Your Unbiased Advisor: August 2021

Friday, August 27, 2021

Make your grandchild a millionaire

If you are wealthy or they have time to accumulate wealth, you can help them have enough money to do what they really want to do. 1^st case: give each grandchild $15,000 a year with no gift tax. A custody or cash account with your stock mutual fund can become a $million in 20 years. 2^nd case: give each grandchild $250 a month using automatic investment from your bank account. A custody or cash account with your stock mutual fund can become a $million in 35 years. If they convert their account to a Roth IRA the account earnings will become tax-FREE when they take the money out.

Gift of a lifetime: https://www.amazon.com/Give-your-Grandchild-1000000-Lifetime/dp/1456433105/

Can Congress complete the Social Security stabilization for us?

The SS Trustees Report says that we will have our SS benefits cut by 25% in 2034—just 12 years away. Congress has trouble understanding it takes time to accumulate the funds that will provide the benefits. Reason: most are multimillionairs and won’t need benefits. Wealthy members don’t want to think about taxes. Some don’t even realize that global warming is reducing their $ billions of assets. However, if we are to survive in retirement, we need to convince the split Congress that Americans agree on THREE things: ensuring Social Security cost-of-living adjustments (COLAs) are enough to, at minimum, keep up with inflation; reinstating Social Security payroll taxes on people earning more than $400,000 per year; and providing a Social Security credit to unpaid caregivers. Because Congress may not agree in time to correct the situation, prudent folks must take action.

Start today: https://www.amazon.com/Maximize-Social-Security-Benefits-Retirement/dp/1495439224

Are stock dividends the best way to create retirement income?

Some advisors are convinced that stock dividends are the best way to fund our retirement. Few stocks pay over 3% in dividends. At $6 a year, owners of 3M for instance, must own 5,000 shares at $194 a share or about $1,000,000. Luckily, dividends are taxed at lower rates than income from 401k or IRA funds. However, we may do better by owning non-dividend shares like those in the S&P 500 that we can sell as needed with fewer taxes. Also, with inflation returning to the historical 3%, a dividend yield of 3% may actually be losing us long-term buying power. Stocks returns beat inflation. The other benefit of owning non-dividend stocks is that we can sell when the price and tax benefits are greatest. If we have other retirement income like taxable 401k and IRA money, we can postpone selling stock for income. We may have periods when we can convert the taxable money to tax-FREE money and thus lower our tax burden over time. We may need a one-time fee-only planner to help us create tax-FREE retirement income.

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

$10,000 annual fee

Do you realize that is the amount you are paying your advisor every year? If your portfolio is $500,000 and your expense fees and charges and 12b-1 and trading costs and timing mistakes total up to 2% each year, you could be falling behind your ultimate goal in a big way. Year after year with most costs hidden in quarterly statements and prospectus, you can lose up to 50% of your possible accumulation because of the compounding of costs. Compare your account balance to the account balance if you were using a 0.04% stock market index fund. DALBAR returns tracker says the difference can be 7%--3.79%vs11.06%. If your assets earn more than 2% and you pay 2% TOTAL costs, you lose a year of earnings if there are any. If the market falls, you lose more since there are no refunds if advisors fail to better the stock market index. For most advisors, if their market picks fail, they will increase trading costs to try to avoid a loss. This just makes matters worse. But by the time you see the loss or lack of gain, that period is over and there is nothing you can do. You could move your assets to the Best Robo available.

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

Another way the wealthy avoid taxes

Trial lawyers haul their mass tort winnings to tax-haven Puerto Rico

And you wonder who will pay off the skyrocketing National Debt of $28 Trillions. These lawyers, who get the lion’s share of the opioid death settlement, are moving outside the US to avoid taxes on their $2 Billion fees. This “self-described West Virginia hillbilly” did not move his family so you know he is purposefully violating the law: “If you’re a lawyer in San Juan sitting behind a computer screen, you pay zero state and federal income taxes.” You may not be ready to leave your family and friends and move your office to PR so what can you do to avoid paying THEIR share of the $28 Trillion? You can avoid some of your income taxes by using deductions from your business activities like the former president does, but that takes time and money to set up. An immediate way is to take advantage of the current legal IRS-approved retirement accounts.

