Friday, March 3, 2017

Increase your tax refund: Uncle Sam helps

Increasing your tax refund—Uncle Sam pays you to work and save
How can you increase your refund is a question I get when I do taxes as an AARP volunteer. First, the best way to increase your refund is to run a small business. Every expense you have remotely connected to that business is deductible and losses subtract from income. Example: Trump’s clothing and his clubs in FL and NJ were deductible because he stayed there ‘on business.’ In at least 3 years, his losses were greater than his income and thus no tax. Second, make a deductible IRA contribution to reduce income AND receive a tax credit. Double Benefit! Third, count up all your medical expenses. Some states allow deductions from dollar one. Fourth, count up charity and expenses for the job. Fifth, take a course to improve your skills in computers and take the tax credit against what you owe. Sixth, reduce taxable income by using FSA at work. The child, child care, education, and earned income credits are the most powerful—they reduce your taxes dollar for dollar. I owed $956 on my income but I reduced it by 25% using my wife’s CE education credit, my new windows credit and my retirement savings credit.
Finally, you can save $200-$400 by doing taxes yourself. New software from one of the IRS partners makes it easy: https://apps.irs.gov/app/freeFile/jsp/index.jsp

GOP plans to eliminate lunch for the kids
The debate over free lunch is no joke. Last year, Republicans pushed to introduce a bill that could have stopped thousands of schools from offering free lunch to all public school students. Education Secretary Betsy DeVos made a joke Thursday about no one getting a free lunch at the Trump Political Action Conference. But the comment came as DeVos, a billionaire staunch opponent of public schools, leads the nation's free lunch program that provides nutrition to low-income students and is under attack from Republicans, raising questions about whether the administration of President Donald Trump will protect food aid programs for children, NPR reported. Some kids don’t have breakfast so lunch is important. Roughly 31 million American school children qualify for free lunch. 
The cost savings from ending kid’s lunch never shows up in total spending for war.
Hiring freeze cancels Army child day care—soldiers home and not on duty.
Cutting EPA, SNAP and State makes water dirtier and less refugee vetting. Don’s trips

Save enough from what you spend now for $1 million retirement
Do you handle your money like wealthy people do? Most wealthy people did not win the lottery or inherit wealth. They worked at a business and saved/invested over 15% of their income. They paid bills on time, borrowed only to buy income producing assets, planned spending, started saving early and automatically, negotiated price, avoided whims, cut fees, used free stuff, and researched every buy and never paid retail. For instance, instead of waiting for their $3,000 tax refund in March, they had the employer take out less from their check and set up automatic investing by their IRA trustee FREE.

GOP talk of ‘freedom’ to choose health care is from another world
GOP uses marketing trick to sell 1970s health care plan as replacement for ObamaCare. In their world, “freedom to choose” plan is important. Romney used to say ‘I want to be able to fire my insurer.’ Our “Reps” live in a millionaires’ world and so they can afford to buy any plan they want plus supplemental coverage. Most of us can’t afford to buy what Ryan and his group receive from us taxpayers: a comprehensive insurance policy that includes completely paid hospital and doctor and prescriptions for any doctor in DC and their home county. The average cost is about $24,000 for a couple. 75% is paid by our taxes. They pay the balance with a pre-tax HSA funded by their salary of $174,000 plus perks from lobbyists and their PACs. Just like Trump’s cabinet, their world is about ‘choice’—steak or salmon—not deciding if they must give up food or a doctor visit for their child. They don’t cut their pills in half so they can stretch their $10 an hour pay. Health is required to fulfill our “Life, Liberty and the pursuit of Happiness" promise. 
GOP promises ‘access’ to buy any policy; not AFFORDABLE comprehensive coverage.
Americans want what our Reps have—affordable full coverage from local providers. Americans who need health care can’t use a tax credit—they don’t have taxable income. When we go to ask our GOP Reps about health, they even lie about showing up.


Index or brilliant stock picker?
Best stock picker Warren Buffett bet $1,000,000 that an index fund you can buy would beat the brilliant stock pickers running an exclusive hedge fund—a bet he made nine years ago. Since then, a standard S & P index fund overseen by Vanguard is up 85 percent, easily outpacing the hedge funds’ return of 22 percent. The managers get the yachts while investors get the fees. For a short or long term investor, an index wins. For a bear or bull market, an index wins. Retirement savers in 401ks or IRAs beware: you can give up 63% of your potential nest egg using high-cost managers. No one knows the future but we do know that 65% of us don’t know the fees we pay. Some managers imply their advice is FREE. Wall Street takes over $500 BILLION from us every year. Buffett explains why the market average will beat all the brilliant stock pickers on page 21 of his report. He reveals his strategy and why wealthy people DO NOT take his advice.

