Your Unbiased Advisor: compound wealth

Showing posts with label compound wealth. Show all posts

Friday, February 18, 2022

Unbiased financial leaders say use a fiduciary not advisor/broker

Flaw in ban on Surprise Medical Bills

If you have a medical emergency, you will no longer need to worry about a large bill from a doctor you did not choose—MAYBE. The 2022 “No Surprises Act” is supposed to protect us against most surprise out-of-network medical bills. For Good Samaritans who donate organs this has always been the rule. However, because of the complexity of dealing with 4 or more institutions regarding medical procedures and their medical billing procedures, you may get caught in a fight with bill collectors they sell the ‘receivables’ to. (Remember, bill collectors get paid to collect the debt they purchased, not to correct a mistake a previous institution made.) Also, know that our Reps gave some providers’ lobbyists a break in which charges are exempt from the law. The ambulance industry CAN charge you even if you didn’t pick the one the in-network institution uses. Another example: I just got a bill from a provider I did not pick. My doctor immediately called in his favorite X-ray person in the same building to do my X-ray since I was in need and the machine was down the hall. So in our medical system, each entity that provides something; anything; that can be coded (an aspirin, X-ray, swab kit, glove, cold/hot pack, etc etc) will add to our bill. If you look at your hospital bill, you will be shocked to find an aspirin can cost $30. If you insist on brand Tylenol instead, it costs more. A trip to the hospital can cost more than a bomb the Air Force pays to arm its fighters.

What we regret most

Regret: I wish I had done something or not done something in the past. In The Power of Regret, Daniel Pink asked 16,000 in 105 countries about their top regrets. People regret not building a strong foundation — that is, not saving money early, not being prudent," Pink says. "With financial regrets, they're less about not hitting a home run and more about not regularly getting on base." It is TIME in the market not brilliant advisor stock picking that builds wealth. No advisor can be right all the time so in the long run, you lose more than you gain. The average advisor-managed account earned just 3.79% vs 11% for a pure low-cost stock market index fund. It is the high fees and bad market timing that ruins your investment plans. Starting early, using your average tax refund or $250 a month in a low-cost stock index fund like Warren Buffett recommends provides your best chance of providing an above average retirement income.

Avoid advisor fees: https://www.amazon.com/New-American-Retirement-System-ReserveTM/dp/1461030072

Why unbiased financial leaders say use a fiduciary

A fiduciary is a person or organization that acts on behalf of another person or persons, putting their clients' interests ahead of their own, with a duty to preserve good faith and trust. Being a fiduciary thus requires being bound both legally and ethically to act in the other's best interests. This is the kind of person you want to handle your money and life choices. Otherwise you become an ongoing meal ticket for a salesperson and their firm’s owner. Fidelity owners, the Johnson family, have a net worth of 36 Billions. They did not get to that level working 9 to 5. They take fees every year from your savings and investment accounts (if your money is at Fidelity). On the other hand, Vanguard Group of funds is owned by its investors. You get financial products and services at cost: No middle person fees and charges. Low-cost stock index funds, like Warren Buffett recommends, provide you with your best chance of gaining an above average retirement income. Earn market rates of return not the Johnson’s rate. I don’t work for Vanguard. I moved my money from Fidelity because I earn more at Vanguard. They just cut their fees again—Target Retirement Funds—1/5^th the cost of others. I keep more!

Buy at cost and save: https://www.amazon.com/Fiduciary-Rule-BEST-dont-anymore/dp/1530980275

Another way wealth people make us pay their taxes

Passing on $ billions tax-FREE to the kids who never have to work and contribute to our society. Shale King Harold Hamm Is Passing Billions To His Heirs Tax-Free. If the kids don’t pay taxes on their $2.3 billions, we will be stuck paying for the courts, highways, airports, and armed forces they depend on. His lawyers carefully structure transactions so they benefit heirs but aren’t technically gifts at all. Thus no gift or estate taxes are paid. Yet he controls the company that provides the wealth. Filings show Hamm used an LLC and more than a dozen different trusts to complete the transfers. Phil Knight used a variety of techniques to move billions of dollars to his family tax-free. Eric Yuan transferred $6 billion worth of shares to unspecified beneficiaries for “estate planning” reasons last March. Late casino mogul Sheldon Adelson shuffled shares of Las Vegas Sands Corp. in and out of more than 30 trusts to pass along at least $7.9 billion to family members. Cosmetics heiress Jane Lauder became an overnight billionaire in 2013 when she received L’Oreal SA shares worth more than half a billion dollars. Our so-called ‘representatives’ wrote the tax laws that let them pay NOTHING. You have one way to avoid paying THEIR taxes.

