Retirees HATE to
spend down their nest eggs … But
Many folks who have
already accumulated large retirement asset portfolios have a hard time
switching to a de-accumulation mind set. One I know was forced to change
their thinking about spending instead of always saving/investing. That person
found out they had cancer at age 74 so they had to change their attitude from
growing their nest egg to allocating their nest egg in a structured way. A will
and estate plan was re-configured to make sure his family members were able to
meet their life goals. New medical expenses and final expenses were
recalculated. Any long-term goals had to be revised with immediate
contingencies. Family property disposal had to be re-thought. Actually, 2 new
plans—short- and long-term had to be devised to match the unknown date of a
cancer death possibility. This person started taking out more money from their
nest egg than their RMD required in order to match current and future family
needs. Their debts and prepaid expenses were part of their new plans. The
family tried to cope with this new reality by sharing more of the family money
roles—investor, bill payer, household expense planner, etc. They reset their
income expectations with their lawyer, financial planner and accountant.
https://www.amazon.com/Reset-Your-Retirement-Income-retirement/dp/1512304344
Why is it important
to lower your investing costs?
As John Bogle,
founder Vanguard Group put it; “the tyranny of compounding costs” is
overwhelming. “Over a 50-year investing lifetime, that little 2 percent fee
will erode
63 percent of what you would have had.” If you invested $250 per week with
your advisor, you would eventually pay more to your advisor than earn
yourself: $2.9 million to advisor; $2.6
million to you. You could have had $5.5 million if you invested in a low-cost
S&P
500 index fund over time. The plain index long-term total return is 11.06%
vs 3.79% for a managed fund. Cut the middle person—they
get more than you do.
The choice is yours:
https://www.amazon.com/Millionaire-Mutual-Funds-Save-taxes/dp/1534939490
Why your advisor may
not be paying attention to your account
Your advisor’s firm
may be choosing to serve only their wealthy customers. For instance, Schwab
customers with more than $1 million are now served by Schwab Private Client
Services, while those with $10 million are now enrolled in Schwab Private
Wealth Services. These clients now have “access to a dedicated Schwab
consultant” at no additional cost. With the move, the firm joins its rivals in
carving out special service models for the wealthiest retail clients. Through
June 2023, the HNW and UHNW
client segments have grown to represent more than two-thirds
of the firm’s total retail client assets. Schwab states that clients with
more than $1 million accounts have grown at a rate of more than 10%
annually over the last five years, while clients with more than $10 million at
the firm are growing at a rate of nearly 20%. How much does “having access to a consultant” cost? The
fees for Schwab private client are steep: First $1 million; 0.80%:
Next $1 million
(more than $1M up to $2M) 0.75%: Next $3 million (more than $2M up to $5M) 0.70%:
Assets over $5 million 0.30%. So if you can easily reach your advisor for less
than $8000 a year, you may have found a bargain. If you can’t reach your
advisor you may use a financial planner for a set fee based on usage and leave
your $ millions to compound in a low-cost
0.015% index fund.
https://www.amazon.com/Personal-Finance-Online-Cut-middle-person/dp/1500522120/
Will you have to
work after your ‘official’ retirement?
A new Nationwide
study says over two-thirds (69%) of non-retired investors may work or may
continue working after they retire, and more than two-fifths of these investors
(44%) say they’ll have to work to supplement their retirement savings or income
out of necessity. Two-fifths (40%) of non-retired investors plan to move to a
different city or region after retiring – though perhaps not for the reasons
some may think. Less than a quarter (22%) of these individuals cite being near
family among their top three reasons for relocating. The most
common incentives for relocating include lower cost of living (43%) and
lower taxes (34%), which may indicate that these investors’ decisions are being
influenced by macroeconomic factors. Most states don’t tax Social Security
benefits, and the list of states that do is shrinking. In 2021, 13
states taxed Social Security. Now it’s down to 11. And most of the states
that DO tax Social Security offer waivers and deductions to ease the burden.
Other taxes to consider include property, utilities and sales of goods and
services. Another reason to keep working cited by 60% said staying physically
and mentally active and 41% aim to preserve a sense of purpose in their
continued employment.
A little planning
goes a long way: https://www.amazon.com/Are-you-ready-retirement-worst/dp/1491002662
Is your advisor
calling their standard “model-portfolio” a “personalized” one?
