My Social Security and Medicare are NOT "entitlements" to be cut

My Social Security and Medicare are NOT “entitlements” to be cut

Washington politicians are debating whether to cut my “entitlements” as if these payments I made were unearned “welfare,” like oil subsidies or corporate jet deductions.

I paid for my Social Security and Medicare with cold hard cash for years from my hard-earned wages. I paid in good faith that the money would be invested in trust for my old age. Now, these millionaires in Washington that don’t need their Social Security and Medicare security in old age are trying to cut what I worked hard for because they spent  money unwisely—phony wars and tax cuts to friends.

NO. I am not going along with that. Let’s cut the corporate subsidies and war overspending first. They spend $673 Billion to fund war every year—more than the total of the next 15 countries combined. Our 'representatives' give $1.2 Trillion in tax breaks to the rich every year.

The retirement income and medical care I prepaid during my 50 years of work is mine—not an “entitlement” to be cut by millionaires who wasted $3.2-4 Trillion on their phony wars and tax cuts. http://costsofwar.org/

Tax avoiders are the Romney “moochers”—hiding in the Caymans!

Warren Buffett, the billionaire investor, said the ability of some of the highest earners to avoid federal taxes shows why laws should be changed so the wealthy pay more. “They were the moochers, and they paid zero,” Buffett told MSNBC. “The way they get at them is a minimum tax and it's very simple to do.”

Wealthy should pay minimum tax—30% and 35% for ultrarich!

Warren Buffett, master investor, says raising rates does NOT stop investing

“Let's forget about the rich and ultrarich going on strike and stuffing their ample funds under their mattresses if -- gasp -- capital gains rates and ordinary income rates are increased,” Buffett wrote. “Only in Grover Norquist's imagination does such a response exist.” We need to get rid of arrangements like 'carried interest' that enable income from labor to be magically converted into capital gains,” Buffett wrote. “And it's sickening that a Cayman Islands mail drop can be central to tax maneuvering by wealthy individuals and corporations.” http://www.nytimes.com/2012/11/26/opinion/buffett-a-minimum-tax-for-the-wealthy.html?_r=0

Does your mutual fund firm add or subtract to your retirement?

Despite Wall Street hype, most of the people who will have a great retirement owe most of the gains to compound interest NOT fast trading. Compound interest is one of the reasons Buffett says he became the second richest billionaire. http://www.marketwatch.com/story/10-things-mutual-fund-companies-wont-say-2012-11-16

Don’t let fees keep your investments from compounding at 10-12% per year.http://www.amazon.com/Your-Retirement-Mutual-Funds-retirement/dp/1481114026/

Annuity owners beware!

Private-equity firms' are plowing money into indexed-annuity businesses that are becoming agreater burden for insurers as low interest rates continue. Apollo already backs Athene Annuity and Life Assurance Co. Guggenheim owns Security Benefit Life Insurance Co. and EquiTrust Life Insurance Co., and is reinsuring annuities from Standard Life Co. of Indiana. Harbinger Group Inc. also jumped into indexed annuities last year with the purchase of Fidelity & Guaranty Life Insurance Co.

Annuity owners may see fees increase to pay off these speculators. If insurer can’t make money at their own business, how can takeover specialists? Members consider alternatives:http://www.amazon.com/Not-Buy-That-Annuity-Guaranteed/dp/1466494573/

Are you working for a state with the strongest pension plan?

http://www.morningstar.com/Cover/videoCenter.aspx?id=575495

Is it time to shop for homeowners?

Insurers OK To Raise N.C. Dwelling Rates 13 Percent. North Carolina insurance regulators are clearing the largest rate increase in nine years for dwelling policies that cover residential rentals and other properties that are not owner occupied.http://www.amazon.com/Homeowners-Insurance-Beware-coverage-policy/dp/1480100870

Socialism for the rich?

In 1992, the tax paid by the 400 highest incomes in the United States averaged 26.4 percent of adjusted gross income. In 2009, the most recent year reported, the rate was 19.9 percent. It’s nice to have friends in high places but deficits can’t last. Party over!

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

Are your tax records safe? Employees fall for old trick!
SC state tax records including your SS # were stolen. Hackers broke into the agency’s computer system by sending state employees spam e-mail that contained an embedded link. If employees clicked on the link, software was activated on their computers that stole their user names and passwords. http://www.nytimes.com/2012/11/21/us/more-details-of-south-carolina-hacking-episode.html?hpw

‘Ransomeware’ is rampant is US

The Reveton Trojan instantly locks the infected computer. Then it displays a message on the screen that looks like it's from the FBI. The bogus message says the user violated federal law by downloading illegally using or distributing copyrighted music or video. To unlock the machine, the user is told to pay a “fine” via a prepaid money card, online payment service or wire transfer. DO NOT FALL FOR THIS FRAUD.

