Your Wealth Reserve

Friday, December 16, 2022

Where has your advisor left you in 2022?

You can still afford to retire

Repairing your financial future can be done in steps. Take stock of where you are now before 2023 so you can use tax credits/deductions before 2022 is over. Consider some of the changes in retirement contribution limits and tax credits for 2023. For instance, Congress is still considering changes in refundable credits. Recent stock market history implies that we may see a large bump up in portfolio returns in 2023-24. Be ready to take advantage of those gains to catch up with your retirement plan. Many investors forget that once out of the market to try to avoid the downturn, they may miss the quick upturns that can happen in a 10 day lurch. Save money like billionaire Warren Buffett. Invest your tax refund for a $1,000,000 retirement fund in 35 years.

Use tax-FREE account: https://www.amazon.com/Tax-Refund-Millionaires-Let-Uncle-Help/dp/149595644X

Deduct $3,000 from your income; reduce tax

Before Dec 31, you may be able to sell some of your losing assets which allows you to deduct up to $3,000 this year from your income. I sold $3,000 of my Vanguard 500 Index since it is down for the year. I kept the rest since I know it will rise in future months. I don’t know when it will rise but I can afford to wait since I don’t sell in a panic and I am fully diversified. Look at the history of the market returns: 2008 -37.22; 2009 27.11; 2010 14.87; 1974 -26.95; 1975 38.46. Since I started investing in 1971, the market is up 12.69% a year on average. That beats CDs, bonds, real estate, gold, speculation of any type. Even in bad times like 2022, no fund has beaten the market index. Our government allows us to deduct the loss at $3,000 a year, every year until we have deducted all of our loss. So join the Tax-Credit class.

Pay less tax like the millionaire class: https://www.amazon.com/Tax-Credit-Class-your-credits-ZERO/dp/1539462382

Where has your advisor left you in 2022?

The financial services industry (your broker and advisor) did very well this year. BUT:

The average retail investor's portfolio is down 30%, compared with the S&P's 17%, according to Vanda Research. Tesla accounts for ~10% of the average active retail trader’s portfolio. So as the stock plunged ~55% this year, it wiped out $78 billion in value for retail investors, per Vanda." Overtime, these are the best market sectors even now: https://www.businessinsider.com/forgetful-investors-performed-best-2014-9.

In 30 years the average investor earns just 3.79%, not the 10-12% market rates. (QAIB)

Use Buffett advice: https://www.amazon.com/Warren-Buffett-Your-Investment-Advisor/dp/1518690963

How much of our charity donations can we deduct on our tax return?

Americans have always been known to be generous. However, the least able group to give (by income); gives the most as a percentage of their income—over 8%. The wealthy give less. The superwealthy obtain the deduction but retain control of who benefits. They use donor-advised funds and foundations to control who gets their charity.

IRS: deduction amount and average percentage of AGI:

Under $50,000 $2,588 deduction == 8.4% of income

$50,000 under $100,000 $3,305 == 4.5%

$100,000 under $500,000 $5,124 == 2.9%

$500,000 under $2,000,000 $25,510 == 3.1%

$2,000,000 under $10,000,000 $164,814 == 4.4%

$10,000,000 or more $2,813,343 == 9.3%

All returns $6,332 == 4.3%

https://www.amazon.com/Most-U-S-Corporations-Pay-No-Taxes/dp/1514274116

Most frequent cited financial regrets by retirees

1. Not working longer. 2. Not having insured income. 3. Claiming SS benefits too early. 4. Becoming financially dependent on others. 5. Not accumulating larger retirement fund. The most influential factor was shocks experienced earlier in life (e.g., divorce). The present paper considers different explanation for financial regrets--people may simply not understand how long they will live in retirement, leading them to make suboptimal life cycle financial decisions. Make your plan now.

https://www.amazon.com/Your-Plan-Live-Age-100/dp/1548180793

?**********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

Jan 21 2010 Corporations’ election-spending unlimited

Billionaires paid $881 million for votes in 2022 midterm elections

Nov 2020 Wealthy discredit election process

Nov 21 2020 Trump’s Plans for a Coup: criminal

Nov 21 2020: Trump plan: US Marshals seize voting machines

Jan 6 2021 Direct assault 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

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

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

Nov 8 2022 Trump’s “national revolution” failed

Nov 15 2022 Trump announces for 2024 to avoid lawsuits

Dec 3 2022 Trump: cancel Constitution rules so ‘I win’

