Are high fees still right for you?

 

Are 401k fees still right for you?

Our current system favors costly middle people who are superfluous today with computers. The average fees levied on 401(k) savings cost us 0.5% to 2% annually (small employers). Compare that to today’s index and ETF funds which cost 0.04% or less. The overcharges we pay do NOT guarantee superior long-term success. In fact, most studies show we lose up to 63% of our total accumulations. Given today’s average earnings of 6% with 4% for us and 2% for Wall Street, we are the Big-time losers. No matter our portfolio—conservative or aggressive—we cannot help but do better with a new system for tax-advantaged investing. Fees are no longer deductible so even in a taxable account; the new system gives you more. Such a system is easily available to any working person without costly trusts, foreign tax havens or tax-avoidance schemes used by the wealthy.

Even if you have only 10 years to retirement, this system can benefit you. The longer your NEW retirement system runs, the more tax-FREE money you have to spend.

Go tax-FREE: https://www.amazon.com/New-American-Retirement-System-ReserveTM/dp/1461030072/

 

Which is better for investments—Dem or GOP president?

Wall Street gurus are currently going through their eternal talk about which party president is better for investors. As you might expect, this is not the right question. There are so many factors in the success of any particular investor that we should not even read these advice statements. Unless we know when exactly we will need our money or when the markets will fail, these pronouncements are just B-D propaganda. Most of us have learned that the stock market advances about 11% per year nominally over time. We know that in any given period, there are times when the market or our portfolio will rise and fall. This is why Warren Buffett, surely a wise investor, bet a million dollars on the S&P 500 stock index run by low-cost Vanguard to beat 5 guru hedge funds. Buffett gave the $1 million to his charity. The gurus are still in business so some of us still want to pay excessive fees to feel they own a superior strategy or portfolio. Unless we have insider information like our representatives in Washington, we are rewarded for just following the wise investor’s proven way. Lose 18.6% or gain 11.09%, your choice.

https://www.amazon.com/Building-Wealth-Like-Brushing-Teeth/dp/1470141469

 

What fuels the market climb?

Fixed income market provides low yields so investors poor into junk bonds. Our government is buying the bonds of private enterprises so the wealthy receive special treatment from the national deficit spending. The working person has no wage improvement power. The wealth gap gets wider so the rich can afford to stay in the bull market. They don’t have to worry about their company or investments going broke like the local mom and pop business so they can afford to keep putting money in the stock market to increase their wealth. Pension funds must stay in the market since many are under funded for their future liabilities. Wall Street no longer has to worry about a political meltdown so future growth looks promising. GOP Senate control will assure wealthy investors of no significant tax increases on non-wage income or wealth. Most wealthy people are not taxed on income and a wealth tax is very unlikely. Even Romney knows his offshore wealth is not in danger. Despite his protest, Warren Buffett, with $86 billions does not expect his tax rate to go up. Which is better: earning 1% or 12%?

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

 

Wealthy finding ways to avoid new taxes

With clearer future, the wealthy are scrambling to get their money hidden from the new tax proposals sitting in Dem inbox. Because the tax rates are probably going to be higher in the future, they can move their IRA balances into Roth tax free accounts now. They know the budget deficit has reached $3.3 trillion, a level not seen since the end of World War II. Since they already got the benefits of overspending, they will want McConnell to kill any stimulus for working people. The wealthy can use QCDs. They are the most tax-efficient way to reduce taxable IRA balances which have remained high with the government support in 2020. Gifts can reduce tax now and lower estate taxes later. Use Trump’s example of a $21 million deduction by giving away the right to build on your forest that never would have been developed anyway. Wealthy tax avoidance loopholes may be closing with the new regime in 2021. They need to act soon to keep the wealth gap growing. We working people can avoid paying the taxes avoided by the wealthy.

Use it or lose it: https://www.amazon.com/Trump-Tax-Shelter-Avoid-taxes/dp/1985448300

 

Biden’s new regulation: brokers must disclose conflicts of interest

Biden will need to return to the regulations that Obama instituted just before he lost to Trump. Obama’s Fiduciary Rule required that product sellers help us buy the best product available, ignoring seller commissions and fees. On April 6, 2016 the government limited the billions of dollars the financial industry could take from our retirement-savings products and advice. The final Fiduciary Rule was weakened by product sellers so they could take some of our transfer money out of 401(k)s. Trump reversed Obama’s rule and helped product pushers hide fees. Brokerage firms have hidden their bad acts. In the future, advisors will act like accountants not like used car salesmen. Some sellers have already lowered fees due to competition. We will still have to learn and shop in order to get the BEST for our particular situation but at least the industry will need to be more transparent in its offerings. Now we can get the BEST available for us because sellers will need to disclose conflicts of interest more fully. Under Trump, sellers are NOT telling us the whole truth about their bad acts and hidden fees. Now they will have to.

https://www.amazon.com/Fiduciary-Rule-BEST-dont-anymore/dp/1530980275

 

Is a Robo right for you?

