Friday, June 2, 2023

Wealthy avoid taxes passing on property: we pay their taxes

 

Wealthy avoid taxes passing on property: we pay their taxes

The annual gift tax exclusion allows them to give up to a certain amount of money or property to another person without incurring gift tax. This reduces the overall value of their estate and can lower the tax burden on their heirs. They can sell their property to buy a new one without paying capital gains taxes. This 1035 deferment allows investors to reinvest their sale profits, including capital gains, into a better-performing property. This means that they can defer taxes for decades by continually exchanging properties. A trust is a legal entity that manages assets for the benefit of one or more individuals, called beneficiaries. Trusts can be structured in various ways to minimize the tax liability of their beneficiaries and maximize the assets they receive. Here are common ones the wealthy use: Grantor retained annuity trusts, Dynasty trusts, Generation-skipping trusts, Family limited partnerships, Life insurance, etc. Each state has its own regs so only work with an experienced estate planner. You can avoid their taxes in retirement: https://www.amazon.com/Create-Your-Tax-FREE-Financial-System/dp/1466367466




 

You don’t need to be brilliant to beat Wall Street managers

You only need to follow the trends of the economy. For instance, Vanguard Consumer Discretionary Index Fund Admiral Shares provide over 10% annual returns. Vanguard Growth and Income Fund Investor Shares provide over 10% annual returns. Vanguard Growth Index Fund Admiral Shares provide over 10% annual returns. Vanguard Health Care Fund Admiral Shares provide over 10% annual returns. Vanguard Information Technology Index Fund Admiral Shares provide over 10% annual returns. Vanguard Tax-Managed Capital Appreciation Fund Admiral Shares provide over 10% annual returns. Vanguard Total Stock Market Index Fund Admiral Shares provide over 10% annual returns. Vanguard U.S. Growth Fund Investor Shares provide over 10% annual returns. Finally, if you only picked one fund, use the Vanguard 500 Index Fund Admiral Shares. It provides over 10% annual returns. All these funds provide returns that beat most Wall Street high-cost managers over the last 10 years. And because you have a diversified low-cost portfolio, you do not need to fear a one stock collapse.

https://www.amazon.com/You-Beat-Wall-Street-professionals/dp/1986031373

 

Last minute Graduation gift

Your kids need the easy way to invest—over time. Using small amounts, contributed over time, will provide your child with a great retirement fund. Using a low-cost market index fund, they can compound a $1/2 million nest egg. 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 about $150,000 instead of a Wealth Reserve of $877,233 about 33 years later. I have used this 'Wealth Reserve' as I call it to have funds to buy low-cost insurance, to help buy two homes and 5 cars with higher down payments or cash, and now to receive $2,900 a month in retirement supplement. Now your child can build an account that provides tax-FREE education and retirement income too. The stock market provides about 11% a year over time: double your money every 7-9 years. Only the buy and hold strategy works; market timing pays the advisor/broker’s fees.

Time is on their side: https://www.amazon.com/Give-your-child-leg-up-manage/dp/1096505355

 

6 Unsafe Investments for Retirees

Municipal bonds offer two potential tax advantages: The interest you earn is free of federal income taxes. Also the interest may be free of state and local taxes. Too many bonds can trigger extra taxes. Peer-to-peer lending may cost you since the borrower may default. Annuities are sold as a way to save money in retirement but the fees, charges and rules can ruin your potential for earnings more than a simple CD. Purchasing Treasury inflation-protected securities has become more attractive than ever before. The core rate they pay typically is lower than that of other bonds, the inflation adjustment is measly when prices don’t rise, and TIPS can lose money if we have deflation. Rental real estate: purchase a rental home or just rent out your basement, you can turn any property into an investment that will provide income for years to come. However, a property with large maintenance expenses can knock you out. Plus, life as a landlord isn’t pleasant. A RE mutual fund is better. Claiming Social Security later (up to age 70), can significantly increase your benefit. Social Security benefits generally receive an inflation adjustment each year. I claimed early and my wife loved working past age 70 so now she receives $3,495 vs my 1,691. Over 20 years the difference is remarkable: $69,900 vs $33,820; and that is before the inflation adjustment annually!

Take Buffett’s advice for retirees: https://www.amazon.com/Warren-Buffetts-Vanguard-Funds-Retirement/dp/1496148592

 

Joint accounts help couples stay together: shared goals beat sex

In working with investors over the years, I am impressed with this fact: shared goals/accounts keep couples together. Goals for children, major money purchases, vacations, business interests, larger family relations, and retirement that are shared for the long-haul seem to help two people stay together. Joint checking, savings, and investor accounts are key to reaching all these goals. There may be separate accounts like IRAs, 401ks, investment and savings accounts, but the bottom line seems to be sharing every-day money matters makes it clear: the how, what and where of being successful at accomplishing our common futures is actual. Whether we put our full pay-checks, earnings and rewards into one checking, savings and investment accounts seems to keep couples from harboring wants and needs that are not expressed. Where our money is kept reveals our ultimate concerns. Some folks have separate ‘mad’ or secret money storage to engage in ‘unpopular’ activities. However, the intent of sharing with our loved-one is made apparent by sharing most of our money together. There is less mistrust and more openness for couples with this ‘one account’ strategy. For them, joint decisions are reflected in where the money to accomplish them is kept.

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

 

Are “Personalized Portfolios” right for you?