Jan 2025 Dictator pardons himself: his Supremes agree

How Govt wastes our money:

1966 moon capsule splashdown in ocean: repeat moon shot wastes $93 Billion

Our tax money given to GM and LG to make lithium batteries? in OH TN MI

Buttigieg, transportation, often flies on taxpayer-funded private jets: fears confronting

NASA loses control $252 million ICON satellite, fears failure: no refund

Fentanyl is now the leading cause of death for Americans ages 18 to 49

Biden stops Sanders bill to stop helping Saudis kill Yemen citizens: leverage oil?

Biden tries to cut inflation by cutting jobs not excess profits and tax avoiders

SCAMS/SPINS:

Financial aid letters don’t reveal the real cost of college: fees, charges, costs added

Fisher Investments: “make money only when you make money” except fees every month

Fraudster Sam Bankman-Fried's gave $20 million to PACs and parties: Fights extradition

SCAM: Don’t click email with any of these subject lines in your inbox

8 fake traders CA,TX,NJ caught “pump and dump” scheme 2000: stole $100 million

Lawrence Billimek Nuveen, Alan Williams trader caught insider trades: net $47 million

Trump to pay for crimes by selling pictures of himself: $99 each: not rich anymore

We have done nothing about killing our children: 20 at a time in school: WMD are legal!

Glock switches have the ability to shoot 35 rounds in five seconds: TX machine guns

3 terrorists get 10-12 years in prison: kidnapping gov over mask mandate to save lives

TX to round up data on LGBTQ citizens: gender change records taken

Trump’s co-conspiracists plan to use our military to overthrow duly elected government

Trump’s to pay $4,000 fine for “willfully disobeying” four subpoenas: no deterrent!

D.C. Bar lawyer calls for Giuliani’s disbarment: filing suits to overturn gov is wrong

Twitter: don’t use it for biased news: one megalomaniac is enough:

Supremes’ decisions tilt toward Christian evangelicals: constitution says no favorite faith

Jobs

jobs-that-let-you-set-your-own-hours

Who owns your account now?

Best energy system: Heat pump vs Solar panels—pro & con

Start withdrawals from IRA, SIMPLE IRA, SEP IRA, retirement plan when you’re 72

Even Artificial Intelligence models can’t beat the low-cost index fund

40% dads believe parents hosting adult children is bad while only 12 % think it’s good

Miracles:

Picture worth thousands: https://twitter.com/DavidCayJ/status/1600229045387419648

How brain physics Distinguishes Memories From Perceptions

Winter Olympics may have to be held in Antarctica: global warming forces sites studied

Church turns into garden club; food pantry as people skip pews: do good works

Moderna's mRNA Skin Cancer Vaccine Shows Early Promise in a New Study

Arctic is Heating Up, Disrupting the Planet and Local Communities injured

Fusion experiment had net gain in energy but forgot to add energy to charge lasers

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 a little

Energy into matter: scientists converted light energy directly into matter in one step

Physics Nobel Prize: “entanglement” 2 particles share info instantly at a 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

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.

Inside protons, neutrons, it is the fields of the virtual particles that creates its mass.

“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 election itself.

Scientists build 'baby' wormhole as sci-fi moves closer to fact: inside quantum computer

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

www.InsuranceAdvisorsNetwork.com

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

Friday, December 9, 2022

Why Wall Street predictions are all wrong

The predictions financial gurus make are not reliable for your decisions. They are for circus “barkers” to attract your hard-earned cash to fuel the financial industry. Wall Street pundits’ predictions — like where the market will be in a month or a decade — is “mostly baloney,” one TV observer writes. Most people are terrible at predicting the future. That’s true of professional stock pickers too. Economists are really bad also. They have a terrible track record of predicting the economy, and the Federal Reserve has a terrible record of predicting the U.S. GDP a year [ahead]. “Wall Street refuses to acknowledge that stock forecasts don’t work because there’s too much money in forecasting,” Bob Pisani says. Traders say managing losses is more important than managing gains. But if you are not a trader, you need to “know your limitations.” His advice: behavioral biases are extremely powerful mentally. It’s very hard to shake them even when you understand. Pisani was asked, “Why don’t you hire a financial advisor?” Why do you think they’re better? Why do you think they don’t have biases? His conclusion: use low-cost index fund. They don’t have personal biases and they minimize losses.

