Washington 'asks' Wall Street to stop ripping us off

Regulators tell Wall Street to stop “depleting our retirement savings.”

Advisers can keep their "conflicted" commissions, but it's time to stop harming clients by depleting their retirement savings, says the chairman of the Labor Department's hearings on its proposed fiduciary rule. "We are absolutely not banning commissions," he says, a day after the hearings concluded. "We just want everyone who is working on retirement accounts to be acting as fiduciaries." Fiduciaries are legally bound to put their clients' best interests before their own when providing financial advice.

   Earn 11% not 3.69% under advisor: http://www.amazon.com/Earn-11-NOT 3-On-Investments/dp/1502412187

Citi may owe you money for misleading you—no one goes to jail

Citi mislead you about a ASTA/MAT fund and the Falcon fund by claiming they were “safe,” “low-risk” and “suitable” for traditional bond investors.

Brokers/advisors should never use the words “safe” “low-risk” or “suitable” without written proof from the owners of the firm/bank/fund. Avoid the Pimps!

http://www.amazon.com/The-Pimps-Wall-Street-middlemen/dp/151525254X

Can regulators control former bosses?

The Federal Reserve Bank of Dallas has named Robert Steven Kaplan, a former Goldman Sachs executive as president.

This is a revolving door—lunch with your old buddies at our expense?

Farmers kill 500,000 cows so they can raise milk prices?

Most of the food we eat is produced and controlled by just 4 “farmers.” By a 1922 law, they can band together to market products and demand “fair” prices. Agribusiness has purchased most farmland and receives $956 Billion in subsidies (our taxes) to grow or not grow depending on “incentives.” These gifts are from our “representatives” who receive cash to continue the myth of the American farmer plowing his/her 200 acres 18 hours a day. Actually many of our “reps” receive $ millions themselves.  Sweet deal!

Plague from flees at Yellowstone

A second tourist who had been visiting California’s Yosemite National Park has been diagnosed with plague. A visitor from Georgia got tested after hearing that a camp ground had been closed to spray pesticides to kill fleas that carry plague.

What is your hospital’s rank for care you need?

Mayo tops the list for many care categories. What about yours?

How can you protect someone you are taking care of?

As a caregiver, the Office for Older Americans has put out guidelines for Managing Other People’s Money. You will learn how to protect them from scams and bad financial advice. How do you maintain communication with their family members?

Who will help you when you need it?

America’s real reality TV show: 2016 election—“you just can’t make this stuff up”

Trump to end citizenship as defined in the Constitution: citizenship granted to “all persons born or naturalized in the United States.” 14^th Amndt forbids states from denying any person "life, liberty or property, without due process of law" or to "deny to any person within its jurisdiction the equal protection of the laws.” Congress has failed to end “birthright citizenship” many times. Supremes might revive racist Dred Scott for GOP!

Boston thugs say they were inspired by Trump to beat up homeless “Hispanic.” 1938?

Is Trump a citizen? Friedrich Drumpf emigrated from Germany.

Carson wants to reverse 14^th Amendment too—all people born in America to foreigners lose citizenship. Is Carson a citizen?

Rubio and Jindal were born in US to non-Americans. Cruz is Cuban born in Canada.

Guess that leaves the American Indians to reclaim their land! Ms Liberty back to Paris?

Christie pays for his campaign with PA contracts—No bid contracts to his friends

Christie deleted text messages about Bridgegate. Claimed not know what staff did.

Walker wants Congress to repeal ObamaCare again! 54 times so far; to get elected?

Kasich will close all teachers' lounges in schools across the country. De-fund schools?

GoP promises no regulations—China explosions had no regulations either.

RubioCare will reduce cost AND coverage for all but wealthy.

It’s getting hotter, despite what GOP says

July saw the highest average temperatures since record-keeping began -- globally, not just in the United States -- the National Oceanic and Atmospheric Administration reported Thursday

Is the 529 college savings plan better than credits deducted from your taxes?

If your joint income is under $160,000 you may receive a greater benefit by taking the tax credit up to $2,500 than by avoiding taxes on your 529 gains. (Tax on gain of 7% on $30,000 is only $525 in 25%-bracket.) Usually the credits are more valuable than the tax savings from a 529 distribution. Plus, 40% of the credit (up to $1,000) is refundable. When you use the 529 for any educational expense, you have to pay tax (but not penalties) on at least part of the money you withdrew from the plan in the previous tax year. Help from grandma’s 529 may hurt a child’s aid calculation in the next year.

Best plan: Obama’s proposal to skip the cost for any child going to college.  

CA valley sinking 13 inches in 1 year—infrastructure destroyed

Sucking water underground to grow crops may end growing before the usage regs slow it in 20 years in the San Joaquin Valley.

SCAMS

We are still wasting $8 million per HOUR we don’t have in Iraq/Afghan/Ukraine.

America needs to take care of American’s needs FIRST!