The use of automated advice platform, or so-called robo advisors, is continuing to rise, with about 8% of U.S. households having money invested with a robo. Robo advisors are popular with millennials that have significant investable assets; nearly half of millennials with more than $500,000 to invest use a robo, according to the survey. But for mass affluent millennial households with between $50,000 and $500,000 in investable assets, only 20% reported they used a robo, along with 15% of Generation X families and 5% of baby boomer families in the same sphere. Not to lose market share, Fidelity, Schwab and Bank of America, offer new applications or features. By offering such options, the big firms were succeeding at creating a “natural funnel from a free service to their trading or managed account platforms.” But robos are not free, just lower costs than full service brokers. And so robos don’t provide higher returns necessarily. Robos offer some hand holding compared to flying solo. Vanguard is owned by us shareholders so fees/charges are at cost—profits go back to us investors, like a co-op.

https://www.amazon.com/Best-Robo-Advisor-Ultimate-Automatic-Management/dp/1537111957

 

Deduct $300 from income in 2020

Here’s how the CARES Act changes deducting charitable contributions made in 2020:

Previously, charitable contributions could only be deducted if taxpayers itemized their deductions. However, taxpayers who don’t itemize deductions may take a charitable deduction of up to $300 for cash contributions made in 2020 to qualifying organizations. For the purposes of this deduction, qualifying organizations are those that are religious, charitable, educational, scientific or literary in purpose. The law changed in this area due to the Coronavirus Aid, Relief, and Economic Security Act. The CARES Act also suspends limits on charitable contributions and temporarily increases limits on contributions of food inventory. More information about these changes is available on IRS.gov.

Use all your credits: https://www.amazon.com/Tax-Credit-Class-your-credits-ZERO/dp/1539462382

  

**********ACCOUNTABILITY**************

 

Like 1776, this period is a test of democracy—NO we don’t want a Dictator?

 

GOP 6-3 Supremes primed to reverse US back in time

Yes, courts used to put women in jail for wearing slacks

Supreme Alito: rights only for likes

 

Dictator: “It’s going away.” (No you are)

Dictator’s staff: “It’s out of control:” 244,000+ dead

why everyone wears seat belts now

 

Dictator’s Sunday 11/8 at his Church

 

Dictator’s armed terrorists standing by

Biden has to run the country from Delaware

 

 

How Govt wastes our money: Our Representatives gave 3.7 Trillion to the wealthy! 

Trump, defeated, holds election rallies from AirForce1: costs us $77,000/hour: He lost!

Trump Plaza Casino Atlantic City blown up for Biden inaugural: Trump tax deduction?

Trump put his anti-racial justice, anti-climate change ideology into our retirement funds.

 

Trump’s ‘voter fraud’ proof: Philly, NY, PO DeJoy, NJ, LI, PA, PA, NC, which fraud?

World dictators still back ours: USSR, Brazil, Mexico, Turkey, Hungary, Philippines, Saudis

Trump tells Justice to find the ‘voter-fraud’ smoking gun: DoJ Investigator quits

Trump lawyers: “will we get paid for challenge work”?: Trump notorious for not paying

 

Mel hired movers already: Baron to military school? FL removes heliport from Marlago

Congress needs “eviction” marshal for tenant in our White House: Germany shows how

How much?: Trump may give up top secrets: he did it before: beat Impeachment once too

 

SCAMS/SPINS:

Trump’s mail slowdown delivers 40,000 more ballots after judge orders PO come clean

Trump orders legal military ballots to be thrown out: absentee overseas votes legal

Qanon terrorists caught w/ fake ballots, AR 15 storming Philly counting center

 

Only 1 Republican offered hand to new president: Biden has 200 exec orders ready

GOP still afraid of Trump’s tweets will not speak to Biden: no reconciliation in US

Trumpers angry with FoxNews for NOT airing fake “voter fraud” news & calling AZ

TX will pay $1 million: find 1 voter fraud case:  a bribe for gov official is legal in TX?

 

Doe GOP exist with “Trump is the GOP” lost presidency? “Let’s give him a chance”

 

Ex Prez fires Pentagon chief: apology for Bible walk: military used against citizens bad

 

Can Trump’s Supremes reverse the will of the voters? GOP courts make up ‘justice’

 

PA voting outcome shows how much the color line still decides America’s path

Most of the military leaders sighed in relief: the “stable genius” almost gone

GOP still rules state legislatures; religious right; Trump cult: Dem work just starting

 

AR police to Trumpers: “death to all Marxist Democrats” “leave no survivors”

 

Trump refuses to start transition process: McConnell: “peaceful transfer of power”??

