Your Unbiased Advisor: Tax Shelter

Showing posts with label Tax Shelter. Show all posts

Friday, October 22, 2021

How much of your credit limit should you use?

Why is this question important to answer? Your credit score, which is used for everything from loans to rental agreements to job offers, is determined in part by your credit utilization—how much of your card limit you are using. Maxing out a credit card—having a balance equal to the card's borrowing limit—has a negative impact on your score. Folks with the highest credit scores often have (and use) multiple credit cards every month. So how much usage is too much? Most of us that pay all of our balance each month tend to have the highest scores. When I shop for a used car, I give the dealer permission to check my score. I know it is over 800 because I have been given a high limit but I don’t use it. When I bought a fridge recently, I paid with my credit card (to protect me if it didn’t work) and earned points. I had saved up before hand so I could pay off the monthly bill when it came due. Most credit bureaus do not cut your score if your ratio is under 30%. For instance, total cards limit $5,000, balance carried $1,500, ratio = 30%. People with the best scores tend to keep utilization under 10% for each card and for total credit card use, according to Experian.

Get the best deals: https://www.amazon.com/Insiders-Guides-Discount-Financial-Services/dp/143480593X

Is a South Dakota tax haven right for you?

South Dakota has become one of the most popular tax havens in the world. South Dakota offers everything a wealthy person setting up a trust could want. There is no state income tax or capital gains tax, so investment gains on assets placed in the trust are tax-free if it's structured correctly. Robust protections provide anonymity and shield assets from creditors and governments. And special provisions allow trusts established there to last forever, which means those assets would never be subject to the federal estate tax (40% for estates worth more than $11.7 million). However, the popular types of trusts used in South Dakota and Nevada have never been tested in a court of law. That means it's unclear if it would last. This trust, known as an incomplete gift non-grantor trust, or ING, could be challenged because the user is actually lying. They say they are hands off but they also claim they still have some control over the assets because the gift to the trust is ‘incomplete’. They claim they aren't tapping the annual $15,000 limit for gifts or the $11.7 million lifetime exemption before the federal gift tax starts to kick in. They claim a special ‘committee’ has to approve any payouts made to the creator of the trust.

Use the IRS approved tax haven: https://www.amazon.com/Your-Tax-Haven-Tax-FREE-working-Americans/dp/1482659441

How much tax will you owe for this year in April 2022?

With all the changes in income this year—unemployment, new job, child tax credit—etc, you may owe taxes that you have not had your employer withhold by December. So this calculator may help you understand where you stand: https://www.cvnb.com/calculator/tax-margin. Usually there is no penalty for under paying by December if you owe less than $1,000. If you will owe more, send in more by changing your W-4 with your employer or using this form: https://www.irs.gov/pub/irs-pdf/f1040es.pdf. You can wait to complete your taxes before April 15 and ask for a waiver of the penalty. There are no guarantees of course.

Consider changes: https://www.kiplinger.com/taxes/tax-law/603037/tax-changes-and-key-amounts-for-the-2021-tax-year

How to remove fake bad credit info from your credit report

Although one credit inquiry is not going to hurt your credit score it can affect your credit scores for up to two years. You may have looked for a new or used car or credit card or house, but that inquiry may also have come from some fake internet site or merchant trying to punish you. If you are not checking your credit report regularly, you will never know why you don’t get the best rate or rental deal. When you find the questionable hit on your report, don’t hire a credit repair firm. That may just add to your unfavorables. Use the online request form at the credit bureau to request bad info removal. Congress gave bureaus the right to ding you but not the responsibility to check data. You have to do it yourself. Thanks for nothing Congress! Around 25% of U.S. consumers found errors that could affect their credit scores in one of their credit reports. My report had data from someone in Long Island with my name and another from Maryland who stiffed a hospital and owed a lot of money. I filed the forms and got them removed after months. Bureaus don’t have a time limit on their failures. If they don’t act, use the sample credit dispute letters from the Federal Trade Commission. Let the FTC know about your dispute.

Show your child: https://www.amazon.com/Give-your-child-leg-manage/dp/1096505355

Is “personalized investing” right for you?