FREE tax preparation
Advertising to you is how they pay for free credit score and “free” tax prep
https://www.creditkarma.com/ needs your views to obtain dollars from sellers of financial services and they give you software to file federal and state taxes at no cost. If you need to file a simple return, this is the cheapest way. Usually simple means you have W-2 income and few deductions. The IRS has a topic look up so you can find the answer to your question easier than waiting on the telephone for an operator to answer:  https://taxmap.ntis.gov/taxmap/. Also, you can do your federal online FREE using commercial sites through the IRS https://www.irs.gov/uac/free-file-do-your-federal-taxes-for-free. These sites charge for a state return. You can also use a local AARP tax aide office: http://www.aarp.org/money/taxes/aarp_taxaide/ AARP does not discriminate by age or income so they can usually take care of most people. Best tip: deduction for IRA contributions and tax credit up to $2,000 subtracted from tax you owe. Double Your Pleasure. 

Your tax refund: The PAINLESS way to create tax-FREE wealth
The average refund—fed and state—is about $3,000. How long would it take your INVESTED refunds to reach $500,000? 40 years, 35, 25 or 20 years? It takes 1 hour to start a $1/2 million fund. You do it with a fully-licensed telephone rep not an advisor/broker. Their fees can take 63% of your accumulations over time. Use the Buffett strategy and get to $1/2 million in about 27 years. You invest in America’s best companies earning 11% on average long-term. And a new study by McKinsey found that companies taking a long-term view outperform all others. A money manager gets a bonus for short-term results. It’s your money; you keep your bonus.

GOP selling Social Security and Medicare cuts by claiming to “save” program
Ryan and the GOP are using a marketing tactic to cut spending on our programs. Even the AARP advocates “saving” Social Security and Medicare. Our millionaire Reps will cut benefits and thus “save” the program. They want us to leave the details of cutting to them behind closed doors. Everyone is FOR “saving” programs. But cutting the benefits to save them is not what Americans have in mind—it’s a trick. Since most recipients of these programs rely almost exclusively on their benefits, they assume their Reps in Washington will increase them to match inflation. Americans paid for both benefits all their lives and see no reason to limit them because of demographic shifts and Congress’ wasteful spending. When the price of F35 fighters is raised by Lockheed, we pay up no matter whether over budget or not. I should not have my benefits cut because Congress limits the amounts the rich have to pay into the system. I had to pay my 6.2% of salary but anyone making over $118,000 did not have to pay on all theirs.
Congress can undo this American Socialism for the Rich: https://www.amazon.com/Americas-Socialism-Rich-little-people/dp/1535218584

Will you have enough income for the rest of your life?
We don’t know if the GOP will get away with cutting Social Security and Medicare benefits. Some of us don’t want to wait to find out so we plan ahead. Of course no one knows how long you and your spouse will live so we must consider our alternatives. Insurance actuaries do this for a living so we can use their estimator to get some idea at http://www.longevityillustrator.org/Profile?m=1. The most important part of having enough is to stay invested in stocks. If you decide you will not take a risk on the long-term return of 11% a year for stocks, even for part of your money, you will need to keep working during your retirement. If we assume one of you will live to age 90, you would need $600,000 to receive $20,000 a year for 30 years; $800,000 for 40 years.  http://www.moneychimp.com/calculator/present_value_annuity_calculator.htm
Unfortunately, inflation will make $20,000 worth $5,000 in 40 years. To defeat inflation we need to own stock funds—at least half of all our future money has to earn equity returns. Some advisors push annuities with the guarantee of a fixed but decreasing value. The smart way is to imitate an insurer’s fund yourself. There are no refunds for annuities. Best alternative:  https://www.amazon.com/Best-Annuity-Strategy-Income-Growth/dp/1497532019

Beware: Looking good is easy; quality is hard
These ten vehicles were voted ‘less well made.’ They might be OK if you lease for your business but consider that they may need more maintenance than a 3 year old Camry or Accord. Paying a lot does NOT guarantee quality. Mercedes and Dart are both on the list. Foreign and domestic, small and large, are represented. Certain models not to buy. Do your research: JD Power, CR, KBB.com.



