Is a tax increase right for you?

 

Which type of financial person can actually help you?

Like doctors, financial professional have specialties. So your wire house broker can’t fix your tax situation. Most retail financial people can’t help you with a comprehensive plan. Planners usually don’t live on product sales. They charge a fixed amount for creating a plan for your specific future. We paid a planner a set fee in 2018 to assure us that our future retirement would provide all we might need. We received a plan that included annual income and expenses, a “What If Worksheet,” the likelihood of funding all our goals and a portfolio evaluation with net worth estimates. With 2 live sessions, this review helped us see the big picture even though I had a pretty good idea of our future situation. As a manager in a few financial firms, I had seen all kinds of financial professionals. To find someone who can provide the best unbiased advice for your specific situation, you need to understand your situation. If you are a good saver/investor, a stock picker can’t help you. By this I mean that most working people already have what they need: a low-cost stock/bond mutual fund inside a tax-advantaged account. A 401k with an employer match or self-directed IRA or Roth IRA is the best you can get. For most working people who want a secure retirement, the smart play is a low-cost Target Date fund. This is what Warren Buffett, a master investor, recommends. His advice is unbiased and fee free. A low-cost fund assures you that you keep more of what you earn.

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

 

Do you have to take money out of your retirement fund this year?

IRS reminds us to restore our Required Minimum Distributions plan this year.

Individuals who reached 70 ½ in 2019 or earlier, did not have an RMD due for 2020. For 2021, they will have an RMD due by Dec. 31, 2021. Individuals who did not reach age 70 ½ in 2019 will reach age 72 in 2021 will have their first RMD due by April 1, 2022, and their second RMD due by Dec. 31, 2022. To avoid having both amounts included in their income for the same year, the taxpayer can make the first withdrawal by Dec. 31, 2021, instead of waiting until April 1, 2022. After the first year, all RMDs must be made by Dec. 31.

Though the April 1 deadline for taking the first RMD is mandatory for all owners of traditional IRAs, participants in workplace retirement plans who are still working usually can, if their plan allows, wait until April 1 of the year after they retire to start receiving distributions from these plans. Individuals who reached age 70 ½ before 2020 and were still employed, but terminated employment in 2020, would normally have a 2020 RMD due by April 1, 2021 from their workplace retirement plan. This RMD is also waived as part of the CARES Act relief.

Employees of public schools and certain tax-exempt organizations should check with their employer, plan administrator or provider to see how to treat these accruals.

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

 

 

What would our pay be if it matched our productivity rise since 1970s?

$22.14 would be the hourly wage if we were paid based on what we produce. Productivity increased 239% since 1950—automation and information technology created the modern working environment. Word processors and copiers replaced typewriters and carbon paper copies and mimeo machines. During the 1970s businesses stopped raising our pay and took more profits for owners. Union membership collapsed and business processes were simplified so that almost anyone could do the job: almost anyone can make a car since the hard parts like welding are done by machine. Home repair plumbers have to make individual parts fit exactly just like a lawyer has to make the wording fit exactly so they earn $60,000 plus and have a comfortable retirement. Both can increase earnings over time based on skills. For most factory workers doing repetitive work, the top incomes hit $40,000. There is little chance of increasing earnings over time. Union workers make more than non union so Amazon is currently fighting its warehouse workers. It takes two: both of us have to work full time to secure retirement income.

We must keep more of what we earn: https://www.amazon.com/New-American-Retirement-System-ReserveTM/dp/1461030072

 

Is a tax increase right for you?

If you are a working person and most of your income is reported on a W-2, you already pay over 33% in taxes. Most millionaires pay less than 18% according to billionaire Warren Buffett. GOP Mitt Romney pays 13%. John Kerry pays just 12% most years. Most wealthy people have the money to pay less by using tax havens or deducting expenses in a business. Biden has promised to pay for the pandemic and Trump tax cuts with new taxes on the wealthy earning over $400,000. Unfortunately, most middle class Americans support giving the wealthy all the financial breaks. The wealthy claim, through their representatives in Congress, that Democrats only want to ‘tax and spend’. However, Republicans passed Trump’s tax break for the rich and their corporations. They called it a “middle-class tax break” but that was a lie. The wealthy have increased their assets during the pandemic because our government has provided a safety net to the stock market. So for the rich, their stock market assets have increased over 31% in the last year; 16.8% annually over the last 5 years and 13.4% over the last 10 years. At minimum they have doubled their money every 5 years--$100 M, $200 M, $400 M. Private profits; socialized losses. Taxes are supposed to go up when incomes go up. Just the reverse.