Headline: ‘Personalized Investing Coming Like a 'Freight Train'. If you were a broker/advisor this is sweet music to your ear. But guess what—this is just a marketing slogan for a sales person pushing the firm’s ‘selling list.’ And we get to pay through the nose for their guesswork. A Schwab employee said “investors were seeking an “even higher level” of personalization.” Yes, if your advisor asks enough questions about your situation and goal and objectives, they are bound to be able to find some securities that you personally will like. Yes, over time and through experience, your advisor should be able to assemble securities you feel meet your needs—but at what cost? Some picks will be winners and some losers and advisors don’t know. They can’t predict the future no matter how well they know your data. The reason passive investing has done so well for index users is that no matter how much you pay for ‘personalized investing,’ you may not do well. Warren Buffett who is not a sales person has proven that most folks do better without the ‘personal investing.’ The stats show you do better with an index alone.

https://www.amazon.com/Warren-Buffetts-Vanguard-Funds-Retirement/dp/1496148592

What is your retirement dream?

Some folks working to attain or maintain their middle class status are now questioning the path to their retirement dream. The pandemic and the shift in steady wage growth and asset building have made some folks reevaluate their situation. If they have had to change jobs and start all over again in a new career, can they ever catch up to their dream amount? Traditionally we have planned our retirements around the expectation of combining a pension, Social Security benefits, and personal savings to provide sufficient income for later years. These days we change jobs, our employers don’t pay pensions, and wages have been flat since the 70’s. The median retirement savings of Americans between the ages of 55 and 64 is currently zero. For those with retirement savings, the balance is less than in the past. Many of us have turned to ‘professionals’ with mixed results. It is estimated that retirement savers lose $17 billion to conflicted advice each year. This is a staggering sum that has real world consequences for retirees. Regulators have failed to fix the situation. The middle class has given up assets to the upper class. Here is how: One analysis shows that over a 50-year investing lifetime, that 2% [total annual cost of investment advice and trading] will erode 63% of what you would have had. At $250 a month, that means you will have $660,000 instead of $1.3 million. Some folks have solved this problem by doubling the amount they save/invest. Some have taken John Bogle’s advice and cut out the middle person by using index funds.

Dream and plan: 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’

Seditionist Bannon snubs Congress: jail?

Capitol police help hide terrorist

Trump sues Jan 6 Committee to hide terrorist ties

Trump’s Big Lie: repeat repeat eventually believe

How Govt wastes our money:

What is wrong with this tax system? Workers pay 33-41%; wealthy pay 0.00001-17%

TX mandates business cannot reopen business if require vax: TX to control biz operation

Coal lobbyists determine Manchin vote on Dem budget: Manchin gets $491,949 a year.

Manchin cuts: funding for child credit, elderly and disabled reduced/cut: WV loses

Drug lobbyists pay 3 Dems to kill lower-drug prices bill: Schrader Peters get $1.6 million

We gave oil company that spilled in CA $20 million in subsidies: Socialism for the Rich

Rich don’t pay Social Security taxes: Avoid taxes when earning over $147,000 in 2022

Wealthy receive increase in SS benefits: $3,345 per month in 2022—avoid taxes too

Democrats scale back plan to raise more money from wealthy tax cheats: IRS lacks teeth

Sinema AZ Dem told lobbyists who give her money she opposes any tax on anyone

DINO Manchin and Sinema already in Republican Party strategy to end Biden promises

SCAMS/SPINS:

60,000 Air Force fear needles: barracks becomes killing zone: going for 800,000 dead?

FoxNews praised SW pilots “act of nonviolent civil disobedience.” But Cxl NOT for Vax

GA Cobb Co loosened COVID protocols: wave of children were infected: no school

Salem witch trials: Anti-vaxxers blame hospitals for not using malaria pills or de-wormer

Trump set up network to compete with FoxNews: ‘TRUTH Social’: Goebbels’ style

“I wish that I’d got the shot,” Dad tells Mom as he and wife die and leave 4 kids alone.

