Just Win...

The Time For Action Is Now

We all know the story of the shoemaker whose children went without shoes and the roofer who never got around to fixing his leaky roof. Except for the details, their stories may not be too different from our own. Despite knowing that we need to be doing something about planning for our personal financial goals – whether it is saving for retirement; doing a better job of managing our debt, or setting money aside for our children’s college education– most of us put off doing anything about it for one or both of two reasons: we aren’t sure where to begin, or we don’t think we have sufficient assets to make it worthwhile.

The truth is, there is no single place to begin when it comes to planning for your financial future; and there is no level of income or assets one needs in order to make the process worthwhile. You can take action regardless of where you are in life, and regardless of how much money you have (or don’t have).

Financial Advise... Who Gets It?

Americans who are most in need of formal financial advice are the least likely to seek it, as access to affordable, professional guidance remains out of reach for those with lower income and education levels.

“The advice market does not serve the vulnerable populations — the low-income populations, minority neighborhoods, as well as, other parts of the market. It’s an issue. The marketplace is not equal in terms of access,” says Michael Collins, director of the Center for Financial Security and author of the recent research paper “A Review of Financial Advice Models and the Take-Up of Financial Advice.”

One-Third of Retirees Receive Annuity Income

Over one-third of retirees receive income from annuities, but for the majority, instruments provide just 4% of their income, according to a report released Sept. 16 by LIMRA.

“The majority of current retirees relies primarily on pensions and Social Security to meet their daily expenses, with annuities making up only 4 percent of their income,” Jafor Iqbal, associate managing director of LIMRA Retirement Research, said in a press release.

Older retirees were most likely to receive income from an annuity. Almost half of those in their late 70s had an annuity, while just 19% of those under 65 did.

The study found that while household income has little effect on who receives annuity income, household assets are a strong indicator of who receives such income. The percentage of households with under $75,000 who rely on income from an annuity and those with more than $75,000 differed by just five percentage points.

We must not let our rulers load us with perpetual debt!

“I am not among those who fear the people. They, and not the rich, are our dependence for continued freedom. And to preserve their independence, we must not let our rulers load us with perpetual debt. We must make our election between economy and liberty, or profusion and servitude. If we run into such debts, as that we must be taxed in our meat and our drink, in our necessities and our comforts, in our labors and our amusements, for our callings and our creeds, as the people of England are, our people, like them, must come to labor sixteen hours in the twenty-four, give the earnings of fifteen of these to the government for their debts and daily expenses; and the sixteenth being insufficient to afford us bread, we must live, as they now do, on oatmeal and potatoes; have no time to think, no means of calling the mis-managers to account; but be glad to obtain subsistence by hiring ourselves to rivet their chains on the necks of our fellow-sufferers. Our landholders, too, like theirs, retaining indeed the title and stewardship of estates called theirs, but held really in trust for the treasury, must wander, like theirs, in foreign countries, and be contended with penury, obscurity, exile, and the glory of the nation."

Thomas Jefferson

The 4 Things That Make 90% of Americans Poor

According to Robert Kiyosake, best selling author if Rich Dad Poor Dad,  there are really only 4 things that make the majority of Americans poor.  Take a look at this 5 minute video.



The 4 things that make 90% of Americans poor:

We have a 1950s level of taxation and a 21st-century-sized government

Americans are paying the smallest share of their income for taxes since 1958, a reflection of tax cuts and a weak economy, a USA TODAY analysis finds.


The total tax burden — for all federal, state and local taxes — dropped to 23.6% of income in the first quarter, according to Bureau of Economic Analysis data. By contrast, individuals spent roughly 27% of income on taxes in the 1970s, 1980s and the 1990s — a rate that would mean $500 billion of extra taxes annually today, one-third of the estimated $1.5 trillion federal deficit this year.

Happy Independence Day! God Bless America!

The Jet Plane Of Financial Vehicles

I've explained in previous articles why I believe that the 401K, IRA and other qualified plans need to be retired. These three videos explains the benefits of an IUL contract over traditional and qualified retirement savings plans.

What Is Estate Planning Part 2

According to Joe Pippen author of Ask an Attorney, everyone has three primary options in estate planning.

Option 1: Do Nothing
The most popular option is to put off planning indefinite and hope that the need to plan will go away. This is clearly the worst option, although 60-70 percent of Americans choose those option.

If a person fails to plan his estate, the state he resides in plans it for him.  Every state has a written a Will for everyperson who fails to create his own.  This is called a statutory Will.  The statutory Will that the state creates for  you decides how your estate will be distributed and who will be named your personal representative.  The state also decides who the guardian of minor children will be and makes many decisions that individuals should make for themselves.

Many Americans Will Not Be Able to Retire Until Their 80s - How About You?

According to a new report, many Americans will have to work into their 80s before being able to retire. The lower your income, the longer you'll have to work. Those making $11,700 or less, will have a 50% chance of retiring by 84. Those making $72,500 and up, will have a 50% chance of retiring at age 65.

What Is Estate Planning? Part 1

Estate planning is much more than just having a will.  In a broader sense, it is the process of creating and implementing a program for the protection and transfer of wealth.