We need a tax increase: https://www.amazon.com/Americas-Socialism-Rich-little-people/dp/1535218584

 

Where is that refund?

The Internal Revenue Service today 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

 

 

Have tax forms; will file … for FREE but WAIT . . .

If you have unemployment income, ObamaCare coverage you should wait to file since the IRS has not yet implemented tax-FREE provisions of the new Covid law. Taxes due MAY 17 not April 15. Input the W-2, unemployment, SS benefits, IRAs, pensions, RMD, brokerage, etc. forms you have. You can file for FREE online. If you didn’t receive a correct form, file a Form 4852.  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

 

 

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

 

 

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

 

White Supremacist admitted killing

 

Two terrorists killed Capitol policeman

 

Our ‘Truth and Reconciliation Commission’? 

 

 

How Govt wastes our money:

Credit Suisse caught again helping wealthy avoid fair share of tax: can we stop cheats?

Executives Took Huge Chunk of Trump Tax Cuts: GOP: “already done enough aid”

IRS & most tax prep software still taxing unemployment & ObamaCare paybacks

 

We paid the employer portion of unemployment comp instead of Uber, Lyft, et al. 

Trump must pay for Trump’s suits to reverse elections: Judge in AZ says: 50 states to go

40% health care workers not vaccinated: get covid from your clinic, hospital, Dr office?

 

SCAMS/SPINS:

Keep masks: Vaccination doesn’t stop every infection: you can get it & pass it to others

TX MS FL Non maskers can push deaths to 550,000: vaccines/masks stop variants spread

How did 17 yr old Kyle get an Automatic Rifle to kill people? Any kid can buy a killer?

 

Wealthy make a fortune on TX tragedy: made $100 million selling power to have-nots

 

Ford recalls 2.9 million vehicles for shrapnel in driver-side airbag.

Credit card interest rate reduction scams, new account & account takeover scam: more

Marketing inducements are fake: only 3 left; countdown clock; sale ends now; etc

 

1 Global Capital Dantins caught stealing $24 million by selling securities illegally. 

 

For-profit colleges like Corinthian, ITT Technical caught; student loans discharged

Student Loan Pro caught charging illegal upfront fees to file paperwork for debt relief

 

Facebook fake posts: so easy to be mislead: must check facts https://www.snopes.com/

Fake news by some sick twit regarding Oprah, Hopkins, ballots, etc. easily deceived?

33% of GOP will not take vaccine + 20% say not sure: no masks, no vaccine, no normal

 

GOP states cancel health benefits for poor: 1.4 million in TX could receive health care

Sen Johnson says not afraid of White terrorists: Ron, Terrorist kill white folks

 

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

Before you take a job in a flood zone, check out the future: glaciers are melting

 

Who owns your account now?

Refinance: is now the time before rates move above 3%: 6% normal; 3% inflation

Customers Happier With Property Claims if Digital Process Unbroken: send pic, get $

 

 

Miracles:

There is hope for all our ailments sometime in the future: Amazing re-grow a body!

$1,400 into your bank account by April 1: checks take longer: non-filers tell IRS address

Local religious groups pay off $3 million in medical debt: insurance not enough

 

Someone paid $69 million for digital file: you can’t hold it but I guess you can sell it

Get all of your stimulus: online calculator gives a number to expect for 3^rd stimulus

 

 

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/

 

 

Wealthy avoid the sales tax too!

Would you like to be exempt from sales tax?
Yes, your big-ticket purchase could be exempt from up to the 8.875% tax. Saving their donors cash is what legislators do for a living. Of course, lawmakers can’t call it the “gift to billionaires” tax evasion bill so they call it “saving jobs”: this tax “break brought jobs to the state for repairs, renovations, and resupply.” Right! Another trick for the wealthy to pay less.

Use the tax break for working people: http://www.amazon.com/Tax-Shelter-Americans/dp/1500426520

Use all the credits and deductions you qualify for

Many credits are refundable—you INCREASE your refund when you take some credits. See EIC, CTC, EC, CDC, SC, and many more but you have to know they exist to take them. The IRS does not advertise how to get your money back—you must ask for it like the big corporations do. 2/3rds of all businesses pay NO income taxes.