FL private school: quarantine students 30 days AFTER get vax: Crazy misinformation

American and Southwest employees with vax exemptions: still passing Covid to us

Infect and shoot: police fear needle vax and shoot before question: let riot proceed

Police refuse vax and die: 476 have died of COVID: 93 by gunfire since 2020

Police deputized ‘vigilantes’: Kenosha protestors shot by terrorists helped by cops

Gunman ambush kills Houston police: others shot in the back; terrorist got away

Mark Forkner pilot caught hiding Boeing flight control error that may have killed 346

Ronnie Floyd SBC resigns fight over sex abuse investigation: pastors abuse 700 kids

GOP senator calls for senility test for aging leaders: Trump: don’t like pee from women

Redistricting means our votes won’t count anymore: TX puts Dems in smaller box!

TX following Poland’s anti-Constitution path: limit voting, abortion, gun control

Senate undemocratic: Wyoming voter has 68 times the voting power as one in California.

MD GOP Doctor Harris promising Covid treatment from horse pills via radio

NE GOP Fortenberry caught laundering Nigerian billionaire’s money via CA donors

JPay caught charging consumers fees to access their own money on prepaid debit cards

Michael Moore caught stealing $1.5 Million using romance scam: gang hit lonely

Amanda Dawn Rains caught stealing $3.9 million with doctors for ‘pain cream’

Ravkoo Online Pharmacy caught $8.5 million fake COVID Drugs: Gov helped faud

Online brokers caught making trading into game enticing novices to fail

Facebook caught discriminating against U.S. workers in favor of foreigners

Facebook changes name avoid ills: new ‘metaverse’ virtual, games, fantasy, holodeck?

Fake news easy to mislead on shortages and mandate disasters: pick sources carefully

TurboTax stopped CA from letting tax collector bill us instead of doing 10 page $300 returns

Jobs

Most in demand: service jobs seeking higher wages

Young leaving jobs since pay level same as 1976 adjusted for higher prices: rich take all

200,000 shipping containers were backed up off the coast of Los Angeles: toys, cars, etc

Who owns your account now?

Why using debit card is unwise: $12,000 for 3 oranges then all purchases fail

Are you paying too much for homeowner’s insurance: average cost per state HI is cheap!

10 most commonly stolen vehicles: avoid most common mistake—leaving keys inside

Mortgage forbearance ends: payments restart: negotiate with servicer critical

Medicare Advantage plans added home visits for some: more choices drive Advantage

Streaming services cost $ hundreds; some are free but limited

Miracles:

CA has driest water year in a century: golf courses drink millions/night reduced price too

¼ Republican voters still believe Trump reinstated in WH before the end of 2021 Coup?

Covid vax technology, may be key to stopping cancers, autoimmune diseases, etc

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/

Wisdom comes only thru suffering Aeschylus

IAN

41 Watchung Plaza, B242

Montclair, NJ 07042

973.746.2014

www.InsuranceAdvisorsNetwork.com

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

Friday, December 14, 2018

This is how Jared avoids his fair share of taxes

Like papa, Jared uses other people’s money to buy commercial real estate. He pays himself well to create losses. He adds the phantom expense called depreciation (building use and aging). The losses mount up over the years and are added to this year’s loss. He earns $millions but never pays tax. We taxpayers actually give him a refund. Here’s an example from 2015. W-2 income: $198,000. Taxable interest: $536,000. Dividends: $1,000. Capital gains: $974,000. Deductions: Tax losses from real estate and other partnerships: $3.5 million. Tax losses carried forward from previous years: $4.8 million. Total adjusted gross income: Negative $6.6 million. Tax refund $4,000. A new Jared NJ property just so happens to be located on one of papa’s

Opportunity Zones for another tax subsidy in Jared’s future. We have to pay Jared’s share of taxes too.

Use your own legal tax shelter: https://www.amazon.com/Trump-Tax-Shelter-Avoid-taxes/dp/1985448300

Prepay your 2019 tuition to maximize your tax credits

If you paid less than $4,000 of tuition for your college student, you can pay for the first semester or quarter of next year's college tuition in December and use that tuition for this year's American Opportunity Credit. However, you want to do the exact opposite if you've already paid more than $4,000 for your college student who qualifies for the American Opportunity Credit. You get no additional benefit from the American Opportunity Credit (max $2,500) if you pay more than $4,000 in tuition each year. In this case, you'd want to wait until January to pay tuition. That way you might increase your American Opportunity Credit next year since you've already maxed out the allowed credit this year. Be sure to show a Form 1098-T from your college or university to your preparer. Credit is partly against tax and partly refund if you owe nothing.