 

How a cult dies: Jim Jones took his ‘world’ with him: couldn’t face ‘the music’ real life

Trump refuses to reduce environmental pollution killing corona virus patients

 

 

Cheryl Broussard FL caught defrauding sorority investors; fake statements: 2 years jail

Robert Morgan caught running Ponzi in real estate; promised high returns, fake docs,

Local papers/websites turned into PR production for politicos/corporations. ‘news’?.

Gummies Promise to Decrease Stress: Martha Stewart leads the pitch for bad teeth

 

Census takers told to enter false info: Trump closed census early: change future Congress

Beam Financial caught blocking bank withdrawals: yes some banks fail

Kraig Gier Security Planning caught stealing $1 million from elderly fake docs: 5 yrs jail

 

HD Graham, DL Howard LL Matyas caught taking $920,000 fees no license: defrocked no jail

Ransomware thugs failing to delete stolen data after a victim pays a ransom: Thieves 2X

How easily we fall for misleading videos: ballot stuffing in USSR, burning sample ballots

 

Trump’s Financial ‘Protection’ lets debt collectors hound us: call, email, text, 24/7

FL court allows Prevagen promising improved memory to keep claiming and sales

Robo “collector” from 608-371-6666:  https://800notes.com/Phone.aspx/1-608-371-6666

 

 

Vatican silent child/adult sex abuser slept w/ boys: not sorry, no jail, no confession

Religionist with popular power support Trump: move state governments to extreme right

 

Is it a scam?  Check AARP scamline 877.908.3360.

 

Check IRS: https://www.irs.gov/newsroom/dirty-dozen-part-1-taxpayers-should-be-on-the-lookout-for-these-scams

https://www.irs.gov/newsroom/dirty-dozen-part-2-thieves-work-all-year-to-scam-taxpayers

Check Social Security: https://blog.ssa.gov/

Safeguard data: ConsumerReports help: https://securityplanner.consumerreports.org/

 

Jobs

Trump hires hundreds to overturn election: then defend him from many indictments

Biden hires scientists pandemic team: Trump plays golf & does more campaigning

Health care lost with job: Supremes may increase health emergency for 30 million

 

This is where our raises have gone: “matching pair” Porsche and Embraer Phenom 300E

Fidelity Investments To Hire 4,000 People In Next Six Months

Florida passes $15 minimum wage—but only by 2026 in fight for fair wages. 

 

 

Who owns your account now?

J.C. Penney's defined benefit plan to Pension Benefit Guaranty Corp: fewer benefits

Safe hotel list: travel is hard enough so check before check-in

 

Miracles:

Despite all the bad news we hear now, we have a democracy; we can vote and change!

Vaccine maker: 90% effective: Trump military/vendors to ship around: side effects?

Un-scalable wall around our White House still blocks citizens: ‘say goodbye’ fence

 

Two members of Biden virus panel worked inside the Trump administration: experts

 

GOP 6-3 Supremes primed to reverse US back to 1950s: abortions illegal, dirty air, no wildlife reserves, no voting rights, 0 immigrants, no health care, red-lining housing, no interracial couples, Trump self-pardon, cancel IRS audit, no gays, discriminate by religion, decide our elections, dismiss suit Trump as rapist, etc

 

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/

 

Dem wish list: healthcare, infrastructure jobs, restore environment, unite 545 kids

 

IAN

41 Watchung Plaza, B242

Montclair, NJ   07042

973.746.2014

www.InsuranceAdvisorsNetwork.com

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

 

Make sure you have all your tax documents before you file

Make sure all your tax documents come before you file

Since there is no enforcement of tax document mailings by mutual funds, banks, brokerage and advisors as well as employers, check last year’s filing to make sure you have everything to file BEFORE you go to your preparer. Few keep the deadline of January 31. Call IRS if not by February 28. If you have a kid in college, make sure they do NOT take your dependent exemption themselves. They don’t need it to get their job withholding tax refund. You need it to claim deductions and an extra $500. Kids should check the box “Someone can claim you as a dependent.” https://www.irs.gov/pub/irs-pdf/f1040.pdf. When you are ready, IRS has efile partners that have easy software programs that may allow you file for FREE. Some charge depending on your state and level of income. Most will cost less than the advertised brands ($50+$30) unless you must use a paid preparer. Trump has doubled the number of forms required to file many middle-income returns so the average price will be higher. And you won’t pay a penalty if you paid 85% of what you owe. Many of us will pay MORE than Trump promised since the wealthy and corporations pay less. January 28 is the first day of FREE ‘human’ preparation by AARP tax-aides. Make sure you have all of your docs: https://www.irs.com/articles/tax-form-checklist. Sign up at locations near you: https://secure.aarp.org/applications/VMISLocator/searchTaxAideLocations.action.

