Combat inflation: save $3,000 a year on financials you use
A positive way to fight inflation is to stop wasting $3,000 or more on fees, commissions, and charges for overpriced financial products and services. One of the greatest amounts we waste is paying someone to manage our investments. We can lose 63% of our earnings to Wall Street. It is a fact that no manager has been able to beat the market returns (11%) over time. Most of us don’t realize that the other areas of wasted income are in recurring charges. If we pay the minimum interest on our $10,050 average credit card debt, it actually costs us over $56,000 over time for that $10,050. If the minimum payment is $160 a month, we pay $25,080 over time at 25% interest. Plus, because we are wasting $160 a month for the debt, we are giving up about $37,000 in investment earnings during those 10 years. If we are overpaying $300 for insurance (auto home life etc) every year, we are wasting at least $216,974 over time. Using an annuity to create a stream of income payments in return for a lump sum costs 12-15% of our hard-earned nest egg. There are many more ways to stop throwing money away.
https://www.amazon.com/Tricks-Trade-Mutual-Insurance-Annuities/dp/1535497289/
What is your spending plan now?
With inflation running 8.6%, gasoline over $5 and rents up 15-20%, we need to rely on our spending plan more than ever. For those of us who are on a fixed income or cannot find a higher-paying job just now, rising prices will gut our budget this year. Some of us have already cut out the cable sports and streaming packages, the regular monthly outing, and our annual vacation trip. We have delayed all major purchases even though we need a new fence and roof. We are looking at our regular food buying list for stuff we can do without. We now pay attention to sales. We were shocked to read that our Social Security benefits will be cut 2034. However, one Senator has introduced a bill to shore up the SS Trust Fund for our future. The Social Security 2100 bill, which applies the payroll tax to earnings above $400,000, could be debated soon. I did not know that those who earn over $147,000 pay nothing to SS Trust on their higher earnings. The wealthy that live on dividends and capital gains pay nothing on those either. Even small business owners get a big break on taxes. We need to plan how to divert our current spending back into investing in case the do-nothing Congress decides to cut, not raise taxes.
https://www.amazon.com/Your-Spending-Plan-insurance-investments/dp/1482723123
Help your child, grandchild get started on a $1 million fund
They will need a million dollars since inflation can reduce
the buying power by 50% in just 20 years. Since common stocks have the best
history of keeping ahead of inflation, a broad portfolio has the best chance of
delivering steady returns. Since 1871 a basket of stocks (dividends reinvested)
has provided 11% returns.
Ordinary
inflation is 3% not 8.6%, so right now stocks are cheap. If you show your
family that an 11% long-term return can turn $250 a month into $1,000,000 in about
34 years, they will not be try to beat the market with fast trades through a $0
commission broker. Show them the math: $250
per month for 34 years costs $102,000 in contributions. They earn $898,000
in dividends and capital gains. If they use their special IRS tax-FREE account,
they avoid about $225,000 in taxes when they take their money out to live on. Remind
them that Warren Buffett
bet a million dollars on a low-cost market index fund to beat 5 super stock
pickers. Buffett recommends you use the Vanguard
500 Index Fund. Why? You can give
up 63% of your returns when you use a broker. And if they trade to beat the
market they may end up with the historical
broker account average of 3.79% not 11% a year. That’s $208,865 instead of $1,021,768
after 34 years.
https://www.amazon.com/Give-your-child-leg-up-manage/dp/1096505355
Panic selling is NOT a strategy to deal with market drops
Warren Buffett is famous for advising NOT to sell when
others panic: be “fearful when others are greedy, and greedy when others
are fearful.” His advice is buy when others sell. That assumes we have
extra cash to buy. If we don’t then we should hold on to what we have. Selling
usually means taking a loss since the average price of an S&P 500 stock is now
down 21%. Most investors miss the big gains in the market while trying to jump
out and in at the right time. It is hard to be right twice. Looking back
over the 20-year period from
Trust Buffett: https://www.amazon.com/Warren-Buffett-Your-Investment-Advisor/dp/1518690963
Retirement income: buy annuity or create future stream of payments?
When you are ready to receive income from your nest egg instead of buying more eggs, consider the options to replace a paycheck. First, calculate how much you will need to distribute from your tax-deferred accounts to meet IRS regulations. For new retirees, you must begin paying tax on your retirement dollars by April after age 72. For most of us this means taking about 4% from the previous year’s balance of all our IRA, 401k, pensions, etc. Since most us must pay income tax on this amount recalculated each year, this provides the base income for our year. Add Social Security benefits to realize most people’s annual income. These amounts usually fulfill your minimum expense requirements. If you have significant other funds, you can create monthly income by giving a lump sum to an insurer. You can insure this fixed stream of money for life by paying an extra fee. For an additional fee, you can have the amount increased to match inflation’s effect on purchasing power. Under historical inflation of 3%, the annuity amount will buy about HALF the goods in about 20 years. With an annuity, you cannot cancel if you need your lump sum back. A better way to overcome inflation is to invest that lump sum in a balanced portfolio and have your mutual fund firm set up an automatic withdrawal amount to your bank. Over time your portfolio may earn an average of 11% beating inflation’s cut in purchasing power for the rest of your life.