Use all your tax credits: https://www.amazon.com/Tax-Credit-Class-your-credits-ZERO/dp/1539462382

Are you tempted to move your nest egg to gold?

Before you buy gold or its ETF, GLD, compare the fall it made in 2012, losing more than HALF its value over 10 years. Meanwhile over the same 10 years, the stock market index IVV, grew 129%. Use perspective to judge your investment accomplishments. Of course they all go up and down but did you and your broker KNOW to get out of gold on July 1 2012? I doubt it. Market timing is a sure way to lose money—you must be correct getting in and getting out. Over time your best bet (unless you have insider information like our Congress people do, is to hold, NOT to use a professional ‘gambler’. Compare broker /advisor-assisted accounts to a stock index (S&P 500): 3.79% vs 11.04%. Would you rather earn 11% over time? (most fund fees <0 .04="" o:p="">

Forget the ‘professional’ salespeople: https://www.amazon.com/You-Beat-Wall-Street-professionals/dp/1986031373

Is final expense ‘senior’ life insurance right for you?

‘Premium never goes up and coverage never goes down.’ ‘You can’t be turned down.’ ‘Don’t leave your family with expenses.’ ‘Only $13.40 a month.’ Let’s look at the caveats for these plans. Coverage is limited for first 2 years and $13.40 buys only a $2,000 benefit at age 60 if you are female. Average age at death is 81 female, 76 male. So $13.40 for 20 years is $3,216. A $2,000 benefit (costing $3,216 or more) will be worth $1,000 in 20 plus years (inflation). You can buy more but the cost goes up at each age when you buy it. If you want to cover funeral and medical expenses for sometime in the future, this is the worst way to do it. No medical means the rate is the highest possible. If you invested your premium in a saving account or CD, you might have $4,400 not $2,000. Bank POD accounts serve this purpose. Clearly this account is for someone who responds to emotional TV appeals. A cost-effective legacy would provide an IRA which pays the beneficiary immediately. This could include funds for the funeral AND help the grandchild. Besides, after you pass, your debts are not owed by your relations.

Pass on your legacy: https://www.amazon.com/Give-your-Grandchild-Lifetime/dp/1456433105

Need help starting to save? How’s 5%?

This credit union will pay you 5% on your money to get you started in a regular savings plan. This plan includes a checking and savings account plus certificate of deposit earning 5%. The requirements make it a perfect savings starter for a young person. This is the first step to using the IRS approved tax-FREE account—the Roth IRA. You earn great rate and you pay no taxes on the interest. WOW 5% without paying taxes on interest. Later when you feel comfortable, you can experience tax-FREE growth on a securities account at a low-cost mutual fund provider. Then you can earn 10-12% on your retirement investments and pay no tax now or later when you take the money out. You can take out contributions anytime tax FREE. However, if you keep investing automatically in this account, you could reach $1 million later—Compound interest and earnings without taxes EVER. Compounding is what keeps the rich, rich.

It is a miracle: https://www.amazon.com/Miracle-Compounding-Turn-$9-a-

day-into/dp/1470176513

Is this tax shelter right for you?

You can save/invest up to $500 a month and never pay tax on your earnings. This tax shelter is approved by the IRS! You don’t have to hide your money overseas. You don’t need a lawyer to set up the trust. You don’t need an advisor to manage your earnings. You don’t need an accountant to prepare your return for this shelter. You can set up this shelter on the phone or online in about 1 hour. You can have the trustee put the same monthly amount in automatically. You can have the unbiased trustee manage the securities at little cost. Tax-FREE earnings means you are not paying 10%, 12%, 22%, 24%, 32%, 35%, or 37% on your money after you accumulate $500,000 or a $1 million or TWO. (You can earn 10-12% a year over time.) There is no penalty if you need to take out the amount you put in so far. You may even be able to put your 401k in this shelter.