Long term care policies benefits and prices vary by 243%

If you are wealthy you may not need a policy. If you are NOT wealthy you may not be able to afford this coverage. You can buy from a new insurer with better understanding of the cost profile. Most advisors say buy at a younger age and change the benefits to meet your needs. Great for them but how to cope with increasing prices for what may be a very long time—age 55-85 means 30 years at $3-4,000 a year. AND you may not need coverage. That’s $100,000 wasted cash vs. $500,000 invested at 8%. Unless you know you will need it soon, you may be better off paying cash when the time comes. $4,750 to $2,500 per year LTC policy prices vary greatly.

Shop around: https://www.amazon.com/Long-term-Care-Insurance-Updated/dp/148274001X

A pathway to health care for all

CA new gov proposing extending ACA ObamaCare to insure more residents. This incremental move may light the way for other states concerned for its citizens. Newsom uses state funds to fill in the gaps for those without coverage and ignores the mandate. More carrot and less stick may help CA do what others haven’t up till now. About 10% of its non-elderly population lacks coverage. A study last year projected a steady rise, finding that Republicans' Obamacare sabotage and other factors would increase the un-insurance rate to 13% by 2023, with about 1 million more uninsured Californians, barring a policy shift. Massachusetts has its own mandate and subsidy program, and it has the lowest uninsured rate in the nation. Families are working hard to pay medical bills but still need help even with 4 part-time jobs and working mom.

Buy only what you need: https://www.amazon.com/Health-Insurance-ONLY-right-policy/dp/1480125083

Are ‘Target Date’ funds right for you?

A recent survey of employees enrolled in TDF shows they are misunderstood. The industry does its best to keep those with low pension balances in the dark. The industry is a for-profit one and has no interest in explaining this low-cost high-return strategy for retirement funding. Instead of showing how this option gives employees the best shot at a successful pension fund, working folks have the idea that this strategy will assure a safe retirement income, will never go down, is guaranteed by the government and becomes a cash asset in retirement. Workers do know TDF asset allocations shift from stocks to bonds over time. Most employees have had no investing experience and so if their 401k default is TDF, they never learn what they really own. Employers are not in a position to teach investing and the fund complex they use has no responsibility to provide this service. Employers have all but abandoned paid worker pensions. And no one has stepped up to provide the basic financial education all of us need at our first job. https://www.amazon.com/Financial-Literacy-Steps-Success-Money/dp/1491044616

Avoid double taxation when you inherit an IRA

When you inherit an IRA from someone, you need to know the amount they contributed over the years as after-tax non-deductions. Since IRA accounts have been around, contributors who wanted to keep on investing even without current tax deductions because of their incomes, were able to keep building their retirement nest egg. If they started taking distributions mandated by the IRS as RMDs at age 70 1/2, they had to calculate the amount to exclude from taxation as regular income since they had already paid tax on the contributions. They should have filed a form every year (Form 8606) keeping track of this so called ‘basis’—the amount they already paid tax on. The financial trustee for this account never had to keep this information so you as the beneficiary must go back into the tax records to compute the excluded ratio. Otherwise the IRS will treat the whole distribution to you as taxable at your rate. The last tax return should have the Form 8606 so you and your tax preparer can take it from there. Of course, now we have the Roth IRA which shields all the growth in your IRA contributions from taxation. Use the Roth for your current investing or convert your old IRA to the Roth for totally FREE distributions when you take them. You do not have to take them so they are the perfect working-person’s estate plan. Heirs pay no tax.

Use the best for your heirs:  https://www.amazon.com/401k-IRA-Tax-FREE-Tax-Deferred-retirement/dp/1475057938

What did John Bogle give us?

John Bogle died Thursday. John Bogle created The Vanguard Group—the mutual funds owned by us—the investors—at cost, so we could keep more of what we earned. At work in a financial firm one day, he responded to the fall of his clients’ accounts by noting that speculation was not in the best interest of the firm’s clients. Bogle fixed on the role of a firm as steward of the clients’ funds. In 1976, his new firm introduced the index fund to individuals. Indexing was run by banks for some large investors. In 1977, Bogle stopped selling funds through brokers. The company eliminated sales charges and became a pure no-load mutual fund complex—a move that would save shareholders $ billions in sales commissions and fees—increasing their gains. Stewardship is the attitude of salaried workers at Vanguard which is now the largest provider of funds to investors. Noted economist, Paul Samuelson ranked "this Bogle invention along with the invention of the wheel, the alphabet, Gutenberg printing." Jack Bogle’s legacy is rooted in the concept that investing should be conducted solely in the interest of investors. Bogle’s single mindedness on fiduciary stewardship finds its meaning in the company he founded, the (low cost and simple) product strategies and corporate governance reforms he champions, and the nine books he wrote. The industry has followed Bogle’s lead—almost every investor is now paying less and earning more because of this industry disruptor.  See attached.

