Why are more people moving their money to Vanguard?

 

Why are more people moving their money to Vanguard?

Vanguard has taken in every 1 in 3 dollars in 2021. Folks are realizing that paying advisors a big chunk of their earnings every quarter over the 20 to 30 years of investing means they are giving away over 50% of their money. For the average investor contributing $3,000 a year or more, that’s over $250,000 to $400,000 total fees. That means those who pay an advisor are ending up with $400,000 instead of $800,000 or more. When we start out investing and paying 2% of our $3,000 for “personal portfolio guidance,” we feel good we are getting a good deal. However, later, we don’t realize that 2% of AUM “assets under management” as they call it, takes $8,000 to 16,000 every year. Advisors are not required to tell us what their fees will cost us over time. If we earned $200,000 like we did in the market last year, we don’t mind giving up $16,000. However, in 2022, the story will be very different. We would still have to pay the $16,000 even if our advisor did not increase our account one PENNY. Many folks have learned that COSTS matter: 3.79% vs 11%. The best predictor of investment success is cost. Earn 6% pay 2%; inflation takes 3% so keep 1%.

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

 

 

Which market sectors will help your retirement income?

Wouldn't it be great to find just ten mutual funds you could count on for your whole life? Think of it: Ten funds that earn over 10% a year that you could keep investing in from your youth and use for income and growth in retirement for the rest of your life. You wouldn't need a broker since you wouldn't be selling and buying 'hot' securities. You wouldn't need to worry about what the market was doing at any given time. You wouldn't need to worry about buying the next Apple or Google—you own them all. You wouldn't need to worry about having enough in retirement. The facts are in: 1. “The stock market is a device for transferring money from the impatient to the patient.” Warren Buffett 2. Buffett also said: We continue to make more money when snoring than when active. berkshirehathaway.com/letters/1996 And "My wealth has come from a combination of living in America, some lucky genes, and compound interest." 3. The average investor earned just 3.79% while a stock market index earned over 11% over the last 30 years DALBAR’s annual Qualitative Analysis of Investor Behavior 4. Morningstar proved that Wall Street is wrong: “In every single time period and data point tested, low-cost funds beat high-cost funds.” What does Buffett recommend we do? He told Reuters: "A very low-cost index is going to beat a majority of the amateur-managed money or professionally-managed money." Mr Buffett's strategy of patience has proven to be the most successful. He recommends using Vanguard funds. It takes 1 hour to set up an account for each of you. And your income can be tax-FREE!

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

 

$73 Trillion of wealthy-people money is never taxed

We will have to pay their taxes. The top 1.5% families will enlarge the wealth gap between us and their kids and it will be done tax-FREE. The middle class will shrink even more. Our reps have not been able to get Congress to reverse the 2017 fundamental tax change. The promise of America as a ‘class-less’ society ends with the return of the Gilded Age. In some cities, they have already started to “de-annex” their gated communities. Revenue collected from the estate/gift levy plunged by more than half in the span of two years, with just 1,275 families paying $9.3 billion in 2020, according to Internal Revenue Service data. Grantor trusts exploit a long-standing loophole that House Democrats had proposed closing before the provision was deleted from the Build Back Better package. Since the Trump/GOP tax breaks, the national debt has not been reduced as promised by increases in national production/investment as promised. The increase in wealth of the top 1% families will not be captured. The debt will be passed to us the remaining tax payers. The rich get all the tax breaks: Socialism for the Rich. We have one way to avoid having to pay their taxes in the future.  

Use the only legal tax haven: https://www.amazon.com/Your-Tax-Haven-Tax-FREE-Americans/dp/1482659441

 

 

Have you taught your child how to make tax-FREE money?

Make sure you teach your kids how to create wealth the easy way. My parents were not investors. At my first job, I had no clue which investment option to use for my 401k contribution and company match. The HR person told me to put it into the 'safe' stable value fund. That was the worst choice at my age I learned later when I got my securities licenses. If I had followed their advice I would have ended up with $150,000 instead of a Wealth Reserve of $877,233 about 33 years later. I have used this 'Wealth Reserve' as I call it to have funds to use low-cost insurance, to buy two homes and 5 cars with higher down payments or cash, and now to receive $2,500 a monthly in retirement supplement. Now your child can build an account that provides tax-FREE retirement income too.

