Save $3,000 a year; more later

 

Have fun living frugally so you have enough for more!

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

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

 

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

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

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

 

 

Save on highly depreciated used cars

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

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

 

Are you ready for retirement?

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

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

 

 

 

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

 

 

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

 

 

Our Jan 6 ‘Truth and Reconciliation Commission’

 

GOP enablers barred from terrorists in jail

 

Trumpists raise $82 mil for his defense

 

“Domestic extremists are our greatest threat”

 

How Govt wastes our money:

Can IRS catch wealthy suspected of using a Panamanian law firm to evade taxes?

IRS enforcement budget increase cut out of infrastructure bill: lobbyists win; we lose

GOP and Dem Manchin to add Trump Wall money to highway bill

 

States are hoarding $46 Billion rental assistance money: tenants/landlords lose to Gov

Crypto brokers holding up infrastructure bill’s regulations on tax-free trading: Free lunch

Gov has no idea how to execute Fed mask mandate: most offices stay empty

 

 

SCAMS/SPINS:

‘I should have gotten the damn vaccine’ father of 5 dies of preventable condition

FL has highest number new Covid cases in 1 day ever

TN Rep. Byrd antivaxer suffered 2 mo now wants vax: TN just fired state expert

All TN children hospitals are full already

 

Unvaccinated Americans believe the vaccines are more dangerous than Covid-19

TN pays to vaccinate cows not humans: Gov is farmer and GOP ideolog

You may have to wait for your elective surgery: hospitals full of delta Covid

 

Arkansas’ governor: emergency but no masks: “we will have to live with the virus.”

 

Banning some from communion “now we’re back in the Middle Ages,” Rev McDermott.

Child-abusing priests not banned from communion, not even on sex offender list

Facebook using evangelicals to build affinity groups for sales: religion drives hate online

 

OH Trumpist wants to pay parents to have kids and stay together like Fascist Hungary

 

Daniel O’Neill caught excessive trading w/o permission lost $147,000

Robinhood shares fall after making founders $2.4 and $2.8 Billion each

Doctors take money to assign certain devices and drugs whether work or not: Hidden $

Your business interruption insurance may be worthless: courts dismiss valid claim

Hedge funds: Congress to stop GameStop-type gamblers from beating them at their game

 

You buy a gun because everyone else has one but no bullets left to buy: make ‘em?

When kidnappers say they have your Mom: police: ask for a specific memory to verify

Did you buy one of these recalled items: Propane, RV, fans, toys, clothes,

Population of flooded areas grew at nearly twice the average global rate: history at risk

 

Jobs

High pay jobs with 2 year certificate: medical specialist

Poll workers/vote admin becomes dangerous work: party thugs rule voting system

GA chicken plant kills 6 workers: 59 health citations: no hazard training: no exec jailed

 

Hiring surged in July: added 943,000 jobs, with the unemployment rate dropping to 5.4%

 

Who owns your account now?

Have you protected your ‘unmentionables’ from ransom hackers?

Your state’s sales tax free day: buy buy buy with no sales tax except big ticket eg: cars.

Best hospitals by specialty:

 

 

 

Miracles:

Warming: Western fires could burn thru October: hydropower shut down—no electric

https://www.vaxteen.org/about: when you know a vax is right for you

Earth’s oxygen level created when days got longer: billions of years ago and still longer

 

two-headed baby sea turtle on shore in SC: genetic mutation

Booster shot needed before winter for Moderna vaccine: Covid mutants

There are 331 million separate opinions in America on just about every topic: GO USA

 

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/

 

Panic or calm strategy now?

 

Panic or calm strategy until US economy straightens out?

Whatever we expect to happen, history shows we will be wrong. So do we panic and sell as some of my readers have done. Or calmly wait for markets to find a new path? History is no predictor of the future but last time we had an upheaval, most investors who held on were rewarded. We had +31% and -32% recently. The story since 2000 is an annual return of 7.6%. Over most 10 year periods, we have earned more than investing in cash equivalents. Investing in a low-cost stock index fund returns 11% annually. American capitalism has consistently provided dividends and value gains. Fixed income and bond securities cannot match stocks for any 10 year period. So some of my readers have divided their pre-and post-retirement portfolio in HALF: 1/2 in a stock fund like Vanguard 500 Index to earn 11% for 10 to 30 years for future income. 1/2 in a balanced fund like Vanguard Wellesley Income to earn 5-6% for 1-9 years for current needs.  