Industry disruptor--Pay less; earn more: https://www.amazon.com/Disruptors-Three-Innovators-increase-WEALTH/dp/1720857563

Real estate moguls lick their chops at Trump’s ‘opportunity zones’

Trump did Jared and friends a big favor. Moguls who develop real estate or fund businesses in these areas are able to defer capital gains on profits earned elsewhere and completely eliminate them on new investments in 8,700 low-income census tracts. The goal is to reinvigorate these areas. But the question is whether the 2017 tax law will, as Mogul Mnuchin predicts, pump $100 billion into places that need it most, or if investors will play it safe by funding projects in a few zones already on the upswing. But like most deals, there are hidden terms. Investing in a relatively illiquid partnership or corporation with the intent of holding the investment for as many as 10 years in order to maximize the available tax benefits requires a strong conviction regarding the merits of the investment itself. Some areas are just not ready for money without people. And state tax codes may not help. The Federal tax benefits don’t exist until the property is sold—no gains; no deduction. And be careful about rolling over their eligible gains into a QOF within 180 days. The rules are complicated.

Use your simple tax credits first: https://www.amazon.com/Tax-Credit-Class-your-credits-ZERO/dp/1539462382

**************

Make America, “The Don”, Great Again

Senile Psychosis or Parkinson’s delusions? quetiapine and clozapine

Truth isn’t truth, his lawyer says

Two Americas: A Banana Republic? Do we really want an infant king? Daddy Putin!

McGahn was ‘lodestar’: Told Trump ‘NO’ - saved Mueller!

J F Kennedy was 43 when he beat Nixon

***********************

How Govt wastes our money: Congress spends $1.3 Trillion we don’t have! 

Sec. Defense, former Boeing exec, OK paying too much for Boeing tanker for AF. Graft?

Mortgage approvals delayed by gov verification on hold; IRS, VA and FHA closed.

SCAMS/SPINS:

Deming Payne caught lying about fake $800,000 client redemptions. 3 mo suspension

Robert Kahn, MO; Andrew Schade, MI; John Wheeler, FL caught misleading clients.

VanEck Vectors BDC Income ETF (BIZD), charges 9.41% a year: you lost money?

Gary Basralian NJ caught stealing victim’s accident settlement money

Idealogs Coulter/Limbaugh cost us $25+ billions as Trump’s confessors

Trump to farmers: I’ll “make it easier” for some immigrants to come into the country.

GOP supports lifting sanctions on Putin friends: Trump rewards Russia for election win.

Trump, as dictator, puts 50,000 in slavery chains—says work without pay is good thing

Trump, as dictator, takes revenge on Dems: Pelosi secure flight cancelled: ‘stay here’

Trump, as dictator, lied about how many kids were separated: still don’t know where.

Lettuce growers begs FDA to come and inspect so no more die of  E.Coli

Flight-safety systems at risk with no inspectors & fewer TSA checks.

MetLife stole pension payments to 13,500 retirees claiming they were dead. No jail time.

PA state pension fund overpaid managers $1 billion in 2017—retirees lose; cronies win.

Sterling Jewelers caught opening charge acct without consent: owns ALL jewelers

Hyundai, Kia recall 168,000 for fuel leaks and fires and software

Brokers who might owe you an arbitration settlement or award --filed bankruptcy?

“Individual 1” could be a Russian “asset”: Why FBI opened a file on The Mob Boss.

GOP can’t say “You’re fired” to The Boss because his voters will ‘kill’ them in 2020.

The Mob Boss can never go to jail: Trump has Kava as Supreme so no indictment.

‘No man is above the law’ … well up till now. Dictators nullify courts first, then votes.

Supremes protect Don’s ‘Orders’? – GOP: ‘Sure, pres can change Constitution anytime.’

----------------------------------

Jobs:

Work for free: TSA and flight controllers and Coast Guard need replacements now.

Jobs that pay in health care: leader in job growth.

Nissan lays off 700 in MS

Who owns your account now?

Trump to take TX homeowner’s property: Is land like a gun 2^nd amendment?

ATT has been selling my location data and I didn’t get a cent. Past royalties?

Save money 18 ways: https://www.stretcher.com/stories/11/11jan17e.cfm?DS0114-1

Your investments are back to where they were last April and climbing.

WA cancels NRA insurance for killing people: illegal “to insure criminal activity."

Sears bought by Lampert for $5.2 billion

Miracle:

Bishops ‘forgot’ everything they learned about sex. Cardinal: I forgot sex abuses !!