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

61% of households paid no federal income taxes in 2020

Are you one of the few who paid taxes last year? Households making less than about $28,000 will not owe income taxes this year, nor will about three-quarters of families earning between $28,000 and $55,000, the Tax Policy Center found. That means if you earn over about $22.47 an hour, you will owe the IRS in 2021. Congress is so divided politically; few expect the new taxes needed to cover our spending and debt interest will show up before year end. Long vacations add to the problem. Increased corporate taxes and changes in capital gains tax rates are likely to be debated for months. It is not clear whether Congress will even give the IRS the funds to collect taxes owed by the wealthy. Will middle-class families in high property-tax states ever get to deduct them fully? Will Biden be able to protect small business as Biden promised? You and small businesses don’t have access to the army of lawyers and accountants that allowed 55 profitable large corporations to avoid paying any federal corporate taxes in 2020. They cannot shift profits into tax havens to avoid paying U.S. taxes like multinational corporations can.

You can avoid paying their taxes: https://www.amazon.com/Trump-Tax-Shelter-Avoid-taxes/dp/1985448300

American tax system: socialism for the rich: "only the little people pay taxes"

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

Our Jan 6 ‘Truth and Reconciliation Commission’

Head of terrorist group gets 5 months

Capitol police sue Trump, his terrorists

House seeks Trump-terrorist link docs

Trump lawyers sanctioned for abusing justice system

Terrorist plotting to kill Gov gets 6 years

How Govt wastes our money:

US surprised Taliban guerillas still around: 2,352 troops died: tired of $2.2 Trillion costs.

GOP wants to keep ‘anti-terrorist’ group in Afghanistan: Vietnam started that way

Are ‘Anti-vaxxers’ really free to put the rest of us in the hospital?

100,000 hospitalized with covid-19 a level not seen since Jan. 30 when vax not available

SCAMS/SPINS:

TX GOP pushes for suppressing Dem vote to re-capture House seats: SB1 passed

States redistricting GOP favor for next Congress: Dems voters put in fewer districts

Trump booed in AL rally after vax statement: mob turns on Leader who got vax?

Conservative talk show Phil Valentine dies with Covid-19: family pleads ‘get vax’

Mom’s 2 sons die of Covid: sons refused vax: ‘I wish I could have made them do it’

Do it for the KIDS: Anti-vaxxers making most vulnerable kids sick and sicker

OR School head tells parents how to get children out of wearing mask: claim disability

CA pastor offering religious exemptions to avoid vaccine mandate: ‘war’ dead 635,000

KS school board gives medical or mental health exemption to avoid masks

LA GOP officials help with philosophical or religious exemption from Gov’s mask rule

FL anti-vaxxers wait on floor for anti-body treatment not vax: sick line up full hospitals

KY GOP court removes Gov power to curb Covid: GOP ends school mandate

Covid vax needs booster or not: not clear who when what where?

DeSantis, Abbott and Hogan anti-vaxxers running for the White House in ‘24

Dr Robert Karas AR prescribed anti-parasitic drug "thousands" of times: jail inmates

“You wouldn’t get your chemotherapy at a feed store.” MS folks taking de-worm drug.

The National Guard will see you now: GA hospitals staffed by military: Covid ‘war zone’

Judge: Sacklers, Oxy, get off too easy: legal immunities: killed 500,000; millions suffer

Bolts catch fire: GM unbolts battery: do not charge indoors overnight

Malicious QR Codes Now Used by Online Scammers

Covid risk on cruise ships even if vax: older cruisers warned: no hospital onboard

Seniors’ biggest mistake: SS benefits don’t go up when you reach full retirement age

Robert J. Mueller TX caught: stole $58 million seniors’ nest eggs promised safe returns

ISC Advisors caught over charging fees for funds: no disclosure; no SEC reporting

Online casinos report big year taking $13.6 billion from desperate poor/unemployed

John Woods Livingston Southport caught Ponzi on 400 for $110 million “safe steady”

Laptop crash? You can imagine car’s autopilot may have same problem at 65 mph

Pro-gun states wish to disarm the ATF power to regulate complete firearms

Family Fascism: state law gives militia a “veneer of sanctioned credibility” armed picnics

Jobs

Cars wait for their computers: Ford Toyota GM stop lines: Covid cuts Malaysia workers

Telemarketer jobs going away, thankfully you don’t pursue these phone pests.

factory equipment manufacturers jobs vault to highs above 2019 levels: good pay

Delta charging no-vaxxers extra health care premiums: selfishness costs

Robots replacing low-wage workers pushed by venture capitalists

Who owns your account now?

