New ways the wealthy avoid taxes and we have to pay
their share
The corporate rate was lowered to 21% (effective
rate is 12%), so “today we can think about using corporations even though
it means two layers of taxes, while historically we might have said that it
doesn’t make any sense to have two layers of taxes,” one specialist says. This
means the rich avoid
37%, 35% and 32% tax rates with income of $157,500 or more just by taking
income as a business. They deduct their expenses as business deductions and pay
under HALF the official rate. Even if they have the corporate and individual
tax, they design income to the lowest possible level and end up paying less
than we do. The
wealthy have figured out how to avoid taxes. For instance, Warren Buffett,
with $90 billions, pays only 17% total tax: http://www.youtube.com/watch?v=Cu5B-2LoC4s; Mitt Romney only 14%; John
Kerry only
13%
and Apple just 9.8%. Buffett found that his staff pays 32.9%—DOUBLE
their rate!
They can use ‘carried interest’ as a Trader
Business of their family office to deduct investment expenses, which were
ended by the tax law. And remember, they can deduct their contributions to a
deferred comp plan and let the company pay for their rides and entertainment
and part of their dwelling. They can use their tax-deductible foundation
to pursue hobbies or pay
off debts. They can also bunch
up their deductions to take full advantage of the new law. Inequality in
net worth rises by 2020 election.
Avoid paying wealthy people’s taxes: https://www.amazon.com/Trump-Tax-Shelter-Avoid-taxes/dp/1985448300
Will you have enough?
According to 2016 govt data, “older households” (over
65) spend an average of
$45,756 a year, or roughly $3,800 a month. That’s about $1,000 less than
the monthly average spent by the average U.S.
By age 70, you must take your RMD from any
tax-deferred plans. You can also increase your SS benefit each year by working
past age 66 or 70 because SS recalculates
your benefit each year with the HIGHEST 35 years of earnings, including
those you earn after you begin receiving benefits. Perhaps you will have a
surplus of income over expenses. Check 17 ways to use your RMD: https://www.amazon.com/What-your-RMD-much-spend/dp/1718946716
Why our children don’t know how to invest for the
future
Only
5 states require schools to teach financial literacy. They don’t know compounding builds
wealth or how to make wealth earnings tax-FREE. This leaves our future adults
with no way to secure their future unless they inherit
money. Employers are dumping pension plans en
masse. In 1983 there were 175,143 plans, but in 2008 there were only
46,926 plans. So most employees have no idea how to replace the plans they have
lost or never had. 401k was supposed to be the supplemental
plan not the center piece of retirement. Now you know why most people are
not ready for retirement and when SS is cut in 2034, this
country will have the poor living on the street in the thousands. Warren
Buffett is not a salesman for the financial industry so his simple strategy is
the best way for our high schoolers to learn compounding and investing. His
strategy requires time not big bucks—10% of salary is all the young people need
to grow their money to a Wealth Reserve for life. In fact, if they or family
contributed $2,000
for 8 years by age 27, they might have over $1 million by retirement just
from the Miracle
of Compounding.
Buffett’s Strategy works: https://www.amazon.com/MasterClass-Buffetts-SIMPLE-Strategy/dp/1983485268
GOP will end health care for Americans with
pre-existing condition
GOP faced town hall outrage as it tried to end
ObamaCare. Many people learned to love some benefits of ObamaCare. That
included the expansion of Medicaid, allowing young people to stay on their
parents’ insurance up to age 26, and forbidding insurance companies from
denying anyone coverage or charging them more because of pre-existing
conditions, which just about all of us either already have or will one day
have.
The
popularity of those provisions made repeal politically dangerous, so
Republicans decided to leave the popular parts in place and try to repeal only
the unpopular parts. Even that, however, proved impossible to do, and in the
end they settled for a small morsel: Trump’s tax cut law repealed of the
individual mandate by reducing the fine for not carrying insurance to zero.
Now TX leads a new lawsuit
from a group of conservative states seeking to strike down the entire ACA. Trump
has taken a position in that lawsuit that is just dumb. Trump will not defend
the law that requires insurers to cover all his supporters with pre-existing
conditions. They will lose coverage because of outrageous premiums on their
conditions.
Trump and the GOP will have a hard time in 2018
since most Americans want coverage.
Buy only what you need: https://www.amazon.com/Health-Insurance-ONLY-right-policy/dp/1480125083
Did you forget to sign up for Medicare on time?
Did you mistakenly stay on your old private
insurance plan (ObamaCare) past age 65? You should have switched to Medicare. Now
you are stuck with costly lifetime late-enrollment penalties on your Medicare
premiums. Until now! You can fix this problem is Sept. 30. If you have health
insurance at work, there is no need to worry. You sign up when you retire. This
late penalty forgiveness ends soon. Avoid the annual 10% penalty as higher
premiums for Part B—doctors. Visit your local SS office to see if you qualify. Read
instructions: bit.ly/2Jyzx8s. Bring all
your health care paperwork, including evidence that you have been enrolled in a
marketplace plan.
Get all the coverage you already paid for: https://www.medicare.gov/pubs/pdf/10050-Medicare-and-You.pdf
Have you felt the wage increase?