Time is on their side: https://www.amazon.com/Give-your-child-leg-up-manage/dp/1096505355

 

How to invest in uncertain times: war, inflation, job changes

When will life get back to normal? Well it might not happen soon or ever. Paid forecasters and money managers always have an answer but we know down deep there is no correct answer. This means we have to be ready for whatever happens. When markets are volatile and high earnings are not assured, we have to control what we can control. We can control what we pay for a stock or stock or bond fund. We can control how much to pay for transactions. We can control what we pay for advice if we need it. Over and over, those unbiased folks (not salespeople) tell us that frequent trading—trying to time the market for better results—does not work. Sure, there are some folks who can show us their great results for the recent past—the last 1, 3 years. However, we are not looking in the past for the future great results. Here is all we know. Fidelity looked at client accounts that did the best. They were the ones who forgot about their account. DALBAR, the investor-tracking-markets firm looked at the actual outcomes of advisor managed funds and found the best outcome was a low cost index fund. Finally, Warren Buffett bet on the Vanguard 500 Index fund over 5 specially chosen hedge funds. The Vanguard Index won. It is the low-cost broad index that can provide 11% a year over time.

Buffett makes it simple: https://www.amazon.com/Warren-Buffetts-Investment-Strategy-Forget/dp/1484822900/

Using tax-managed retirement funds is essential to survive

Sixty-three percent of Americans don’t understand how their 401(k) works, and 81% don’t know how much they’ll need in retirement, according to a survey from Bank of America. This survey does not tell us how old the owners are so the results may be normal. When we start working in a company that offers 401k, we don’t understand more than it is a retirement account that delays taxes on part of our income. Oh, we also remember that the company will match our contributions. Of course, no one knows how much they will need in retirement. We just started working so we aren’t supposed to know about retirement yet. On the other hand, if those who answer were age 65 or near retirement, they will soon find out that no one knows how much they will need in retirement until they are in it. Most people don’t have a high-cost financial advisor who may know how to estimate their income. Most people haven’t decided on when to take Social Security. Nor do they know how much income they can take from their nest egg to make it last to age 90. No one knows what their market portfolio will earn since they don’t know which blend of stocks and bonds is right for them. They don’t realize how much of their investment earnings they will be giving up to their advisor over time. Most will only keep HALF what their money earns. Most people don’t know if they will have two incomes or one, whether they have to down size or not, whether they will health conditions that may bankrupt them. Americans don’t find out the answers until it is too late to do anything about it. Only rich people have a financial plan for later life.

Make a plan: https://www.amazon.com/Your-Plan-Live-Age-100/dp/1548180793

 

 

 

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

 

 

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

 

 

The Path to Dictatorship: 2010-2030

 

 

Insanity: “there would be no NATO if I didn’t act…” “I will leave NATO”

 

Trump’s coup tears country apart

 

Another armed domestic terrorist guilty

 

Another domestic terrorist conspired

 

Facebook: organized terrorists for Jan 6

 

How Govt wastes our money:

Too little too late: Free tests going to waste: https://www.covidtests.gov/

Congress finally agrees on lynching: Lynching Black folks is wrong: takes 247 years

GOP: you can settle your neighborhood disputes immediately: kill with unlicensed guns!