Supremes as owners put millions on street: evicted before recovery: didn’t even sign order

Miracles:

Congress considers giving seniors Medicare dental coverage to some extent: on to-do list

Athletes helping young ones understand how money works: learning basics avoiding bad

Earth Fire: 2020 was Europe's hottest year on record

Greenhouse gas concentrations, global sea levels hit record highs in 2020

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

41 Watchung Plaza, B242

Montclair, NJ 07042

973.746.2014

www.InsuranceAdvisorsNetwork.com

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

Friday, August 20, 2021

How can you know how much to save for, and in, retirement?

How did you do in 2020?

Corporation heads increased their own pay 18.9% in 2020. The CEOs at the top 350 firms in the U.S. were paid $24.2 million on average. They laid off millions of workers to be able to pay themselves that much. Yes, demand for products fell but pay for the boss did not. The pay went up for them but down for employees. Since the 1970s employees have been cut out of productivity gains—we make more stuff for the same pay. When we compare our pay to theirs, CEO-to-worker compensation ratio was 21-to-1 in 1965. It peaked at 366-to-1 in 2000. In 2020 the ratio was 351-to-1. Some corporations took the money to keep employees working but gave them pink slips instead. Most corporate heads cashed in on socialist ideal: Federal Reserve using future taxes to buy their corporate bonds. When the government buys corporate bonds to prop them up during a shut down like the pandemic, we have full-blown socialism American style. Private corporations take the profits; we the public take on US debt that is paid off by our taxes.

Avoid the future tax increases: https://www.amazon.com/Americas-Socialism-Rich-little-people/dp/1535218584

How the rich get richer

Pittsburgh Pirates shortstop card $6.6 million: no tax on the profits. Owners can buy and sell with no tax using another loophole in the wealthy Congress tax code. The power of rare assets that appreciate in value is not lost on those with money to burn. The 20% auction costs are deductible. The owner can be an entity that pays no taxes. Dealers may maintain inventory and thus can deduct their expenses and losses against gains. Wealthy investors can use the value to borrow funds and thus avoid any income tax for their lifestyles. With some assets appreciating 80-90% during this period, the wealthy need to keep their future money safe. Of course all these sales and trades are anonymous since secret empires are safer. IRS has no clue where the assets are—boat in Malta?

Hide your thousands from tax: https://www.amazon.com/Tax-FREE-Retirement-code-lifetime-income/dp/1475206976

How can you know how much to save for, and in, retirement?

Many folks tell me that they can’t save for retirement because they don’t know how much they will need in retirement. Of course, you can’t have too big a nest egg but then pre-retirees don’t save since the monthly amount seems too great to bear. Others worry about how much to spend down in retirement. They fear running out of money. These unknowns are very specific numbers to each person—there is no rule of thumb. Advisors have formulas but most people hate the thought of wasting money on a full-time financial advisor. There are ways to find the answers for yourself. With these estimates that give you an idea of how much to save and/or spend, you can correct your calculations as you go on. Each year you learn a little better what you face in terms of growing and spending your lifestyle fund. Better to know than not know in this time. The IRS has answers for you to consider since they control withdrawals from some of your tax-deferred funds. You do have some control but you have to know about the process to use them.

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

**********ACCOUNTABILITY**************

Like 1776, this period is a test of democracy—We rejected an "American fascist" once

Our Jan 6 ‘Truth and Reconciliation Commission’

Gov: “several plots by domestic violent extremists”

How Govt wastes our money:

Biden sends 3,now5,000 troops to ‘guard’ civilians at Embassy: Vietnam never ended

GOP favors another 20 years in guerilla war: can Afghan forces ever stop guerillas?

5,-6,000 people; $6.5 Trillions lost in 20 year war: lessons from guerilla wars! 1775

Another 20 years?: Most Americans did not want to keep troops in Afghan/foreign zone

Trump’s Afghan pullout agreement: GOP now changed its mind or just anti-Biden?