You need to be alert
to the fact that many advisors use these factory-made
set of funds, ETFs and securities to lower their costs but keep the price high
by marketing them as “personalized” just for you. Of course the larger money
funds like Black Rock, Vanguard and Schwab are driving
their revenue higher as their costs decline. They can duplicate
“model-portfolios” at almost no cost. Your advisor’s firm drives down its costs
by buying the standard kit in bulk. So you may be overcharged for very little
creative ‘professional’ security selection. If you were to get to see the other
client portfolios at the firm you may see how alike they all are based on your
risk tolerance. You could skip this marketing step by forming your own
comprehensive portfolio using the Ten Best low-cost Vanguard funds. These 10
have provided over 11% returns for 20 years.
2022 Total Return Vanguard Fund Long-term Return Longevity
-19.8% 500 Index 10.8%
since 1976
24.0% Energy 9.4% since 1984
-26.4% Extended
Market 10.0%
since 1987
-0.8% Health 15.7%
since 1984
-30.1% International
Growth 10.2%
since 1981
-14.9% PRIMECAP 13.4%
since 1984
-9.5% Small Cap Index 10.6% since 1960
-8.8%
-2.9%
-12.9%
-10.2% Average 11.1%
*
*Average Annual Returns as of
https://www.amazon.com/Vanguards-Top-Ten-mutual-funds/dp/150073909X
?**********ACCOUNTABILITY**************?
Like 1776, this
period is a test
of democracy—We
rejected an "American
fascist" once
The
Path to Dictatorship: 2010-2030
Parallels of this era in the past
may hint at our future: democracy breaks apart legally
Billionaires
paid $881 million for votes in 2022
midterm elections
Nov 2020 Wealthy
discredit election process
Jan
6 2021 Direct
govt overthrow failed: guns
& bombs ready
Trump
engaged in a "criminal
conspiracy" to stop Biden
“I
don’t f—ing care that they have weapons”
Trump was “detached
from reality”
Trump
used mafia-style intimidation on the defenseless
Trump still terrorizing
election woman
Parscale: “a
sitting president asking for civil war.”
Trump:
“Just
say the election was corrupt and leave the rest to me”
GOP fascism: “RINO
hunt armed; no bagging limit” J6
comm threat
January
6, 2021 “A
date which will live in infamy”
Trump’s Supremes END
personal rights & state
laws except for weapons
WMDs
Fascism: GOP
to stop women leaving state for abortion
It’s
not a court. It’s a junta: Two Americas
Trump: President
Biden is 'enemy of the state'
Christian
Nationalist Party (CNP) replaces
GOP
Apr 9 Illustrated
Anne Frank book removed by Florida school
Apr 21 Trump: “I
am your justice”
May 9 Trump
guilty of sexual abuse
Jun 8 Trump
indicted by the United States of America
Violation
of the Espionage Act
Conspiracy to obstruct
justice
Making false
statements
Jan 2025 Dictator
pardons himself: his Supremes agree
How Govt wastes our money:
Most
active tax cheat wants those who are caught to get the death penalty
NASA’s
JWSTelescope $10B proven worth with images of the cosmos: really?
SCAMS/SPINS:
AI-generated
content could account for 99%
of all information on internet: what is real?
Corporate money in
our elections: votes
overwhelmed by money from vested interests
GOP
allows anyone to challenge GA Dem voter in order to keep Dems from 2024
vote
H&R Block TaxAct
TaxSlayer sold
your tax data to Meta and Google: you got nothing
Johnson &
Johnson misusing the bankruptcy system to avoid
40,000 cancer lawsuits
Monmouth Capital
Management caught
trading/disclosure misconduct: expelled
Army counselor Caz
Craffy churned Gold Star families, fallen service members accounts
Student loan firm Prehired
caught: deceptive
marketing and debt collection practices.
Luke Johnson caught
sold illiquid alts; inappropriate forms; forged docs. defrocked
James Yeh and Kenju
Go stole $22.5 million fake crypto sites, victims
from dating sites
Bank
Raymond James overcharged
clients: $75 minimum charge, regardless of commission.
David Geake IL tricked
client to invest in startup the rep owned: client lost $2.5 million.
Rao Garuda OH caught
illegal scheme Advanced Legacy Plan or the Ultimate Tax Plan.
Alex Mashinsky
Celsius defrauded thousands misleading them about his business: arrest
Barclay
Bank NOT responsible for customer loss in fraud since payment was
authorized.