Copy all your files now to a thumb drive or cloud like Amazon Cloud Drive. Use non-Explorer browser like Chrome. Your virus protection may not prevent this.

To fix it, try restarting your computer in safe mode and resetting its defaults to a previous date using the Restore process. You can also try to fix it with a patch from an Internet download from any of several sources.

Got Waste?  Was your hospital operation necessary?

Four people have been convicted of crimes relating to a $154 million medical fraud scheme in which hundreds of healthy patients underwent unnecessary surgeries to fraudulently bill insurance companies.

We pay $527 billion for the flood insurance program

Taxpayers are on the hook for at least $527 billion of vulnerable assets in the nation’s coastal flood plains. Those homes and businesses are insured by the federal government’s National Flood Insurance Program. The program’s overall liability is $1.25 trillion. The program is $18 billion in debt, a sum the government acknowledges probably will never be paid back by premiums, and it is likely to need a new multibillion-dollar infusion to pay claims from Hurricane Sandy. It is long past time for the government to stop subsidizing home and business owners who live and build in dangerous flood zones. 

Global warming will only make it worse. People who want to live dangerously must pay for the fun of it. We can’t afford to subsidize their pleasure.

Regulators charge Polish brokerage with stealing family/friends money

Roman Sledziejowski, a Polish-born investment manager and owner of TWS Financial LLC, catered to the Polish investment community in Brooklyn, and all of his victims were natives ofPoland. Despite the advice to “ask your family/friends for recommendations for a professional,” they may not know if they are honest. Madoff made his millions this way—word of mouth is not safe way.

Who owns your account now?

Thrivent Financial for Lutherans to turn its bank into a not-for-profit credit union, an uncommon change that creates one of the largest faith-based credit unions in the country.

Amerigroup Corp  to WellPoint approved by Feds.

IAN

41 Watchung Plaza, B242

Montclair, NJ 07042

973.746.2014

www.InsuranceAdvisorsNetwork.com

Do you own funds with low ratings?

You can avoid mutual funds with the lowest ratings

Morningstar's 10 lowest-rated large fund firms include all the well-known brands and some have the highest fees. http://bestmutualfund.org/morningstars-10-lowest-rated-large-fund-firms/

Most of the best have low fees:  http://abcnews.go.com/Business/morningstar-ranks-best-worst-mutual-funds-401k/story?id=14789497#.UKkT2YfBEo4

Low fee funds beat high fee funds in every period, according to Morningstar.

Which mutual fund family is best for you?

We help you pick the funds to use for the long haul: http://www.amazon.com/Do-Yourself-Personal-Finance-commissions/dp/1480156493/

Taxing the rich can raise $824 billion

Letting tax rates rise to Clinton era levels for those families making over $250,000 a year would 'only' raise $824 billion over ten years. Many GOP believe the Administration's insistence on these tax increases has nothing to do with fiscal issues. "...the true reason for raising taxes is to increase "class warfare" and to punish "evil colonialist and oppressive capitalism." Where does GOP find this stuff? Clinton era tax levels produced high employment and surplus. $824 billion is a lot of money!!

SC state workers no longer offered LTCi

The state's long-term care insurance is a voluntary program, meaning employees paid 100 percent of the premiums and taxpayers paid zero. But the insurance is expensive, and state workers got a group discount. That discount will stop after June, 2013. About 11,000 individuals had signed up for the coverage out of about 450,000 people under the state health plan. South Carolina has offered the insurance since 1988 -- but they are not required to offer it. Prudential, the insurer, left the market.

Have you planned to pay for your parents’ medical care bills?

29 states have laws that give the government access to your financial means, even in retirement. Check your state: http://www.bankrate.com/finance/insurance/map-states-parental-support-laws.aspx. Some states may have laws but they are not enforced since Medicaid picks up the tab. Some states will not go after your retirement money. An elder lawyer can help you plan. Our Long-term Care Insurance Guide has alternatives:http://www.amazon.com/Long-term-Care-Insurance-better-alternatives/dp/147006877X

ME TX WI Govs say not help citizens with health care

Maine will let the federal government take the reins on setting up a mandated online health insurance market, according to Gov. LePage. "I'm not lifting a finger," he said in an interview.

Gov. Rick Perry, in a follow-up letter to U.S. Health and Human Services Secretary Kathleen Sebelius, reiterated Texas' decision not to implement a state insurance exchange as part of Obamacare.

Scott Walker says Wisconsin will not set up a health insurance exchange under President Barack Obama's Affordable Care Act. The Supreme court has ruled ObamaCare is valid.

ObamaCare defines essential health benefits for all

Feds define the “essential health benefits” that must be offered to most Americans and by allowing employers to offer much bigger financial rewards to employees who quit smoking or adopt other healthy behaviors. Under the rules, insurers cannot deny coverage or charge higher premiums to people because they are sick or have been ill. They also cannot charge women more than men, as many now do. Most states are defining essential benefits to be those provided by the largest health plan in the state’s small-group insurance market. However, to comply with the law, federal officials said, insurers must provide certain additional benefits, including dental care and vision services for children, treatment of mental health and drug abuse problems, and “habilitative services” for people with conditions like autism or cerebral palsy.