 

Judge stops TX state from deciding kids’ life or death: TX to punish parents: Jesus says

FL law "Individual Freedom" prohibits race-related talk in schools and work. Fascism

 

File taxes electronically: there are already 23 million returns not done from years before

There are no auditors to force the wealthy to pay the taxes they owe: poor are easy to tax

 

17 US representatives voted for Putin’s war: keep importing Russian oil

GOP delays sending assistance to Ukraine to give some GOP special perks

 

SCAMS/SPINS:

Trump undermining democratic institutions: billionaires pay for fake voter fraud

TX rejects 27,000 mail-in ballots: most Dem voters disenfranchised

CO GOP election official caught messing with voting system; undermine voter trust

Trump official lies about voting residence: trailer is not home: voter fraud--not arrested

 

Fake pictures raise hate in Putin invasion motives

Russian TV Uses Tucker Carlson and Tulsi Gabbard to Sell Putin’s War to Russians

 

GOP anti-vaxxers learn Covid shrinks their brains; explains silly thinking; Trump support

GOP: “We need to build more gallows”: raising $ millions from call for White violence

GOP’s vision: Cotton; Trump; Cheney; DeSantis; Pence; Scott; Cruz;

 

Trump’s plans to overthrow of US government: Stone heads criminal conspiracy

Trump Wants to Put China's Flag on Jets to 'Bomb the Sh*t' Out of Russia: prez 2024?

Putin follows Trump: ‘Fake News’ Law; Trump’s Urging That Comey Jail Reporters

 

Putin, Trump’s idol, going after the pregnant women and children now: ‘denazify’

Putin doesn’t care about war crime trials: who would arrest and try him?

Putin hires mercenaries from Middle East to kill Ukrainians in eastern border

 

Will Putin take HALF Ukraine—Russia declares ‘East Ukraine’ separate place?

Putin has China as backstop: new dictator alliance creates new commercial patterns

Putin embargo doesn’t raise gas price: speculators in market do: $20 in 2021 same oil

 

Raymond Erker OH caught stealing $9.3 millino in Ponzi: guarantee no risk returns

David Schamens NC caught stealing $6.8 million in Ponzi: loans to traders high returns

Scam via Venmo, Zelle or check that bounces: CC fraud ends up our account

Scams aimed at us: warranty, health, religion, SS, student loans: just hang up and survey

 

How to spot a government imposter scam: claim SS, IRS, etc

Johnny Stine WA caught selling fake vaxx for $400+; more demand when stop order sent

“Service fee: scam: order promised free shipping but at final screen, shipping is “service”

City National Rochdale caught overcharging clients, mislead, misinformed $30 mil fine

 

BEWARE: Subarus now sold without the tech that connects drivers to music, navigation

Paper products now thinner: Bounty, Scott, etc shrinking without warning.

Deed Notice Scam If you receive one, don’t waste your $98.

 

Anti-vaxx trucker propaganda raises money for the website not for the truck drivers

Unvaxxed continue to die: FL GOP watches dead top 970,000: personal freedom kills

BA.2 makes up 11.6% of COVID variants in U.S

 

Jobs

41,000 additional veterinarians needed to meet the needs animal healthcare by 2030.

IRS plans 10,000 hires to help clear millions of unprocessed tax returns

 

Who owns your account now?

Best paint review from Consumer Reports: $46-$90

NM Archdiocese Sues Insurers Over Sexual Abuse Coverage: victims waiting years

No humans: I had to write to CEO T-Mobile to cancel my account: no button; no CSR

 

I cut my car trips in half: all my short trip errands at one time

 

Miracles:

4,500 antiwar protesters arrested in one day in Russia

LeBron James had a 56-point game Saturday.

China to make electricity in the Gobi desert: no one will complain of noise

 

11-year-old Ukrainian walks 100s miles to Slovakia alone 

3,000 applications from people in the United States who want to fight Putin

Nearly 60% of Americans gave money last year. Average donation: $574.

 

Some really free stuff: certain rules apply: Congress gives itself the best stuff on us!

 

We can apply for Medicare online: https://blog.ssa.gov/apply-for-medicare-online

We can apply for Social Security online: https://www.ssa.gov/benefits/retirement/

We can apply for health care online: https://www.healthcare.gov/

 

IAN

973.746.2014

www.InsuranceAdvisorsNetwork.com

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

 

 

Is getting paid to move your 401k right for you?

 

Are you paying too much for your 401k or 403b at work?