Buy before Congress changes terms: https://www.amazon.com/Trump-Tax-Shelter-Avoid-taxes/dp/1985448300

How can you avoid home buying mistakes?

No 1 rule: get mortgage first so you can pounce. Write down your absolute needs. This will NOT be your only house. Be practical—walk around neighborhood at night and day—looking for noise and pollution. Never buy a home with a shared driveway. Consider the nearby activity—your street used as detour from main road when school in session? Do research: Look at the neighborhood tax records—are taxes jumping in recent years? Consider estate sales—study internet listings for private sales—for real bargains. Make sure you have $5,000 on hand for immediate repairs or new inside painting—costs less BEFORE you move in. Buy lawsuit insurance too.

Make a plan: https://www.amazon.com/Homeowners-Insurance-Beware-Coverage-Policy/dp/1480100870

Is the IRS saver’s credit right for you?

Yes, you can receive a credit for saving worth up to $4,000. The amount of the credit is 50%, 20% or 10% of your retirement plan or IRA or ABLE account contributions depending on your adjusted gross income. The maximum credit amount is $2,000 ($4,000 if married filing jointly). The Saver’s Credit can be taken for your contributions to a traditional or Roth IRA; your 401(k), SIMPLE IRA, SARSEP, 403(b), 501(c)(18) or governmental 457(b) plan; and your voluntary after-tax employee contributions to your qualified retirement and 403(b) plans. Let Uncle Sam help you get rich.

Use your tax refund to fill your account: https://www.amazon.com/Tax-Refund-Millionaires-Let-Uncle-Help/dp/149595644X

**************

Make

~~America~~

, “The Don”, Great Again

Senile Psychosis

Truth isn’t truth, his lawyer

Two

Americas

: A Banana Republic? Do we really want an infant king? Daddy Putin!

McGahn is ‘lodestar’: Told Trump ‘NO’ - saved Mueller!

J F Kennedy was 43 when he beat Nixon

***********************

How Govt wastes our money: Congress spends $1.3 Trillion we don’t have!

Farm bill gives owners’ cousins who don’t even work on farm $125,000 paycheck too.

Congress takes money from children to pay for their perks: Congress gets farm subsidies.

Here are the people who REALLY decide how our tax dollars are spent.

SCAMS/SPINS:

3 people agree with Trump’s global warming analysis: Putin, Saudis, Kuwait dictators.

Trump to enslave Army into building his ‘wall’—unconstitutional? Berlin Wall failed too

10 terrorists were NOT caught at border: Trump’s trumped up hysteria for the base.

Steven Pagartanis, NY caught stealing $9 million over 18 years in Ponzi on seniors.

Veteran Charities collecting for sponsors not veterans. Taxpayers pay twice.

The ‘Leader’ violates every legal protection under the law: Obstruction and Tampering.

Mob ‘fixer’ gets 3 yrs. The Don denies telling fixer to hide own crimes. Just like Nixon!

Can Don the Mob Boss escape his ‘dirty deeds’? Don still not knows he broke the law!

The Mob Boss can never go to jail: Trump has Kava as Supreme so no indictment.

‘No man is above the law’ … well up till now. Dictators nullify courts first, then votes.

Supremes protect Don’s ‘Orders’? – GOP: Sure, pres can change Constitution anytime.

----------------------------------

Jobs:

Tesla may put car workers back to work: GM Ford abandoned cars and their workers.

Trump chief of staff: you must be able to act like slave, lie and misdirect convincingly

Extra cash from jobs you can do any extra time.

Separating children from parents seems to be part of the job: NYPD, ICE

Facebook calculating where you will be in the future: prevent crime? Catch criminals?

Who owns your account now?

What are your rights when you buy a DNA test?

Fewer children have health care with Fed cuts. Congress people take more coverage.

Merced P&C taken over by CA after fire claims wiped out insurer of many wildfires.

Let a real estate company buy your house: forget the hassles … for a price.

Keep your receipts: IRS goes after the ‘little people’ since ‘short 1/3 staff’ for wealthy.

Did your ObamaCare plan lower its price this year: check out what you have TODAY.