Conservative Christians to install Kingdom in America led by Trump’s guerillas

82 families got special tax breaks from Trump in 2017 tax cuts: $ billions we must repay

$36 million taken by wealth advisors from small biz PPP program: “Fraud and Abuse”

Wealthy biz owners change the label on their compensation to avoid taxes: costing us $$

SCAMS/SPINS:

Lobbyists trick SBA into giving $10 million to corp: small restaurant biz need not apply

GOP help kill their own followers in order to sustain the wealthy elites: 1,000 die/day

TX parent rips mask off teacher’s face: ideology not health drives war

No need for vaxx or drivers’ licenses or car insurance or gun license or medical license

FL Gov: “parents rather than gov should be making this decision” But FL bans masks!

FL Gov kills 4 teachers: Broward Board voted to defy Gov. DeSantis’ order to ban masks

TX GOP Supremes ban masks in 2 counties as Covid cases rise 400%: death sentence

TX requested five mortuary trailers from the feds: 144 died Saturday: no masks/no vaxx

TX cruse ship sailed with 27 Covid positives: only now adding masks to crew

TX school makes masks part of dress code to comply with Gov “no masks” rule: brilliant

Catholic diocese won’t give followers Covid vaxx exemption: Vaxx mandate support

NC marries a 49-year-old man and 17-year-old girl from KY: NC marries girls to men!

Boy Scouts bankrupt: pay vics for leaders abusing scouts: no leaders get jail; lawyers $$$

13 year old kills another 13 year old in defense of kid being bullied by shooter: guns kill

young girl kills 4-year-old girl after finding a loaded gun in a Chicago home: guns kill

7-year-old girl was killed while sitting in a car in Chicago

Tesla autopilot probe: sensors attracted to emergency vans’ flashing lights kill 1 injure 17

Marcus Boggs IL caught stole $3 million unauthorized transactions: prison 3 years

Fair Collections & Outsourcing caught giving credit bureaus bad info on borrowers

OxyContin maker Sackler caught in bankruptcy claiming nothing to do in opioid deaths

Hackers stole $94 million in virtual currency from Japan exchange: no ‘bits’ left

Insurers still charge for Covid tests despite Congress: loopholes provide profit incentives

Jobs

Nearly a third of U.S. workers under 40 considered changing careers because pandemic

Virginia Oliver, 101, is the oldest licensed lobsterer in Maine

No bus drivers to take the kids to school: many industries short of workers: more pay?

MetLife min wage raised to $20: customer-service and operations roles

Who owns your account now?

Covid booster in the Fall for all

Survivor SS benefits do NOT continue automatically: call SS for help

How advisors keep your assets after they pass to your adult children: fun stuff

Miracles:

New York City grew by 629,000 since 2010: 8.8 million; Phoenix grew faster to 1.6 mill

Last seven Julys, from 2015 to 2021, have been the hottest seven Julys on record.

Water conservation for Southwest: Lake Mead lowest since 1930s.

Biden blamed for Trump Afghan withdrawal agreement of 2020: US gave up years ago

Disabled students get their loans cancelled: 323,000 students get fresh start

Dorothy Oliver got her whole town vaccinated by being a neighbor: trust is key

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

41 Watchung Plaza, B242

Montclair, NJ 07042

973.746.2014

www.InsuranceAdvisorsNetwork.com

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

Friday, August 13, 2021

We don’t have to pay income taxes on SS benefits any more

How does the cost of financial services cut our nest egg in HALF?

You may have read that brokerage costs can cut your eventual retirement fund by 63%. One of the reasons John Bogle founded low-cost Vanguard Group was his insight that cost is an important factor in our long-term financial benefits. Compare your ultimate retirement income when using high cost investing. Vanguard’s 500 Index tracks the top 500 stocks at $4 per $10,000. Over time you earn the market rate of 11% not 3.79% for a managed equity account. Fidelity did a study of its accounts and found that the ones that did best were those NOT managed by Fidelity. The clients had either forgotten their money or died. Many studies have shown that low-cost beats high-cost in every period and every asset class. An index fund of a broad spectrum of stocks provides our best chance of adequate retirement needs. A typical investor funds their IRA or other tax-deferred or tax-FREE plan with $250 a month for 40 years. The 0.04% index produces $2.1 million; the 0.20% index produces $1.1 million. The average advisor-managed fund produces about $281,342. Clearly, paying less for the long-term stock market return of 11% is better than using an advisor. And no advisor has been able to beat the market over any 40 years of investing. You keep more of your money: advisors don’t need any more!