Rebuild America Act: a five-year plan would invest $1 trillion and create or maintain at least 13 million decent-paying jobs—Senate Budget Committee but GOP says no.

If you get a letter from the IRS, hackers may have stolen your data from IRS

“The IRS will begin mailing letters in the next few days to about 220,000 taxpayers where there were instances of possible or potential access to taxpayer information.” IRS is offering free credit monitoring services and a program that assigns them a special ID number that they must use to file their tax returns.

Edward Jones broker caught overcharging for munis—no jail time

Edward Jones has agreed to pay more than $20 million to settle SEC charges that it overpriced new issues of municipal bonds. “Because current rules do not require dealers to disclose markups on municipal bonds, investors receive very little information about their dealer’s compensation in municipal bonds.” Stina Wishman, Muni head, did not go to jail.

Steven Covey, Edwin Lichtig, and Rex Hofelter as Pension Funding, and Pension Income, caught deceiving consumers about the costs and risks of their pension advance loans. They gave lump-sum cash advances for agreeing to redirect all or part of their pension payments over a period of eight years.  NO JAIL TIME

Jacob Keith Cooper caught in fraud but no jail

Cooper, Total Wealth Management, had $90.2 million from clients and much of that money was lost. He got fees and kickbacks from the funds he was putting their money into. Regulators fined him but no jail time.

LA owes you money—overcharged for water, really?

The Los Angeles Department of Water and Power would credit or refund tens of millions of dollars to customers who were overbilled during the botched rollout of a new billing system. Not even fired supervisor.

Springstone caught! NO jail time

Springstone Financial was ordered to provide $700,000 in relief to victims of deceptive credit enrollment tactics. Many consumers who signed up for Springstone’s deferred-interest loan product at dental offices to pay for dental work were led to believe that the product was interest free. In fact, interest accrued from the date of the consumer’s purchase and was charged if the balance was not paid in full before the promotional period ended. Approximately 3,200 consumers who signed up for the product ultimately were charged and paid deferred interest.

State Farm sued for using “junkyard” parts to fix cars—no jail charge.

State Farm steered their customers to the company's preferred repair shops, which sometimes use "junkyard," "knock-off" or "after-market" parts instead of those provided by the manufacturer. The result can compromise safety, as well as aesthetics. 

IAN

41 Watchung Plaza, B242

Montclair, NJ 07042

973.746.2014

www.InsuranceAdvisorsNetwork.com

Alerts 

Advisors stealing $ millions from retirees, soldiers

Advisors stealing $ millions from retirees, especially soldiers

John Turner, an economist, suspected that brokers were encouraging federal workers to ditch their top-flight retirement plan. So he went under cover. The former U.S. Labor Department economist called representatives at companies such as Bank of America Corp., Charles Schwab Corp. and Wells Fargo & Co. He identified himself as a potential client grappling with what to do with his own nest egg. Turner knew the right answer: Leave it alone. He kept his money in the Thrift Savings Plan, considered the gold standard of 401(k)-type programs for its rock-bottom fees. Yet all but one company told him to roll over all his money into funds that charge almost 50 times more than the government plan. The fiduciary rule, meant to fix this, has been tabled by Congress.
“It’s a scandal,” said Turner. “They are trying to sell me investments clearly not in my interest. It’s in their interest. They want to get the fees.”

You can transfer your high-cost 401k into the low-cost leader: http://www.amazon.com/Vanguards-Top-Ten-mutual-funds/dp/150073909X

Obama as Stephen Colbert

Obama appeared Dec. 8 on Comedy Central’s “The Colbert Report,” where he took the place of host Stephen Colbert for a regular segment called “The Word” -- retitled “The Decree” for his appearance -- to pitch enrollment to young viewers.

“Most young people can get covered for less than $100,” Obama said, using lines purportedly meant for Colbert. “How is the president going to get that message out to the kids? He could try to appeal to them directly through a speech or a press conference, but young people don’t watch real news shows. They watch comedy shows. Watch: https://www.youtube.com/watch?v=Te6S-mL1hF4

ObamaCare to cover over 9.1 million Americans at risk

This client had ObamaCare premiums go down 2^nd year

She did not have to change her insurance plan or subsidy. Her cost for the Gold plan with Horizon NJ went down to $147.27 a month. It used to be $445 before ObamaCare. She got help from her relatives. Her employer offers nothing. She still has to pay some out of network docs she has used for years but only when she goes. She voted for Obama. She buys only what she needed to cover her medical necessities: http://www.amazon.com/Health-Insurance-ONLY-right-policy/dp/1480125083

Can you qualify for an exemption from ObamaCare penalty?

If you do not have health insurance this year, you may owe a penalty in your tax return in April. There are ways to avoid it but you must apply now. If you had coverage, just check a box. However, most time-consuming exemptions require mailing a signed paper application to the exchanges: These are processed manually, which can take a couple of weeks. Those exemptions include several hardships, such as foreclosure, the death of a family member, unpaid medical bills and eviction, as well as religious reasons for not using insurance. “Do it now because it’s a cumbersome process,” advised Mark Steber, chief tax officer at Jackson Hewitt Tax Service. Healthcare.gov has lists of where to apply for each.