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

Saving a million dollars

21,951,000 people in the U.S. have a net worth of $1 million or more. Among all states, New Jersey has the most millionaire households. Only 3% of American millionaires received an inheritance of $1 million or above. Real estate makes up about 40% of a typical millionaire's net worth. 79% of millionaires did not receive any inheritance from their family or relatives. 8 out of 10 millionaires come from low-income families. So it is possible for you to grow a $ million. The secret is not inheriting or inventing a better mousetrap. The secret according to Warren Buffett: compounding interest. Over time, your $250 a month becomes $1,000,000 from compounding not high salary. Only 31% of respondents surveyed had a $100,000 annual income at some time in their careers. One-third never made $100,000 a year at any point in their career. Many millionaires have a significant percentage of their wealth tied up in their primary residence. $250 a month, $3000 a year (average tax refund) becomes $1 mil in 36 years: $51,000 in 10 years, $104,000 in 15; and $191,000 in 20; $334,000 in 25; and $569,000 in 30; $957,000 in 35 years. Compounding adds $50,000 in the last year on average. Total invested: $108,000; total capital gains $952,454. You became a millionaire by earning 9 times your savings. You do it by using the only consistent market-beating mutual fund.

Start early: https://www.amazon.com/Where-can-your-child-invest/dp/1492164240

Can you still grow a retirement fund if you start LATE?

Every saved and invested penny counts in retirement unless you love to work. Many retirees still love to work at a reduced pace as long as they do what they love. If you are a teacher for instance, you may have had enough during the pandemic and are ready to change jobs. Some love working with kids and kids/staff are back face to face. It is never too late to start. You have decided to get serious about saving for your future. You are at a great advantage. Right now the stock market is down 17% for the year. This means you can buy a stock or mutual fund that cost 25-40% less than it did last year. For instance, Microsoft is now $244 not $334 and the stock index is at $393 not $480. Historically, important stocks and the market index have recovered in about a year. Since you are buying during a sale, the value of your account will reach a greater value so you can retire with retirement income. Using your company 401k low-cost index account gives you the advantage of growth without immediate taxes. Your fund compounds faster since your full contributions grow. If you avoid taxes and advisor fees, you could accumulate over $300,000 in 20 years adding $400 a month. If your employer matches some of your $400, you can reach $400,000. Since you are not going to take the full amount out the first day of retirement, you may be able to reach $500,000 after you stop working.

https://www.amazon.com/Robbing-You-Blind-401k-fees/dp/1493588966

Stock pickers lost your money

A new study of actively managed mutual funds by S&P Dow Jones Indices asked that question and came up with a startling result. It found that not a single mutual fund — not one — managed to beat its benchmark in either the U.S. stock or bond markets regularly and convincingly over the last five years. Why? Costs. Experts who are not hyping their own businesses agree that “an investor can expect to do better by holding a well-diversified, low-fee, passive index fund than by holding a few stocks.” Over time, no one Wall Street ‘professional’ is consistent enough NOT to cost you earnings. In fact, if you are paying them from your account, they may be taking up to 63% of what you would have had. In fact, Dalbar, the financial scorekeeper found that the index provides 11% return over 30 years while the investor using pickers’ funds earns only 3.79%. That is a huge loss to you. Especially in your 401k plan, mutual funds that pay rebates plus direct fees reduce your net gains drastically over time. Costs matter!

https://www.amazon.com/Best-Predictor-Investment-Success-Cost/dp/1502524082

Can you safely take 3% or 4% from your egg during inflation?

There are advisors who advocate different rates of spending from your nest egg. The two most popular are 3% or 4% a year. Using the historical market data and $1 million retirement fund, this analysis says “the 4% rule does work most of the time, but watch out for periods of high inflation. Don’t blindly take out 4% a year when inflation is high and your portfolio performance is low. The 4% rule may be something like 95% effective historically, but being flexible with your withdrawals will prevent complete disaster even if you are in the bad luck 5%.” I take this advice of “being flexible” as the best advice available from the analysis. Since I have a mostly qualified retirement fund, I must withdraw a mandated RMD of about 3.2% of last year’s lesser total accumulation. If I need more income, I take out some of my losing cash account stocks. Let winners run.