Pay less; get more: https://www.amazon.com/Pay-less-Get-more-investment/dp/1500598321

We don’t have to pay income taxes on SS benefits any more

Most people have built their retirement plan at work with a 401k or 403b or IRA account. These accounts help us by delaying taxes on the money we contribute. They assume that we will pay fewer income taxes when we retire without other taxable income. Many people have this kind of situation. Most working people receive Social Security benefits without paying income tax since their pension money supplements their benefits. However, SS benefits are taxable if we work in retirement or have funded our pension plan consistently well. Thus any couple with total income above $44,000 will pay taxes on some of the SS benefits: Up to 85% of your benefits may be taxable. Since 1997, we have been able to fund our retirement income without any taxes. It’s totally tax-FREE—no tax on retirement income; no tax on SS benefits. We avoid taxes like the rich.

Spend all your money: https://www.amazon.com/Millionaire-Mutual-Funds-Save-taxes/dp/1534939490

How can we avoid paying the taxes that the rich don’t pay?

Most wealthy people pay a lower rate of tax than we do. Warren Buffett admitted he pays only 17.7% compared with his secretary and staff who pay an average of 32.9%. We pay almost DOUBLE what the wealthy pay, if they pay at all. As the GOP candidate boasted in 2016, Trump pays NOTHING—zero income taxes. Most corporations don’t pay taxes either—many corporations get us to pay them a tax refund due to their bad management. Because the wealthy pay a lower income tax rate or disguise income as corporate non-income, they have taken more of the country’s wealth than ever before. Compared to 1983, we have lost almost 8% of the total US wealth. Thus 80% of us own only 11% of assets—usually our homes; while the 1%, about 3 million upper class, own almost 40% of everything. This happened over time—since the 1970s when wages after inflation have been frozen. How much did the wealthy pay recently? Jeff Bezos paid 0.98% tax rate; Elon Musk paid a true tax rate of 3.27%; Warren Buffett paid only 0.10%. Instead of paying their taxes, the wealthy buy our future elected officials. Time to stop!

Avoid paying their taxes: https://www.amazon.com/New-American-Retirement-System-ReserveTM/dp/1461030072

Why You Still Can’t Trust Your Financial Adviser

Unfortunately, Biden has not re-authorized the Fiduciary Rule finalized under Obama and originally set to take effect in 2017. The Fiduciary Rule means that product sellers must provide the best choice for our interests not theirs. This rule is followed by a few financial sellers called Registered Investment Advisors and some fee-only certified financial planners (CFP). Why is this rule necessary? Researchers conducting a study sent “mystery shoppers” into 284 Boston-area financial advisers. When clients walked in with the kind of low-cost, diversified portfolio unbiased independent experts recommend, only 2.4 percent of advisers approved of it and some 85 percent recommended making a change. Financial advisers were eight times more supportive if clients had a less-than-ideal strategy of chasing returns—one that was more likely to generate commissions. Your broker/advisor and their firm rely on commissions and fees to make selling profitable. Most do not operate like a lawyer in charging a set fee for an agreed upon service. Most sellers rely on us paying an ongoing fee of 1-2% per year no matter what the outcome of their advice. It’s the perfect business—for them; not us.

https://www.amazon.com/Wall-Street-Cleans-Up-Advisors/dp/1517043255

Where to invest if you can’t contribute to an IRA?

For retirees who no longer have “earned” income, there is no way to add savings to tax-deferred or tax-FREE accounts. However, your profit from a small business qualifies for many plans including a tax-FREE Roth IRA. There may be other ways to qualify. For some of us who have extra funds to invest, there are several attractive options. We can buy individual stocks that do not increase our taxes. Stocks without dividends means there are no taxes on income or gains until we sell. Of course, we need to have a low-cost brokerage account and have some idea of the value of the company we are buying. I use my Vanguard brokerage account to buy Warren Buffett’s well-diversified company Berkshire Hathaway. I am buying a stock that owns a railroad, insurers, candy, cement, airline, credit cards, etc etc. I don’t pay income taxes when I sell. I usually pay nothing on capital gains but some may pay 15%. There are many stocks that do not pay a dividend—usually using profits to grow the business. Amazon is a good example.