Selling your home can provide Tax-FREE cash!!

Your home is your castle; but it is also an asset. When you sell an asset for more than you paid, you must pay tax on the gain—but your home sale is FREE. If you bought your home some time ago, it may have gone up by 5% or more a year. Over time, $50,000 you paid 40 years ago becomes $400,000 you receive when you sell. When you sell your home, Uncle Sam says “OK, forget the tax.” If you buy another home or retire on it, you don’t get stuck with a tax bill. In fact, you don’t even have to report it on your return. “You may be able to exclude from income any gain up to a limit of $250,000 ($500,000 on a joint return in most cases). See Excluding the Gain, later. Generally, if you can exclude all the gain, you do not need to report the sale on your tax return.” Pub 523, p 2.

Social Security benefits are NOT our earnings so Congress thinks, “entitlements”

In 2014, if you retire at age 66, the maximum amount you will receive is $2,642 a month.

If you waited to age 70 and retired in 2015, your benefit is $3,501. In order for us to have this level of income—$42,012 per year (for 25 years)—from an investment account, we would need a nest of at least $800,000. Congress does not actually invest our SS contributions from our paychecks, so they treat our benefits as if they were a “gift” they can take away—“entitlement”—when they feel like it. The new Congress is GOP so look for more limits on our benefits.

Make your own security: http://www.amazon.com/Lets-Do-The-Numbers-Retirement/dp/1502775522

Which 2015 cars are safest?

Most are foreign branded but made mostly in US. The design and capability seem to determine which is best in each type of vehicle. See list: http://www.fa-mag.com/news/top-cars-for-safety-announced-20277.html

Why do our freeways have speed limits?

Some people always exceed the speed limit. I hear about it at parties, especially during the holidays. When there is little traffic and we are late, it seems like a good thing our cars can do 85 MPH easily. However, our chance of death increases dramatically.

KS raised the limit to 75 three years ago. Fatalities and injuries are rocketing, according to the Transportation Department. Surprisingly, the overall number of crashes is flat, but highway deaths jumped 54 percent since 2012 on the seven highways where the speed limit was raised. Overall, 48 people were killed in 38 wrecks on those seven highways in the two years before the speed limit was raised in mid-2011. In the two years after the speed limit was raised, 74 people were killed in 59 wrecks. We just can’t avoid it at 85! Watch and cringe: https://www.youtube.com/watch?v=rFdx-_CbmAc

SCAM ALERT: Your tax preparer must be on the new IRS list

The IRS directory will include those professionals who have registered with the IRS and have a valid Preparer Tax Identification Number (PTIN). With the new directory, taxpayers can search and sort for tax preparers by name, city, state and zip. In addition to the usual suspects (CPAs, attorneys, Enrolled Actuaries and Enrolled Agents), the directory will also include those taxpayers with the newest designation, the Annual Filing Season Program (AFSP). The AFSP is a voluntary and temporary program which offers a recognizable record of completion for tax preparers who (similar to those required for the former Registered Tax Return Preparer (RTRP) designation); requirements for the program consist of 18 hours of continuing education, including a six hour federal tax law refresher course with test. If you preparer is not on the list, find another or do it yourself with efile FREE using the software listed at IRS.gov.

Avoid scams http://www.amazon.com/Money-Scams-2014-insurance-financial/dp/1505437962

SCAMS           Why are we still paying $700 Billion a year for WWII deployments?

We are paying for 164,253 of our active-duty armed personnel to be in 150 countries around the world. We have about 50,000 in Japan and 50,000 in Germany.

Are we preparing for WWII again? There are 1,208,083^[1] armed personnel in the United States. Our taxes pay for about HALF of the WORLD’s military expenditures every year. We have wasted $398.6 billion so far on the F-35 program—they can’t fly safely.

We just can’t afford to pay for everyone else’s defenses anymore.

Japan, Germany and S. Korea can pay for their own defenses.

The War on Terror requires SEALS’ attacks on top terrorists at their homes. Iraq proved converting a nation to Western-style republic doesn’t work.

Goldman Sachs was behind the scenes of the largest taxpayer bailout in history

It looks like all the major players in this failure of capitalism were Goldman Sachs shareholders. They stood to benefit from this windfall more than others. Sordid details and lies revealed in trial. American history at its worst.

Swiss banker gets off in tax evasion by Americans

Raoul Weil, 55, the former head of wealth management for UBS Group AG, was acquitted of conspiring to help thousands of U.S. clients use Swiss banking secrecy to evade taxes. A Florida jury let this only offshore banker go. The US has warrants for 55 others outside of the U.S. for tax evasion in 2008.

Who owns your account now?

New York Life's Retirement Plan Services to Manulife’s John Hancock division. 