Is this just broker/advisor hype? Most people don’t have a clue about what they want their portfolios to look like. They seek an advisor to help them. If they wanted a “personalized portfolio” they would make one at a robo or directly buy mutual funds or individual stocks/bonds themselves. Most would NOT say: make us a portfolio that reflects our unique personalities and lifestyle. Few know what that would look like. The most important question to answer is how much risk/reward you can stand. As retirees we diversify as per Buffett using the low-cost market index (9.66% year to date) and balanced funds (7.48% ) Most people under age 40 should be in 100% stocks since that provides your best chance of investment success. Later you can slowly move to more sedate returns. Folks get in trouble when they tell their advisor to invest “so I don’t lose money” or allowing an advisor to pick their “best idea of the day.” Advisors that offer a “personalized portfolio” are asking you to let them use their firm’s most expensive strategy. Remember the Fidelity study: best account outcomes were those NOT bought and sold—ever. “Do Nothing” portfolios show success but are boring.

https://www.amazon.com/MasterClass-Buffetts-SIMPLE-Strategy/dp/1983485268

 

 

 

 

?**********ACCOUNTABILITY**************?

 

 

Like 1776, this period is a test of democracyWe 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

 

 

Jan 21 2010 Corpor­a­tions’ election-spending unlim­ited

Billionaires paid $881 million for votes in 2022 midterm elections

 

Nov 2020 Wealthy discredit election process

 

Nov 21 2020 Trump’s Plans for a Coup: criminal

 

Nov 21 2020: Trump plan: US Marshals seize voting machines

 

Jan 6 2021 Direct govt overthrow 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 limitJ6 comm threat

 

January 6, 2021A 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

 

Nov 8 2022 Trump’s “national revolution” failed

 

Nov 15 2022 Trump announces for 2024 to avoid lawsuits

 

Dec 3 2022 Trump: cancel Constitution rules so ‘I win

 

Mar 11 2023 Pence straddles his place in history

 

Mar 31 2023 Trump indicted misusing election money

 

Apr 7 2023 One GOP guy decided which drugs we can use

 

Apr 9 Illustrated Anne Frank book removed by Florida school

 

Apr 21 Trump: “I am your justice

 

 

 

Jan 2025 Dictator pardons himself: his Supremes agree

 

 

How Govt wastes our money:

Social Security, Vets, vendors can’t sue Treasury for not making payments on time!

Washington game-playing for fake crisis gets Americans NOTHING

Let’s make a deal: game not over yet: GOP leverage cuts benefits for poor, hungry, sick

Rich avoid taxes to increase their wealth: we have no choice but to pay their debt

 

NASA's SLS rocket $6 billion over budget, six years behind: $93 billion by 2025

Selling your tax biz tax credits: you get cash; buyers get reduced taxes

 

SCAMS/SPINS:

Drs settle federal charges including fraud, bribery and patient harm with money to keep practice

Massive’ Tesla leak reveals data breaches, thousands of hidden safety complaints

Recall 176,000 Ford Bronco SUVs: seat belt problem

Amazon's Ring doorbell used to spy on customers: police use videos

 

OneMain Financial caught failed pay refunds on cancelled purchases: $20 million interest refunds

 

Fox News: America “needs a dictator.” NY GOP: “We want total war.”

GOP to release the terrorists who tried to overthrow our gov: “aggressive in issuing pardons.”

Terrorists grab donations online to profit from coup: Gov tries to stop profit from violence

FL school board member: “I’m not afraid to use the word fascism, because I’m watching it."

 

Non-churchgoing Evangelicals now rule the GOP.

 

Putin to arrest Lindsey Graham: let’s do a prisoner swap—Putin for Graham—fair trade!

 

16,000 children have been kidnapped from Ukraine by Putin: war crime!

Don’t store money in Venmo, Cash App or PayPal

 

NM grandma 98 shot trying to help another shooting victim: 3 dead by teen’s assault-style rifle

Biker kills 3 bikers 5 injured in NM rally: picture sets off 28,000 gangbangers

9 people shot after confrontation near beach in Hollywood, Florida

Sacklers (Purdue Pharma) Shielded From 106,699 Opioid overdose Liability: Appeals Court

 

SC Senator Davis: the state has a “right to precedence over a woman’s body

 

Hacker: “you have won gmail billionth search, click to claim prize” but you lose your ID.

 

Money to “reduce global warming” goes to private profit deals: wealthy nations fake it

 

Jobs

25 of the Fastest-Growing Jobs Today: salary and requirements

17 Companies Offering Sign-On Bonuses

most-important-skills-employers-want

 

Airplane mechanics needed desperately

 

Who owns your account now?

State Farm will no longer accept new applications for property insurance in California.

We owe $1 trillion on credit cards: average interest rate is 24%, the highest in decades

We are giving up our future (retirement funds): 401k accounts are inflation buffers

 

Vigilant Wealth Management to Hightower

You qualify as an ‘accredited investor’ if you have competency through an exam

VW bus of the 60s shape is back: but electric

 

Miracles:

Generate electricity from air: humid air passes thru 2 materials releasing energy

Test in mice: trigger a long-lasting anti-cancer immune response for many cancers

Best fish for your health: your top ten for protein

 

Our country is sinking. Here are some of the fastest areas: NO, Houston, NYC, Norfolk,

Plastics Recycling Is Far Worse Than We Thought

Notre Dame spire rising after years of work by experts

 

 

 

 

 

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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

Energy into matter: scientists converted light energy directly into matter in one step

In place of atomic lattice, light waves used to create an optical lattice with same geometry

Physics Nobel Prize: “entanglement” 2 particles share info instantly at a distance

Quantum mechanics violates local realism: two objects behave as single system at 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

Strange state of physics that allows energy to flow frictionlessly through a material

Bending light from extreme gravity reveals largest black hole so far

Curved SpaceTime: heavy masses and simultaneously quantum effects become visible

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: created our time.

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 electron itself.

Scientists build 'baby' wormhole as sci-fi moves closer to fact: inside quantum computer

starts-with-a-bang/universe-expansion-not-accelerating/

 

 

 

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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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