Drivers surfing the Web while driving

State Farm reports there are more drivers using their Smart phones while driving causing near misses and hits on other drivers. If you are in an accident, check whether the other driver has a Smart phone in his hand. This could indicate he was surfing while driving.

Safe drivers save with proof

Seeking discounts on auto insurance, more drivers are agreeing to install monitors in their cars to record their driving habits. Driving data is collected with a device that policyholders must be persuaded to install; it connects to the car’s computer system via a diagnostic port found in all cars since 1996. Such “user-based insurance,” the name for individualized pricing based on data collected from a vehicle, is spreading. Drivewise from Allstate is in 10 states; Drive Safe and Save, from State Farm, is in 16, with 11 more to be added next month; and Snapshot, from Progressive, is in 43. Use all 15 discounts: http://www.amazon.com/Vehicle-Insurance-Beware-Double-Coverage/dp/1480027634

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

Insurers caught holding life insurance benefits for themselves

Regulators said John Hancock selectively used the Social Security Administration's Death Master File database to end benefits payments, but didn't use it to find deceased policyholders or their beneficiaries. The company also agreed to pay $13.3 million to the six states. AIG, Prudential, MetLife, Nationwide reached have reached similar settlements.

Bank lied to investors on mortgages

Regulators accused Credit Suisse, the Swiss bank, of misleading investors over the quality of residential mortgage-backed securities. The deception resulted in losses to investors of some $11.2 billion, according to the suit.

Education — not government regulation — is the best approach to take to protect seniors, said Mr. Abagnale, who has spent the last 36 years teaching agents at the Federal Bureau of Investigation how to detect and combat fraud. He advocated public service announcements to point out common scams and explain how to avoid becoming a victim. The famous 'Catch Me If You Can' con artist warns about scams targeting seniors.

Two men accused of stealing the identities of terminally ill people to reap $30 million from insurance companies and brokerage houses pleaded guilty Monday, several days into their trial, and face prison sentences of up to 10 years each. Estate planning ‘lawyer’ and ‘philanthropist’ Joseph Caramadre, 50, and his former employee Raymour Radhakrishnan, 28, each entered guilty pleas in U.S. District Court in Providence to single counts of wire fraud and conspiracy, ending the trial.

Bankers Life still hadn't revised its procedures to ensure that claims were paid and that claim investigations were completed in a timely manner. Bankers Life also failed to update its underwriting practices to ensure “complete and accurate” applications, and the insurer did not revise its maximum-benefit claim denial letters to include details of a restoration of benefits provision in the contract, according to regulators.

Who owns your account now?

Physicians Insurance Company of Ohio and Citation Insurance Company, to an affiliate of White Mountains Insurance Group

IAN

41 Watchung Plaza, B242

Montclair, NJ 07042

973.746.2014

www.InsuranceAdvisorsNetwork.com

Understand your 401k statement gibberish?

Did you understand your 401k statement?

Some statements “disclosed” a wide range of fees, as in “your expenses range from 0.25% to 2%,” leaving us wondering where exactly our fees stood. What’s more, the fees came without any guideposts on industry averages. So even if a company was told it paid, say, 1.25%, we would have no idea how those fees stacked up against other plans. This is no accident, critics charge. “They didn’t try to make it plain English and fail,” Employee Fiduciary’s Carpenter says. “They complied with the letter of the law and made it as gibberishy as possible.” Over time, fees can take up to 40% of our nest egg. Some employers are asking for low-fee products. Fewer investment options are offered but they are not better. 25% of assets are invested in actively managed U.S. stock funds and just 9% are in indexed U.S. stock funds. Managers get rich whether we employees make money or not. Small plans usually have to pay more too. It may be better to use an IRA with low-cost funds of 0.02% to maximize retirement funds. Our Guide helps you decide: http://www.amazon.com/401k-IRA-Tax-FREE-Tax-Deferred-retirement/dp/1475057938/

Is it time to shop for homeowners?

State Farm Gets 4.7% Homeowners Rate Hike In Illinois. They claim higher claims from weather and home repairs. Buy only what you need and save the increase: http://www.amazon.com/Homeowners-Insurance-Beware-coverage-policy/dp/1480100870

Alert: Agents pushing products to win trips

If your agent talks about a fixed indexed universal life insurance product, FG Life-Gold, ask them about other alternatives. This product is sold to qualify for a 2 night 3 day trip to Las Vegas, Nevada in June 2013. Universal life has a savings account attached to term life coverage. You pay a large commission. Skip it and unbundle coverage. If you need insurance, buy only what you need and save:http://www.amazon.com/Life-Insurance-Need-Save-right/dp/1480002178/

FL GOP does not want voters to vote. IS this America?