https://www.amazon.com/What-your-RMD-much-spend/dp/1718946716

Wealthy learn new ways to avoid taxes in MA

MA has passed a new tax on millionaires. Millionaires are paying big fees to their accountants and advisors to escape the tax before they get the bill. They tell them 1 that if your income is over $1 million, you could try to receive some before the end of 2022 instead of in 2023 when the tax goes into effect. 2 spread income over time so you don’t exceed $1 million. 3 use 1031 exchange to postpone tax on a rental property gains. 4 move out of jurisdiction. Many states are run by millionaires and billionaires and thus are unlikely to ever tax millionaires. If your $ millionaire status is because you may receive a one-time bump, your accountant may already have ways to keep the income out of your 1040. Many business people use their structure to show income in different ways. This may help them avoid taxes like our former president did.

https://www.amazon.com/Americas-Socialism-Rich-little-people/dp/1535218584

?**********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

Jan 21 2010 Corporations’ election-spending unlimited

Billionaires paid $881 million for votes in 2022 midterm elections

Nov 2020 Wealthy discredit election process

Nov 21 2020 Trump’s Plans for a Coup: criminal

Nov 21 2020: Trump plan: US Marshals seize voting machines

Jan 6 2021 Direct assault 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

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

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

Nov 8 2022 Trump’s “national revolution” failed

Nov 15 2022 Trump announces for 2024 to avoid lawsuits

Dec 3 2022 Trump: cancel Constitution rules ‘I win’

Jan 2025 Dictator pardons himself: his Supremes agree

How Govt wastes our money:

Facial recognition at the airport: gov claims not making national database

New bomber @ $750 million each: 100 ordered to kill everyone in the world.

Tax changes for 2022: avoid filing paper return do to fewer processing staff

Trump Org guilty of tax fraud: Trump signed check to evade employees taxes

Meet the people who actually make US laws so their bosses can profit more

Drop in labor costs points to private sector profits as a main driver of inflation

SCAMS/SPINS:

BEWARE: St. Louis banishes people from swaths of city: punishment for petty crimes

15 yr old canvasser for Sen. Warnock shot in Savannah: democracy on the line

Discrimination in name of free speech: Christian Nationalist web designer hates gays

VA restaurant refuses to serve Christian conservative’s event

RoboCalls: almost all our phone calls go to https://nomorobo.com/: cancel land line?

AT&T caught selectively leaking financial info to Wall Street analysts: fine no jail.

Tesla caught deceptively marketing its driver-assistance systems: more complaints.

BEWARE: Tesla Semi may not see you slowdown or passing.

Hertz caught getting renters arrested for theft due to poor tracking: fine no jail

Hackers linked to Chinese government stole $20+ millions in Covid benefits

TX bans TikTok on official work machines

MiddleMen want $30,000 to see Swift: Handel’s Messiah in a historic Cathedral $40

Eight universities partnered with online sports-betting companies: 2^nd student loan

Trump took/hid more state secrets in his storage unit West Palm: selling to pay taxes?

Another church hides sex abuse so no perp is arrested: sex in the name of God

Child abuse doctor indicted in jail: priests bishop minister abusers never indicted-run free

Rage: 40% drivers admit they carry gun while on the road: 50% knife; 45% pepper spray.

WV may have drug users sterilized for reduced sentence: “reduces drug babies”

Supremes decisions tilt toward Christian evangelicals: constitution says no favorite faith

Another Trump-style dictator coup fails: Peru Castillo tried to dissolve Congress

German terrorists seeking to overthrow the state caught: they are everywhere

US says Saudi prince beyond law: killing reporter is OK since prince of oil exporter

Jobs

On the move: 24% of U.S. homebuyers looked to relocate to new cities

Remote jobs are in demand, but positions are drying up

10 college degrees that job seekers regret obtaining

70,000 new staff members over the next five years in financial services: $50K - $130K

Chip maker Phoenix factories 13,000 high-tech jobs, 4,500 TSMC; rest by suppliers.

Warnock projected to win Georgia's Senate runoff on Tuesday

Warnock for 2024?

Who owns your account now?

First solar electric car: charge every 2 months or leave in the sun

Tesla self-drive RV semi gives you portable home that drives you there overnight

Why our family can’t afford a baseball game: $360 million pay for 1 player

Miracles:

Unemployment income exclusion: IRS sent letter 12/2/22

We’re Blessed: recent scientific research suggests that life in the universe is rare.

