Friday, August 5, 2022

How can a spouse without work still build a retirement nest egg?

 

How to deal with the recession

When a recession comes, you will feel more secure by being prepared. Recessions usually involve stock market volatility and this means your account will be down. Unless you sell, this is a temporary adjustment caused by folks who panic. Recessions can mean jobs lost because the economy contracts or growth is not achieved for a time. If you are vulnerable, plan by increasing your emergency fund. If you are out of work for 6 months, you may be able to claim unemployment comp. However, you will need other income since UC is never enough. You might stock up non-perishable foods. You can certainly put off buying items you don’t need just now. Some readers have decided to skip their expensive vacation for now. Inflation hurts everyone on a fixed income so paying higher prices for non essentials just makes things worse. Some are finding new stuff to do in their region. Important: don’t give up hope. Many readers actually find ways to help the less fortunate in their town. When they volunteer, they see the other side of the economy. They realize they are helping folks in a worse bind than themselves.  

https://www.amazon.com/dont-have-money-Financial-Emergencies/dp/1537636707

 

 

Why do retirees stay frugal?

An EBRI survey of retirees asked why they don’t spend down their assets. The average amount of current financial assets was $200,000, with a median of $75,000. More than two-thirds — 69% — said their standard of living is the same or higher than it was when they were working, and 61% believe their spending is appropriate for what they can afford. Yet nearly half (46 percent) reported having saved less than they needed in retirement. Maintaining health and wellness in retirement was by far the most important goal. So retirees keep assets in case they have an emergency later. Most are happy at their current spending level. They like having plenty of funds in reserve. They would like to share assets with heirs. One-quarter do not want to run out of money so they are frugal. No one knows what will happen in the future and they don’t want to become unhappy with excessive debt.

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

 

 

How can a spouse without work still build a retirement nest egg?

I was laid off in 2000 and could not find a new position. I had to transfer my 401k to a low-cost IRA at Vanguard. However, because my spouse was working, I was able to continue making contributions to MY IRA using money considered a couple’s income according to the IRS. The Spousal IRA requires you must be a married couple and file joint taxes. One spouse must still earn enough to cover both their own contributions and the contributions for the separate spousal IRA. The Spousal IRA belongs to the spouse even after divorce. The earning spouse can have a retirement plan at work but the total income could impact how much of their contributions they can deduct from their taxable income. Most couples can contribute and deduct $6,000 each. We continued to deduct the contributions since our income never reached the limit. Now that we are retired, we take our RMDs and pay taxes on the gains made possible by both of us staying in the market.

https://www.amazon.com/Retirement-Income-Annuity-Guaranteed-Life/dp/1497337313

 

 

How do you start investing?

Contrary to what the financial media advises, you don’t get a trading account. No advisor has discovered a consistent way to make money trading. On the contrary, every study of long-term investments shows that COST is the best predictor of investment success. The investment scorekeeper Dalbar.com shows that in every period, the equity and fixed income indexes surpassed advisor-managed accounts. In fact, one analyst has shown that you can give away 63% of your total potential nest egg by using an advisor. What do the unbiased money managers recommend? Warren Buffett: “Most investors, both institutional and individual, will find that the best way to own common stocks is through an index fund that charges minimal fees …” Buffett proved it recently by betting $1 million that the stock index would beat 5 funds managed by a hedge fund advisor. Buffett used the low-cost Vanguard 500 Index Fund shares to win. This fund requires $3,000 to start but the ETF version starts at under $400. Vanguard charges nothing to open a retirement or regular account and only 0.03% a year to grow your money. Over time the stock index has grown at 11% per year. That means that in about 34 years you will have over $1 million from your $250 a month contributions. Even folks on low wages ($12 an hour) can earn enough from stocks to retire in comfort.

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

 

Why are more advisors recommending the passive investing strategy?

Don’t fight success: According to the SPIVA scorecard produced by S&P Dow Jones Indices, 83% of actively managed large-cap funds underperformed the S&P 500 Index over the past 10 years and 85% lagged the benchmark in 2021. If you bought an ETF tracking the S&P 500 at its low in March 2020, you would have more than doubled your money by the beginning of 2022. ETFs are passive funds sold by advisors—not true passive funds like the Vanguard 500 Index. ETFs are like stocks so you can buy just one in a brokerage account. However, long-term investors prefer low-cost funds that encourage a ‘buy and hold’ strategy. Advisors have trouble beating an index because of fees, commissions and costs. However, some investors believe they have found their guru and pay for the status or occasional exceptions to the rule. My readers are using both and hire a fee-only planner when they need unbiased financial advice.

https://www.amazon.com/You-Beat-Wall-Street-professionals/dp/1986031373

 

 

?**********ACCOUNTABILITY**************?

 

 

Like 1776, this period is a test of democracyWe rejected an "American fascist" once

 

 

The Path to Dictatorship: 2010-2030

 

Jan 21 2010 Corpor­a­tions’ election-spending unlim­ited

 

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 limitJ6 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

 

 

Nov 8 2022 Trump’s “national revolution

 

 

 

How Govt wastes our money:

Martin-Baker ejection seats broken: F-35 fleet down: warranty expired: we’re screwed!