A gymnastic milestone and a ’10’ to Make America Feel Good Again: Twitter

IAN

41 Watchung Plaza, B242

Montclair, NJ   07042

973.746.2014

www.InsuranceAdvisorsNetwork.com

Alerts 

Wealthy use The Don for more tax cuts

Wealthy will likely vote for The Don just for the extra tax cuts

The wealthy would benefit most from his overall tax proposals, with the top 1 percent of income earners receiving, on average, a tax cut of $214,690 in 2017, according to the Tax Policy Center. The top 0.1 percent would get a tax cut of more than $1 million. Trickle-down econ (Chinese investors) will pay for Don’s plan. Clinton would increase taxes on the wealthy in several ways: She is proposing a 4 percent surcharge on incomes above $5 million, effectively creating a new top bracket of 43.6 percent. And those earning more than $1 million a year would be subject to a minimum 30 percent tax rate. She would also cap the value of many tax deductions for wealthier taxpayers. About 92 percent of her tax increases would fall on the top 1 percent. All the changes would increase taxes in 2017 for the richest 1 percent by $117,760, reducing their after-tax income by 7.4 percent, according to the TPC. Taxes for the top 0.1 percent would increase more than $800,000. Some middle- and lower-income households would see tax increases from Trump’s plan to eliminate the personal exemption and the filing status Head of Household. Most middle- and lower-income groups would see no change from Clinton’s plan. The Don used trick to avoid taxes we can’t use. We will never see his returns though. In any case, Do-Nothing Congress will decide to study any changes and just borrow from China.  

Set up your tax shelter now: https://www.amazon.com/Tax-Shelter-Young-Americans/dp/1500426520

Is a retirement plan annuity right for you?

Many teachers and employees of non-profit institutions have no choice about their 403b retirement plan—they are forced to pay the higher fees of an accumulation annuity. For many of these annuities, the sales literature promises heaven—a guaranteed base return plus participation in stock market gains. You never experience a loss unless you take the money out. However, as you make your contributions each year, you realize that the reality is different—you are earning about what you would in a bank account. You earn the minimum, usually 1% but you pay 2.5 to 3 percent annual fees. And the extra you could earn if stocks soar is capped at 4-5%. This product was made FOR INSURERS’ HEAVEN not yours. You will not find your annuity math spelled out like this because no one would buy one. However, this is why accumulation (not immediate income) annuities are NOT recommended by honest advisors. In fact, the SEC has this warning for you:

The agent will also promise certain things (for a price): 1) you will receive a certain fixed amount when you retire or 2) if you die before you use your money, your heirs will receive a guaranteed amount, or 3) if you want all your money in a lump sum, you are guaranteed a certain amount. So if you know nothing about investing, these promises sound like heaven. But the fees for these things that you could have for FREE on your own are more than the cost. Annuities are what keep life insurers in the black. When interest rates fall, your agent will want to move you to an even worse contract. As one economist says: “This switch is really awful. It’s really good for the insurance company. But it’s really bad for the investor.”

There are better alternatives: https://www.amazon.com/Best-Annuity-Strategy-Income-Growth/dp/1497532019

Social Security is getting a raise—the fund will get more from high ‘earners.’

Effective January 1, 2017, the amount of your income that is subject to the 7.65% Social Security and Medicare tax increases from rise from $118,500 to $127,200. This means that for an American worker who was fortunate enough to earn in the higher end of the middle class income range, their taxes could go up by as much as $655 per year. And a married couple could see a tax hike of $1,331. Of the estimated 173 million workers who will pay Social Security taxes in 2017, about 12 million will pay more because of the increase in the taxable maximum. Unfortunately, most wealthy people don’t work for others so they avoid the tax. They pay 17% not 33% total tax.

You can pay less tax in retirement: https://www.amazon.com/Pay-No-Taxes-Retirement-legally/dp/1507527977

GOP religion allows 7-year old to be beaten 36 times with hanger

Indiana mother who beat her son dozens of times with a coat hanger — and used the state’s new ‘religious freedom’ law to justify the punishment — has been sentenced to a year of probation after pleading guilty to battery. Kin Park Thaing was sentenced in Indianapolis. Her 7-year-old son caught a teacher’s attention when he showed up to school with 36 deep-purple bruises on his body. Thaing’s Christian beliefs were the “guiding values” that influenced her behavior. She cited verses from Proverbs 23:13-14. The force she used on her son is a “reasonable exercise of her parental right to choose how to rear her children,” her lawyer argued. Gov Pence, now GOP nominee, defended the law. “reasonable”? What about son’s ‘religious freedom’ rights?

Don’t blame God when you beat your child: "Let the little children come to me, and do not hinder them, for the kingdom of heaven belongs to such as these." matthew/19-14.htm

We may receive our W-2 forms on time—Feb 1—employers have computers now

Employers are now required to file their copies of Form W-2 and most 1099-MISC income statements by Jan. 31. In the past, employers typically had until the end of February, if filing on paper, or the end of March, if filing electronically, to submit their copies of these forms. The new law requires the IRS to hold the refund for any tax return claiming either the Earned Income Tax Credit (EITC) or Additional Child Tax Credit (ACTC) until Feb. 15. By law, the IRS must hold the entire refund, not just the portion related to the EITC or ACTC. IR-2016-143

35,000 teamsters to lose pension benefits

Plan trustees say the plan was undermined by "historic market losses" in 2000 and 2008, a declining active union population and "an exodus of contributing employers." A Teamster contingent is challenging the cutbacks, questioning whether pension trustees were looking out for the best interests of plan participants. Market earnings averaged 5.7% so every down year was matched by up years—even exceeded. Many pensions made bad investment decisions during this period, paying high fees for low returns from hedge funds, private equity, and alternative assets. A simple low-cost index fund would have been better for union members but not management. Pay less; get more.