Most employers keep the fees hidden so many working people have no idea. Some think their pension plan is free. Larger employers must keep fees low since many have been sued for charging excessive fees and kickbacks to themselves. However, if you are working for a small or non-profit employer, you are probably being scalped. Depending on which investment option you have chosen in your plan, you could be losing money. Fixed (no loss) investments like stable value funds may earn 2% or less. If inflation is 2% as it is now, you are losing money. Worse, some non-profits offer pension plans run by insurance agents. My wife was losing money in her tax-deferred annuity plan and was charged a surrender fee when she tried to transfer it to a low-cost provider. Many plan participants are urged to invest conservatively when hired so their life-time nest egg hardly grows at all. You may end up with less than $200,000 instead of accumulating $500,000. John Bogle, founder of Vanguard, said “the tyranny of compounding costs” is overwhelming. You may be giving up 63% “of what you would have had.” If your contributions are matched by your boss, this may overcome the high costs. Otherwise you are better off using the IRS-approved tax-FREE account.

Pay less; earn more: https://www.amazon.com/Robbing-You-Blind-401k-fees/dp/1493588966

 

Why is it critical to start investing as early as possible?

Why are the rich getting richer during this time when so many don’t even make the minimum wage? Part of the answer comes from the idea of compound interest. Warren Buffett swears by compounding: “MY WEALTH HAS COME FROM A COMBINATION OF LIVING IN AMERICA, SOME LUCKY GENES, AND COMPOUND INTEREST.” For those of us who invest in order to have enough money for retirement, time is critical. Buy buying the stock of profitable companies, we can earn about 11% a year over time. The stock provides dividends which buy more stock. Because of profits, each share is valued at a higher level each year. These two combine to make the value of our money double in about 7 years. If we invested $9 a day for 40 years starting at age 20, our account would show $2.1 million. If we waited to start investing until age 40, it would cost $82 a day to reach that amount. Time investing takes the place of cash. The rich who already have $2.1 million at age 60 might have $4 million by age 70. If they had $4 million at the beginning of 2020 when they lost their jobs, they would have over $5 million now just by holding on to their low-cost stock index fund that increased by 45%.

Follow Buffett’s advice: https://www.amazon.com/Warren-Buffetts-Vanguard-Funds-Retirement/dp/1496148592

 

Will Biden’s tax increase on capital gains hurt or help you?

This question will come to you during the next year. Consider this: the rich don’t live on wages that are taxed like we do. Many use family money to buy assets like commercial buildings. As the assets appreciate, there are no taxes on the rents. There are loans. The loan interest is paid by the rents. The loans finance the lifestyles of the rich—homes, cars, planes, servants, etc. The loan proceeds are not taxable. They actually get an interest deduction on the money they live on. To buy a bigger building, they don’t pay tax on the sale like you would because the IRS thinks the new building is just an exchange. Some like Mr Romney set up partnerships offshore so the lower taxes paid by the partnership actually offset taxes owed on other income. He also exploited the IRA rules to delay taxation on the gains from the companies he launched at Bain. The wealthy pay less than HALF the taxes we pay. The rich use gifts to charities they create or control to offset income also. The wealthy employ professional tax advisors to reduce/eliminate their income and capital gains taxes. Some use offshore tax havens to avoid the taxes we pay. If you don’t have capital and profits, Biden’s taxes may reduce all our tax increases.

Reduce your taxes legally: https://www.amazon.com/Tax-Free-Living-2012-strategies-build/dp/1477452702

 

Is getting paid to move your 401k right for you?

Some financial service firms will pay you up to $3,000 to move your pension to their self-directed IRA. Why do you think? Good will? Charity? No, it is because they want you to pay their fees for the rest of your life and beyond. However, read the small print—you have to let them hold your $1.5 mil to get $3,000. Such a deal! Over the next 30 years of your retirement, you may pay them 1-2% which will be over $100,000 for an average size 401k. One of my readers shared his story: $500,000 IRA rollover which costs 1% a year over 20 years in retirement equals $100,000 in fees he gave up to his advisor. I helped him transfer his money to a low-cost provider which cost him $2,000 a year not $5,000 a year. Consider better options for you not your advisor.