Miracle:

One woman, 97, helped save our right to vote in NC like she did in 1942: Say Preamble!

IAN

41 Watchung Plaza, B242

Montclair, NJ 07042

973.746.2014

www.InsuranceAdvisorsNetwork.com

Alerts

Friday, May 18, 2018

What to do with your RMD: 17 alternatives

What to do with your RMD: How much will you spend?

Your RMD or required minimum distribution is the amount the IRS calculates for income tax purposes from your retirement accounts annually after your turn age 70½. You may want to invest part of it for the future or cut the amount in your IRA that you will pay tax on in coming years or contribute to legitimate charities. I help you answer these questions now: Will you have enough? How will you invest? How much will you spend? Explore 17 alternative uses of your RMD. Create tax-FREE income from your IRA while reducing future RMD. Take advantage of the miracle of compounding: $100,000 may become $500,000 in 15 years. Create an investment plan for 30+ retirement years. Self-insure and self-fund all your financial needs. Social Security to cut benefits in 2034 so you may need more income later. You have time to do something about the future.

The chickens have come home to roost: https://www.amazon.com/What-your-RMD-much-spend/dp/1718946716

Trump tax plan has NOT brought outsourced cash back for jobs in US

GOP gave corporate

America

a great deal besides cutting rates so actual rates are less than 15%. Apple, Microsoft, Google, Oracle and Netflix have removed from reports any mention of their overseas cash totaling $ TRILLIONS. Most corps have given their senior staff and shareholders BIG raises but have hired few new taxpayers. GOP’s new 15.5% rate on repatriated cash seems to have few payers. But if the $ Trillions are not tracked, how will we know if the special tax deal we must pay for is effective? We taxpayers will still have to pick up the slack since most corps don’t need capital or jobs here in US. Most will find their next decade of profits overseas so they plan to use the money there. Why pay 15.5% when they can pay 0% in most tax shelters. Apple hides their cash in Jersey, an island off

France

. I would keep my money in 0% tax Jersey if I could too.

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

Do you need a gift for your grad?

Best gift for your graduate: The Gift of a Lifetime.

Your monthly gift could provide your grandchild with real ‘social security:’ their own tax-FREE money. You take advantage of the miracle of compounding. Your gift becomes a $2,000,000 tax-FREE Wealth Reserve. You could reduce your taxable estate by $500,000 for each grandchild. Your grandchild will NEVER have to pay taxes on the money either. Social Security will exhaust its funds in about 2034. Every year you delay costs your favorite kid $100,000 later.

Start today: https://www.amazon.com/Give-your-Grandchild-$2000000-Lifetime/dp/1456433105

Are you eligible for Medicaid to pay your long-term care costs?

The way annuities can help with Medicaid eligibility is that they can transform otherwise countable assets, such as savings accounts, into a non-countable income stream, thus protecting assets for heirs while spending down what counts against you in Medicaid eligibility. You are essentially giving up your asset temporarily. So the annuity must be non-cancelable and non-assignable and name the state as beneficiary for at least the value of the Medicaid assistance received (exception for disabled child). Thus most annuities sold do not fit the requirement. You must obtain a confirming statement from the insurer to protect yourself. Typically it is a single premium immediate payout annuity. State law varies so use a qualified sales person. This strategy may not work for you since you won’t know for sure it works until you need it. Your spouse will not be made destitute in this process if you plan well.

Will you need insurance: https://www.amazon.com/Long-term-Care-Insurance-Updated-2013/dp/148274001X

How much are ‘reasonable’ advisor fees?

Again, it depends. How much is your advisor doing for you? Money management only costs 0.22% for a balanced (bond/stock) fund with a 40 year history of providing superior returns (9.4% a year). If your advisor is giving you financial planning services, including mortgage, college, tax and retirement funding, quality will cost you 0.30-0.50% of your <$1 million portfolio each year. If you just want periodic advice, pay $500-$2,000 an hour to a certified financial planner, depending on your needs. That way you pay as you go for professional services and leave the money management to institutions that know what they are doing. Investors not traders go for the long term rewards. If your advisor is asking you to move your money to another firm it is because they are getting a bonus up to $600,000 and you don’t want to be around as he has to make it to the firm next year.