Use your legal tax-FREE account: https://www.amazon.com/Your-Wealth-ReserveTM-Tax-FREE-Investment/dp/1484954882

If you earn less than $100,000 a year, start investing NOW

The only way to have enough income in retirement is to start early. Why? Because most working people need time for the Miracle of Compounding to accumulate a large nest egg. It takes large contributions or a long time to have enough retirement assets to live on later. For instance, investing $250 a month for 35-40 years will provide a retirement income of about $45,000 for 30 years. You would need to triple that—or invest $750 a month—if you only have 25 years left to invest. If you wait to start, you will need $2,500 a month for 15 years to reach your goal. This assumes you can earn 10% a year on average in a low-cost stock market index account. This is the type recommended by Warren Buffett. If you rely on a high-fee broker/advisor, it may not be possible to reach your goal at their average of 5.19% annual earnings. Low cost beats high cost over time.

Use the Miracle of Compounding: https://www.amazon.com/Miracle-Compounding-Turn-day-into/dp/1470176513

Take all your special 2021 credits to offset taxes

2021 was a difficult year for most working Americans. Take all your credits: Child and Dependent Care Credit was supercharged through the 2021 American Rescue Plan. Parents can receive a tax credit worth as much as $8,000 — nearly four times the previous limit of $2,100. The Child Tax Credit provided funds throughout the year but some families may have been shortchanged. The expanded Child Tax Credit, by comparison, provides $3,600 for each child under six and $3,000 for children between 6 to 17. The fact that the tax credit is also fully refundable is important because it could boost the tax refund that many parents receive this year, experts say. Tax credits are dollar-for-dollar reductions in a person's tax liability, versus deductions that lower a person's overall taxable income. Save the $300-$600 tax prep cost by doing your tax return using IRS-approved tax software via IRS free file. Or AARP free tax prep. Do not mail your return since IRS is still processing 2019 paper returns. I just got my refund!

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

Social Security is the best annuity available

Insurance companies make a lot of money from annuities because you receive less than you invest with them. Yes, you are guaranteed payments for the rest of your life but unless you pay more now, your benefit will be cut by inflation over time. That means you receive less and less each month in buying power. At current levels of inflation your benefit will be worth about HALF the current payments in 20 years. Compare SS benefits: annual inflation protection—in 2022, benefits were increased by 5.9% at no extra cost to you. There is no policy charge, commission, admin fees, surrender charges, mortality expenses, investment expenses, or inflation rider fee. You can also create a low-cost income stream like an annuity to supplement your SS benefits.

Use the best: https://www.amazon.com/Best-Annuity-Strategy-Income-Growth/dp/1497532019

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

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

The Path to Dictatorship: 2010-2030

GOP guarantees itself a win

More subpoenas

How Govt wastes our money:

Ukraine the new Korea? Putin takes HALF (East of Dnieper) to save face at home

100 more incidents involving counterfeit parts in nuclear power plants in 2021

Manchin’s political veto gives friends $ millions in lobbying fees: making them wealthy

GOP asks truckers to come block highways in US: Putin hacker firm invites chaos

Another costly vacation: House returns to work Feb. 28 after Presidents Day recess.

IRS Adds Four “No Rule” Areas for Trusts Estates: wealthy avoid taxes; we pay their tax

SCAMS/SPINS:

WI Trumpers ban ballot drop boxes: WI supremes help GOP win elections

TX rejects thousands of ballots for primary: GOP secures win before election

Billionaire pays to oust GOP reps who voted to impeach dictator Wannabe: follow cash

Two MS whites chase Black FedEx driver in truck: 5 shots: another hate crime?

CA deputy shot Black homeless man in struggle for jaywalking arrest: no charges

FL former cop kills man in phone-in-theater dispute: ‘stand your ground’ defense

NYC employees comply with vaxx mandate or face losing their jobs: 940,000 dead

Employees don’t fight mandate for driving, guns, seatbelts, recycle, dog poop, taxes, etc

500 unruly passenger incidents first six weeks of 2022: GOP cancels US do-not-fly list

Is Putin trying to divide us again: fake Trump letter, fake crops, fake food supply chain

Zero Hedge, 1.2 million Twitter followers, published Moscow propaganda as truth

Volvo now owned by Geely, Chinese billionaire business magnate Li Shufu.