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

 

Best stocks to own for the coming years

When you look at your most recent investment statement you should be delighted. The stock market is up 45% for 1 year; 17% for 5 years; and 14% for 10 years. The long-term average is 11% before your advisor’s charges and fees. My readers are telling me that they are buying more Apple, Amazon, Facebook, Google, JPMorgan, Visa, Home Depot, and other large companies. They are avoiding crypto for now. They want to continue to enjoy the benefits of an expanding economy and they feel unsure about new trends. Most of my readers are investing for the long-term—retirement or retirement income for their future 20 or 30 years. Most of them are not fast traders. They take their IRS-required minimum distributions by withdrawing dividends and selling shares across the entire portfolio. They don’t know which stock to hold. The future of each stock price is unknown. They are planning to live to age 100.

https://www.amazon.com/Warren-Buffett-Your-Investment-Advisor/dp/1518690963

 

Is a 529 college savings plan right for you?

If your state does not match the Fed’s deductibility feature, you can open any state 529 plan. You pay no taxes on the earnings in your plan. You can open multiple 529 plans, and you can roll over your funds from one into another 529 plan once every rolling 12 months. Check the Morningstar Top 529 College Savings Plan Rankings. Utah and Michigan are top plans and pay bonuses. You can accumulate more in your plan by opening the account yourself—brokers take fees annually. You can set up the plan even before you or your adult children have a child. There are many options if the plan is not tapped right away for education for the intended person. Eventually, if you or someone else does not use the funds for an education, the plan is like an IRA—tax on earnings and 10% penalty. So you could use the plan to grow funds tax-deferred if you have maxed out your IRAs. Check options to pay for college: https://www.amazon.com/Education-Funding-Save-right-plan/dp/1482549956/

 

Minimize taxes on your retirement income

You found out that Social Security benefits are taxed—up to 85% of that income could cause you to hit the next tax bracket. A little planning can help you control when you are taxed on income in retirement. Unless you are really wealthy and can put most of your nest egg in tax-FREE municipal bonds paying 1%, you need a little knowledge to avoid the worst. The premium for the Medicare Part B program goes up at different income levels. If you try a Roth IRA conversion, you could trigger higher taxes on other income. Capital gains taxes are increased for higher income years. Reducing future IRA withdrawals (RMD) may be possible with a qualified charitable distributions QCD processed from your IRA. Control taxes: https://www.amazon.com/What-your-RMD-much-spend/dp/1718946716

 

 

Where is that refund?

The Internal Revenue Service reminds taxpayers that the most convenient way to check on a tax refund is by using the “Where’s My Refund?” tool at IRS.gov or through the IRS2Go Mobile App.

Where is the stimulus 1 or 2? If you did not receive stimulus 1 or 2, start filing here: https://www.irs.gov/newsroom/recovery-rebate-credit.

Stimulus 3? https://www.irs.gov/coronavirus/third-economic-impact-payment

 

 

 

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

 

 

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

 

Dictator steals reporter’s correspondence

 

Ted Cruz consulted by Jan 6 terrorist beforehand

 

When ‘Truth and Reconciliation Commission’? 

 

 

How Govt wastes our money:

Can the Treasury find the money of tax cheats? Congress will find new ways to help rich

Most Americans don’t want unemployed to receive extra $300 week:

Even if Biden finds source of COVID. it won’t bring back almost 600,000 dead

 

GOP reverses AZ vote on wealth tax: voter decision ignored; voter pays more taxes

 

SCAMS/SPINS:

California Auto Finance caught charging interest late payment w/o notice

AZ GOP using “auditor” that will find election count errors to ‘prove’ Trump Big Con.