Let Uncle Same help you too: http://www.amazon.com/Tax-Refund-Millionaires-Let-Uncle-Help/dp/149595644X

Do you qualify for an ObamaCare tax credit of $5,760?

You may qualify for a credit of $5,760 or more when you file your tax return if you have used the Marketplace to buy your family health plan. Learn how to qualify:

http://ebn.benefitnews.com/news/exchanges/top-5-form-1095-a-questions-2745970-1.html

Teacher’s investment strategy beat advisor/broker’s picks--WOW

It turns out teachers are beating Wall Streeters at their own game. Teachers’ investing returns outperformed those of advisors/brokers in the past year, 10.2% to 6.9%. In fact, teachers saw the best returns of any profession. Why? Simple math, Buffett says.

Use the Buffett strategy for more: http://www.amazon.com/The-Warren-Buffett-Millionaire-snoring/dp/1508887381

On average, 45 percent of job seekers age 55 and older have been looking for a long time, according to the BLS, which defines long term as 27 or more weeks without work. To address the reluctance of employers to consider such workers, the Obama administration last year started an initiative to encourage private and public companies to hire the long-term unemployed. Some have found work with less pay and some have started their own businesses. Others have stopped looking and take Social Security benefits early. Growing fields include health care and technology with top jobs in 2015 outlook.

GOP crazies

Future GOP President Cruz:  "We will presumably go on the [ObamaCare] exchange and sign up for health care and we're in the process of transitioning over to do that," Cruz told the Des Moines Register's Jennifer Jacobs. Cruz shut down the government which cost over $200 million because he did not like ObamaCare. Thankfully he did not really mean to end the insurance he now uses. 

Head of Bush Torture Department stomping for Jeb?

Dick Cheney will headline their annual NRCC March fundraiser. “Vice President Dick Cheney is a dedicated public servant and we are honored to have him as our keynote speaker for this year’s March Dinner” said Rep. Greg Walden, Oregon Republican and chairman of the National Republican Congressional Committee (NRCC), also calling Mr. Cheney a “true patriot.” Is Jeb committed to another war?

GOP vision for working Americans is bleak—service cuts and more taxes

The Senate on Friday passed a budget that envisions more than $5 trillion in cuts over the coming decade by slashing health care and other benefits for working families and the middle class while leaving tax breaks in place for the wealthiest Americans and multi-national corporations. Twenty-seven million Americans would lose health insurance under the Republican plan as they eliminate the Affordable Care Act and make huge cuts to Medicaid. "What they are proposing is major cuts in programs for some of the most vulnerable people in this country — the elderly, children, sick and low-income people,” said Sen Bernie Sanders, the ranking member of the Senate Budget Committee. “At the same time they want to give significant tax breaks to the wealthy and the large corporations.” During the week-long debate Republicans rejected proposals to create millions of new jobs, raise the minimum wage, help students afford college, and protect seniors on Social Security and Medicare.

GOP state gov deficit creation

Kansas tax cut for rich failed. No trickle down to raise jobs. Deficit explodes. 

New Jersey’s public-pension managers are proposing more investment in hedge funds and distressed real estate to protect against risks in the bond market should U.S. interest rates rise. NJ has gambled with teachers’ pensions before and lost. Hedge funds trailed the S&P500 Index for the fifth straight year as U.S. markets rallied to record levels. George Santayana. “Those who cannot remember the past are condemned to repeat it.”

"I'm not here to be bullied," Christie opponents scream

The protesters were escorted out of the auditorium by security as a largely friendly crowd cheered. Christie has been holding weekly town hall meetings across the state touting his proposal to further ‘reform” the state's public worker health care and pension system. He failed to make payments to the system as promised. He was asked to explain giving up the $9 billion settlement with EXXON in return for campaign contributions. He refused.

IN GOP uses “religious freedom” words as disguise for discrimination

IN law allows a retail outlet to not serve someone you “think” does not hold the same religious views as you. How is that not discrimination? A business could say you look Jewish or catholic and not give you a room in hotel, as has happened in past. What could GOP hope to gain by this law if not to secure the religious (protestant white) right vote? This is a law that puts religious believe above the law we all must follow. Even a protestant denomination with HQ in IN has come out against such a law.

Do index mutual funds tracking the market reduce your risk?

Morningstar data shows you can reduce some risks by using market-index funds at cost. You make a commitment to stay in the market and not trust the bet of one gambler’s (advisor's) guesses.