IAN

41 Watchung Plaza, B242

Montclair, NJ 07042

973.746.2014

www.InsuranceAdvisorsNetwork.com

Alerts

Congress OK with TAX EVASION

Why doesn’t Congress stop corps from TAX EVASION?

One reason our Reps do nothing to change the tax laws may be that there are many companies that like paying low or ZERO TAXES now! There are 20 huge companies, including drugmaker Merck, diskmaker Seagate and automaker General Motors. They reported effective tax rates of 0% or lower despite reporting a profit. So says a USA Today analysis of data from S&P Capital IQ. They don’t need to fake an offshore address to pay 12%? They pay zero at home. Why reform our tax system. Some even get a refundable credit, just like the poor with their Earned Income Tax Credit.

Pay your fair share of tax—NOT their share TOO. You can avoid paying their tax with your IRS tax shelter: http://www.amazon.com/The-Tax-Shelter-Americans/dp/1500426520

Is $250,000 – retirement fund or child care – right for you?

To raise a child born in 2013 to the age of 18 will cost you over $245,000, according to Gov. Let Gov help you have BOTH: a retirement nest egg of $250,000 and child by using compounding of your tax refund (average $3,000) or $9 a day. Compounding converts your refunds into $500,000 tax FREE. That’s worth $250,000 in 30 years. http://www.amazon.com/Tax-Refund-Millionaires-Let-Uncle-Help/dp/149595644X

Advisors failing to attract or keep women clients

New study shows nearly 24% of advisers said some portion of their female clients who had gone through the death of their husband took their business elsewhere. Nearly 29% of the respondents said they had similar experiences with women who had gone through a divorce. Firms don’t hire women advisors. Women focus on retirement goals and perhaps they realize better than men that advisor fees directly reduce their nest egg. John Bogle, founder of Vanguard, estimated that the average worker can lose 63% of their total egg because of lifelong fees. http://www.amazon.com/Are-you-ready-retirement-worst/dp/1491002662

Is the Roth 401k right for you?

When the Roth option is available, 11% of participants contribute to a Roth, up from 9.6% in 2012 and 8.1% in 2011. Roths are favored by young men. Younger workers benefit more from the Roth option. They have time for compounding to multiply their money 5 or more times. IT IS ALL FREE of tax. By salary, workers earning between $60,000 and $79,000 had the highest Roth usage at 13.6%. In 2013, employees who made Roth contributions saved more on average than their non-Roth-using counterparts: 10.3% v. 7.7% respectively.

$3,000 a year for 30 years ($99,000) is worth about $500,000 FREE of tax using a stock index fund. http://www.amazon.com/The-Working-Millionaire-Self-insure-Self-fund/dp/1460945484

Advisors don’t give refunds and can trick anyone, even governments

In 2008, Goldman lost Libya’s gov a $1 billion and still made $350 million in fees. Goldman’s Arabic salesmen gave Libya gifts like after-shave and chocolates on shopping trips for leaders. They invested in bank stocks and currency and lost. The SEC is investigating one of the schemes as a Qaddafi kickback fund that Goldman paid off.

Time to consider alternative? Low-cost investments beat high-cost investments no matter which advisor you use: http://www.amazon.com/Pay-less-Get-more-investment/dp/1500598321

Is your advisor using the wrong retirement income strategy?

It is a mistake to move your hard-earned nest egg into bonds to avoid market volatility. Bonds are NOT safe for retirement income as advisors were taught 20 years ago. When rates go up, you will lose value—your nest egg falls 10% for each 1% move up. At least stocks beat inflation. What does Warren Buffett do so his family has enough in retirement? He says his will specifies that the executor put most of his legacy in stocks. http://www.amazon.com/Warren-Buffetts-Vanguard-Funds-Retirement/dp/1496148592

Is an international stock fund right for you?

Any successful portfolio must own some stocks of non-US companies to capture growing global enterprises like China’s search engine Baidu. With returns averaging 11% since 1981, a global fund may offset poor US returns some years. Take one of our clients’ favorites: the Vanguard International Growth Fund. This fund has expenses of only 0.48%--less than a third that of similar funds. This fund is one of their Vanguard Top Ten: http://www.amazon.com/Vanguards-Top-Ten-mutual-funds/dp/150073909X

Why we praise Wall Street convicted felons like Belfort—The Wolf of Wall Street?

We all want to be rich. Wall Street TV is giving a huge platform to the person who stole $ millions of hard-earned savings from clients of his brokerage firm 20 years ago. He is getting FREE publicity for his “motivational speaking(?)” US tour so he can earn more $ millions. And he is praised for paying his ill-gotten gains back to those he stole from. Jordan Belfort, The Wolf of Wall Street (2013) Comedy | Crime, did some time in the federal “summer camps,” and is now doing self-promotion. Why don’t we praise the bank robbers when they get out of jail? Is it class or race or just envy .