Just as each person is unique, so is the estate planning for each person.  Estate planning begins during your life and can continue long after your death.  It is the understanding of your own limitations and the planning for possible guardianships and incapacity problems far in advance.  Estate planning is also the process of simplifying the procedure of distribution and using methods to save taxes, probate, and administrative expenses.

Many people think they have “too little” to be concerned about estate planning; however, in most cases, this is not true.  In fact, I have read studies which indicate that there is a much higher percentage of administrative costs in a small estate than a large estate.

The Best Investment Ever Made

I figured that I would start my tribute to dads early this year.

I'm blessed to be a father to 3 amazing young ladies and a grandfather to 4 beautiful little girls.  Being a father isn't easy by any stretch of the imagination, but I've learned that being a dad yields incredible dividends and  gets easier if you just keep on trying and growing.

I learned this from a man that made being a dad look so easy... I know now that it wasn't. Thanks Dad.

The Hidden Wealth System Tax Savings Strategy

You probably think that you’re already doing all you can to maximize your income and minimize your taxes but, the U.S. tax code is complex and confusing. Trying to take maximum advantage of the tax code can be more than a little complicated. However, not taking advantage of all its provisions can reduce the value of your capital assets and the income they produce for you by hundreds of thousands of dollars; especially over 20 or 30 years of retirement.


The Hidden Wealth System Tax Savings Strategy is a comprehensive approach that uses a combination of six techniques and several provisions of the tax code to minimize your taxes and maximize your income. It is not tax advice or tax preparation, but a comprehensive tax strategy that uses a combination of six techniques and several provisions of the U.S. tax code to minimize your taxes and maximize your income. This is accomplished by simply rearranging the way you own and use your capital assets.

A little-publicized tax code could help save you money

Most individuals are unaware of a little-known tax code that's available to all investors regardless of their income or net worth.

The internal code section for this tax break is IRC 7702. One of its components refers to the tax-advantaged growth of the cash value inside of a life insurance policy. If properly structured, an individual has the opportunity to both grow their investment money and access their money (before or after age 59 1/2) without ever paying taxes on the gains.

The Greatest Salesman In The World: Scroll One

Today I begin a new life.

Today I shed my old skin which hath too long suffered the bruises of failure and the wounds of mediocrity.

Today I am born anew and my birthplace is a vineyard where there is fruit for all.

Today I will pluck grapes of wisdom from the tallest and fullest vines in the vineyard, for these were planted by the wisest of my profession who have come before me, generation upon generation.

Today I will savor the taste of grapes from these vines and verily I will swallow the seed of success buried in each and new life will sprout within me.

Education is not a Substitute for Work

No one can get something for nothing. Everything worth having has a definite price, and that price must be paid. The rules of personal achievement are as definite as the rules of mathematics. If every there was a true science, it is the science of personal achievement described in the seventeen principles of this philosophy.

An open letter of apology from the economy

From an article in a local paper:

 I'm sorry,

 To state the obvious, it hasn't been pretty these last few years, especially for the job market. I am aware of the anger, and I don't blame you. This whole thing got away from me. But I think it's time we made a fresh start.

 Here's what I propose:

The Best Valentines Gift Is To Guarantee Your Family's Financial Future

The largest asset that almost every American family has isn't their house, car, or their business, it's their future income.  This is the income that your family will benefit from over the next 20, 30, or 40 years.  This money is what your loved ones are depending on to pay the mortgage, the car note, the utilities, house hold expenses, college educations, medical needs, maintain your standard of living in retirement, and finally to pay for your funeral expenses once you die.

Guaranteed Income for Life

Stretch your retirement savings with an annuity.



Retirees who watched in horror as their account balances plunged along with the stock market now face a new challenge: how to generate enough income to pay their bills.

Why Living Benefits Need To Be Part Of Your Financial Plan

Most people know life insurance can provide financial security and continuity during one of life's most difficult times: the death of a loved one. What few people know is that life insurance can also help during another one of life's most difficult times: a chronic, critical or terminal illness. This help comes in the form of optional riders called Accelerated Death Benefit Riders, also generically known as Living Benefits, which can be added at no additional cost.


The following story illustrates just what Living Benefits can do.

Sylvia¹ was only 50 years old when she was diagnosed with Multiple Sclerosis. With medication, she was able to effectively manage her symptoms for a few years. Then, her disease progressed, first cutting her daily walks with her golden retriever short, then eliminating them altogether and bringing her to a point where she spent her days in her wheelchair.

How Much Life Insurance Do You Need?

Difficult investment and job markets are rough on savings and retirement planning. They sometimes complicate the issue of how much life insurance is right for you and your family and what kind you should buy.

Standard formulas -- such as buying coverage equal to eight to ten times your annual income -- are inadequate shortcuts. The truth is that life insurance is a personal affair. Two couples may earn equal salaries, but it’s silly to say that someone with four young children should have the same coverage as empty nesters with no mortgage and a substantial retirement fund.

