Friday, August 11, 2023

Three Wise Men (unpaid advisors) helped me create my retirement fund

 

Three ‘Disrupters’ helped me create my retirement fund

In the last 25 years, three financial innovators have brought forth a better way to invest. For those of us who know we could never pick the right stocks for the long term, the better way assures us of 10-11% average annual returns before inflation. We can count on doubling our money every 7 years over time. And we have no stock-picking anxiety or high fees to stop us reaching our retirement fund goals. S&P 500 returns over time. 

First, on Aug 31, 1976, Vanguard began offering a fund that allowed us to own stock in 500 of the largest US companies at cost. Lower costs mean higher returns and so the fund has produced returns that consistently outperform over 90% of all broker-run portfolios.

Second, in 1997, Senator Roth got a bill passed that allows us to invest after tax dollars today and spend tax-FREE dollars later. That means that over our working years, our contributions can compound earnings without ever having to be reduced by taxes. The growth of our portfolio can be spent without taxes. For me, the $3,000 a year contributions have produced enough for a comfortable retirement and I can spend it all.

Third, one of the greatest investors proved that we don’t need a broker to pick stocks that help us reach our retirement goals. He showed us that patience can replace brute force in portfolio selection. We don’t need to try to pick stocks to earn over 10% on our money when we are patient investors. Warren Buffett: “The stock market is a device for transferring money from the IMPATIENT to the PATIENT."

https://www.amazon.com/Disruptors-Three-Innovators-increase-WEALTH/dp/1720857563

 

I saved over $3,000 a year by one change

Financial sellers can take 1-2% of our total portfolio value every year. That means we may be giving away $2,500 to $5,000 every year on our average retirement nest egg. As our fund grows, we give up $10,000 a year on $500,000. That $10,000 loss could grow to nearly $30,000 in 10 years if invested in a low-fee account. That savings could cover our taxes when we retire or increase our retirement spending when we use a tax-FREE account. There is no evidence that a financial ‘professional’ can beat the market average gained from a low-cost index fund. So we are better off paying a set planner fee when we need advice instead of allowing a product seller to take $10,000 a year for few if any market insights. A financial planner can answer our questions with less bias than a seller whose living depends on selling dubious products. My experience working with brokers in a firm convinced me to find a better way to reach my money goals.

I found a better way: https://www.amazon.com/Lies-Financial-Advisors-Told-alternatives/dp/1478281545

 

Why your returns are always lower than the funds/ETF you invest in

Gaps in personal versus fund returns are typical. Another study found that “investors’ total annual returns came in roughly 1.7 percentage points lower than returns for the mutual funds and ETFs they owned.” We tend to jump in when we think the fund is producing higher returns only to find we missed the peak. Volatile funds tended to experience wider gaps, the report said. Few investors can follow Warren Buffett’s advice and simply buy and hold over every time period. Thus we earn less. In fact Fidelity found that their investors who did the best were either dead or forgot they had an account. Contrary to what many believe, ‘dollar-cost averaging’ often leads to lower returns, according to Morningstar. In order to match our expected returns, we must buy and hold over long-periods. This is the best way to have enough for a comfortable retirement. Low-cost index funds provide long-term returns superior to any managed account according to the score sheet of Dalbar. Investors saved about $9.8 billion in fees for open-end mutual funds and exchange-traded funds last year as expense ratios edged down. Average expense ratios fell to 0.37% in 2022 from 0.40% in 2021. You earn more by doing less with your investments.

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

 

Your options if you started investing late

What can you do if you have not invested wisely and you are age 50 or older? As you have heard, investing early is the secret to a comfortable retirement fund. Starting at age 25 with $250 a month invested in a low-cost stock index fund will provide about $1.1 million in 40 years. Starting at age 50 would require over $2,500 a month for the same outcome. Of course, inflation reduces the value of your account by 25% in about 20 years. Most late starters just keep working for as long as they can unless their situation allows them to live on SS benefits or pension alone. (90% of Americans Plan to Claim Social Security Before 70.) It is always a compromise so some do both: work and invest as much as they can for as long as they can. There are no answers that fit your circumstances perfectly of course. However, just knowing you have a problem can get you engaged in fixing it.

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

 

Is a target-date series with annuity right for you?

More insurers are trying to force retirees to buy an annuity automatically with their retirement benefits. Employers think this is great since it helps them dump the liability of payment without informing their employees of their other options. Transferring benefits to a low-cost mutual fund payout is never considered. Retirees are hit with more fees and charges for the rest of their lives—only the insurers benefit from this “pension-like” mode of receiving retirement income. Creating more retirement income by using a low-cost mutual fund automatic transfer mode can save over 2% in annual fees deducted from the insurers’ products. Granted that an annuity guarantees a fixed income for life, retirees do not compare the costs if the mutual fund payout option is not presented by the employer. In fact most mutual fund firms are happy to complete the necessary paperwork for the retiree if they are asked to help move the benefits to a low-cost income account. Retirees do not need an expensive annuity since the mutual fund can provide a fixed income benefit as well an insurer. The increase in monthly payments to the retiree can be considerable if the employee is shown both options.

Ask for help: https://www.amazon.com/Not-Buy-That-Annuity-Guaranteed/dp/1466494573

 

 

 

 

 

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

 

 

Like 1776, this period is a test of democracyWe 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 govt overthrow 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

 

Trump still terrorizing election woman

 

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

 

January 6, 2021A date which will live in infamy

 

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

 

Mar 11 2023 Pence straddles his place in history

 

Mar 31 2023 Trump indicted misusing election money

 

Apr 7 2023 One GOP guy decided which drugs we can use

 

Apr 9 Illustrated Anne Frank book removed by Florida school

 

Apr 21 Trump: “I am your justice

 

May 9 Trump guilty of sexual abuse

 

Jun 8 Trump indicted by the United States of America

Violation of the Espionage Act

Conspiracy to obstruct justice

Making false statements 

 

Aug 1 2023 Trump indicted by the United States of America

Conspiracy to defraud the United States

Conspiracy to obstruct Congressional proceeding

Obstruction of and attempt to obstruct an official proceeding

Conspiracy against right to vote

 

Attempted coup d'état by any other name

 


Mobster: “IF YOU GO AFTER ME, I’M COMING AFTER YOU!” 