GOP crazies

A grand jury indicted Gov. Rick Perry on two felony counts, charging that he abused his power last year when he tried to pressure the district attorney here, a Democrat, to step down by threatening to cut off state financing to her office. The indictment hurts Mr. Perry’s run for Republican nominee. Perry is charged with abusing his official capacity and coercing a public servant, according to Michael McCrum, the special prosecutor assigned to the case. The long-simmering case has centered on Mr. Perry’s veto power as governor. His critics asserted that he used that power as leverage to try to get an elected official — Rosemary Lehmberg, the district attorney in Travis County — to step down after her arrest on a drunken-driving charge last year.

Christie out of NJ more than in it

NJ taxpayers are paying through the nose to keep their Gov. on the road. His admirers are living in GOP states these days. He will be in MS, ME, AL pushing for media exposure. NJ voters wish him well. They expect no more $1 million bridge whitewash reports.

GOP Gov says “my wife made me do it”

Former Virginia Gov. Bob McDonnell took the stand Wednesday in his public corruption trial and wasted no time distancing himself from his wife. The Republican told the court that the day after he won the governor’s office in 2009, while dealing with post-election phone calls, he could tell that his wife, Maureen, “wasn’t as happy as I was about the result.” She worked hard during the campaign, Bob McDonnell said, “but at the same time, I could sense some tension about her impending role as first lady.” The McDonnells are both accused of trading government favors for about $165,000 worth of gifts and loans from a supplement promoter.
 

Dem crazies

LA Officials to Consider Reward Lottery in Low Voter Turnout "Crisis"

Citywide voter turnout in last year's mayoral election was 23 percent, the city Ethics Commission says. Each vote is chance at $100,000.

Will we bring back “votes for cash?”   

Which cars are dependable?

Lexus products had the best ranking because they averaged 68 problems per 100 vehicles (PP100). Mercedes-Benz took second with an average of 104 PP100, and Cadillac was third with 107 PP100. General Motors, Toyota and Honda had the most category winners. The study asked 41,000 original owners of 2011 model-year vehicles after three years of ownership. Millionaires buy used luxury—2011 Lexus costs about $21,000 in NJ. Least dependable vehicles are new or poorly designed: http://www.consumerreports.org/cro/news/2012/10/the-10-least-reliable-cars/index.htm

State Farm repairs are dangerous

"State Farm has created a culture of unsafe business practices in which consumer vehicle repairs are performed with cost-savings as the primary goal, rather than safety and reliability," Caldwell said a press conference announcing the lawsuit filed in 19^th Judicial District Court in Baton Rouge. Louisiana is the first state to file such a lawsuit but "it's a national problem," Caldwell said, and he expects other states to file similar lawsuits. He said using "after-market or junkyard parts" is dangerous because they often don't fit right or are damaged, so a second collision could result in major injuries to vehicle occupants.

Time to shop for new insurer: http://www.amazon.com/Vehicle-Insurance-Beware-Double-Coverage/dp/1480027634

Will your vehicle be stolen? Honda 5 times more likely than Toyota

For 2013, the most stolen vehicles in the nation were (total thefts in parentheses): Honda Accord (53,995), Honda Civic (45,001), Chevrolet Pickup (Full Size) (27,809), Ford Pickup (Full Size) (26,494), Toyota Camry (14,420), Dodge Pickup (Full Size) (11,347), Dodge Caravan (10,911), Jeep Cherokee/Grand Cherokee (9,272), Toyota Corolla (9,010), and Nissan Altima (8,892).

Thieves go for easy work NOT more expensive!?!

SCAMS           Why are we still paying $700 Billion a year for WWII deployments?

We are paying for 164,253 of our active-duty armed personnel to be in 150 countries around the world. We have about 50,000 in Japan and 50,000 in Germany.

Are we preparing for WWII again? There are 1,208,083^[1] armed personnel in the United States. Our taxes pay for about HALF of the WORLD’s military expenditures every year. We have wasted $398.6 billion so far on the F-35 program—they can’t fly safely.

We just can’t afford to pay for everyone else’s defenses anymore.

Japan, Germany and S. Korea can pay for their own defenses.

Mortgage mess created no banker jail time—only $16 B, mostly lawyer pay

The people who made the mess—thousands of empty homes and bank accounts for working people—got bonuses and no jail time. Bank American’s stupid purchase of Countrywide after the crash has cost a bundle plus $16 B to settle liability (for lawyers). Little goes to those hurt financially not to mention all the lost homes sitting in mold etc. States want to demolish the properties now after they can’t be renovated and sold. What ever happened to sweat equity—give them to Habitat for Humanity for those in need?

Is user ID/password use not worth the effort anymore?

Thieves have ours already? 1.2 billion unique usernames and passwords and 542 million email addresses were reportedly stolen from 420,000 websites, according to The New York Times. The websites ranged from Fortune 500 companies down to small online retailers.

“Science fiction” in the making?

Russian scientists say they discovered plankton while studying samples from the exterior of the ISS — samples they only found because they were doing a routine cleaning of the ISS' windows. Scientists are now baffled about how these marine organisms made their way into space. How can they live in extreme cold and no oxygen? Maybe the Russians brought the cleaning cloth from home?