Fake news circulated by conspiracy promoters to disrupt US life

 

Trumpists rewriting history of failed Coup: terrorist clubbed police to stop Congress acts

Trumpists planned Congress reverse electoral vote that day: not ‘riot’ or ‘insurrection’

Trumpists relieved Biden supports keeping Trump obstruction memo secret from public

 

Trumpist Green calls Pelosi mask protection like Holocaust mass killings of millions

COPS BEWARE: Texas allows anyone to use guns: no license, untrained, anyone!

Does Qualified Immunity rule attract bullies who like to beat people up?

 

Not for your kids: Vehicles that have a bad accident record

Ebay cars are for sale but not with Ebay guarantee: scams galore!  Better web sources

Scam: crypto is the hottest scam around: fake currency investment at a ‘discount’

 

Why firms pay ransom instead of using the file backup they already paid for

CEO pay jumped 16% in pandemic 2020 while average worker compensation rose 1.8%.

 

What the wealthy are buying now: diagnostic toilet replaces doc visits?

Budget Hearing Aids caught making false claims for products

Affection scam: get weekly pay to be lover is not real: empty your account results

 

Scammers Target Families Who Post Missing Persons on Social Media

Frontier Communications caught misrepresenting Internet speeds

 

Edward E. Matthes caught using fake investments promised high returns; 5 years prison

Emil Botvinnik FL caught churning clients’ funds to increase his income

Driver Loan caught misrepresenting the risks associated with their deposit product 

 

Phone apps that hog memory and drain battery rated

Work at home scams: it sounds easy but that is why it is a scam

Catholics may bar Biden from Host: his politics not God determine Heaven or Hell?

 

Wormuth confirmed as first woman Army secretary — then she was unconfirmed

 

 

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

IRS tips to avoid scams: https://www.irs.gov/newsroom/tax-scams-consumer-alerts

 

Is it a scam?  Check AARP scamline 877.908.3360. BBB Scam tracker

 

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

Find tax preparer: https://www.irs.gov/tax-professionals/choosing-a-tax-professional

 

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

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

 

 

Jobs

Biden fills lost positions: Gov hiring: good pay, benefits, pension, no layoffs,

Job managers spend 6 seconds per resumes: write yours for those 6 seconds!

 

Who owns your account now?

Health care coverage affordable with ACA special enrollment to Aug 15

 

Miracles:

Microscope trick helps create pic of atom despite fact we can’t ‘see’ ‘particle’ atom.

We know atom components are not particles but energy clusters that move.

Why some people are limited: any amount of alcohol causes brain damage

 

Nine states now have 70% of adult residents with at least one vaccine shot

Blind regains some sight using special protein and a virus

 

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/

 

We pay $3,000 to subsidize taxpayers who avoid paying what they owe

We pay $3,000 to subsidize taxpayers who avoid paying what they owe

The Treasury Inspector General for Tax Administration and outside groups claim that the IRS isn’t effectively auditing corporations and high-income individuals with complicated returns. Even with Trump’s generous tax cuts to the rich, some are not satisfied and avoid paying since there is little downside. With fewer audits/staff, 14.2% of the taxes owed are never paid. On top of that, most corporations pay nothing. Actually, we give them our money in the form of subsidies, grants, deferrals and credits. Congress and its lobbyists are the beneficiaries and are unlikely to give it more money to do the tough audits. Actually, a poor parent with EIC is more likely to be audited. It is easier to garnish the wages of someone making $30,000 than sue GE, Boeing, or Apple. Two thirds of corporations pay NO tax. They use shells, non-US headquarters and asset manipulation to avoid taxes on income earned in the US. Even the president uses tricks to pay nothing.

https://www.amazon.com/Most-U-S-Corporations-Pay-Zero-Taxes/dp/1514274116

Does it really make a difference to cut advisor commissions/fees?