GOP wants to win no matter what it costs. In one town, the mayor shut down the voting with people in line. After reopening voters could only do absentee ballots. Despite long lines—some waiting over 5 hours—Obama still won in FL.

Lines for hours look like scene from Third World countries.

What is with Florida voters?

Why do they elect people who want to stop the vote?

Are all these people trying to commit fraud?

http://www.miamiherald.com/2012/11/04/3081614/florida-democratic-party-files.html

GOP voter suppression actually helps Obama win election

GOP tried changing the rules, changing ID requirements, end early voting periods, changing time and place of vote, sending GOP goons to intimidate voters, registering only Republicans. This activity just makes people mad enough to stand in line for hours. Despite efforts in 33 GOP controlled states to restrict the vote, exit polls reveal that the minority share of the 2012 electorate increased from 26 percent in 2008 to 28 percent in 2012. 

In NJ, Gov Christy told voters to go to their closed polling places (Sandy) and vote in mobile machines there—the trucks never showed up. Obama still won.

http://www.forbes.com/sites/rickungar/2012/11/09/how-gop-voter-suppression-efforts-contributed-to-obama-win/

FL AL will not provide health care exchanges to citizens

Rick Scott says he still won't implement parts of President Barack Obama's health care overhaul despite the re-election of the president. The U.S. Supreme Court earlier this year upheld the law, but said that states could decide whether to follow the law. A health report estimates the state could expand its Medicaid coverage to more than 1 million residents without spending additional money by offsetting costs in state-funded hospital programs and other safety nets. Will Scott relent?

VA is not ready to offer health exchanges to citizens

Bob McDonnell has done an about-turn on the establishment of a state health benefits exchange inVirginia. On Wednesday, in a post-election press briefing, McDonnell conceded that Virginia would not meet the Nov. 16 deadline for a blueprint for the state-run exchanges.

KS SC LA will not offer health exchanges to its citizens

Gov. Brownback said his administration won't partner with the federal government to set up a health insurance exchange called for by the federal health insurance overhaul. "Kansans feel Obamacare is an overreach by Washington and have rejected the state's participation..."

AR, NC  will partner with ObamaCare to give uninsured health care

GOP state government decided to rely on Feds to organize exchanges for sales of policies for uninsured, providing subsidy for poor.

NJ WI AZ Gov not decided about helping uninsured

New Jersey has 1.3 million uninsured," said Jeff Brown, health care advocate with New Jersey Citizen Action. "The governor's decision is going to affect hundreds of thousands of people."

MS will offer the uninsured help

Mississippi Insurance Commissioner Mike Chaney has submitted the state's plan for an insurance exchange to the federal government. The deadline is Nov 16 extended.

See State overview: http://www.wset.com/story/20114848/glance-implementation-of-obamacare-by-state

Most insurers welcome new customers via health exchanges

Spurred by the individual health insurance mandate and the prospect of adding thousands to their rolls, a majority of health insurance leaders say their organizations are already preparing or implementing plans to participate in health insurance exchanges, according to the results of a poll conducted by KPMG.

Women more likely to understand LTC needs but less to have plan

A new study reveals that 30 percent of U.S. female adults said they're not sure how they plan to address their potential long term care needs. And 57 percent of women reported they're likely to need help meeting financial expenses. Having a plan to deal with financial issues increases the likelihood of dealing with emergencies well. Furthermore, only 37 percent of women said they're saving for their future needs, and are significantly less likely to own long-term care insurance than their male counterparts (9 percent vs. 15 percent). Make a plan and be more confident:http://www.amazon.com/Long-term-Care-Insurance-better-alternatives/dp/147006877X/

Police sue for free speech too

A law enforcement union filed a lawsuit challenging the constitutionality of a Wisconsin law effectively ending collective bargaining for most public workers. The lawsuit comes less than two months after aDane County judge ruled the law unconstitutional as it applies to school district and local government workers. That ruling came in a case brought by Madison teachers and Milwaukee city workers. It did not apply to state workers. Gov Walker is appealing that ruling. Walker exempted from the law, the state police who supported his election. The lawsuit charges violation of equal protection.

Did your advisor tell you they had to raise fees?

For the second-straight year, LPL plans to raise the fees on its brokers. LPL is one of the largest independent brokerage firms. If you advisor did not increase your costs last year, look for it this year. It seems that the larger the brokerage firm revenue, the higher the fees go. You may want to move your portfolio to Vanguard or Schwab, which just lowered fees. http://www.amazon.com/Wealth-Without-Wall-Street-Commissions/dp/1442168137

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

Regulators going after annuity sellers!!!