Fake ‘vintage’ goods sold are really new: ads for fake vintage stuff: get nothing

Russell Joseph Mutter caught $3.3 million financial fraud, fake statements 16 yrs prison

Mark Boucher, CA, caught stealing $2.2 mil by forging signatures, wire transfers, etc

Kenneth A. Welsh NJ caught stealing $1.9 mil fake wire transfers; arrest

CO elections clerk is sued after passing on voting data to groups behind disinformation

Royals pay up for Andy’s sex with minor accusation: it’s good to have Queen behind you

Hertz caught getting car renters arrested after mistakenly filing stolen vehicle report

Football $ 1 billion online gambling boom changes fans into transaction action addicts

NFL censured Super’s half-time show so some wouldn’t be offended: listen carefully.\

Email from Chase: review your contact info: but I don’t have a Chase account: scammer

Scammers reach $800 average take: can you spot them coming after you? Gov can’t

Chrysler now ‘Stellantis’ recalls 19,808 plug-in Pacifica Hybrid: charging fires

Tesla sued for killing driver when it ran into fire truck by itself: blinking lights attract

Sandy Hook families win $73 million vs Remington but Remington is bankrupt!

NFT marketplace shuts, citing 'rampant' fakes, plagiarism; so much for online only views

Trump and his two eldest children must comply with AG order to testify: take 5^th 500 X

Trump’s accountant: his businesses cooked the books, “inflated property values”

Trump threatens Clinton advisor with death for spying

Jobs

The adverts without the football on Sunday: vote on your favorite: $7 million/30 sec.

Some jobs can be done from anywhere if you have the right training or attitude

Citigroup head got 32% increase to cover inflation years in advance: live on $22 mil?

Least cost accredited college degrees: MBA, M Ed, MSIT

Who owns your account now?

Insurers push Congress to allow annuities as investment’s default: high fees cut earnings

“Americans can exercise Constitutional rights without hiring high-priced lawyer or lobbyist”

Investors not families buying up homes in critical areas in each city

New tax we paid to gambling industry: 2021 the highest-grossing year ever: $53 billion

4 free Covid tests sent to your home: https://www.covidtests.gov/

Some student loan cancellations: fraud rampant in some: DeVry ITT Technical Minnesota Business/Globe .

Miracles:

February 12: 49* at 8 AM northern NJ. Forty nine going to SIXTY! Warming?

Western US draught worst in 1200 years: hottest superbowl ever

This is how royals cut cake: stab down like killing a vampire

Space weather took out 40 SpaceX satellites: don’t look into the sun directly

Skaters using drugs OK as long as they use own script and grandpa’s and under age

MIT makes $4 water desalination machine: fresh water for the world

Eastern cities hit regularly with costly floods as sea rises faster next 30 years

Flowering plants multiplying in Antarctica as the climate crisis has warmed the summers

Woman Appears to Be Entirely Cured of HIV

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, January 22, 2021

Is “bundling” home and auto insurance right for you?

Give your child a leg up

The secret to giving your child a solid financial foundation is to put their savings/investing plan on automatic. It is time and compounding that creates wealth. It takes 35 years for your savings of just $250 a month to become $1,000,000. $250 a month for 35 years totals $105,000. The Miracle of Compounding makes it worth $1,000,000 or more. This is not a get rich quick scheme. This is the strategy used by Warren Buffett to accumulate more in 10 years than 5 Wall Street hedge funds combined. This is the low-cost one-decision strategy that has worked for millions of investors who don’t need to brag publicly about their successful investments. This strategy is so simple you don’t need to give up over 50% of your earnings to an advisor to make trades. Over time this strategy earns 11% per year—doubling your money every 7-8 years.

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

Have tax forms; will file … for FREE

W-2, unemployment, SS benefits, IRAs, pensions, RMD, brokerage, etc. If you have all your forms, file for FREE online. Usually filing your state return costs as little as $15 unless you buy the Pro helpline. Avoid $300-400 paid preparer fees—new IRS forms mean higher fees. Unemployment insurance is TAXABLE on the Federal income tax return; not on some state returns. Some states do not tax your SS and pension benefits. Retirees did not have to take their RMDs in 2020 so taxes may be less: it was a good time to convert IRA to Roth IRA for tax-FREE future. Unless you were self-employed, you can’t deduct home office expenses of working from home. Some states continue the health insurance mandate and penalty unless you have an exemption. Since the IRA contribution deduction has no age limit now, you may reduce your income/taxes by making a contribution of up to $7,000. The standard deduction went up to $12,400 single; $24,800 joint. Jan 15 last day to make 2020 estimated payments. You have to report your April/May and December/January stimulus payments even though they are not taxable. Some of us receive a bank credit; some a debit card; some a check. Even if you don’t have to file, you should file so scammers can’t use your SS number to mess up your IRS file. Tested E file software ratings. Efile Jan 15; IRS processing Feb 12.