Avoid insurer’s fees: https://www.amazon.com/Best-Annuity-Strategy-Income-Growth/dp/1497532019
?**********ACCOUNTABILITY**************?
Like 1776, this
period is a test
of democracy—We
rejected an "American
fascist" once
The
Path to Dictatorship: 2010-2030
Nov 2020 Wealthy
discredit election process
Jan
6 2021 Direct
assault failed: guns
& bombs ready
Trump engaged in a "criminal
conspiracy" to stop Dems
Trump had become “detached
from reality”
Trump’s Supremes end personal
rights except for weapons
WMDs
How Govt wastes our money:
Make
sure coup instigators don’t try overthrow in 2024: dictator
back
NM County's GOP
commission refused to certify results of its primary: preview 2024
Coup-enablers GOP lawmakers
sought
presidential pardons for part in conspiracy.
Al Schmidt Philly
vote count manager
and family threatened by Trumpists
Trump lawyers broke
law: Giuliani,
Meadows,
Gableman,
Eastman,
Project
65
Biden-Garland-committee
gives
Trump ‘Free Pass on crimes’: Pence
not hanged by him
Special prosecutor:
special crimes: treason,
conspiracy
to overthrow, anti-Constitution
GOP
in position to block ’24 election certifications, change rules,
litigate nullification
Gun “deal” does
nothing about guns: Congress
allows war weapons to kill kids
Gun
background check liars not prosecuted: ATF not vigilant
Some
states loosening gun regs after massacres: more guns w/o permit, training
OH
machine gun solution: let
teachers, not police, kill terrorists: 30 rnds in 30 sec
Biden: Big oil huge
profits by creating
shortage, charging more hurts Americans
We
paid coal, oil, and natural gas firms $5.9 TRILLION in subsidies in 2020:
enough?
Interest
rates up cuts demand for home + new stuff; less demand, price falls, goods
sit
SCAMS/SPINS:
Trump guilty: death
threats against VP: ‘Pence
“deserved” to be hanged’
Trump had a ‘seven-part
plan’ to stop Biden government: 2024
plan
Former prosecutor: Trump
guilty of treason by calling for attack on Congress
Trump
raised $250 millions on voter fraud but spent on personal choices: illegal
Trump had become “detached
from reality” insane? B Barr, former Trump lawyer.
Schwab caught
false/misleading statements about the cash in robo-advisor fine millions
Western International caught
selling illiquid bonds, improper for clients: fine
Christopher Burns GA caught
Ponzi scheme promissory notes $12 million AWOL
Patrick Churchville RI caught
Ponzi scheme high return fund $33 million 7yr jail
Southern Baptist caught
hiding pastors/leaders accused of sex abuse: none go to trial
GEICO caught liable
for car sex STD transmission: $5.2 million for ‘negligence’
Prevagen: caught
false claims FDA: real
science says 5 ways to stay “sharp”
Health care sharing ministry is not insurance: fake
misleading sellers look real garbage
Golf greens caught
wasting water in CA regions where no water: no fines
Teslas
crash by themselves: you don’t need to drive: Autopilot shuts down before impact
Senior Citizens League estimates the Social Security cost-of-living
adjustment: 8.6%
US
tech firms supplying chips for Putin’s war on
US
is oil exporter: we don’t need Putin oil: companies raised prices to double
profits
Bitcoin
plunges below $23,000 as the crypto meltdown continues
Cruz
trying to avoid indictment blames failed coup on FBI: Ray Epps off list for
rioting
Terrorists arrested in
Jobs
Best
time to look for another job: poll
Teachers
to lose jobs in some states teaching about national holiday Juneteenth
Who owns your account now?
Revlon going bankrupt: debt, competition:
Consumer Reports 2022 Kia Niro Electric as the best electric car they’ve tested so far.
Discover’s “Online Privacy Protection” helps remove personal info from 10 websites
Inflation hedge: credit
cards give bonus $200 to start: Citi,
Bank
WOW: Fed raised rates .75% but my credit card is already at 36%: better to use mafia
Miracles:
For RV: portable nuclear reactor ready by 2024: 1-5 MWe: “low environmental risk”
Dems outlive GOP: more
liberal policies, laws, regulations associated better health outcomes
New therapy success leads to tailor immunotherapy drugs to attack specific tumors
Push
button diabetes implant may help control therapy in body
Baseball:
family sport or elite outing?: tickets $622 -12,000
Electric
vehicles charge in mere minutes: not ready for prime time
Teen form groups to
help teens deal with sex after
states ban sex talk from classrooms
@
Everything in
universe: galaxies to stones made of subatomic
energy ‘vibrations’
Light is both
a particle and a wave depending on how we look at the light.
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!
Inside protons,
neutrons, it
is the fields of the virtual particles that creates its mass.
“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.
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
www.InsuranceAdvisorsNetwork.com
Alerts available
at http://dankeppel.blogspot.com/
No comments:
Post a Comment