In one case, the seller convinced the customer to mortgage her primary residence to invest $300,000 in a variable annuity. The sale was reversed given that the customer intended to retire in seven years, had limited income, expected an equally limited retirement income and would have an insufficient monthly income to make the mortgage payments. The seller was fined $5,000 and suspended for 10 days. Not a big deal. Variable annuity sales can produce 6-10% commission. So $18,000 - $5,000 fine =$13,000.

In another case, the seller forged documents for a variable annuity replacement contract in a state in which he was not licensed to sell insurance products and included false information in the firm’s electronic books and records. Suspended for 3 months.

MassMutual was fined $1.65 million by regulators for not telling variable annuity buyers that they would lose interest when a cap on their  guaranteed minimum income benefit (GMIB) value was reached.

Who owns your account now?

Homeowners Choice has assumed 59,688 homeowners' policies from Citizens Property Insurance Corporation, Florida's state-operated insurance company.

IAN

41 Watchung Plaza, B242

Montclair, NJ 07042

973.746.2014

www.InsuranceAdvisorsNetwork.com

Why we will NEVER be rich

Why we will NEVER be rich! 

Ten things we can do NOW to invest successfully

Why we don't accumulate $1,000,000 from monthly contributions.
Why we reduce our wealth by paying "specialists" to increase it.
Why we don't use the simple time-tested strategy of compounding.
Why we don't use a tax-FREE account and give up $300,000.

By Insider, Law Steeple, $12.95 http://www.amazon.com/Why-will-NEVER-rich-successfully/dp/1480185868/

Are you prepared for retirement of at least 20 years?

A new LIMRA study reveals that two-thirds of middle-income ($40,000-$99,999) American workers are saving less than five percent of their annual income for retirement – with nearly a quarter saving nothing at all. “These results, while not surprising, are very troubling,” said Matthew Drinkwater, associate managing director, LIMRA's retirement research. “Less than 30 percent of American workers have a traditional defined benefit retirement plan….” One in four workers ages 18-34 reported not saving at all for retirement. You can make a plan in 1 hour: http://www.amazon.com/Forget-Social-Security-Medicare-Lifestyle/dp/1466394285

CA health insurers line up to compete in new exchanges

CA officials, and those in other states, are eager to flex their purchasing power under the federal healthcare law by selecting only certain individual and small-business health plans for 19 different regions across California. Buy only what you need: http://www.amazon.com/Health-Insurance-ONLY-right-policy/dp/1480125083

Fewer investors using paid advisors—they trust family/friends???

According to a new survey, just 21 percent of investors say they use a financial professional as their primary provider of investment advice, down from 25 percent in 2011. Usage dropped sharply among households with $100,000 to $500,000 and $2 million plus in investable assets. Nearly six in 10 (57 percent) investors rely on family and 47 percent turning to friends. Emerging investors put the most trust in friends and family, coming in at 64 percent for friends and 82 percent for family. Most firms experienced a decline from 2011 to 2012 with only Vanguard and T. Rowe Price making sizeable gains.“Investors just aren’t sensing enough value for their dollar,” Brown adds. “They lack an understanding of financial services' costs of goods sold, which are impossible to estimate without a tangible product to evaluate. Therefore, they often assume they're being ‘ripped off’ by firms [that] offer professional advice.” Not a bad assumption. But using family/friends may not be wise. That's how Madoff clients got in trouble Trust yourself not salesmen: http://www.amazon.com/Do-Yourself-Personal-Finance-commissions/dp/1480156493/

Landmark Medicare Settlement Could Change Lives
Under the settlement of the lawsuit, Jimmo v. Sebelius, the U.S. Department of Health and Human Services has agreed to relax Medicare's requirements for coverage of skilled nursing and therapy services in institutional or home care settings. The key criterion for coverage will be a demonstrated need for skilled care - regardless of whether there is a recovery prognosis. That means patients already enrolled in Medicare Part A (hospitalization) who need care to maintain their current condition but aren't likely to improve will qualify for Medicare's standard benefits.

Insurers begin charging for texting while driving violations

The analysis found that, at one insurer, a texting ticket would cost a New York driver $58.50 more per year. At the second insurer, the presence of a texting offense meant having to pay an extra $74 annually. It depends on your state but insurers are looking for more premium. 

States must decide on our health care future NOW

Wisconsin faces a Nov. 16 deadline to inform the Obama administration whether the state will implement an online health care marketplace, or exchange, or let the federal government do it. Each state's exchange must be operational in 2014 under the health care law. Walker told reporters Wednesday in Milwaukee that he will be meeting with state officials this week to discuss the next steps. 