E file avoids covid at your preparers’ office: https://www.irs.gov/filing/free-file-do-your-federal-taxes-for-free

Is “bundling” home and auto insurance right for you?

All insurance companies would love to have all of your insurance dollars. But does that make sense for you? First, one company does not offer the best coverage for every situation. My first auto company declined a simple claim that took weeks to resolve. Plus, I have had home insurance with one firm for 30 years and so have a longevity discount. I have shopped other carriers without success. Second, insurers change their profit strategies frequently. I keep testing car insurance rates every couple of years and save $ hundreds each time I shop. Recently, the insurer raised my car rates without any reason. I asked the CEO’s office for some explanation. They said “general” price rise was the reason. I asked if there was a discount I did not have and they confirmed that I was driving less now. Wow—they gave me another discount. Third, insurers go through marketing stages: today they all claim to save us $ hundreds by bundling or “buying only what you need.” Without shopping you won’t know what’s possible. Shopping carriers has saved me about $10,000 over the years. These are vendors not your spouse.

Shop: https://www.amazon.com/Save-3000-every-year/dp/1500681571

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

Wealthy line up to avoid taxes in future

After reaping the huge tax breaks of the Trump-GOP Senate, those who have made more are lining up at tax accountants to keep more. Even the pandemic did not slow down the riches flowing due to the Federal Reserve shoring up the bond/stock market. Some say tax increases are inevitable since the tax cuts for the rich have ballooned the deficit 29%. The wealthy uses several strategies to keep what they got from the Trump deficits. Real estate depreciation and business start-up expenses can shelter income. Converting IRA money to Roth IRA tax-FREE money works. Offsetting capital gains with losses and buying tax-FREE municipal bonds are used. Writing off PPP loans and using the opportunity zone investments strategically are more ways to pay less. Gifting highly appreciated assets saves taxes too. Most of us can take the less expensive route to avoid future taxes. Set up a legal Tax Shelter in 1 hour.

Use your IRS-approved account: https://www.amazon.com/Trump-Tax-Shelter-Avoid-taxes/dp/1985448300

Is a “no-closing costs” refi right for you?

Yes there is a way to refinance your mortgage without closing costs at contract. No, it is not FREE. Someone must pay the appraisal, local fees, processors, etc etc—and that would be you. The costs are added to the principal. The simplest no-closing-cost refinance takes the amount that you would have paid during closing and tacks it onto your new mortgage amount. Your lender adds the closing costs to your principal, or the unpaid balance of your loan. This may increase your monthly payments but doesn’t affect your interest rate. You might also be offered a higher rate to cover the closing costs. If you still have a lower rate than now, you still are better off with a refi since rates have fallen. If you need cash, interest rates on mortgages are usually lower than home equity loans, which means that even if you take a slightly higher rate, you may end up paying less compared with another type of loan. Choosing a no-closing-cost refinance may make sense if you don’t plan on staying in your home for very long. But if you plan on living in your home for a long time, you may end up paying thousands more in interest by taking a no-closing-cost loan. Save by finding the facts BEFORE you sign. Research starts here.

Get 3 estimates: https://www.bankrate.com/mortgages/refinance-rates

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

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

President of the United States tried to overthrow our government

Dictator: “you’ll never take back our country with weakness”

House impeaches Trump 2^nd time: "incitement of insurrection"

Dictator gives sacred cemetery to mine-waste dam co

QAnon: “we all got played”

Our ‘Truth and Reconciliation Commission’?

How Govt wastes our money:

Lucky 143 to give enough to dictator to get pardon or get out of jail? Drug dealers too.

Should the Capitol riot instigators pay the damages? Dictator has $billions; pays $0 taxes

Dictator trial will determine if runs 2024: Cruz & 147 GOP try coup again? GOP to stop voters

Domestic terrorists hiding in Congress: who gave the tours, opened doors, gave desk locations?

Dictator with $ Billions fears attacks: We pay $ millions for SS guards for his family & friends!

SCAMS/SPINS:

Terrorists plan: "to capture and assassinate elected officials," Justice Department lawyers say.