Is it really important to move your investments to the lower priced generic? For instance, Trader Joe employees are suing because they are paying more for their 401k retirement than needed. It may not seem that the 2% you pay for managing your money and keeping a record of your shares and earnings is a problem. If you earned 25% every year like you did in 2019, then of course it isn’t worth suing your employer. However, they don’t earn 25% every year for you. The 2% of your balance EVERY YEAR is a big deal when you earn only 4% average over time. Let’s say you add $250 a month to your retirement fund. If your firm or advisor offered a low-cost stock index fund at 11% average for 40 years, you would retire with $2,169,740. If they charged 2% a year over time, you would retire with only $1,179,107. You gave about HALF to your employer or advisor just because they did not offer the best options for you. They chose the best options for themselves.

Earn 11% over time: https://www.amazon.com/You-Can-Beat-SoCalled-Wall-Street-professionals/dp/1986031373

Reducing income tax by contributing to traditional IRA

Congress passed laws changing the IRA rules: you can contribute $6,000 ($7,000 over 50) to your traditional IRA and take a deduction from income. The law ends the prohibition on contributing to an individual retirement account (IRA) after 70½. Individuals may continue contributing to an IRA at any age, as long as they have ‘earned’ income. BEWARE NEW LAW: If you were pumping up your Roth IRA so your heirs could have tax-FREE income for life you may have to change your estate: NO stretch ROTH. All IRAs must be exhausted in 10 years unless disabled/illness. Even though you have paid tax on this money if you converted your IRA, you may have to use a trust to create legacy income for them. You may also want to use your lower income years to convert your IRA to a Roth since your rates may be lower now with a deductible IRA. Also new: Part-timers can make pre-tax contributions to a 401k and an IRA.

Which is best for you? https://www.amazon.com/401k-IRA-Tax-FREE-Tax-Deferred-retirement/dp/1475057938/

MA fighting lobbyists to re-install fiduciary standard

The broker-dealer and insurance industries agree: They don't like the broad-based Massachusetts fiduciary proposal, which would blanket their respective industries with a fiduciary standard they’ve been successful in avoiding up until now. Trump responded to the industry lobbyists immediately after election to kill the Obama version of the duty that sellers must give us the best deal regardless of size of commissions. Now MA Galvin wants bad products to be off limits: MA would “deem it an unethical or dishonest conduct or practice for a broker-dealer, agent, investment adviser, or investment adviser representative registered required to be registered in Massachusetts to fail to act in accordance with a fiduciary duty to any customer or client.” Lobbyists claim small investors would be hurt by this rule because industry would avoid helping those with limited funds—folks who need help the most. MA GOP Gov caves to lobbyists.

We need sellers to follow fiduciary duty: https://www.amazon.com/Fiduciary-Rule-BEST-dont-anymore/dp/1530980275

Is your ex still the beneficiary of your pension, insurance, etc?

This is important. When you forget to change your beneficiaries on your pension, brokerage or life insurance, you may have a long legal fight to fix it. And your current spouse and children may hate you. Choices made in your former life may come back to bite you. Most people are not always completely thorough during their separations/re-marriage/divorce. They miss changing beneficiaries they named 20 or even 10 years ago. It could be a pension account at a former employer that is due to go to your ex at age 65 or a forgotten paid up policy with last marriage kids as beneficiaries. Sure, with a legal fight you may get it changed but who needs the fight. This new tax season is the perfect time to look at your overhanging past life choices. Safe than sorry.  

Check your benes: https://www.amazon.com/Personal-Finance-Smarties-Not-Dummies/dp/1469973030

Advisor trend: retainer fees to avoid ‘hawking proprietary products’

Is your advisor acting as a fiduciary? Are they recommending what’s best for YOU or maximizing the leverage they have over you? How do you know the difference? As your portfolio grows, does your advisor reduce the standard AUM fee? 1% of $1 mil is better for you than 1% of $1.5 mil this year: the market went up 30%; not their IQ. Advisors use much more automation and model portfolios now. Subscription-based services are becoming common for clients with large non-tradable or business assets or the need to offset market volatility. Time to ask for a better price for ‘advice.’