About 55 percent of Americans are covered through an employer; 31 percent have a public insurance plan such as Medicare or Medicaid, and 10 percent buy their own health insurance. The Congressional Budget Office predicts that 23 million people who don’t have health insurance now will get it on one of the exchanges. More than 18 million of them will qualify for a federal subsidy averaging $6,000 a year per person. People earning up to four times the federal poverty level can get a subsidy: that’s an income of $92,000 a year for a family of four. http://vitals.nbcnews.com/_news/2012/11/09/15028379-times-up-states-under-the-gun-on-health-exchanges?lite

IN stops enforcing law requiring auto insurance for drivers with no car

Regulators agree to a stay in a lawsuit filed by a woman whose license was suspended for not having insurance even though she didn’t own a car. State law requires the DMV to check at random to ensure that drivers suspended for lack of insurance have since obtained coverage.

Do you have storm damage?

Damage value that is less than your deductible will not be paid. Filing a claim for small amounts may result in a rate increase. Tax deduction may help. Only itemizers can take a tax write-off for damage to nonbusiness property, such as a principal residence or vehicle. And there are a couple of offsets that apply to personal losses. First, you must reduce the amount of the loss by $100. Then, you can deduct the balance only to the extent that it exceeds 10% of your adjusted gross income. For example, if you have $20,000 in unreimbursed casualty losses from Hurricane Sandy and your AGI is $100,000, you would first subtract $100. Then, you would subtract $10,000 (10% of your AGI) from the $19,900 balance. The remaining $9,900 is the amount you can deduct on Schedule A of your tax return. Use IRS Form 4684 to report your casualty losses, and then carry the amount over to Schedule A.http://www.irs.gov/pub/irs-pdf/p547.pdf

IRS agrees to wait for your tax payments if emergency

The tax relief postpones various tax filing and payment deadlines that occurred starting in late October. As a result, affected individuals and businesses will have until Feb. 1, 2013 to file these returns and pay any taxes due. This includes the fourth quarter individual estimated tax payment, normally due Jan. 15, 2013. It also includes payroll and excise tax returns and accompanying payments for the third and fourth quarters, normally due on Oct. 31, 2012 and Jan. 31, 2013 respectively. It also applies to tax-exempt organizations required to file Form 990 series returns with an original or extended deadline falling during this period. http://www.irs.gov/uac/Tax-Relief-in-Disaster-Situations

Ford hits bumps in CR Reliability study—only Jaguar is worse

Ford has gone from being in the Top Ten of most reliable cars, a record they’ve enjoyed for quite some time to now being the second to last out of all cars. It’s thought that all the new bugs getting worked out of the MyFord Touch system and issues with their stable of new products is what has contributed to the extreme drop in the Ford lineup. Jaguar came in last place. “Ford’s bumpy road can be seen in the numbers. Sixty percent of Ford-branded models and half of Lincolns were below average in predicted reliability, and none placed above average,” said Jake Fisher, director of automotive testing for Consumer Reports. http://automotivediscovery.com/ford-rated-second-worst-for-reliability-according-to-consumer-reports/9215417/

Auto insurance rates down—compare your rates

A drop in vehicle theft along with factors such as insurers ability to assess risk; safety and anti-theft devices; and new products such as pay-as-you-drive policies, are all having a positive impact on auto insurance rates, leading to the lowest cost when adjusted for inflation in 20 years, said Loretta Worters, vice president of the Insurance Information Institute, a trade group sponsored by the property/casualty industry. Worters said auto insurance costs fell in the five years prior to 2009, the last year for which data is available. She said III is forecasting average annual cost of U.S. auto insurance coverage in 2012 will total $839, less than what the typical U.S. driver spent on coverage in 2004. But when adjusted for inflation, costs are expected to be 19% lower in 2012 than 2003. Time to shop: http://www.amazon.com/Vehicle-Insurance-Beware-Coverage-ebook/dp/B009MA9FY6/

Is your auto insurer doing a good job?

Claimant satisfaction with their auto claims experience has increased from last year, driven primarily by an improvement in their perceptions of the fairness of settlement terms, according to the J.D. Power and Associates 2012 U.S. Auto Claims Satisfaction Study^SM. The study measures claimant satisfaction with the claims experience for auto physical damage loss. Depending on the complexity of the claim, a claimant may experience some or all of the following factors measured in the study: first notice of loss; service interaction; appraisal; repair process; rental experience; and settlement. Amica and Erie head list as before. Esurance and Commerce are last.

http://autos.jdpower.com/content/press-release/qMmYBvg/2012-u-s-auto-claims-satisfaction-study.htm

Investor’s view of politics

Bill Gross is one of the most intelligent investors around today. This is his take:

http://www.pimco.com/EN/Insights/Pages/Time-To-Vote.aspx

Progressive’s view of Obama To Do List

http://www.cnbc.com/id/49725953

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

Will any of the criminals go to jail?

Countrywide is being sued for selling $12.5 billion worth of risky mortgages to Fannie Mae. Finally, someone is being sued for the mess they created in 2005.

http://www.nytimes.com/2012/10/28/business/the-perils-of-feeding-a-bloated-financial-industry.html?_r=0

What were they thinking?
Former oil exec becomes Archbishop of Canterbury 

Who owns your account now?

