Friday, September 7, 2012

Make sure your student has the facts


Wealth: What Every High School Student Needs to Know NOW at iTunes $3.99

Use a simple tax-FREE account called a “Wealth Reserve” to learn how to invest for long-term growth.

This Wealth Reserve can provide $160,000 annual retirement income for life with NO income tax.
This Wealth Reserve can provide real “lifestyle” security.

This Wealth Reserve can self-insure and self-fund financial needs saving $3,000 every year.

This Wealth Reserve takes advantage of the miracle of compounding—$250 a month becomes $2,000,000 over time.
Start today! Every year you delay costs you $100,000 later.
http://itunes.apple.com/us/app/wealth-what-every-high-school/id540588535?mt=8


 

What is your retirement income plan?

How much will you receive from Social Security?

From a part-time job?

From your nest egg?

From your other assets?

Having a plan makes your life easier in retirement. Do it now so you can have peace of mind. http://www.amazon.com/Your-Retirement-Spending-Plan-enough/dp/1461084016/

 

Did you receive an IRS notice about IRA contributions?

One member received a notice for more tax because IRS claimed the filers were not allowed to deduct all the contributions because the spouse was covered by a pension and the other was not. This member did not accept the IRS claim since their tax preparation was done online using one of the firms the IRS listed on its website. The member also looked up the rules about IRAs and sent the IRS a copy of the page in question. Recently, the IRS gave up and did not require more tax. The IRS is staffed with folks who may not know all the rules—too many to know. It also pays to mention that you used the software firm listed at http://apps.IRS.gov/app/freeFile/jsp/index.jsp?ck and paid $10 for it.

 

 

Our taxes provide extra income to mega farms—Socialism for the rich

In 2011, corporate farmers earned a record income of more than $100 billion. With crop insurance and very high prices helping to compensate for a smaller harvest, incomes should remain strong, says an Iowa State University agriculture economist. Our taxes buy insurance for farm businesses that can show a “revenue” drop. This drives up the price of land and rents for smaller family farms. Food prices soar to offset lower supply of crops that now goes to making fuel and exports. Large agribusinesses get bigger.

 

CA establishes citizen health care co-ops to save premium; expand benefits

“These CO-OPs are a help to California consumers by returning surplus revenue to members in the form of lower premiums, lower cost-sharing and expanded benefits.”

The bill implements a provision of the Patient Protection and Affordable Care Act.

The bill would also make co-ops in California eligible for federal grants.

Under the health care law, those seeking to form a CO-OP may apply for $3.8 billion in federal funds in the form of low interest loans. To date, 19 non-profits, offering coverage in 18 states, have been awarded over $1 billion by the Department of Health and Human Services.

 

GOP-run states have declined to set up health exchanges—citizens lose

Putting their citizens’ health farther in jeopardy, GOP-led states do not see the advantages of raising health access and screenings for those in need.


 

Is buying long-term care insurance when you are young right for you?

The LTCi industry is pushing this product for the young at work because sales have been slow for seniors. The sellers use arguments about how people at any age may need care. They cite very inexpensive policies. They drag out the best-case “examples” from insurers to show that someone actually received $730,200 in benefits at age 28 or 44. There are few details but the message is clear. http://www.lifehealthpro.com/2012/09/06/the-24-year-old-ltci-claimant?ref=hp

You can hit the LTCi benefit lottery by playing and you must be in it to win. But this policy is a really poor choice for young adults with few dollars to use for the rest of their lives. Yes, there are a few people who benefit just like there are a few wealthy widows and widowers. However, this is not the kind of long-odds bet you want to make at age 21. Buy LTCi at work ONLY if you have maxed out your 401k and Roth IRA and have a golden comprehensive health policy. You have a greater need for ready money later in life without having to become disabled first. For example, $250 a month can be worth $1million tax-FREE later. And you don’t need to get sick.  http://www.amazon.com/Lies-Financial-Advisors-Told-alternatives/dp/1478281545

 

 

 

Book review: Bailout: An Inside Account of How Washington Abandoned Main Street While Rescuing Wall Street Neil Barofsky (Author)

A taxpayer’s look inside the way Washington acts when our country is in crisis created by one of its own power centers. Prosecutors hired to stop fraud and waste of our tax dollars are considered enemies by bureaus with the money to bailout their friends and intentionally hurt homeowners. Programs were “designed by Wall Street, for Wall Street.” (p. 129) All the banks that bet their money with AIG got 100% back—no losses. http://www.nytimes.com/2009/11/20/opinion/20krugman.html

Despite Congress funding to modify struggling homeowners’ loans, servicing banks and holding companies pushed foreclosures because fees are higher for them than for modifications. Treasury poured money into banks without any accountability, thinking that banks would never do anything wrong. Banks paid bonuses, fixed their balance sheets, bought other companies—spent all $700B without improving lending. Bank stockholders and executives that should have lost their jobs and their investments due to their own failed policies were paid off. Treasury even approved bonuses for the AIG execs who caused it.

Consider Angelo R. Mozilo, the CEO of Countrywide, one of the biggest bad loan originators. He never faced a trial let alone jail time. He was named second "Worst American CEOs of All Time". He received $57 million in 2005 at the height of the fraud.

 

Barofsky concludes, “future massive crises—and bailouts—are … inevitable.”

 

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

 

Socialism for the rich

Crop insurance for agribusiness—drives up prices for land too.       

Oil and gas subsidies—drilling already paid for by speculators.      

Cotton subsidies—we have to pay off Brazil farms.  

Rice subsidies—mega farms collect most of it—two firms got over half of total. http://farm.ewg.org/top_recips.php?fips=00000&progcode=rice&regionname=theUnitedStates

 

Who owns your account now?

American Financial Group's supplemental insurance business to Cigna

Hartford s Retirement Plans business to Massachusetts Mutual Life

 

IAN

41 Watchung Plaza, B242

Montclair, NJ 07042

973.746.2014


 

 

 

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