Yes, real (after inflation) wages are going up after
years of decline. The larger fact is that real hourly wages have been generally
rising since hitting a low point in 1994-95. As of April, they were 19 percent
higher than that low point. However, they are 1.5%
below the highest point reached in 1972. Average workers’ wages have
remained below the high of $9.40 adjusted for inflation. To make it up, we work more low pay jobs.
60%
of American children are on Medicare or CHIP because their parents can’t
afford health care or don’t receive it at work. Paychecks are rising even
faster than hourly wage rates, because part-time workers are finding more work
and full-time workers are getting more overtime pay. Inflation-adjusted weekly earnings for
production and nonsupervisory employees have risen 1.4 percent under Trump,
after rising 3.7 percent under Obama.
SCAMS: Beware the ‘guaranteed
interest payments’ scheme
Steven
Pagartanis, NY stole
$8 million promising guaranteed monthly interest payments to his customers.
He said they were invested in Genesis
Land Development of Canada Lombard is required to supervise its
brokers but Lombard
apparently has failed with other brokers and their non-traditional securities.
Lesson: don’t assume your broker if offering you a legal deal if 1) the deal is
great—above the market returns; 2) the firm or broker has a record on BrokerCheck;
or 3) you don’t verify your money went to place your broker claims. In this
case, you might have suspected something from broker record of not disclosing
annuity terms to his client in 2013 and leaving 10 firms and joining 10 firms
since 1996. Unfortunately, the industry lets bad eggs move to new firms and bad
firms hire them. It is all about making money--caveat emptor
and white collar crime is NOT a priority for Sessions
and Trump.
Get an unbiased opinion before buying:
https://www.amazon.com/Pimps-Wall-Street-money-middlemen/dp/151525254X
Is a safe-deposit box right for
you?
Are you really paying $150 a month
to the bank—$1,800 a year for a safe place to keep your goods? Over time that
is costing you $1.3
million if invested in simple index account like Warren Buffett recommends.
That might come in handy if you face unexpected medical or long-term care
expenses 30-40 years from now. Consider that you already have insurance to
cover jewels and other replaceables. Most of your important papers can be
duplicated. Deeds, wills, list of credit cards passwords, passports and other
information items are not going to be available to your heirs when you pass
unless the box is held jointly. Your executor needs a court order and you won’t
know since the will is off limits to you. For theft and fire safety, a home
safe is more useful. You have the info and items at hand when you need them. A
good safe costs $150-$250. It can be secured and hidden at home. It is
fireproof and waterproof. Write the code down in a email to yourself. If you
have fire or water damage, you can retrieve it from offsite computer or phone.
You will need the $1.3 million later so use Buffett’s advice.
Make Warren Buffett your advisor: https://www.amazon.com/Warren-Buffett-Your-Investment-Advisor/dp/1518690963
****************
Only a criminal
looks to a pardon for a defense
Trump’s Gestapo
ICE troops break into house in front
of kids
Constitution: no clause
for ‘absolute right’ to pardon
The
Don did not invent the ‘big
lie’ but he learned it well from an expert.
FBI
finds answers in ‘The Don’s’ consigliore’s office/home/hotel
Trump thinks the govt is ‘conspiring
against him.’
(Dictators often
have delusion
they are being attacked by insiders)
Putin’s influence: Manafort,
Flynn, Gates, Page, Stone, Papadopoulos, Sater, Zwaan jailed,
Kilimnik,
Prince,
Jr,
Jared,
Sessions,
Cohen,
Yohai,
Freidman
Putin controls power
utilities, 21 state voting
files, Trump
slush fund, networks
“The
election is going to be rigged—I’m going to be ‘honest’”
Trump can “adjourn
them [Congress] to such Time as he shall think proper.” Art II, Sec 3
Can Trump postpone Nov 2018
election using excuse of Putin meddling needs fixing?
************************
How Govt wastes our money: Congress
spends $1.3 Trillion we don’t have!
Only
people who don’t know our government secrets are the people who pay for
them.
Can
single-payer health care work: US spends twice as much for fewer people
than others
Trump advisor says his tariffs could wipe out tax
cut benefits—higher costs for all.
SCAMS/SPINS:
Trump
puts tolls on the Internet so we pay more and corp get special fast lane.
Trump
EPA head leaning on The Don’s network for a job EPA staff as job
advisor.
BoA Merrill
Lynch caught
overcharging for bonds by lying about the costs
LPL
caught selling illegal unregistered securities and not supervising brokers.
Early
Madoff Ponzi investor gives back $280 mil to his network who didn’t know
Bernie
Jobs:
Coastal
towns need sea walls by 2030: Antarctica’s
ice melting at increasing rate.
Who owns your account now?
Supremes
decide you lose your vote in OH – state has power to purge you at will.
We don’t
really own our Alexa
Amazon account so we may not control recordings
Virtual
currency gambling not going well—lost
HALF value so far in 2018
Time-Warner to
ATT—Cohen
got it done: How Govt works against US
Fox to
Comcast?
Can we trust Ari
Melber to explain the legal case against POTUS? Steele?
Miracle:
The
dictators met for a deal: Why pretend anymore—Trump TV has it right
"Regardless of what happens
in that meeting between the two
dictators" FoxNews calls it.
IAN
41 Watchung Plaza, B242
973.746.2014
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