 

 

Jan 2025 Dictator pardons himself: his Supremes agree

 

 

How Govt wastes our money:

We are tired of Congress getting paid for doing nothing except fund-raising

Inflation tumbled from 9% to 3% the historical average for the last 25 years: not Fed 2%

F-35 fighter jet is 10 years late, 80% over budget: 30 millions without health care

 

NASA launches expensive Deep Space Optical Communications increase data to Mars

$50 billion and counting: Seniors’ delinquent medical bills: many fake charges

Stereo A cost $½ billion repeats what we did in 2011: could have fed millions

 

SCAMS/SPINS:

Texas’ abortion ban is too restrictive for women with pregnancy

New Orleans archbishop protected clerics accused of child abuse: no accountability!

Supremes: can’t let opioid Sackler family avoid jail for killing 70K people annually!

 

Our credit card debt hits a record $1 trillion: average card charges near-record 20.53%

As jackpots swell to record sizes ticket sales are waning: we are tired of losing

 

IRS Ruling on crypto Can Save You Money

 

More scams; more crypto scams: $8.8 billion — a 30 percent increase from 2021

Wells Fargo Opened More Unauthorized Bank Accounts

Wells Fargo accounts are missing our direct deposits: promises to look for them

PNC Bank accounts Missing Balances, Access Problems

is-seaweed-healthy?

Prevagen works no better than placebo and can’t cross the human blood-brain barrier.

Ram 1500 pickup trucks can lose power-steering assistance: 1.1 million pickups

Soft Serve On The Go Cups NJ ice cream recall: Listeria Outbreak

 

Your Scared Kid on the Phone could be a Scammer Using Voice Cloning

 

Feeds homeless with own food tried and jury finds not guilty

 

Drug user cannot be barred from owning guns, US court rules

 

Electric Car Range Can Fall Far Short of Claims

Insurers dropping Kias and Hyundais: risk of theft—lack electronic immobilizers

10 New Cars with the Steepest Price Markups

 

4 million in U.S. cut from Medicaid: mostly paperwork

Nursing homes fight over a proposed minimum staffing requirement: already short staff

 

DeSantis makes AP Psychology course unacceptable at college level: students rejected

Ron DeSantis suspended another top prosecutor: Dems replaced by Ron’s posse

 

Trump judge seen creating a government-endorsed thought police for lawyers not liked

Previously secret memo laid out strategy for Trump to overturn Biden’s win: his intent

 

Child shot by Chicago man who didn’t like the noise

 

Jobs

Tech jobs: https://jobs.interestingengineering.com/

Immigrants again fill jobs current workers do not want: big oil vs GOP anti-immigrants

jobs.interestingengineering.com/

 

Second Chance hiring helps people with former offenses build stable lives

Labor Shortage is Most Severe in These 13 States

Engineering jobs

 

Who owns your account now?

RMD Rule Changes: 3 Common Questions

Google tells when your contact information is showing up on [Google] Search: options

Best hospitals in America.

 

Best Investing Apps for Beginners: easy but watch the fees

Cut Your Health Care Costs: shopping can reduce costs

We moved West and South since 2012

 

Social Security's spousal benefits are a point of confusion for many

Become news-literate with Checkology.

Are Roth Conversions Really as Good as They Sound?

Retirees Can Stretch Their Savings

 

32 Retailers That Offer Senior Discounts

Insurers must look for your life insurance policy beneficiary: holding benefits is wrong

 

 

 

 

Miracles:

Wearable ultrasound scanner could detect breast cancer earlier

It’s winter in Antarctica, but scientists just grew watermelons there

Targeted chemotherapy able to kill all solid tumors in preclinical research

Scientists repeat fusion ignition breakthrough: more output than input!

Weight-loss drug Wegovy cuts risk of heart disease by 20%

New treatment for Age-related macular degeneration using retinal epithelial (RPE) cells. 

 

Liquid-metal battery operational in 2024: effective for two decades without decline

Floating solar panels provide unlimited solar energy to densely populated countries 

 

 

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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

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

In place of atomic lattice, light waves used to create an optical lattice with same geometry

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

Quantum mechanics violates local realism: two objects behave as single system at 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

Strange state of physics that allows energy to flow frictionlessly through a material

Bending light from extreme gravity reveals largest black hole so far

Curved SpaceTime: heavy masses and simultaneously quantum effects become visible

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: created our time.

Our planetary system: rarest system: only 1% of all systems with same number of planets

 

Stars fueled by the self-annihilation of dark matter might have been spotted for the first time by JWST

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

Gold made from neutron stars: collisions produce more neutrons:79 protons,118 neutrons

The proton is so complicated science still finds new energy entities/forces every year.

 

“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.

New method to study systems with long-range interactions: previously puzzling experts

The electricity we use comes from the field around the wire not from electron itself.

 

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

starts-with-a-bang/universe-expansion-not-accelerating/

Physicists knew black holes eventually disappear particle by particle. Now they think everything else does, too.

Astronomers discover raw materials for life are present all across the Universe: methyl cation

 

 

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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

http://www.theinsidersguides.com/ 

Alerts available at http://dankeppel.blogspot.com/ No AI used in these comments

 

 

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