2015      1.30

2014    13.81

2013    32.43

2012    15.88

2011      2.07

2010    14.87

2009    27.11

2008    -37.22

2007     5.46

2006    15.74

2005      4.79

2004    10.82

2003    28.72

2002    -22.27

2001    -11.98

2000    -9.11

1999    21.11

Build your own tax-FREE pension: https://www.amazon.com/Your-Pension-Box-tax-FREE-employer/dp/1481945157

Is a 12 month CD at 1.25% right for you?

If you are a saver who does not like to take any risks with your money, you may be watching CD rates. Current online bank rates barely cover inflation. You may be better off paying the penalty on a 5-year 2% if you need the money fast. But what if rates don’t go up soon? Maybe it is better to use your emergency money to stave off checking fees. Many smart savers keep $2-3,000 in their checking to avoid the fees. BankAmerica charges $12 a month and $35 for NSF. Advisors who say to keep 6-8 months of expenses in the bank are crazy. Smart savers keep an open home-equity line. Some put theirs in a balanced fund like Wellesley Income at Vanguard. Your money is earning over 9% (since 1970) because 62% of it is invested in safe US Treasury bonds and 37% dividend stocks. Your money can be in your checking account in 2 days. Fee is only 0.23%.

Wellesley is one of Vanguard’s Top Ten: https://www.amazon.com/Vanguards-Top-Ten-mutual-funds/dp/150073909X

Small manufacturing pays $26/hr but has no Congressional tax-credits

Small manufacturing could save this country and its middle class by using computer-controlled technology. Small companies do not have lawyers and offshore subsidiary to hide revenue from taxes like GE, Boeing, Apple, Google, Amazon, and 304 others. This makes it harder to complete. Small firms must find a niche they can serve better than large firms in China and Mexico. Unlike Germany and UK we don’t have apprentice programs to teach non-college adults how to make things using computer assisted machines. Lost black and white teens might earn $26/hour learning vs flipping McNuggets for $9. Machinists can learn to pay their own way while rebuilding the middle class. All we need is a national program to support technical schools and business tax subsidies like those given to big oil, gas, sugar, cotton, drug makers, agribusiness, solar, etc etc.

Shrink the Tax-Credit Class: https://www.amazon.com/Tax-Credit-Class-your-credits-ZERO/dp/1539462382

The rich pay less for car insurance than you—Socialism for the Rich

“It is profoundly unfair that a driver with a moderate income and a perfect driving record is often charged more for auto insurance than higher-income drivers with DUIs, accidents and speeding tickets,” said J. Robert Hunter, CFA’s Director of Insurance and former Texas Insurance Commissioner. “As long as state governments require drivers to buy insurance, they should require insurance companies to price their product based on how we drive, not who we are.” GEICO and Progressive were worst. See premium chart.

Shop every two years for these discounts: https://www.amazon.com/Vehicle-Insurance-Beware-Double-Coverage/dp/1480027634

GOP trying every trick to keep Dems from voting

Many GOP states have changed voting requirements, places, times, watchers, etc. Now new law gives voters another obstacle. Not only will GOP not count your vote if it has the wrong ZIP code or wrong BLOCK lettering but now GOP will discard your ballot if you do not use the same exact letters as your registration. So if the GOP registrar has J. P. Morgan and you sign J. Pierpont Morgan, your vote for anyone other than Donald Trump will not count. If you put the date in the wrong date box, no vote. If you list your DOB as 48 instead of 1948, no vote.  More than half of the OH provisional and absentee votes discarded for minor errors in 2014 came from five large, Democratic-dominated urban counties. Tens of thousands of voters who had been illegally purged from the OH voter rolls will be tested on provisional ballots this way. GOP says all this is to avoid cheaters. But there have been only 31 alleged cheaters in the whole United States since 2000. Catholic Church in CA scares Dem voters with eternal hell. Billionaire Koch battle unions in PA with $139 million Toomey McGinty bout. The Don knows the election will be fixed because he knows the GOP changed the rules.

And the FBI has joined the anti-Clinton side: it wants to gain a leg up with GOP House for new funding. “The agency has lagged behind on developing the capacity to analyze and understand intelligence its agents gather, and said that “hiring additional linguists and integrating them into operations should be a high priority.” 