Trump
required income disclosure
Teens buying ghost
guns online: manufacturers
have made it easy to get armed
7-year-old
FL killed by gang shots as watched fireworks: no suspect
87-year-old
NY killed 3 hurt by scooterman: caught with large magazine gun
Ford Escape probe:
door
may inadvertently open while driving.
Tesla owners are
using steering-wheel weights to drive
hands-free: time to miss hitting us
Consumer
Reports Scam Protection
Guide
IMF shows poor
track record at forecasting recessions
Farmers
Insurance quits Florida auto-home coverage
‘Freedom’
Caucus not like ‘freedom’ to use ‘free speech’: “little bitch” Greene banned
Gal Luft, GOP
witness against Hunter Biden is a Chinese agent: witch hunt goes nowhere
Trump asks for
another delay
in trial for violation Espionage Act : Delay delay delay
Supremes
allow religion to fire people: religious excuse for discrimination against
all?
New conservative group
is taking Christian
nationalist politics local: lobby school boards
Patrick Wattigny caught
molesting kids: promised gain entry to heaven: 5 years
30
Best Films of All-Time: old new; drama digital; comedy tragedy. 100 score
movies
Jobs
Jobs
That Provide Housing may help launch career
Skilled
jobs to be most impacted by AI ‘revolution’: law, medicine, and
finance
Who owns your account now?
Best
Interest Rates on Cash – July 2023
Fees,
competition driving out money management biz: big managers buy smaller
Investors’ transfer
of wealth—from their own
wallets into those of active managers.
Home
Upgrades That Rarely Help Close a Sale
Southern
Wealth Management to Captrust Financial TX
Private 5Gs: pop-up 5G networks
at festivals, sporting events and construction sites.
Miracles:
“Texas
generates more electricity from wind and solar than any other state.
GA church for those
unwelcome by traditional church: she
is loved for being who she is
30% American
households comprise a single person, a
record high: estranged world?
Food and Drug
Administration approved first over-the-counter
birth control pill
@
Our Universe is Mind-Blowing
Light is both
a particle and a wave depending on how we look at the light.
I
don’t think that there is any such thing as a position or a velocity of a
particle.
Everything (galaxies
to stones) in universe made of subatomic
energy ‘vibrations’
A subatomic ‘particle’
is the smallest possible vibration (quantum) of a quantum field.
Mass–energy
equivalence: E=mc^2. At the smallest
level; Everything is moving
Energy into matter: scientists
converted light energy directly into matter in one step
In place of atomic
lattice, light
waves used to create an optical lattice with same geometry
Physics Nobel Prize:
“entanglement” 2
particles share info instantly at a distance
Quantum
mechanics violates local realism: two objects behave as single system at
distance
“It may be that gravity and quantum mechanics are
exactly the same thing,” Leonard Susskind
Gravity
might induce the collapse of quantum vibrations into 1 quantum state—our
world
Strange state
of physics that allows energy
to flow frictionlessly through a material.
Bending light from
extreme gravity reveals largest black hole
so far
Curved
SpaceTime: heavy masses and simultaneously quantum effects become visible
There is no TIME at this
level because of force fields come and go in all directions.
Universe expanding: events
may not come together like they did before: created our time.
Our planetary
system: rarest
system: only 1% of all systems with same number of planets
Inside protons,
neutrons, it
is the fields of the virtual particles that creates its mass.
Gold
made from neutron stars: collisions produce more neutrons:79 protons,118
neutrons
The proton
is so complicated science still finds new energy entities/forces every
year.
“Empty space is a
boiling, bubbling brew of virtual
particles that pop in and out of existence in a time scale so short that you
can’t even measure them.” Space expanding.
The electricity we use comes
from the field around the wire not from electron itself.
Scientists
build 'baby' wormhole as sci-fi moves closer to fact: inside quantum
computer
starts-with-a-bang/universe-expansion-not-accelerating/
Physicists knew black
holes eventually disappear particle by particle. Now they think everything
else does, too
Astronomers
discover raw
materials for life are present all across the Universe: methyl cation
@
We can apply for
Medicare online: https://blog.ssa.gov/apply-for-medicare-online
We can apply for Social
Security online: https://www.ssa.gov/benefits/retirement/
We can apply for
health care online: https://www.healthcare.gov/
IAN
973.746.2014
http://www.theinsidersguides.com/
Alerts available at http://dankeppel.blogspot.com/