Use your refund to retire early: http://www.amazon.com/Tax-Refund-Millionaires-Let-Uncle-Help/dp/149595644X

Why economy does not grow quickly

Wages climbed by 1.3 percent from the second quarter of 2012 to the second quarter of 2014, compared to a 17 percent increase in home prices around that time, according to a new report from RealtyTrac. The real-estate data provider used the Labor Department's weekly earnings data to measure wage growth, while home prices were derived from sales-deed data in December 2014 and compared to December 2012 on the hypothesis that a change in average wages would take at least six months to affect home prices.

Using localized earnings data, RealtyTrac also found that 76 percent of housing markets posted increases in home prices that exceeded the wage growth there during that time frame. In many markets, the housing recovery has "largely been driven over the last two years by buyers who are not as constrained by incomes -- namely the institutional investors coming in and buying up properties as rentals, and international buyers coming in and buying, often with cash,” RealtyTrac said.

Your broker uses misleading claims?

A new report on nine major brokerage firms – Merrill Lynch, Fidelity Investments, Ameriprise, Wells Fargo, Morgan Stanley, Allstate Financial, UBS, Berthel Fisher, and Charles Schwab – found that all “advertise in a fashion that is designed to lull investors into the belief that they are being offered the services of a fiduciary.” But brokers are NOT acting in your best interests—that is the change they are fighting in Washington.

For example, the report said that Merrill Lynch advertises as follows: “It’s time for a financial strategy that puts your needs and priorities front and center.” Fidelity claims: “Acting in good faith and taking pride in getting things just right. The personal commitment each of us makes to go the extra mile for our customers and put their interests before our own is a big part of what has always made Fidelity a special place to work and do business.”

Wall Street’s excess fees can take up to 63% of our nest egg over time. http://www.amazon.com/Wealth-Without-Wall-Street-Low-Commissions/dp/1442168137

Consumer Reports best new cars for $15,000+

Car buying has changed: Typical new breed of car buyer. Spend barely two hours at dealership. “All the negotiations were over email,” one 32-year-old buyer said. Once you settled on price, you show up, test drive, fill out the paperwork and go. Research and shop online. Salespeople do not have research, pricing, special offers, or low-cost financing. They do joy rides, treats/coffee, buyer-justification, high-cost extras and BS.

https://autos.yahoo.com/news/best-small-cars-consumer-reports-testing-100000790.html

Is it time to refinance?

We just completed a refi of a 5.875% 30 year with 18 years left. We were pleasantly surprised that Quicken Loans was able to reduce our rate to 3.25% for 15 years and pay off our HELOC. Our rate and term are less while we are paying about the same monthly payment including our escrow for taxes and insurance. We had about 50% equity and earned income so we avoided PMI and higher closing costs. The Quicken process is very smooth—all docs and communication is online so you don’t have to play telephone tag. The closing is in your home at the time you pick with no lawyer fees.

We shopped three other lenders first. QL has JD Power awards for good service.

We understand why.

SCAMS           Why are we still paying $700 Billion a year for WWII deployments? That is 27 cents of each dollar in taxes—the largest part of our money—and we aren’t even at war. We could pay off our debts and fix our schools, roads and bridges!

We are paying for 164,253 of our active-duty armed personnel to be in 150 countries around the world. We have about 50,000 in Japan and 50,000 in Germany.

Are we preparing for WWII again? There are 1,208,083^[1] armed personnel in the United States. Our taxes pay for about HALF of the WORLD’s military expenditures every year. We have wasted $398.6 billion so far on the F-35 program—they can’t fly safely.

We just can’t afford to pay for everyone else’s defenses anymore.

Japan, Germany and S. Korea can pay for their own defenses.

The War on Terror requires SEALS’ attacks on top terrorists at their homes. Iraq proved converting a nation to Western-style republic doesn’t work. Our trained troops ran away.

We are wasting $4 billion a year on Afgan tribal rivalries paying ransom to Al Qaeda.

Angie’s List takes money from vendors for higher positive reviews?

The complaint claims that service providers pay Angie’s List fees for higher rankings in member searches, to suppress negative reviews, and to ensure that positive reviews are not suppressed.

Two Wall Streeters may go to jail—NEW IDEA!

Benito Chinea and Joseph DeMeneses, Direct Access Partners, were sentenced to 4 years for bribing a Venezuelan bank in exchange for business. They must pay $3.68 million and $2.71 million in fines.

But ….not for Ameriprise Financial.