Pay only for what you need: https://www.amazon.com/Best-Robo-Advisor-Ultimate-Automatic-Management/dp/1537111957

Why do you need 12 Energy ETFs?

The fact that every brokerage firm seems to be pushing its own commissioned index with annual fees up to 1% should not surprise anyone. But I am. Some 3 year returns are negative (-16%). Some don’t even have them. All earn less than the proven market leader with over 10% returns since 1984 and no commission and lower annual cost of 0.41%. If you know when energy prices will spike, which one of the 12 should you buy? Can your broker tell you when to sell? If you have insider knowledge, why not just buy the company stock? What about the gains from oil and gas company earnings? China seems to own the solar panel market. Is that your short- or long-term bet?

When your broker does NOT have answers: https://www.amazon.com/Vanguards-Top-Ten-mutual-funds/dp/150073909X

Can you time the market declines/risings?

Many studies have been done on this strategy. When you listen to market commentators and they talk ‘over weight’, ‘sector rotation’ and ‘moving to cash during the cycle’, remember they are getting paid very well at sounding good trying to predict the future ($1 million is better than fortune tellers). They are not actually doing what they talk about. Their wealth does NOT come from their ‘insight’ into market tea leaves but from entertainment TV sponsors. The reality is that timing and picking does not work. Look at one study ended 2015. How would you have done if you missed the market’s top-performing days, assuming you can’t predict the future? Your $100,000 investment would have reached $120,230 if you missed 25 days of the 7,300 days. However, if you were out for 20 days, then $148,698; 15 then $186,715; 10 then $238,637; only FIVE then $317,215. If you never left the market, then $478,171! Your money went up 378%! That’s about 8% a year nominal. $478,171 is more than $120,230. It’s time not timing!

Use the winning strategy: https://www.amazon.com/Money-Ball-Investing-Winning-unfair/dp/1548831409

Advisors are now allowed to sell you the worst products (best for them)

A court struck down Labor’s fiduciary rule so the DOL said it won’t enforce ‘prohibited transactions’. Sellers will go back to selling annuities to 90 year old widows as they did before. Lawsuits have been brought that allege that certain insurance companies and banks target elders and use scare tactics to pressure seniors into investing their life savings in deferred annuities, which can make the seniors’ savings inaccessible for 10-20 years, can carry exorbitant surrender charges and severe tax penalties, and can create complicated estate problems after death. Appealing, yet misleading, sales pitches to seniors often describe annuities as “guaranteed” and compare them to having money in the bank that is “safe” but pays a better return. Confusing language in the annuity contract often obscures the devastating fees involved if money needs to be withdrawn as the senior citizen ages. Additionally, many of these annuity products are sold by agents being paid significant commissions for such sales, creating a potential conflict of interest. Don’t settle for poor products. Use firms that put your best interests first.

Use the Best for YOU: https://www.amazon.com/Fiduciary-Rule-BEST-dont-settle-anymore/dp/1530980275

Is it worth making a financial plan?
People who make a financial plan are more likely to be ready for whatever our economy throws at them. Companies and their jobs can come and go in a very short time. Even though it seems that people who want to work can find a job in today’s market, our situation can change quickly. If there are tons of jobs in another region, can we just pick up and leave? Most people need time to adjust—move or find another job. This takes an emergency fund. According to a Schwab study, 65% of people who plan have one; 24% of non-planners do not have one. People who plan are less likely to live paycheck to paycheck. They feel financially stable. Making a plan does not require you to hire a financial planner or open a brokerage account. It takes just 2 weekends.

Make a simple but effective plan: https://www.amazon.com/Simple-Financial-Life-paycheck-paycheck/dp/1441499326

****************

Make

~~America~~

, “The Don” Great Again

The Path to Dictatorship

“I have absolute right to do what I want with the Justice Department”

“I could shoot someone on 5^th Ave and not lose voters.”

Trump’s Gestapo ICE troops break into house in front of kids

‘I’m the only one that matters’ Mob Boss Don, Nov 3, 2017

Loyalty to The Don above country. Treason? Above the Law?

Trump to refuse to answer special prosecutor’s questions: Above the law?