MetLife mortgage servicing business to JPMorgan Chase

ING Direct will become Capital One 360

Metropolitan Health Networks Inc  to Humana  

Sun Life (Canada) is seeking a buyer for its U.S. annuities business

Hartford Financial is offering to pay some clients to give up their variable annuities.

IAN

41 Watchung Plaza, B242

Montclair, NJ 07042

973.746.2014

www.InsuranceAdvisorsNetwork.com

Health Insurance Save 25%

Health Insurance

Buy ONLY what you need

Find a comprehensive plan that your doctors accept.
You may be paying for benefits you will never use.
Your premium may be based on old information.
Save 25% with the right policy.

By Dan Keppel, MBA, $19.95. Just published: http://www.amazon.com/Health-Insurance-ONLY-right-policy/dp/1480125083/

MO returns $133 million in unclaimed funds to owners—where are yours?

Since January 2009, MO Treasurer Zweifel has returned $133 million to more than 418,000 account owners. There are thousands of bank box contents too.  "Every day my Unclaimed Property staff talks to owners of Unclaimed Property in an effort to return accounts large and small," Treasurer Zweifel said. "There are 58 accounts with $100,000 or more in them waiting to be returned.” To find out if you have Unclaimed Property in any state, you can visit http://www.unclaimed.org/.

Is the Wal-Mart life insurance right for you?

Issued by MetLife, the insurance firm is offering Wal-Mart shoppers a pre-paid, one-year $10,000 to $25,000 life insurance policy that costs, on average, about $100 or so. For Wal-Mart shoppers aged 18-44, a $10,000 policy costs $69. But for consumers aged 60-65, the policy can cost up to $429. This policy is expensive when compared to $100,000 benefit for $7 a month from insurers with the same rating as MetLife. MetLife is taking advantage of impulse buying and high lapse rates that assure a high profit business. If you need real coverage, use our Guide: http://www.amazon.com/Life-Insurance-Need-right-ebook/dp/B009MA9K78/ 

Are your retirement investments better off with Obama?

Chart says not since FDR’s 238% gain has your portfolio done so well as during Obama’s first term. Will Americans vote their pocket book or the promises of the “king of off-shoring jobs”? Your Choice: GOP rulers tend to end up in disasters and wars.
http://www.nytimes.com/2012/10/21/your-money/wall-st-may-not-cheer-but-obamas-been-good-for-stocks.html

Can you read your 401k retirement plan statement?

New rules require plan admin. to say clearly how much it costs you and what you are paying for. However, your plan disclosure may have failed to disclose certain types of compensation because the service provider didn't think it counted under the rule. They also need to state their fiduciary (acting in your best interests) status. You need to understand the total amount that the servicer is taking from your account. If you earn 8% and they keep 3% total of all charges, fees, commissions, etc, you are only adding 5% to your account. If your mutual fund loses 8%, you must pay their 3% from your funds. You can then decide if you need to switch investment options to lower the fees or start your own retirement fund. If so, we can help you decide: http://www.amazon.com/401k-IRA-Tax-FREE-Tax-Deferred-retirement/dp/1475057938/

David Lerner fined for ripping customers off

The Financial Industry Regulatory Authority said it ordered the firm to pay $12 million in restitution to clients who bought shares of a nontraded real estate investment trust known as Apple REIT 10. FINRA also fined David Lerner Associates more than $2.3 million for charging unfair prices on municipal bonds and collateralized mortgage obligations. You don’t have to pay unfair prices.

Save $3,000 on fees, commissions and charges every year: Do It Yourself Personal Finance by Dan Keppel.  Your financial team--agent, banker, broker, advisor and money manager--have been taking at least $3,000 every year from you. They only make finance seem difficult so you keep paying.

http://www.amazon.com/Do-Yourself-Personal-Finance-commissions/dp/1480156493 

Study says we kill our own investment gains

Two professors examined 40 studies of how we invest. Read the report on the missteps of individual investors. They detailed how individual investors make every mistake in the book and wind up either losing money or badly trailing no-brainer index funds.

Among the various sins that investors commit — and which cost them dearly — are:

•Trading too much, incurring big fees that more than wipe out their gains

•Selling winners while clinging to losers

•Focusing too much on individual stocks and not diversifying their portfolios enough

•Falling for stocks that get extensive media coverage or are trading near their highs

•Engaging in thrill-seeking behavior that confuses investing with speculation or gambling

•Trading or investing in financial instruments they don’t understand

•And, finally, despite all of the above, believing in their own superior investing ability

Only 1% of traders do well the study says. We try to mimic the Wall Street myth of the active trader—the Gordon Gekko character—with our own money. Wall Street actually only trades with OPM—other people’s money. Obviously the way to succeed is to do the opposite: Buy and hold a diversified group of stocks for longer periods. The easiest way to do that is with a low-cost index fund. Some of our members average over 10% a year by doing just that. http://www.amazon.com/What-Really-About-Building-Wealth/dp/146790287X/

Are you taking your RMDs on time?