IAN

41 Watchung Plaza, B242

Montclair, NJ 07042

973.746.2014

www.InsuranceAdvisorsNetwork.com

Alerts 

Free health screenings

Women have free screenings now

Most women won't notice, but as of Aug. 1, insurance companies must cover a range of women's preventive health care services for free. The new benefits are part of the Affordable Care Act, which is rolling out in stages. "Thanks to the Affordable Care Act, nearly 50 million women will now have guaranteed coverage of the preventive health services needed to keep them both physically and fiscally healthy," Rep. Lois Capps, D-Santa Barbara, said in a news release.

Services that no longer require a deductible or co-payment include annual well-woman checkups; breast-feeding support; screening and counseling for domestic-partner violence; screening for gestational diabetes; screening for sexually transmitted diseases including HIV; testing for some strains of human papilloma virus; and contraception.

"I think sometimes women are confronted with paying for their birth control or buying groceries." These services are already covered in California under state law but that now insurance companies will have to eliminate deductibles and co-payments. "It's literally nominal because it's already covered," Green said. "Access to preventive services reduces health care costs down the road." http://www.healthcare.gov/law/timeline/index.html

We get less than we put in—negative SS earnings retirement plan!

The AP reports that new retirees will receive less in Social Security benefits than they paid in Social Security taxes. It's the first time since Social Security began that middle-income workers will get back less than they paid in and experts say the problem will worsen in the future. If you are a high income earner and still working, you are really upside down!

Help yourself while you can: Where is your sloop going? A retirement portfolio that flies. $12.95

Just published https://www.createspace.com/3948629

401k or Roth 401k: Which is better for you?

If your employer offers the Roth 401k, the benefits can be huge—but they come later. Compare paying income tax on $3,000 contributions to your income tax savings of 50,000 on each year you contribute. So if you contribute $3000 this year, you may pay an extra $500 to $750 in taxes with the Roth. However, you will have NO taxes on your $2.1 million in retirement in 40 years. With a regular 401k, you will pay income taxes (whatever the rate is) on ALL your annual income --30% of $50,000 = $15,000.

Discover the pros and cons of Roth with our Guide: http://www.amazon.com/401k-IRA-Tax-FREE-Tax-Deferred-retirement/dp/1475057938/

GOP not sure if Romney would repeal ObamaCare

Romney fears “allowing people to die” under his plan so now he claims he will “embrace health care reform.”

What does that mean for R/R?

http://news.yahoo.com/jonathan-alter-people-die-romneys-elected-145704866--abc-news-politics.html

Romney/Ryan budget ends fixed-cost Medicare—pay as you go system

Costs shift to individual: Stop paying for medical increases by not funding them.

Compare two plans. http://www.medicareadvocacy.org/2012/04/05/medicare-under-threat-health-reform-versus-the-ryan-budget/

Ryan plan in black and white:

http://www.retiredamericans.org/system/storage/24/27/6/1491/Fact_Sheet_Ryan2_FY_2013_Budget_FINAL.pdf

Five points about R/R plans for our future:

http://www.marketwatch.com/story/paul-ryans-medicare-plan-5-things-to-know-2012-08-13?siteid=yhoof2

Popular cars that may not make you happy

Consumer Reports these 5 are not what they seem.    

http://news.consumerreports.org/cars/2012/08/five-popular-cars-to-avoid.html

Obama election committee sees it this way

“Romney and Ryan share a conviction that our future will be brighter if we simply pass even bigger tax cuts for the wealthy; dramatically shift health care costs from Medicare to seniors, and walk away from our national commitments to education, research and development, and new energy technology,” wrote senior Obama strategist David Axelrod in an email. “So they would be a natural ticket, but it would be ticket to disaster for our economy and the middle class.”

Socialism for the rich

Driven by high commodity prices and crop insurance programs that eliminate risk for farmers, a total of 23 million acres, or 36,000 square miles, of grassland, wetlands and shrublands were converted to agricultural uses between 2008 and 2011. There is a "strong correlation" between crop insurance subsidies and conversion rates, Cook said. The highest rates of land transformation occurred in counties with the highest rates of crop insurance subsidies, he said. Most subsidies go to Agibusiness corporations.

Your tax dollars at work.

 SCAMS          “Only the little people pay taxes.” Leona Helmsley

Romney job “creation” program ends in bankruptcy and pollution

The rusty stains on Shirley Carter's home are a permanent reminder of her fight with the local steel mill, just down U.S. Highway 17 near the boat docks. No matter how many cans of industrial-strength acid she went through, the red tint on her property never seemed to go away. In 1998, Carter and her neighbors sued Georgetown Steel, then owned by the company Republican presidential candidate Mitt Romney co-founded, Bain Capital. They sought millions in cleanup costs and accused the mill's owners of leaving their historic Southern neighborhood looking like it had been hit by a "chemical bomb."