It has agreed to pay $27.5 million to settle a class-action claim alleging improper use of proprietary funds and high fees in its 401(k) plan. That’s 0.00027% of revenue and deductible—hardly incentive to stop charging us HIGH FEES.

Insurance agent steals from veterans

Patrice Sands, 45, sold the fraudulent policies at the Miami-based Make-A-Wish Veterans that provides assistance to veterans. Sands collected premiums and deposited the funds into bank accounts tied to her business, Universal Research Group Insurance Agency. One widow tried to collect. Sands could get 25 years.

IAN

41 Watchung Plaza, B242

Montclair, NJ 07042

973.746.2014

www.InsuranceAdvisorsNetwork.com

Alert

They use America's bounty but they pay NO income taxes

As we pay our taxes this season; Let us remember those who use America’s bounty and pay NO federal income taxes.

Citizens for Tax Justice looked at 288 profitable Fortune 500 companies and said that 26 of them - including Boeing, General Electric and Verizon - paid no federal income tax in the five-year period. Some even got our taxes as refunds. The group also said that 111 of the 288 companies paid no federal income tax in at least one of the five years measured. Yet corporations are allowed by the Supreme Court (Citizens United) to pay UNLIMITED amounts to decide who gets to spend all our tax money in Washington. We pay the taxes, corporate stooges spend it.

Pay your fair share: http://www.amazon.com/The-Tax-Shelter-Young-Americans/dp/1500426520

New Year Resolution—create a Tax-FREE retirement

Start your tax-FREE retirement fund the painless way: your tax refund. The average refund is $3,000. Use the Vanguard Top Ten averaging over 10% per year. In 20 years you have $200,000 tax-FREE money. In 35 years, $1,200,000. That can provide $60,000 per year; $5,000 per month. With no taxes on this money, you won’t need to pay tax on Social Security or your 401k.

Try it! You have nothing to lose except taxes. http://www.amazon.com/Tax-Refund-Millionaires-Let-Uncle-Help/dp/149595644X

Bad brokers have their clients’ complaints destroyed

Brokers who have been caught cheating their clients had their complaints destroyed as part of their settlements. This means that checking your brokers’ records is meaningless. They could be Mr Evil himself and their FINRA record is blank. This is another reason to follow a passive investment plan. Just set it and forget it as Warren Buffett recommends:

http://www.amazon.com/Warren-Buffetts-Investment-Strategy-Forget/dp/1484822900

Brokerage firms fight regulators on broker background checks?

Regulators say firms must conduct a search of “reasonably available public records,” such as those pertaining to criminal history, bankruptcy, civil litigation, liens and business records. This will cost more money and so firms are against it even though it protects clients. If a broker has been sued 10 times, it's important to look at the underlying facts, advocates say. The new background check rules may force them to think twice about hiring a hotshot broker with a big book of business but a sketchy regulatory history. Brokers hide negative issues. Avoid Madoff-style scams.

Avoid brokers/advisors and their fees: http://www.amazon.com/Nothing-Way-Seems-Wall-Street/dp/1492752916

Just 1000 Americans control 1/5 of all the wealth

According to economists Saez and Zucman, “wealth concentration has followed a U-shaped evolution over the last 100 years: It was high in the beginning of the 20th century, fell from 1929 to 1978, and has continuously increased since then.” The recent rise of wealth inequality is “almost entirely due to the rise of the top 0.1% wealth share, from 7% in 1979 to 22% in 2012 — a level almost as high as in 1929.” Corporate executive are paid pensions worth 1,000 times a worker pension.

What’s causing it? According to the economists, the increase in wealth concentration at the top of America’s economic pyramid is due to a surge of top incomes combined with an increase in inequality of savings — the wealthy are being paid more (or earning more from their investments) and the poor aren’t able to save: Like middle-ages serfdom. Make sure you get your fair share: http://www.amazon.com/Tax-FREE-Wealth-How-laws-free/dp/1475089236

Do you know the car dealer scams?
Do your research before you shop and save $1,000 or more. There are several tips dealers have used in the past, but there is a sure way to avoid losing to a scam. If you know what you are buying and what it costs, you are not likely to fall for the scams. Most of the money lost in buying a car is in the financial part of the sale.

Avoid the money scam: http://www.amazon.com/Money-Scams-2014-insurance-financial/dp/1505437962

Buffett’s investment plan:

"My advice to the trustee could not be more simple: Put 10% of the cash in short-term government bonds and 90% in a very low-cost S&P 500 index fund," he wrote to shareholders of his company Berkshire Hathaway earlier this year.