If you own an IRA or retirement plan of any kind, the IRS wants its taxes. You have to take money out even if you don’t need it. The rule is here:  http://www.irs.gov/Retirement-Plans/Retirement-Plans-FAQs-regarding-Required-Minimum-Distributions:

“Required Minimum Distributions (RMDs) generally are minimum amounts that a retirement plan account owner must withdraw annually starting with the year that he or she reaches 70 ½ years of age or, if later, the year in which he or she retires. However, if the retirement plan account is an IRA or the account owner is a 5% owner of the business sponsoring the retirement plan, the RMDs must begin once the account holder is age 70 ½, regardless of whether he or she is retired.”

How much is your RMD? IRS table uses your life expectancy. Ask your trustee or use forms:http://www.irs.gov/pub/irs-pdf/p590.pdf#page=110. If you don’t need $ now, create an emergency fund or legacy for your grandkids: http://www.amazon.com/Give-your-Grandchild-000-Lifetime/dp/1456433105/

Romney tax plan eliminates 3 of our tax deductions to pay for $5 trillion gift to rich

The latest component of Romney's plan for individual income taxes would create a ceiling on deductions as part of a three- part set of limits on tax deductions, according to a campaign aide who spoke on condition of anonymity on Oct. 3 to provide details on the options. The aide said there would be a $17,000 cap on deductions and credits, while Romney suggested a ceiling of $25,000 during the Oct. 16 debate.

A second ceiling would apply to personal exemptions (now $3,800 per person) and a third cap would apply to the tax break for employer-provided health insurance.  If you have health care from your employer, you would need to pay tax on it.

Obama claims these changes raise taxes on the middle class and do not cover the $5 T loss in revenue. Romney claims the balance comes from economic growth. However, Bush tax cuts did not produce economic growth. They actually reduced our growth. http://www.businessweek.com/news/2012-10-24/deduction-cap-means-romney-s-math-adds-up-tax-group-says

Finding the right doctor/hospital is difficult and we are not comfortable with the one we have

Only half of Americans have felt that they have made the right choice when selecting a doctor or hospital, according to a new study by http://www.healthgrades.com/. Taking the time to carefully review a hospital's performance can directly influence outcome of care – and statistics show that, in some cases, can mean the difference between life and death. Our Guide helps you find the best for your needs: http://www.amazon.com/Health-Insurance-ONLY-right-policy/dp/1480125083

US corporate heads ask Congress to due its duty—cut spending AND raise taxes!

CEOs from more than 80 major U.S. companies are pressing Congress to reduce the federal deficit by raising taxes and cutting spending. The CEOs said the solution requires a combination of higher taxes and reduced government spending including on entitlement programs such as Medicare and Medicaid. They also seek federal investment in infrastructure and math and science education. "What it really comes down to is if we still have the political will to be a great country," Dave Cote, chairman and CEO of Honeywell International Inc., said in a statement.

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

We taxpayers are still backstopping the big banks reckless trading.

"The managers feel we are the suckers in their poker games of high stakes." There still is no firewall to prevent another financial bailout. “Very large institutions do have advantages in the marketplace when they are not allowed to fail,” Mr. Stern said. “This perception leads to excessive risk-taking, not because management says ‘let’s take more risk,’ but the way things are priced in the marketplace encourages more risk-taking.” Gary H. Stern, former president of the Federal Reserve Bank of Minneapolis and co-author, with Ron J. Feldman, of the prescient 2003 book “Too Big to Fail: The Hazards of Bank Bailouts.”

http://www.nytimes.com/2012/10/21/business/citigroups-torch-has-passed-now-find-a-knife.html?_r=0

Who owns your account now? 

Verizon is transferring some of its pension obligations to Pru. Verizon is using the agreement to lower risks related to pensions while improving its financial profile. It follows General Motors in payingPrudential to assume the risk that market returns are inadequate or that beneficiaries live longer than expected. Transferring obligations can reduce swings in earnings tied to securities and relieve companies of the need to manage large pools of money. “What Verizon is doing is what a lot of companies are considering,” John Butler, a senior analyst at Bloomberg Industries, said in an interview. “They are offloading the risk to Prudential.” 

Amerigroup merged with WellPoint. Amerigroup will head the combined company's Medicaid managed care business.

Northwestern Mutual changes back into an insurer from a thrift to avoid Fed oversight. Many insurers became Savings and Loan Holding Companies during the financial meltdown in order to have available extra cash at 0%. Now they have to put more capital. 

Sun Life Financial, a Canada insurer, is seeking a buyer for a U.S. annuities business.

IAN

41 Watchung Plaza, B242

Montclair, NJ 07042

973.746.2014

www.InsuranceAdvisorsNetwork.com