Trump support and belief in election fraud still strong: GOP still drinking Kool Aid

Trump terrorists dress like inauguration guards: many dictators use imposters to kill opposition

Terrorists attack Portland Dem HQ: no unity; reject Dem admin. prez; want revenge

12 army guards with ties to right-wing terrorists removed from inauguration mission

“More firearms were sold last year than in any previous year” 2^nd Civil War preparation?

Terrorist: “I’m a country boy: didn’t mean to bring gun, ammunition to D.C.” 500 rounds of ammunition

MyPillow owner wants martial law to keep dictator in power: stores ban Lindell products

Terrorists w/ illegal machine guns in Richmond: armed in camo garb: Only blacks get arrested

Ron Reagan: “Tear down this wall”: will Senate take Ron’s advice? Ron’s Stop the steal!

White Supremacy from FBI insider report: KKK was never this well organized

Pentagon to rid our ranks of racists and extremists: Black Sec Defense; 12 Guard out

Trump retirement party: military show: fighter jets/21 guns: distract from armed coup/bombing?

US looks like 3^rd world country: thousands of soldiers called out for terrorists across nation.

Ivanka Jared escape negative press: buying FL island home: not GOP defense witness

Trump vaccine reserve gone before Biden release: HHS: “not authorized to discuss the matter”

Biden can’t give 100 million in 100 days: no 100 million reserve left? Trump sent to Putin?

Owner Samaritan’s Purse ($622,252 salary) calls House members Judas (took 30 silver coins)

'Divinely Inspired' ‘trading’ by 2 convicts; $10 million Ponzi con; ‘20% riskless’ return; no jail

Kevin Brill MA caught stealing $600,000 from 3 family trusts; fake tax returns: prison

1st Alliance Lending caught misleading, using unlicensed sales, cheating, lying: only fine

LendUp Loans caught violating Military Lending Act overcharging, misleading: no jail

COVID-19 Vaccine Scams a 'Growing Problem' Amid Slow, Chaotic Rollout

Ford Mazda recall millions for Takata air bag inflators defect

IRS: Easy Steps to Protect Your Computer and Phone and Avoid Phishing Emails.

IRS: Free special ID protection PIN goes on your return so scammers can’t take refund

IRS: Previous tax returns available online: https://www.irs.gov/individuals/get-transcript

Is it a scam? Check AARP scamline 877.908.3360.

Check IRS: https://www.irs.gov/newsroom/dirty-dozen-part-1-taxpayers-should-be-on-the-lookout-for-these-scams

https://www.irs.gov/newsroom/dirty-dozen-part-2-thieves-work-all-year-to-scam-taxpayers

Check Social Security: https://blog.ssa.gov/

Safeguard data: ConsumerReports help: https://securityplanner.consumerreports.org/

Jobs

Amazon gives vaccine to 800,000 employees: facilitate shipping vaccines

Biden looking for tech specialists to fix processes in government

Check your credit scores BEFORE you apply: employers do credit check before hire

Sales jobs are virtual and abundant: sell yourself first—everything else is easy

Who owns your account now?

Rent assistance: apply for programs from your state: local help varies

Debt forgiveness: Cancel your PPP loan if less than $150,000. Form 3508S

Miracles:

We need a miracle. 3,000 die every day. 420,000 so far: 1918 pandemic killed 675,000

We need a miracle: 16 million people now claiming unemployment benefits.

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, January 24, 2020

How much income in retirement?

How much income can we expect in retirement?

The older folks I talk to have been saving all their lives. Their parents learned from practical experience (during hard times and before Social Security benefits started flowing) that if they didn’t save themselves or work at a place that gave pensions, they would have a hard time later. They learned to make sure part of their incomes was saved for later. Today, many have all types of income including SS benefits which they earned. Some men in Congress think our SS benefits are ‘entitlements’ that can be cut to pay the rich. They encourage the free subsidies some of their constituents receive for NOT growing crops or NOT finding oil or NOT having a bank reserve. Of course for some folks, it has always been hard to save for later—they never had a high paying job or their wages have stayed the same since the 1960s. So 40% of us over age 60 live on (try to live on) SS benefits alone. I don’t think all those folks threw their wages away and deliberately did not save. Their wages just did not reflect their increased productivity. Their share went to senior management. Their job didn’t offer matching 401k contributions. Their savings went to an emergency. Most of the folks I now help as an AARP Tax-Aide have a pension and SS benefits only. One in 10 has personal investments they cash in periodically. Most average less than $40,000 total income—a combination from both spouses. Most learn to cope with less. Trump now says Medicare and SS benefits may be cut since his tax cuts have NOT reduced the deficit as promised.