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

Is your advisor’s advice costing you $ thousands?

Schwab reports its robo portfolio of 10% cash has costs you $1.13 billion in total earnings. Plus the management fee (.30%) would have resulted in $531 million in lost earning to you. Advisors get paid for losing you money: a great deal for advisors but not for you. Schwab has been cutting staff to gain revenue during this time of transition to absorb TD Ameritrade. Perhaps it is time to evaluate your portfolio advisor billed as a robo. There are better alternatives. You can pay less; earn more for later.

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

**********ACCOUNTABILITY**************

Like 1776, this period is a test of democracy—We rejected an "American fascist" once

Our Jan 6 ‘Truth and Reconciliation Commission’

Judge: you “can’t replace [democracy] with the will of the mob."

Trump coup failed: we pay his $500 million repair bill?

How Govt wastes our money:

Biden reverses promise to cut subsidy to coal: gives subsidy to profit Arch Resources

Biden approving hundreds of requests to drill on federal land: not what he promised

Biden extending the pause on federal student loan payments Sept thru Jan

GOP insider steals password to CO voting machines: Trump win at any cost

Only 2 Senators to repeal tax break carried interest: fund managers pay lower tax rates

2 Dems ask Gov how rich “legal tax loopholes avoid paying their fair share of taxes.”

Wealthy who don’t pay their fair share of taxes are against helping us thrive

46 GOP senators warn that they will not lift debt ceiling: America won’t pay its bills

Millionaire Congress voted for all the Trump tax cuts and loopholes in 2017

SCAMS/SPINS:

Some states hide Covid infection rates: misinformation kills 620,000: more than wars

Biden blamed for Covid ‘explosion’ in FL: immigrants have lower rates than TX folk

LA state officials conflicting advice on masks: Louisiana dangerous surge of COVID

Vaccine for pregnant women: CDC makes it official

TX covid patents admitted to ‘tents’ near hospitals: buy oxygen now before Gov bans!

80 kids exposed first day school: parent child tested positive Covid test: Freedom to kill?

Taliban is committed to their ideology like anti-vaxxers committed to theirs? Not give up

FL hospitals do NOT require staff to get vax so get your vax BEFORE you go to surgery

Tucker tells employees to sue employer is vax mandate but Tucker got his vax last year.

Alabama lowest vax rate in US: destroys 65,000 vax not used: GOP ideology kills

Pentagon orders all military personnel to get the COVID-19 vaccine: bold step for safety

TX bans masks to fight Covid but recruiting more health care workers worldwide

FL bans masks to fight Covid and will cut pay if school staff allows masks

FL requests hundreds of ventilators from feds: no mask-school kids fills hospitals

NY AG: Cuomo hid Covid deaths to make himself look hero: ignored deaths in hospital

TX GOP will arrest Dem representatives to suppress voters: Fascism Texas style

Recall 2 million dehumidifiers, many brands, overheat and start fires

14 Most Deadly Car Models: Subcompact cars and sports cars

Miami tells hundreds to evacuate 8-story condo building deemed unsafe: failed inspect

Used car prices have risen 45% over 12 months: new $42,000

Evarist Amah misled clients about how their $700,000 in Grail investments fared.

Regulators get tough with brokerage re: funds for client treated badly by brokers

Trump’s post office head giving own biz $120 million leg up: USPS service decline

Zuck employs religious practices to cement Facebook interactions and profits

What is shooting yourselves in the feet? Jeopardy execs not naming LaVar host

QAnon ideolog kills his 2 kids bec/ they will be monsters who will destroy world

Jobs

High pay jobs with 2 year certificate: medical specialist high pay

Target will pay for college at certain schools: work and study to go forward

Export drugs to Mexico: we are now selling weed not smuggling across border

This is a first: The US has 10 million job openings

Who owns your account now?

