of the virtual particles that creates its mass.
Gold
made from neutron stars: collisions produce more neutrons:79 protons,118
neutrons
The proton
is so complicated science still finds new energy entities/forces every
year.
“Empty space is a
boiling, bubbling brew of virtual
particles that pop in and out of existence in a time scale so short that you
can’t even measure them.” Space expanding.
The electricity we use comes
from the field around the wire not from election itself.
Scientists
build 'baby' wormhole as sci-fi moves closer to fact: inside quantum
computer
starts-with-a-bang/universe-expansion-not-accelerating/
@
We can apply for
Medicare online: https://blog.ssa.gov/apply-for-medicare-online
We can apply for Social Security
online: https://www.ssa.gov/benefits/retirement/
We can apply for
health care online: https://www.healthcare.gov/
IAN
973.746.2014
http://www.theinsidersguides.com/
Alerts available
at http://dankeppel.blogspot.com/
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