Prepare for your later income NOW: https://www.amazon.com/Your-Retirement-Income-Checklist-TrumpWorld/dp/1544703260

Complete your tax filing for FREE

If you meet certain criteria and have your documents already, federal and state can cost you nothing at https://apps.irs.gov/app/freeFile/. The software helps you avoid common mistakes before you file. Even if you make a tiny mistake, the IRS usually catches it without penalty. I have used most of these programs for years even though my income is above the limits. Most charge nothing for the federal and state. Some charge only $12.95 for the state. In 2019, NJ has kept the ObamaCare mandate tax if you don’t have health care cover so that state return may get complicated. Once you file your first year, your previous years’ data is there and pre-fills your forms: Saves a lot of time and money. Try it before you spend $200-300 at a for-profit preparer. No refund? File to keep your ID from scammers.

Plan now for a Tax FREE retirement: https://www.amazon.com/Trump-Tax-Shelter-Avoid-taxes/dp/1985448300

Which is better: ETF or Mutual Fund?

ETFs are index funds you can buy and sell every minute. Some brokers charge commissions. Are you surprised to learn the largest ETFs are offered by Vanguard? Since most ETFs and Funds charge almost nothing and use the same index of stocks/bonds, why invest in one or the other. First you don’t need a brokerage account to own a Fund. Second, you may be able to reduce your taxable income with one over the other. Third, it is much easier to buy and sell an ETF than a Fund. Fourth, one or the other may provide an index of securities you favor. There are now at least 5,000 ETFs trading globally, with more than 1,750 based in the U.S. There were 9,599 mutual funds in 2018. However, here are only 3,671 domestic stocks today, down from 7,322 in 1996. There are 108,790 listed companies around the world. Remember, Warren Buffett won his bet with hedge fund options by holding just one low-cost Fund for 10 years.

Pick one and hold it: https://www.amazon.com/Assets-that-grow-themselves-snoring/dp/1986381226

Why does Warren Buffett credit COMPOUNDING for his wealth?

Compound interest: making money on your previous earnings. Warren Buffett wrote:

"My wealth has come from a combination of living in

America

, some lucky genes, and compound interest." Compounding is the Miracle of Finance. Unfortunately, the financial services industry does not allow schools to teach compounding of high earnings from index funds as Buffett advises. He proved Bogle’s idea: costs matter and are the most important factor in investing success. He bet the Vanguard 500 Index would beat the 5 hedge funds run by a Wall Street ‘professional.’ Indeed if you look at the past, most equity investors earn much less than a low-cost index fund: 3.79% vs 11.06%. The only requirement is that you must give up the vain search for the top stock or fund and just wait. We all want to be rich quickly so we don’t know how to wait. Fast trading is the myth of Wall Street since trading is the only way they make money. Make money the old fashioned way—Wait—and let the Miracle of Compounding work for you.

Take 11% a year: https://www.amazon.com/You-Beat-Wall-Street-professionals/dp/1986031373

Are ‘thematic’ funds right for you?

These mutual funds “hunt for tomorrow’s winners based on today’s emerging trends.” Using tea leaves and propaganda from the companies they buy, these well-paid gurus of Wall Street buy into stocks with 1000 to 1 chance of being the next Amazon, Apple or Facebook. Assets under management doubled in three years to reach $175.2 billion at the end of December. When interest rates are declining, investors tend to make more dangerous bets. Often you lose with larger wagers. People who have made this bet usually forget that the huge winners like Amazon have taken years to win support: 1997 price $1.73; 2020 price $1,884. Few gave Jeff $1.73 for his bookstore stock. 11% a year is easier money.

Vanguard’s proven Top Ten: https://www.amazon.com/Vanguards-Top-Ten-mutual-funds/dp/150073909X

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

Like 1776, this period is a test of democracy—do we really want ‘low-IQ’ Mobster?

Trump admits there is “a growing totalitarian impulse …”

Trump kills foreign leader because he was “saying bad things”

His power comes from fear that they may be next

How Govt wastes our money: Congress spends another 1.7 Trillion we don’t have!

Trump cancels Obama’s vegetables and fruits in public school lunches: Perdue’s menu

Social Security benefits will be saved or lost in the next election: 2100 Act v TRUST Act

Washington is ignoring tax avoidance by the rich: you are more likely to be audited

Trump kills Obama water rules: dump whatever you like into rivers and streams.

Trump to cut California health funding: Going for the Evangelical vote