‘Walnut Queen’ Broke Lots of New Ground: when you think you have difficulties

First early screening test for pancreatic cancer: urine tested in dish

Trump’s Supremes consider end to voter-decided elections: state pick electors a la Trump

Zelensky: TIME 2022 person of the year: Sell mags: Trump 2016 person of the year?

Women of Iran: TIME 2022 Heroes of the year

Griner free in prisoner swap for arms dealer

Hurricane erosion reveals 1800 shipwreck on Daytona Beach

CA homeowners losing their water to growers’ wells in the Central Valley

Covid death up: Vaccines for Holiday celebrations: https://www.vaccines.gov/

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 a little

Energy into matter: scientists converted light energy directly into matter in one step

Physics Nobel Prize: “entanglement” 2 particles share info instantly at a 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

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.

Inside protons, neutrons, it is the fields of the virtual particles that creates its mass.

“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 election itself.

Scientists build 'baby' wormhole as sci-fi moves closer to fact: inside quantum computer

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

www.InsuranceAdvisorsNetwork.com

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

Friday, December 2, 2022

These money managers have “best” investments safeguards?

These money managers have “best” investments safeguards

These managers promise to safeguard your money for the next 10 years using Treasuries or high-yield bonds or gold or real estate. But what if equities regain their glow next year like they have in the past? Buffett’s strategy of buy and hold a low-cost S&P 500 index fund has proved his genius. This index is down 15% this year but in 2009 it was up 27.11% after being down in 2008 -37.22%; it was up in 2003 28.72% after down in 2002 -22.27%; it was up in 1991 30.95% after down in 1990 -3.42% and up in 1989 by 32%. This index provides over 11% over time and reflects every sector of the market. Recently it was dominated by the tech firms since it is structured along the current market capitalizations. But also recently, the Energy index soared. The index fund you pick must be a low-cost one so that you don’t give up HALF your gains to the seller over time.

No safeguards; just hype: https://www.amazon.com/Fact-based-Investing-first-million-hardest/dp/1977574270

Retirees will need to un-retire and go back to work

The National Institute on Retirement Security reports that almost 40 million households have no retirement savings. An October 2020 study by the Center for Retirement Research calculated median retirement account (401(k)/IRA) balances by age from Federal Reserve survey data. The average worker will receive about $412 a month by age 66. The average SS benefit is $1,544. Instead of investing in a ‘safe’ 5% investment option, you could use the low-cost S&P 500 index fund and receive $3,491 a month based on the historical average return of 10% a year. Starting late at age 35, you can easily cover your average expenses of $2,479 monthly. Here are the current numbers:

35 to 44: $51,000
45 to 54: $90,000
55 to 64: $120,000

The median retirement account balances will leave the average worker in need of another job during retirement. You could also use a special tax-FREE retirement account.

https://www.amazon.com/Tax-FREE-Retirement-code-lifetime-income/dp/1475206976

Options for your 401k, 403b retirement money if change jobs

To avoid ruining your retirement fund, there are several ways to preserve your tax advantaged accounts. You may be paying taxes and fees you don’t need to and thus canceling the Miracle of Compound. Buffett regards compounding as the key to his unparalleled asset accumulation of $109 Billion. Compounding is earning money on your money without doing a thing. You give up this strategy if you do not keep your nest egg growing AFTER you leave your job. Leaving your 401(k) account behind in a former-employer plan after changing jobs can cause participants to lose up to $7,000 in fees over the long term. If you keep your account’s tax-favored status by moving your funds from your old employer to a rollover IRA directly, you keep the Miracle working for you. Directly moving money from your old account to your new account by having your IRA trustee handle it, you avoid paying tax and fees on the balance. If you cash out or take possession of the lump sum, you will lose cash and also the Miracle. Example: your 401k is worth $150,000. You lose your job and take the money or you miss the deadline for a personal rollover. First your employer must deduct 10% and send it to the IRS. There may be a fee to close out your account and send you a check.