New data from investment adviser SigFig leads to a similar conclusion.

After analyzing portfolios held by 325,000 users, the robo-adviser found something interesting: The most successful investors in the group were also the least active.

SigFig finds that investors who trade frequently — defined as "investors who have a turnover amount equal to or greater than their portfolio value in a year" — actually see lower returns than their peers who are more hands-off. Traders return was 0.13% vs non-traders return of 4.7%. Use Warren’s strategy for better returns:

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

Save $300 on tax prep

The average cost of having your taxes done is $300. Preparers will charge more for the new health care forms. If you earn less than $60,000, use the IRS-approved software providers FREE. It is easy. Just fill in your data from your forms and see what your refund could be: http://www.irs.gov/uac/Free-File:-Do-Your-Federal-Taxes-for-Free

We AARP volunteers will do your taxes for FREE: The IRS Volunteer Income Tax Assistance (VITA) and the Tax Counseling for the Elderly (TCE) programs offer free tax help for taxpayers who qualify.

Find a provider for Jan 20 IRS opening: http://irs.treasury.gov/freetaxprep/jsp/vita.jsp

List of items for your tax return prep for 2014

Wait for all your tax forms so IRS won’t reject your return—delay your refund.

Pension and broker forms will be delayed. ObamaCare exchanges send forms late too. Congress waited to the last minute so many forms are in process, including the new 1040. Take these documents with you to your tax preparer:

http://images.turbotax.intuit.com/iqcms/marketing/lib/TurboTax_TaxPrepChecklist.pdf

GOP crazies

NJ gov Christie has Cowboys owner Jones fly him and family to the game and lux suite (costs over $100,000) and gives Port Authority WTC observation contract (est. $200 million) to Jones’ firm. This is illegal—they are not childhood friends. It looks like graft.

VA Gov McDonnell has been sentenced to two years in prison for receiving $165,000. The sentences for elites: http://www.washingtonpost.com/graphics/local/corruption-sentences

If you are poor, stealing a $1,000 used car is punishable by 2 to 20 years in prison in many states.

Millionaire Congress: Almost half of newly installed GOP freshmen come with big bank accounts. Over half of all House and Senate are wealthy and don’t know about middle-class struggles.

BEWARE: Salespeople are now pushing this investment:

This is an email that was sent to many salespeople this week offering an annuity to beat bank CDs. They don’t disclose the fees or the charges if you cancel. They do mention the 3% rate. If CD rates go up during the 5 years, you are stuck with a penalty. Ad says:

“Beat bank CD's with our January Fixed Annuity Top Pick, which features:

3.00% guaranteed five year interest rate. Our January Fixed Annuity Top Pick with a five year interest rate guarantee of 3.00%. According to Bankrate.com, the national average interest rate on a 5 year bank CD is currently 0.85% (as of 1/6/15). Additionally, the interest earnings from bank CD's must be reported on your income tax return each year. Whereas, interest earnings left to grow and compound in an annuity are tax deferred, saving you taxes.”

BETTER annuity strategy: http://www.amazon.com/The-Best-Annuity-Strategy-Income/dp/1497532019

Will you have enough?

Nearly 40% of men and 50% of women will live to age 90 according to recent (2008) mortality tables. Can you live on your retirement income for this long? Annuities will pay an amount for life but most annuities are fixed payments so $1000 a month now will be worth $500 in 20 years. The best strategy is to keep growing your retirement portfolio AND take increasing monthly payments. There is only one way to do that:  http://www.amazon.com/Not-Buy-That-Annuity-Guaranteed/dp/1466494573

Police chief shot his wife in bed—Was he annoyed?

A police chief in Georgia told a 911 dispatcher he ‘accidentally’ shot his wife while moving a handgun that was in their bed (????), according to a recording released Friday. Guns have no safety switch? What can they be doing in bed with a loaded no-safety gun?

The police chief in FL claimed the guy in theater was texting and it annoyed him. He had just texted his son. Michael Dunn killed Jordan Davis because music annoyed him. 

Tax filing scams

Beware of a trust that promises to reduce the amount of income subject to tax, offers deductions for personal expenses or claims to lower estate or gift taxes. You may be caught in tax avoidance schemes that involve various business entities. Avoid those who use doctored income statements to reduce wages to nothing.