2020        15% so far

2019        31.10

2018        -4.41

2017        21.94

2016        11.93

2015          1.31

2014        13.81

2013        32.43

2012        15.88

2011          2.07

2010        14.87

2009        27.11

2008        -37.22

2007          5.46

2006        15.74

2005          4.79

2004        10.82

2003        28.72

2002        -22.27

2001        -11.98

2000        -9.11

Low cost beats high cost for any period so no matter what happens, avoid fees.

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

 

What is financial freedom?

The last 9 months has shown us what real financial freedom means. With 30 million of our fellow Americans out of work or in reduced-earnings work, we see why many are angry. Since real wages have lagged way behind the economic growth of the past 40 years, fewer of us have experienced “financial freedom”—the ability to weather a job loss or health care crisis. Those who had an emergency fund, a large retirement fund or a home equity line of credit are near the maximum withdrawal point. Many of the social security network programs created in the Big Depression are ripping apart. According to many who study the history of wealth creation, those who used “compound interest” have been able to survive this test of financial health.

Help your child get started: https://www.amazon.com/Give-your-child-leg-manage/dp/1096505355

 

Hate paying taxes? Cut taxes with a deductible IRA

The year we turn 72, we must begin paying tax on our tax-deferred accounts like IRA and pensions. We are told how much to take out in the form of the IRS table of required minimum distributions (RMD). When we are earning wages and pulling out RMDs, the tax consequences can result in higher tax rates and an increased percentage of our Social Security benefits being subjected to taxes. Now we can make deductible IRA contributions after age 70½. In the past, RMDs began at age 70½, but following the passage of the SECURE Act in 2019, it was raised to age 72. Similarly, the law used to put the lid on traditional IRA contributions after age 70½, but the new law does not have an age cutoff and allows additional contributions as long as you are still working. Even a part-time or self-employment job like Lyft Uber will qualify. We can deduct up to $7,000 each depending on income. On the other hand, if we would rather create a tax-FREE retirement, we can contribute to a Roth IRA from our wages. If we have a smaller tax bill this year, we may choose to convert over $7,000 to the Roth from our traditional IRA. Many readers are planning on having tax-FREE and taxable income in retirement. They feel this is a good time to take advantage of an expanding stock market and save more.

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

 

 

 

Are the new ETF risks worth it?

Today securities regulator approved a controversial new rule that will allow ETFs’ to double their use of leverage and derivatives, while ignoring sales practices constraints that had originally been proposed. Leveraged and inverse ETFs appeal to investors and have brought in more fees, but not without significant risks and sometimes losses to investors. The SEC removed new sales practices regulation from the proposal that would have created higher standards of care and disclosure for reps and advisors who sell geared funds, or exchange-traded funds (ETFs) and mutual funds that track a variety of benchmarks. “Evidence suggests that retail investors buy these products without understanding risk and or objectives,” SEC Crenshaw said. “Just this morning, [SEC] Chairman [Jay] Clayton issued a statement that said Reg Best Interest will do nothing to protect these investors who buy these products through self-directed brokerage accounts." Most disappointing is the SEC’s failure to advance proposed sales practice rules that were designed to address the investor harm rising from sales of leverage and inverse ETFs. Enforcement cases from the SEC and Finra show that even investment professionals often lack a basic understanding of these complex products, member Lee added. “Indeed, other types of complex products not addressed by rule may cause similar harm to unsophisticated retail investors," Lee said. "But that does not justify why we fail to act now to protect retail investors in inverse and leveraged ETFs.” A new Fiduciary Rule will protect investors and Manhattan’s former top prosecutor may lead SEC.

https://www.amazon.com/Fiduciary-Rule-BEST-dont-anymore/dp/1530980275

 

Which retirement strategy is best for you?

Many young investors are choosing to take their tax free earnings later rather than immediately. With a 401k or other deferred compensation retirement plan we pay no income tax on our contributions from our pay check. We pay later. With a Roth 401k or Roth IRA we set up at one of the low-cost mutual fund firms (Vanguard, Fidelity, Schwab), we pay taxes now on our contributions but pay nothing on the gains during our lifetime. For example, we invest $250 a month in a low-cost stock fund at work for 35 years: result is $1.1 million. If we pay taxes on the $105,000 contributions, we pay nothing on the $1 million when we take it out. If we use a regular 401k with deductible contributions, we pay taxes on $1 million when we take it out (future tax rates may increase). If we are lucky, our employer matches our contributions. But fees charged by some small employer plans make the 401k/403b choice a bad one. Imagine investing in a mutual fund with stocks and bonds paying about 4-6% and having to pay 2% to the plan administrator plus surrender charges of 10% if you change jobs or move your money. This is what some of my readers had to contend with. They switched to a Roth IRA.