Use the Miracle: https://www.amazon.com/Miracle-Compounding-Turn-day-into/dp/1470176513/

Another way Congress lets billionaires avoid taxes we pay

Ray Dalio money manager and the industrialist Koch family have pioneered philanthropy through the 501(c)(4). More than just a charity, it can avoid punishing taxes so they can become multi-billionaires. They don’t pay their fair share as we must. Congress allows them to retain business control even though giving to charity is supposed to the opposite. When we give to a charity, we don’t get to control the assets we gave. Because the wealthy retain control of the assets they got a tax deduction for, they can use the asset values to influence politics. Corporations can now give unlimited money to candidates and Congressional lobbyists. This means they can control how and where they spread influence. This is the most effective “dark money” political giving tool. We are limited to $2,900 gifts and so don’t even get an audience from out representatives. The C4 structure allows Patagonia’s Chouinard, 84, donated his company to create a new $3 billion environmental nonprofit that will exert influence long after his lifetime. Senator Sheldon Whitehouse, a Rhode Island Democrat calls 501c4 an “increasingly powerful tool for mischief by the mega-rich.” We have one way to avoid paying their taxes.

https://www.amazon.com/New-American-Retirement-System-TaxFREE-ReserveTM/dp/1461030072

Is a Health Savings Account (HSA) right for you?

Many working people will enroll in a high-deductible health plan. That means that you are also eligible to contribute to a Health Savings Account (HSA), which has triple-tax-free benefits: tax-deductible contributions, tax-free earnings growth, and tax-free withdrawals when used for qualified medical expenses. This makes them better than even Traditional and Roth IRAs. You don’t give up your contributions each year (Flexible Spending Accounts) and you can use the funds in retirement to supplement your other retirement funds. There may be more health related expenses in retirement than when you were working. This makes this account very desirable. Find out more here.

Max out all your benefits: https://www.amazon.com/Maximize-Social-Security-Benefits-Retirement/dp/1495439224

How much should you invest for a decent retirement fund?

Most people have no idea how much and in which investment option they should be putting their hard-earned money into. Even though we never had a class about this important subject in high school, it becomes a critical and easily answered question. As a 30 year old in my first good job earning less than $10,000, I saved nothing. By 1988, I made about $15,000 and saved about 6% in Fidelity’s popular Magellan Fund because my boss showed me his statement’s gains. From then on I invested in stock growth funds inside my tax-advantaged 401k. Some employers matched my contributions and some did not. For those who did not, I put my now 8% into a tax-deferred IRA, taking the tax deduction which lowered my overall annual income tax. The stock market tumbled a few years but I did not know of any other alternative. Actually I tried to sell all my company fund shares during the beginning of the Gulf War but my broker did not follow my instructions. He tried to sell me a deferred annuity. This would have been a bad choice since the mutual funds soared 31% in 1991. I never used a broker after that. I moved everything to Vanguard since the fees were lower than all the other funds I owned. I stayed in growth stock funds for the rest of my working life. I owned about 10 different broad stock funds and really did well in 2021. I moved 50% of the total retirement funds to a balanced fund in 2000 and 2001 with no commissions. During my once-a-year review, I estimated my retirement income using Vanguard’s Retirement Income Calculator. Years before retirement, I used the Vanguard Nest Egg Calculator to make sure I would have enough to live on. If I started investing today, I would use the tax-FREE Roth IRA account instead. This would reduce my income taxes from other sources like Social Security benefits, which are taxable at my current income level.

Make sure you use all your credits and deductions

Certain credits may give you a refund even if you owe no taxes. Because the IRS does not tell you if you missed a credit or deduction and your preparer only looks for a refund of any size, you may be missing $hundreds in refunds. You need a basic knowledge to make sure you don’t overpay. In fact, you may avoid the tax prep fees if you can follow the basic pattern of your tax return from last year. Most people have the same income sources and expenses as previous years. So most income tax filings can be done by you for free with one of the sites authorized by the IRS: https://www.irs.gov/filing/free-file-do-your-federal-taxes-for-free or volunteers at https://www.irs.gov/individuals/free-tax-return-preparation-for-qualifying-taxpayers. Saves you $323 or more.

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

?**********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

Jan 21 2010 Corporations’ election-spending unlimited

Billionaires paid $881 million for votes in 2022 midterm elections

Nov 2020 Wealthy discredit election process

Nov 21 2020 Trump’s Plans for a Coup: criminal

Nov 21 2020: Trump plan: US Marshals seize voting machines

Jan 6 2021 Direct assault failed: guns & bombs ready

Trump engaged in a "criminal conspiracy" to stop Biden