Some scammers use frivolous tax arguments to encourage taxpayers to avoid filing and paying taxes. Most tax cheats report less income than they make, so their tax liability will be less. Scammers impersonate charities to get money or private information from well-intentioned taxpayers. And they use a variety of tactics. Putting money into a foreign bank account for the sole purpose of hiding it from the IRS is illegal. Questionable return preparers have been known to skim off their clients' refunds, charge excessive fees for return preparation services and attract new clients by promising guaranteed or inflated refunds.
Tax con artists claim they can get filers free money from the IRS based on fictitious Social Security benefits or false tax credit claims. Tax phishers usually pose as an IRS representative. The IRS doesn't send unsolicited emails to taxpayers. Some scammers tell folks who take the calls that they are entitled to huge refunds; all they need to do is provide some personal information. Identity thieves use your personal information to file and claim a fraudulent refund. Learn the signs of scammers:

http://www.amazon.com/Money-Scams-2014-insurance-financial/dp/1505437962

Are you exempt from ObamaCare penalties 2014?

Choose the exemption you want to apply for

• Exemptions based on coverage being unaffordable
• Exemptions based on hardship
• Exemptions for membership in a health care sharing ministry
• Exemptions for membership in a federally-recognized tribe or ANCSA corporation
• Exemptions based on eligibility for services through an Indian health care provider
• Exemptions for being incarcerated
• Exemptions for membership in a recognized religious sect whose members object to insurance
• Exemptions for low income, short coverage gaps, and not being lawfully present

Instructions for filling out exemption forms.

https://www.healthcare.gov/fees-exemptions/apply-for-exemption/

Call to apply, compare plans, enroll or ask a question. 1-800-318-2596

GOP trying to eliminate health care regs by redefining working hours

GOP pushing for ObamaCare to define “full-time” 40 hours not 30 hours. If every worker has their hours cut to 39, employers can avoid providing help with health care expenses. 

 SCAMS          Why are we still paying $700 Billion a year for WWII deployments? That is 27 cents of each dollar in taxes—the largest part of our money—and we aren’t even at war. We could pay off our debts and fix our schools, roads and bridges!

We are paying for 164,253 of our active-duty armed personnel to be in 150 countries around the world. We have about 50,000 in Japan and 50,000 in Germany.

Are we preparing for WWII again? There are 1,208,083^[1] armed personnel in the United States. Our taxes pay for about HALF of the WORLD’s military expenditures every year. We have wasted $398.6 billion so far on the F-35 program—they can’t fly safely.

We just can’t afford to pay for everyone else’s defenses anymore.

Japan, Germany and S. Korea can pay for their own defenses.

The War on Terror requires SEALS’ attacks on top terrorists at their homes. Iraq proved converting a nation to Western-style republic doesn’t work.

Shareholders get the shaft—CEOs increase their pay/bonus/deals/control/etc

Last month, government ruled in favor of big business, allowing them to exclude from its proxy a shareholder proposal on director nominations. Other companies will surely followed suit, asking the regulators to rule the same way for them. The owners of corporations—the shareholders—will not be allowed to propose the directors who are supposed to rule management for them.

Bank bailouts again?

http://finance.yahoo.com/news/paul-krugman-ezra-klein-wrong-111500291.html

Moshe Marc Cohen, a former Woodbury Financial broker who participated in a scheme to profit from the death of terminally ill patients through variable annuity sales, must return $768,000 in commissions, an SEC judge ruled. SEC did not stop Cohen from stealing from other clients because he was not caught within 5 years.

Jeffrey M. Knutsen, Bellwether Wealth Management, was barred in 2005 from working as a broker after a customer complained that he embezzled from the client’s account. Despite being barred, Knutsen continued to work with clients, many of them elderly. Knutsen was finally caught 10 years later and was sent to jail for 4 years. He created more than 200 checks on the clients’ accounts and used the money for himself, according to the FBI.

Arthur Nadel as a poster child of the Ponzi scam. His ersatz hedge fund bilked investors out of close to $350 million dollars. An investor thinking about investing with Nadel could have seen a disaster waiting to happen by doing an elementary public records search of the financier before giving him money. Nadel had been disbarred as an attorney for fraud and had listed himself as indigent in a divorce filing.

IAN

41 Watchung Plaza, B242

Montclair, NJ 07042

973.746.2014

www.InsuranceAdvisorsNetwork.com

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