2016 Election is not uplifting; it’s just depressing

Which liar will win American’s vote?

Neither can re-create jobs of the good old days!  We don’t see either one as President.

Do-Nothing Congress will decide US future by doing nothing for more 4 years.

GOP hates women as much as black men.

           

Don:    You know I couldn’t live on the Presidential salary—a “step down” for me.

            “we should just cancel the election and give it to Trump," megalomaniac says.

            Trump Network: Don’s son-in-law, Kushner, to start Trump Network Now on FB

            Worst campaign? Maybe I didn’t really want to be President. I have job already.

            Why is FBI looking at connections of my “advisors and Russian government”?

            KS is my model for economic changes—cut taxes, employment, growth, etc etc

            Seagal joins Don as Putin friend and Russian citizen? Consul of Russia in CA.

            See “Bad hombres” from Mexico taking jobs, voting, causing crime? NO.

           

“I can shoot somebody on 5^th Ave and wouldn’t lose voters.” Well, maybe U.S. women.

Mike:   ObamaCare was right for my state too. The Don is not using it anywhere-no clue.

            Cruz helps me with GOP religionists to support “utterly amoral” Trump.  What?

           

Hill:    I never sent a confidential email to Wiener. FBI looking to score with GOP?

            I voted to stop tax avoidance tactic The Don used—deducting investor’s money

            Trump rally speaker fantasizes about my death—GOP hates women like blacks?!

            Where are all those illegal immigrant Dem voters Don alleges?

Tim:     I want AZ Latinoas to consider what The Don thinks of you on Tuesday.

This election like 1964 LBJ Goldwater: Gen Jack Ripper believes only he can save us too

GOP WI  refused to open polling site believing it would favor Dems.

How the party of Lincoln became the party of Trump—conservative means go backward especially among “Christians” who now accept immoral acts in their public servants.

            Therefore by their fruits you shall know them. Matthew 7:20

Regulators are the only protection we have since we can’t sue anymore

            “It is nearly impossible for one individual to take on a corporation with vast resources.”

               Supremes stop us from suing—State courts no longer available to sue corporations!

BMW recalling 154,472 vehicles for a fuel pump problem that could cause stalling

VW refitted 1.23 million diesel cars with a software update so they pollute honestly.

ATT sells your cell data to police using searchable database for time, location, friends.

Regulation missing for profit colleges so we taxpayers will end up paying $ billions.

Oregon jury: “having guns is no threat but statement of culture like wearing cowboy hat.”

Student loan servicers caught illegally denying applications for flexible repayment plans.

Auto loan services caught illegally keeping car owner property

Debt collectors caught illegally charging fees, misleading debtors

Christie throws employees under bus on bridge to save his big but

Northern Resolution, Enhanced Acquisitions, and Delray Capital caught at illegal tactics 

Bundy never paid his taxes for cattle eating our lands—terrorist sons free to do revolution

Wells Fargo stockholders pay $50 million to settle allegations it overcharged. No jail.

We need regulation—GOP wrong—companies/cities wouldn’t fix bad products on own

Police want gun control.

When everyone has guns; your chance of being killed goes up. Police don’t know who to shoot. They assume everyone has a gun hidden. You and real criminals both have guns.

Oregon jury: “having guns is no threat but statement of culture like wearing cowboy hat.”?

Police organization issued a formal apology for the historic mistreatment of minorities.

SCAMS: Queen Elizabeth offers to take US back to avoid our “mistake” 2016 election.

            Assault rifle for $400 so anyone can kill hundreds at a time Really about 2^nd Am?

            You are victim already: Lawyers remove our negative complaints by “suing” us.

            Chase CEO Jamie Dimon refuses to say anything in an email, text or chat.

            Hulk Hogan gets $31 million for having sex with friend’s wife—Only in U.S.

            Church apologizes for 30 years of “forced” adoptions: stole kids from mothers.

            Non political ‘church’ San Diego tells worshipers they will go to hell if vote Dem.

            Catholic Church is no longer tax exempt if engage in ‘political campaign activity.’

Ignoramus Award: Hackers stole Clinton emails using simplest trick: Fake change pass

"google.com-securitysettingpage" — was crafted to appear genuine. They struck Podesta on a weekend morning and his IT guy said authentic. OH

How our government wastes our money

$3 billion in road projects in Afghanistan but 95% are destroyed beyond repair. My road?

$360 million USS Fort Worth (LCS 3) broke down in war maneuvers.

Where have all the jobs gone?

Smaller manufacturer’s special products computerized-machines $26-hour operators

Dog walker, pet sitter $20 hour in some cities

Who owns your account now?

Calvert Investment to Eaton Vance

IAN

41 Watchung Plaza, B242

Montclair, NJ 07042

973.746.2014

www.InsuranceAdvisorsNetwork.com

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