JD Power rates Rocket Mortgage top dog again: great personal experience

JD Power rates Vehicle Insurance top dogs by regions

JD Power rates Pharmacy Study top is not chain but local Good Neighbor

JD Power rates major appliances: Samsung and LG top lists

Repair or not repair; that is the question: prisoners to “authorized” monopoly repairs

Miracles:

Warming changes Gulf Stream ocean circulation: weather changes for EU 119.8*

Drought makes new natural wonders in Powell: like Petra Indiana Jones

Facebook spawns folks who reject science of disease by germs: ultimate ‘freedom’

Siberian fires larger than all world’s fires combined: can fear motivate change or kill us?

Senator Paul does not report how he made a fortune on his job’s insider information

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

41 Watchung Plaza, B242

Montclair, NJ 07042

973.746.2014

www.InsuranceAdvisorsNetwork.com

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

Friday, August 6, 2021

Save $3,000 a year; more later

Have fun living frugally so you have enough for more!

Every retiree says they wish they had learned to enjoy saving money. They don’t want to be misers but they remember wasting money on stuff they really could have done without or a substitute less cost. In financial services, I have learned from those who live the frugal life that they actually have fun while saving at least $3,000 a year for later. The greatest savings they experienced was finding out from their own experience that they don’t need a high-cost financial person. They don’t trade to beat the market since all the research says that they can do better with buy and hold using low-cost mutual funds—both stock and bond. The study that impressed me the most was the reason John Bogle founded Vanguard: that little 2 percent fee will erode 63 percent of what you would have had. Also when analysts look at returns actual clients earn over time, the index earns 11% compared to 3.79% for managed equity funds. When they need specific advice, these happy folks buy it from an unbiased licensed planner—one fee not annual fees for years.

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

Why are real-estate trusts doing well when rental property rents are frozen?

If you are invested in rental real estate, you may have lost money in the last year. So why are REIT mutual funds doing so well? Vanguard’s low-cost fund is up 34% for 1 year and up over 10% a year since 2001. The fund owns malls, industrial and residential REITs but 38% of the fund is in “specialized REITs.” This category also includes companies that do not generate a majority of their income from real estate rental or leasing operations. They dabble in just about everything, including student housing, casinos, prisons, senior housing, cannabis facility. The major benefit of specialized REITs is the ability to diversify one’s exposure to various aspects of the real estate market. So, this category requires considerably more research. Asset selection in specialized REITs is also more limited when compared with other categories. Companies or trusts engaged in the acquisition, development, ownership, leasing, management and operation of properties that don’t fit the traditional types. With low interest rates, specialty REITs have expanded choice and thus diversification.

Lower costs; keep more: https://www.amazon.com/Wall-Streets-Secret-Sauce-S-h/dp/1536845248

Save on highly depreciated used cars

Used vehicles prices have increased as new car/truck chips have not been made since 2020. Covid stopped car buying and chip making. Apparently it takes time to work up a silicone chip into a mini computer to run our vehicles. What can we do if we need new transport? These 3 year old models may fit your needs. Most are the expensive luxury models that lose value very quickly (over 50%). They may have experienced mechanical troubles according to JD Power survey of owners. If they are fixed or you are willing to take the risk of huge repair bills, these Audi, Benz, BMWs may suit you. Don’t forget to ask for your insurance discounts: save up for the high cost of luxury model repairs.

Save: https://www.amazon.com/Vehicle-Insurance-Beware-Double-Coverage/dp/1480027634

Are you ready for retirement?

Most retirees have no idea what it’s like to be living without a regular paycheck. If you are used to using credit cards for unusual expenses because you knew you could pay off the balance with your next check or two, consider how to handle that expense now. Successful retirees make a written spending plan so they avoid running up debt for an emergency. They have totaled their expected incomes and expenses so they know where to go for the unexpected expense. Some have a line of credit backed by their home or other asset. Some have a designated asset to draw on. I call this a Wealth Reserve. It is assets that can continue to grow if not needed. Some are building this Reserve with savings from cutting expenses they don’t have anymore. They raise the deductible on their insurance policies. They move their brokerage and mutual funds to a low-cost provider. They stop trading and move their money into a balanced fund. They have transferred their company 401k or pension to the same mutual fund rollover-IRA provider. They are taking their retirement income according to the IRS schedule (RMD) as calculated by their fund provider. They know what they can spend and where their monthly income/expenses come and go.

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

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