Consider paying less later: https://www.amazon.com/Pay-No-Taxes-Retirement-legally/dp/1507527977/

 

American socialism in action: vaccines for some; cost for all

Pfizer’s vaccine for the pandemic should be available by mid ’21. But did the capitalists at Pfizer really take a financial risk that must be rewarded with huge profits? A vaccine for some Americas requires a big company with the capacity to produce it. However, without a guaranteed $1.95 billion “advance purchase” agreement with our government, ensuring it would be well compensated for delivering 100 million doses of vaccine, it would never have happened. Capitalism simply can’t take risks without some form of framework that assures it of success. As many wealthy people have said: “I don’t bet unless it is a sure thing.” Drug companies and capitalist don’t take risks, unless there is a framework for profit. We, our government, are always the backstop. The 2007-8 Wall Street bailout costs us over $12 Trillion—perp never went to jail. We have been buying the bonds of businesses (giving loans) since March’s pandemic. We have been paying money (unemployment) to those who were dismissed by businesses even when the business got money to keep them employed. Many profitable businesses pay workers so little, we must pay Medicaid/SNAP too. We have been paying money to some businesses (subsidies) for 50 years even though they are profitable. ($3.8B Exxon alone) Even some of our representatives get paid twice: salary plus farm subsidies. Some businesses get away with tax avoidance. Of course the rich don’t consider their business “subsidies” or tax avoidance to be socialism and so our reps keep supporting this socialism (gov subsidies). And our representatives are rewarded for helping to the winners win.

Time to ask for the subsidies back: https://www.amazon.com/Americas-Socialism-Rich-little-people/dp/1535218584

 

Did your new vehicle lose 50% of value?

Do you consider the trade-in value when you bought your new car or SUV? Probably not. What about when you bought a used version of the model you like? The loss in value is called depreciation. That is what determines the amount you would receive if your vehicle was “totaled” in a collision. Some of the most expensive wheels top the list of lost value: BMW, Mercedes, Maserati lose over 60% (up to $80,000) in 5 years. I suppose the well-heeled don’t care about that since they can afford it. But if you care about getting your money’s worth at trade-in time, then Toyota is your best bet. One exception: Porsche 911 loses only $56,000 (36%) over 5 years. For the truly thrifty—least money lost over time--it is a Honda or Toyota. Yes there is some correlation with the JD Power dependability study: Porsche and Toyota least problems. Ten cheapest 2020 model cars to insure based on costs to repair.

Get a good deal on insurance too: https://www.amazon.com/Vehicle-Insurance-Beware-Double-Coverage/dp/1480027634

 

 

 

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

 

Like 1776, this period is a test of democracy—NO, we don’t want a Dictator?

 

Trump’s war: 250,000 KIA

Trump defies Supreme’s decision

 

Can we ever trust our government again?

 

Our ‘Truth and Reconciliation Commission’ 

One GOP Gov moving OH to overcome crisis

GOP wants to “un-elect” Biden despite final score

 

Biden displays conversations with world leaders like previous presidents so we know what is going on in the world. Transition posts its ongoing work to get ready.

 

 

 

 

How Govt wastes our money: Our Representatives gave 3.7 Trillion to the wealthy! 

Trump sickens 130 Secret Service: his rallies made people sick—too close, few masks

Seat-belt wearing law saves lives: masks save lives and personal freedom to live!

Medicare Part B premium $148.50 up 2.7%; taking some of the SS benefit rise of 1.3%.

 

After gov pays to develop vaccines, we will personally pay up to $250 per dose

Trump considers starting war with Iran: nuclear danger 12 times the ‘15 Obama deal.

Trump hurries to sell Alaska Wildlife Refuge to friends: bull(y) in china shop

 

Trump’s lawyer says it’s a “national conspiracy” by states: 80 million fake votes?

Will Trump shutdown government in final revenge act on Americans? Revenge

Trump country ND leads the world in deaths: 1 in ever 1000 dead: real not hoax

 

 

SCAMS/SPINS:

Trump installs his donors to run military: ‘It’s ‘The Twilight Zone,’’ the official said. Trump installs his meteorologist who says “carbon dioxide in atmosphere is good thing.”

Could Trump give up our gov secrets to foreign powers to cancel his debts?

 

Power of ideology/money to change us: Trump’s lawyer Jenna Ellis: ‘idiot’ to POTUS

Trumpism: ‘They know it’s real and they don’t care.’ ‘People are not being cautious at all.’

“If someone can choose abortion and end human life, then I can choose to wear a mask or not.”

 

Could Don Trump replace Alex Trebek on Jeopardy: learning the truth 1 question at a time?