Shop Advisor costs: https://www.amazon.com/DIY-Financial-Independence-Freedom-Workbook/dp/1088908500

Why most investors don’t need an annuity

Many are DIY investors—they have jettisoned their advisors since learning the John Bogle and Warren Buffett investment lessons: advisor costs detract from your earnings. Advisors and annuities can take up to HALF your earnings in fees and trading costs. Here are DIY's results for 2019. They are total return investors—selling shares equally across all 10 funds for their monthly RMD income in retirement. Some want protection from a down market and so they overweight Wellesley Income instead of buying an annuity: Wellesley’s 9.7% a year is not too bad to live on.

2019 Total Return Fund                    Long-term Return      Longevity

31.5% 500 Index                                             11.2% since 1976

13.2% Energy                                                    9.9% since 1984

28.0% Extended Market                                  10.7% since 1987

22.9% Health                                                   16.2% since 1984

31.4% International Growth                              10.6% since 1981

27.9% PRIMECAP                                         13.4% since 1984

27.4% Small Cap Index                                    10.6% since 1960

16.4% Wellesley Income                                    9.7% since 1970

30.4% Windsor                                                11.3% since 1958

29.0% Windsor II                                            10.7% since 1985

25.8% Average                                                11.4% *

            *Average Annual Returns as of 12/31/19.

Annuity alternative: https://www.amazon.com/Best-Annuity-Strategy-Income-Growth/dp/1497532019

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

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

Mob boss has over $463 million to buy another 4 years

Putin will help with propaganda

GOP to just dismiss impeachment: change the rules

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

Trump starts another war front: Trump predicted it—start war to get re-elected. Trump2020

Putin is power-broker in Middle-East with US as enemy#1

IRS is “letting billions of dollars annually go uncollected, even as budget deficits rise”

Wealthy avoid taxes with Trump’s new investment scam: help poor by gentrification.

GOP decided keep higher drug prices for US: lobbyist won again: no negotiating

1/3 of health care costs go to middlemen/paperwork: Is single-payer right for us?

SCAMS/SPINS:

Next Financial caught allowing unsuitable sales of nontraded REITs

IRS bars TurboTax, Block from hiding free option: use https://freefilealliance.org/

Christian health cost-sharing ministries: Scam or just low benefit alt for religious?

William Glaser, National Planning, caught selling worthless promissory notes to elderly.

Richard Diver, M&R Capital caught $6 million overbilling, stealing fraud

Jason Rhodes Sentinel Growth caught stealing $20 million promised hedge returns

401k theft: cyber thieves going after our retirement accounts-‘that’s where the money is’

SS scam: telephone scammers send documents by email to convince victims to comply. 

We pay $3,000 to subsidize taxpayers who aren’t paying all they owe: Boeing gets most.

Student loan debt-relief services charged with fraud: Multiple defendants, no jail time.

2020-24 War: Who will buy your vote?

GOP follows Putin propaganda: Obama never buddies with Iran prez as in fake foto: ‘fake news’.

Facebook claims they got Trump elected: 2020 will be more of the same?

Trump Bloomberg buying Super Bowl ads for 2020 election: will you be bought for Nov 2020?

Trump: “ObamaCare is dead” but 8.3 million in 38 states even KS now have health care.

Trump ignores veteran complaints about Russia meddling/misinformation/propaganda.

Jobs

Man dies over his laptop theft

Study says flex hours greatest job perk: more loyal, more productive, and cost less.

IRS Gig Business Expenses: deduct ALL your expenses, pay less

Boeing staff: “This airplane [737] is designed by clowns, who are in turn supervised by monkeys”

Environmental law rollback: “executive branch is run exclusively by lobbyists” 

Yum restaurant manager. Competitive salary: $100,000 Free tacos!

Miracle:

Boys who were Scouts sue men who ran Boy Scouts years ago for sex abuse

‘Fast radio’ bursts, strong as century of sunshine: UFO or galaxy stars forming?

Cancer death rates drop: smoking down, treatments up so Trump takes credit???

Iran sent 12+ missiles into 2 bases with NO one: not one killed or injured? Fake?

Iran shot down passenger plane taking off from a big airport … by ‘accident’ Really?

IAN

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