House votes ban weapons of mass destruction: killing machine--class of students in 3 min

Congress members get more security: we are victims of gun makers push for more ARs

Despite Cruz fist-bump GOP anti-veterans, medical treatment for toxic exposure passes

 

Congress will NOT “close the loophole” on the wealthy: ‘carried interest’ we pay debt

 

7 FL clergy suing FL abortion law: limits ability to live and practice their religious faith

GOP votes no family planning. no contraceptives, no choice, fascists decide sex for us

Using 1849 laws to punish people who provide medical help: ‘stoning’ victims is next

 

Do serial wildfires, 100*+ days and huge floods change the climate deniers’ minds?

 

Pentagon involved in Trump’s J6 attempted coup: ignored police call for National Guard?

Judge refuses to delay Oath Keepers’ seditious conspiracy trial

 

Kansas voters save women choice from anti-abortionists: Catholics spent $ millions

Feds sue ID for letting pregnant women die, criminalizing abortion help, no exception

Georgia says ‘unborn child’ counts as dependent on taxes after 6 weeks

FL teachers told to lie about slavery to children: DeSantis’ new “civics excellence” 

 

 

SCAMS/SPINS:

More Trumpists deleted messages re J6 coup attempt: organized crime “deaf & dumb”?

Trumpist Gaetz assured criminal Roger Stone of pardon by “the boss.” Criminal freed

GOP AZ gov Lake already claims election ‘stolen’ BEFORE voting: GOP theme song!

J6 terrorist brought gun to Trump’s attempted coup and got 7 years in prizon

 

Banks’ financial obligations to customers who lose money in transfer scams made real

Chevron, Exxon, Shell, BP record $ billions quarter: ‘from have-not to the haves’

Ferrari beat profit forecasts and saw its order book swell to new highs 

 

Florida’s culture war is being waged primarily in schools: brainwashing kids is easy

Supreme Alito’s religious freedom is HIS (not yours) religion practiced OUTSIDE home

Right-wing Christian info biz got reclassified as church: avoids probe, tax, donor list

 

Propagandists repeat lies over and over: Floyd faked death; 26 Sandy Hook faked death

Four Louisville police charged deadly raid on Breonna Taylor: Fake affidavit, coverup

 

DEBT disease:100 million have healthcare debt,42 million student debt, inflation debt.

17 States Sending Stimulus Checks of up to $1,500: cope with inflation of 9%

Pure profit: gas price increase NOT due to crude oil scarcity: Big oil just took $1 more

 

Bankruptcy: how people/biz who hurt families and towns avoid accountability willfully

3M placed its Aearo unit in Chapter 11 bankruptcy to try to halt a legal process 

WV cities counties share a $400 million settlement with three largest opioid distributors.

 

Opendoor caught Misled Homeowners promising higher sale than market: fine no jail

Facebook caught “improperly obtained and collected data from Facebook Users

 

Bad apple-advisors: thousands continue doing damage under state regs after Fed ban

Alan Appelbaum caught sell complex variable interest rate structured products Lost $

Jason Kurland lawyer caught bilking lottery winners out of $ millions: bad investments

 

U.S. crypto firm Nomad hit by $190 million theft

Your crypto fees leaving your account: Crypto Companies Spending $2.4 Billion on Sports

 

 

Banana Boat products may contain a cancer-causing chemical known as benzene

 Canine Heart Disease was Tied to Grain-Free Dog Food

Fake News: 3 doctors die of Covid booster: 2 had cancer; 1 long time illness

 

The chickens came home to roost: now Alex has to give up the ill-gotten gains

Fake endorsement: celebs get used and have to sue to stop SCAM

RECALL: recall protein drinks/coffee products Aloha, Lyons, Glucerna, Premier Protein

 

 

Jobs

LA needs 900 classroom teaching positions and 200 bus drivers

40% of parents hosting their adult child and in many cases, financially supporting them. 

15 Best College Majors That Pretty Much Guarantee a Top-Paying Job

 

Car mechanics: $71,000 - $80,000 a year NJ: full benefits

Citigroup plans 500 hires for new wealth unit - Bloomberg News

CA Teachers earn up to average annual wage: $85,110; Employment: 156,920

 

 

Who owns your account now?

Lemonade sells Metromile Enterprise to EIS

Canada’s TD Bank to buy U.S. brokerage Cowen

Top states for retiree health care are CT, CO, MN, VT, MA

 

Annuity payouts vary greatly: it pays you well to shop around

 

Miracles:

How one woman stands up against her own political best interests: democrat in spirit

Sunlight magnified by glass bottles in garbage can ignited 500-acre TX wildfire

English universities are ending humanities education: only for rich; classes solidify

 

Surviving in the coming extreme heat: learn new ways to live hotter longer  

Hotter summers mean Florida's turtles are mostly born female

Luxembourg has an even more radical green transport experiment: abolished fares

 

 

 

 

@

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 in universe: galaxies to stones 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!

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.

 

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/

 

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