 

GOP: No masks; more deaths proved ‘correct’ strategy for winning IA, WI, ND, MT locals

Emergency nurse: patients deny virus that kills them, still: drank the Kool-Aide

Medical leaders to Trump: work with Biden or “more people may die”: blood on hands

 

Voter fraud ‘proofs’ being faked to mislead us: GOP states have reported no fraud

Trump fires voter fraud watchdog for doing his job: https://www.cisa.gov/rumorcontrol

Trump lawyers giving up voter fraud suits: Giuliani, not practice in years, is it! $20K/day

Graham pressured GA official: find ways to exclude ballots from count. GOP fraud

Judge to Trump: “You are not entitled to manufacture your own law”

 

Lobbyists infiltrate Biden government early. Former gov employees rotate in/out.

Conservative lawyer hired as Biden WH Counsel: protection from GOP critics?

 

Catholic officials sexually abuse children: why are they exempt from jail? Citizens jailed

Pope cop out: “who am I to judge” McCarrick & officials who hurt little children for life

Boy Scouts face at least 88,500 claims of sexual abuse: Institutions hide bad guys

UCLA sex abuse of students in clinic hidden by officials: $73 million; no jail

President accused of rape; 25 sexual assault; Biden: “no indictments”; no jail; pay offs?

 

Does Hate Sell? Facebook caught NOT removing anti-Harris posts by hate groups

Scam: $1,000 payments for bogus covid clinical studies: “help scientists; make cash”

Debt collector Afni caught giving bad info to credit bureaus; fail correct bad data; dispute

 

Joseph Ashton United Auto Workers caught kickbacks on union watches jail postponed

PIMCO exec CA caught sex discrimination bias in pay promotions report-retaliation

 

Some advisors see gold in them there oil fields: Oil funds down 35%; Energy funds a bargain?

Keith Ashley TX caught stealing $750,000 Ponzi then killed client: B-D terminated him Oct 20

Wells John Stumpf-Carrie Tolstedt caught misleading re: mass "cross sell" unauthorized accounts

 

James Booth caught defrauding clients $5 million Ponzi promised high returns; jail 4 yrs

Five investment firm caught selling unsuitable exchange-traded funds linked to market volatility

Matthew Piercey CA caught misleading investors multiple schemes, fraud, Ponzi, steal $35 mil

 

Amazon recalling 350,000 Ring Video Doorbell (2nd Generation) starts fires 

NRA caught misleading members on criminal defense insurance; keeping some premium

Movie theaters eclipsed: Warner Bros releases Wonder Woman to HBO same day: 12/25

 

Covid cures/treatment bracelets, drugs, fitness class, ozone, stem cell, lights, injections SCAMS

 

GM recalling 68,677 Bolt electric cars worldwide that pose a fire risk: full charge fire

Ford recalling 2020 Explorer and Lincoln Aviator SUVs to replace the driveshaft

Ford recalling 15,587 2014-16 Ford Edge, Explorer, Taurus tranny fails

Car prices shown on Carfax do not include dealer “fees”: “great value” may not be.

 

Lawsuit Trump has doomed us to hell is thrown out: “misleading people, deceiving them to sin”

 

Scam vid seen by thousands was joke: voter official destroying a ballot for Trump faked.

10 internet scam techniques: “just exit screen” don’t click on anything or else

737 Max: Same guys who approved the first time approve it again: none have flown in it

 

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

 

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

Florida passes $15 minimum wage—but you have to wait: 2026 in fight for fair wages. 

Most unemployed can find a health plan for $10 a month or less on HealthCare.gov.

Get ready for unusual tax year: steps-to-take-now-to-get-a-jump-on-next-years-taxes

 

Women financial advisors: women with money prefer working with women advisors

 

Who owns your account now?

Bank America Merrill Lynch advisors now offer Vanguard, American funds to customers

Top Medicare Advantage plans: JD Power customer satisfaction rating: Highmark,Kaiser

Amazon pharmacy: Most insurance accepted; Prime buy generic or brand discounted.

 

IRS offers extra time to delay paying taxes: help-those-financially-affected-by-covid-19

First Time Penalty Abatement: you may qualify for relief from penalties

Refinance VA loan with special rates: still pay bank fees, closing costs

 

Miracles:

Turkish immigrants made vaccine Pfizer is making to help us get past virus: Scientists!

North/South Dakota leading the nation in new cases: GOP resists mask mandates 250K

Our immune system works if we let it grow: antibiotics early in life hurts later life health

Covid vaccine 95% effective but how long are we protected from getting Covid again ???

 

30 min Covid-19 self-testing kit $50 at-home diagnosis: accuracy 94%: costs vary.

Experience really foul smells of 16^th century people who never bathed, relieved in street

Make diamonds in minutes: finally you don’t have to wait for that big ring.

 

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/