State officials determined the mill was largely to blame for the pollution. As the lawsuit dragged on for years, the steel mill filed for bankruptcy and the plant ultimately settled with the residents.

In the end, Bain walked away with more than $30 million in profits. Carter got $800.

http://news.yahoo.com/steel-mill-polluted-town-romney-firm-profited-075010087.html

Goldman Sachs beats government rules again

The U.S. Justice Department's decision not to prosecute Goldman Sachs Group Inc for its subprime mortgage trades resulted from either "weak laws or weak enforcement," the senator who asked for a criminal investigation of the firm said on Friday.

A day after the department announced its decision, Democratic Senator Carl Levin reiterated in a written statement the criticisms he lodged against Goldman beginning more than two years ago. He called the firm's actions "deceptive and immoral." It was never prosecuted for the derivative sales deceptions either.

IAN

41 Watchung Plaza, B242

Montclair, NJ 07042

973.746.2014

www.InsuranceAdvisorsNetwork.com

Alerts available at http://dankeppel.blogspot.com/

Increase your refund

Tax credits that increase your refund
There are credits that give you cash even when you owe no taxes—refundable credits. They have restrictions but you may qualify. 1. The Earned Income Tax Credit is for people earning less than $49,078 from wages, 2. Child and Dependent Care Credit is for expenses paid for the care of your qualifying children under age 13, or for a disabled spouse or dependent, 3. Child Tax Credit is for people who have a qualifying child. The maximum credit is $1,000 for each qualifying child. 4. Retirement Savings Contributions Credit, or Saver’s Credit, is designed to help low-to-moderate income workers save for retirement. Read how to claim: http://www.irs.gov/newsroom/article/0,,id=255095,00.html

Wealth Building is Like Brushing Your Teeth
Wealth is made by following a strategy as a habit. Some of the most successful investors have been those who invest regularly and reinvest dividends automatically. Unless you know how to pick the next Apple, you are better off buying a low-cost index fund of stocks. The secret to building wealth is letting compounding work. $250 a month has compounded to $115,000 in 15 years, 215,000 in 20, and $700,000 in 30 years. It was all habit like brushing my teeth. I just never sold. I wish I had started earlier. http://www.amazon.com/Building-Wealth-Like-Brushing-Teeth/dp/1470141469/


Can you deduct health insurance?I
f you're self-employed and paying for medical, dental or long-term care insurance, there is a special tax deduction for some insurance premiums paid for you, your spouse, and your dependents. Take it on Form 1040, line 29 if you meet the guidelines. See http://www.irs.gov/pub/irs-pdf/p535.pdf or your preparer.

NY requires insurer to pay for lead testing for kids
New York requires Excellus BlueCross BlueShield process claims for routine childhood screenings for lead and provide refunds to consumers who paid for tests out-of-pocket after initially being denied. Lead can lead to brain damage but Excellus did not want to pay. This is an example of what GOP bills will do if passed.

CA to ban lobbyist expense in premium increases
Health care generated $35.7 million in lobbyist spending in 2011, more than any other industry in California , and Kaiser was the largest spender at $3.5 million, according to a California Healthline analysis of state records released today. A ballot initiative proposed by consumer advocates would prohibit insurance companies like Kaiser from passing on lobbying expenditures to policyholders as premium increases, the same way current law prohibits auto and homeowners insurers from passing on those costs.

MetLife fails Fed’s test for capital strength
MetLife Inc., the largest life insurer in the United States , was one of four bank holding companies that failed the Federal Reserve's stress test, the central bank announced March 13. But MetLife has fired back at the Fed, arguing the capital standards laid out by the stress test are inappropriate for insurance companies. Also failing were Citigroup Inc., Ally Financial Inc. and Suntrust Banks Inc., which all have insurance subsidiaries.The stress test, officially dubbed the 2012 Comprehensive Capital Analysis and Review, applied worst-case financial scenarios to 19 complex bank holding companies through the end of 2012. In failing the four financial institutions, the Fed rejected their capital management plans. Members shop for coverage and save. Term insurance costs less than a $1 a day for most under age 50 unless you use a name brand firm.

Is Home Value Protection right for you?
An insurance policy that protects homeowners from the impact of declining home prices. You can lock in your insured home value for up to 10 years. If home values appreciate, a homeowner can purchase a new insurance policy with a higher insured home value. For a typical Georgia home, monthly premiums are from $25 to $35 a month. A Home Value Protection claim requires two conditions:Your home must sell for less than the Protected Home Value; andLocal home values must have declined during the policy period, as measured by an independent home price index, the nationally recognized Case-Shiller® Home Price Index.The eligible claim is either the loss on the sale of your home (the Protected Home Value less the Sale Price), or the expected loss in home value as measured by the local home price index (the Protected Home Value multiplied by the percentage decline in the home price index), whichever is less. There is a deductible for the first two years and a Coverage Limit may apply. Sounds as if the protection is for the insurer. Your home value would have to decline with all others—a region-wide collapse like in 2006-8 for you to collect. Skip it unless you know your region will suffer a depression in the next 10 years.