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We are entering the Twilight Zone:
"There is a fifth dimension beyond that which is known to man. It is a dimension as vast as space and timeless as infinity. It is the middle ground between light and shadowbetween science and superstition, and it lies between the pit of man's fears and the summit of his knowledge. It is an area which we call the Twilight Zone" where “alternative facts” and illusions of conspiracies are lived out. Lies are considered truth. 
Rod Serling
  

Remember, Don Trump is still a contractor from Queens NY, just richer than most. As a promoter, his income is from lending his wealth “brand” to other’s buildings and golf. The Don does not like to read so policy is 1 page of MAPS—he likes maps and TV. He conducts secret state business in front of the wealthy, letting them play with the nuclear “football” that can kill us all. Richard DeAgazio might be Russian spy who switched nuclear briefcase on Rick during photo op. Creates fear to control base. Tweets all night.

Real Donald Trump called for lock-step marching by all and remember your brown shirts. When ideology “discards and chops off” the facts and calls world normal.
Conservatives jump into anarchy: “the deconstruction of the administrative state.” Bannon called himself a “Leninist” who wanted to “bring everything crashing down.”

Racist legacy:  “get out of my country” supporter kills restaurant patron in KS. Bannon previously articulated his dismay with South Asians supposedly dominate Silicon Valley.
White high schoolers launch verbal assault “Trump, trump, trump” in racist chant.





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Promises (lies) and Actual outcomes:

One dictator threatening another dictator with “military force” --who starts war first?     N. Korea missiles vs Trump strongman “get tough” talk may provoke missiles.

Pence using personal email for state business (Hillary crime?) and was hacked.

Impeachment:
Americans think Little Dictator has already violated Constitution: gifts from foreigners.
The Don accused Buffett of not paying tax like himself: the liar has to hide Russian deal?

Sessions, top cop, lied to Congress re: Russia’s help blasting Hillary: 5 years in prison? No, Constitution's Speech or Debate Clause shields lawmakers from prosecution for lying

GOP votes to hide President’s tax returns forever—Russia’s involvement state secret!

Delusion: These are his “accomplishments” for the month—Signed 12 papers; 12 hired.
WOW, the Don is told that health insurance is “complicated.” No Exec Order fix.
"We have to start winning wars again," but terrorism is beaten by Seal Team NOT bombs

Little Dictator just barred press at WH briefing: The New York Times, CNN, The Hill, Politico, BuzzFeed, the Daily Mail, BBC, the Los Angeles Times and the New York Daily News were among the other news organizations not permitted to attend.

Little Dictator allows immigration officers to use police tacticsno accountability.

Deportations will drive up wage workers hourly wages—NOT what GOP intended
Muhammad Ali’s son detained at a Florida airport and questioned about his religion.
Internet steps to have someone you don’t like deported: https://www.usa.gov/deportation

The Don says we, not him, must cut our lifestyle and “live with less”: must buy military.
Cost of guarding Tower, buildings, 2 golfs, airplane, etc, $500,000 a day NYC alone.

The Don pats himself for Obama’s economic growth and drop in debt he did not make.

The Don encourages TX discrimination against Dems in voter ID law. GOP wins.


The Don blames Obama for protests at town halls of GOP reps.
Obama receives the JF Kennedy “Profiles in Courage” award for service under pressure.

Rick ‘I forgot’ Perry runs? Nuclear and Ben ‘no experienceCarson runs? Housing Ohhh



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Regulators are the only protection against corporations since we can’t sue anymore

Trump to allow power plant pollution and mining on protected lands—Acid rain back.

We need regulation—GOP wrong—companies/cities wouldn’t fix bad products on own
GM killed 124 because ignition switch pin not replaced after knew it killed first in 2006.


Police want gun control.
When everyone has guns; your chance of being killed goes up. Police don’t know who to shoot. They assume everyone has one and shoot first. You and thief have guns. CO schools now allow teachers/administrators to carry guns in the classroom. Kid lesson! Since 2015, police have killed 86 people with realistic looking FAKE guns--suicide?



SCAMS:
Texting while driving (Oscar show) is dangerous too.
GOP still blaming Obama for all that goes wrong—now he is leaking from WH.

Ignoramus Award:      
Why is Conway, legs up, on Oval Office couch? People’s couch!

How our government wastes our money:
More bombs will not make us safe—Bush tried that and it failed. Obama’s Seal Team 6!

Where have all the jobs gone?
Health care and pharma jobs grow as more people need help living
Handyperson jobs grow as fewer people can do chores
Lifetime MANUAL labor down to 10% of workforce—multi-cultural age blended work. 
Specialty, niche, temporary, topical, and non-career growing; technical shines on Lupe.
LG appliances 600 workers TN

Which job board sites are best for your job search?

Who owns your account now?
Teamsters Road Carriers Local 707 Pension Fund folds 4,000 get screwed.


Robo calls handled by Mr NoMoRobo: https://www.nomorobo.com/

Miracle:
Only real victim of priest abuse quits Pope’s panel on abuse since no action on priests

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