Reagan advisor says taxes are very low compared to history and other countries.
Bruce Bartlett, former adviser to President Reagan, runs some numbers on taxes in the United States and finds federal taxes are at their lowest level in more than 60 years. TheCongressional Budget Office estimatedthat federal taxes would consume just 14.8 percent of G.D.P. this year. The last year in which revenues were lower was 1950, according to the Office of Management and Budget. The average federal income tax rate on the 400 richest people in America was 18.11 percent in 2008, according to the Internal Revenue Service, down from 26.38 percent when these data were first calculated in 1992. Among the top 400, 7.5 percent had an average tax rate of less than 10 percent, 25 percent paid between 10 and 15 percent, and 28 percent paid between 15 and 20 percent. 60% of corporations pay NO tax. The truth of the matter is that federal taxes in the United States are very low. There is no reason to believe that reducing them further will do anything to raise growth or reduce unemployment, Bartlett concluded.No wonder there is a deficit. We have 2 wars too. usnews.com/usnews/opinion/articles/040517/17edit.htm

Is a Target-Date fund in your 401k right for you?
These funds may be available to you in your 401k at work. They were created to make it easy to invest by letting you pick the date of your retirement as the criterion for how your money is invested. The reason is that if you are young, you have time to invest in stocks more heavily. This is perfect for some people because there is nothing else to decide. However, if your retirement plan charges excessive fees, it will greatly reduce how much you end up with in retirement. If you would have earned 11% a year but give up 1-2% in fees, you may end up with $500,000 by retirement. On the other hand, a low-cost fund will provide the same long-term investment profile on a tax-advantaged basis too. See amazon.com/The-New-American-Retirement-System/dp/1461030072/

Claim tax credit for your employees’ health care coverage
Small Business Health Care Tax Credit is only for small employers with fewer than 25 full-time equivalent employees. Those employees must make an average wage of less than $50,000 a year. In addition, a small business owner must pay at least half of each employee's single (not family) health-insurance premium. If your small business qualifies, you can claim a credit up to 35% of the premiums you paid in 2011. That figure will go up to 50% in 2014 under ObamaCare.http://www.irs.gov/pub/irs-pdf/i8941.pdf

USAA, Amazon.com, Costco, Virgin America, Apple, Trader Joe’s and Wegmans Among the Highest in Customer Loyalty in the 2012 Satmetrix®Net Promoter® Benchmark Study http://www.satmetrix.com/


SCAMS
How a Canadian insurer engineered a $400 million tax refund from a fake loss.
It is called a “borrow to hold” deal. The transaction was a sham, according to a tax expert. The beneficiary of our $400 million tax dollars is a Canadian insurance company, Fairfax. And the IRS is buying it! WOW http://www.nytimes.com/2012/03/11/business/fairfax-financials-400-million-tax-break-revisited.html

Now Congressmen are fessing up. AIG got more of our money!!!!
Former members of a congressional panel that oversaw bailouts during the financial crisis blasted the Treasury Department on Monday for quietly granting a tax break worth billions to insurance giant American International Group. The tax break amounts to a “stealth bailout” on top of the $182 billion that AIG received from the government, and it unfairly helps AIG, its shareholders and executives, former oversight panel chair Elizabeth Warren and others said.This is socialism for the benefit of the powerful just like in Russia. You and I had to pay for these businessmen's bad decisions. Stockholders and managers are supposed to lose money not us. AIG's Greenberg did not go to jail.http://www.washingtonpost.com/business/markets/former-bailout-watchdogs-condemn-tax-break-for-aig-as-a-stealth-bailout/2012/03/12/gIQAJ54X7R_story.html

Goldman’s CEO got $54.4 million for making derivatives that helped sink America in 2008
Wall Street firms will do it again because the money is soooooooooooooo good. For instance, Goldman's CEO Blankfein 'earned' a total of $54.4 million in 2006. His bonus reflected the performance of Goldman Sachs, which reported record net earnings of $9.5 billion. This was the year they were making and selling those bad mortgage derivatives. Blankfein never went to jail. He and Goldman will do it again.
$54.4 million would pay for a lot of mortgages.
That is more money than God makes.

Rage grows over mortgage settlement with banks
There are 11 million homeowners who are currently underwater on their homes, according to CoreLogic. And it's also a mere sliver of the 3.5 million people who lost their homes to foreclosure over the past four years. Banks paid a small fine.
NO CEO went to jail.
This is justice in America in 2012.

Ameriprise brokers use client info illegally
A pair of Ameriprise Financial Inc. investment advisers and three of their friends and family members allegedly earned more than $1.8 million in illicit profits through trades based on inside information that an insurance company was planning to merge with a Japanese firm. http://www.investmentnews.com/article/20120313/FREE/120319962&dailycount=16&issuedate=20120315

IAN 41 Watchung Plaza, B242 Montclair, NJ 07042
973.746.2014
www.InsuranceAdvisorsNetwork.com