Will You Still Get Social Security? Better Late Than Never-

The cornerstone of most Americans' retirement plans is Social Security.  More than 53 million people collect Social Security benefits each month.  And for nearly two-thirds of elderly American households -- those with at least one member who is 65 or older -- Social Security provides at least half of their income.  In some cases, it is the only source of income.  Even more amazing, 55% of 50- to 60-year-olds say they are counting on Social Security as a key part of their retirement income, according to a recent survey by Charles Schwab.

Do I Have to Do Anything on My Taxes if I Did an IRA Rollover Last Year?

Did you roll over an IRA or 401(k) during 2010? Were you told it wasn't taxable?  First the good news: Rollovers aren't taxable.  Now the bad news: Rollovers are reportable, meaning the rollover will somewhat complicate your tax return.

Anyone who rolls over an IRA or 401(k) should receive a 1099-R from the custodian of the account which has been terminated as a result of the rollover. Properly coded, the 1099-R will indicate no taxable amount and also have a letter code of "G" in box 7. (If your 1099-R indicates something different promptly contact the custodian). Still, you must put the entire amount of the rollover on line 15a of Form 1040. Since

One Small Step - What's Your Financial Strategy?

Recent research shows that while 52% of participants in a resolution study were confident of success with their goals, only 12% actually achieved their goals. A separate study in 2007 by Richard Wisemen from the University of Bristol showed that 78% of those who set New Year resolutions fail, and those who succeed have 5 traits in common.  Men achieved their goal 22% more often when they engaged in goal setting, (a system where small measurable goals are being set; such as, a pound a week, instead of

No One Ever Died With Too Much Money

Statistics say that 15 percent of husbands and 28 percent of wives have no life insurance.  I tend to believe that this is so because  we believe that insurance is complicated.  Let me help and shed a little light on the topic.

In the world there are only two kinds of life insurance.  I'm sure you have heard many different names, 10-year term, 30-year term, whole life, graded premium life, decreasing term, universal life, etc., etc., etc.  Every company has its own names and its own variations.  But know this; there are only two kinds of life insurance - term and permanent.  Each of these products has four unique characteristics.  As I explain these characteristics, I want you to consider an analogy.  Think of term insurance like renting a home and permanent insurance like buying a home.  As we go through, I think you'll find amazing similarities.

I Have A Dream

It is indeed a sobering realization that those that sacrificed before me, afforded me the lifestyle that I enjoy today.  It is also incredibly important that I never forget them.

If you've never see Dr. Kings "I have a dream speech" in it's entirety.  Please take the time to look and listen carefully.  Our nations future depends on it.

K. Michael Ferguson

Are You Going To Outlive Your Retirement Savings?

The problem? The average Baby Boomer has less than $50,000 accumulated for retirement (which means many have less than that), primarily due to bad habits and having money invested in the wrong places where economic downturns can diminish their nest egg. 
The solution? Social Security isn’t the answer. Taking ownership is the answer—through asset optimization and equity management with proper financial planning.


When it comes to planning for retirement in these tough economic times, it’s apparent that many Boomers are confused. They feel isolated. They feel powerless. Many fear that it’s too late to plan for a comfortable retirement. Many are concerned that they haven’t saved enough—that they may outlast their retirement resources.

Should You Leave Your 401(k) With Your Old Employer?

A client told me today that her brother left his job a while back to start his own business, but his retirement money still was sitting in a 401(k) account with his former employer. She wanted to know if he should just cash it out.

"No, that's a bad idea," I said because he would have to pay a 10% early-withdrawal penalty and taxes. A better idea would be to roll the money directly into a traditional IRA or Roth IRA. 

Because my client's brother is self-employed, he also could roll his 401(k) over into a SEP IRA or solo 401(K ),

Is Anyone Minding the Store at the Federal Reserve?

Top 5 Reasons Why Not To Cancel Your Life Insurance Policy

Twice this week I sat with good clients who were torn about keeping or surrendering their life insurance policies because of the economy. They worry about how to pay their bills on time, such as their mortgage or car note. 

Unfortunately, often times they do not strategize well.  Instead of eliminating vices (e.g., cable TV, alcohol, cigarettes and gambling) from their budget, they eliminate necessities that they do not use on a daily basis, such as life insurance.  They are not going to eliminate soap and deodorant from their budget, for individuals use soap and deodorant on a daily basis. However, they will drop their life insurance policies.

The rational for canceling their life insurance, especially when they are financially struggling, range far and wide.  Here are a list of some of the excuses that I've heard:

14 Trillion Reasons Why You Need A Personal Retirement Plan

14 Trillion Reasons Why You Need A Personal Retirement Plan


Recently AARP released a new survey report that shows that three in four (76 percent) adults age 18 and older rely on or plan to rely on Social Security for their retirement income, including a large majority(62 percent) of younger adults age 18-29.

Take a hard look at the US Debt Clock link and see why every American needs  a personal comprehensive financial and retirement plan in place.

US Debt Clock

Sources & Related Articles:

http://www.aarp.org/about-aarp/press-center/info-08-2010/social_security_poll_release.html

http://www.thirdage.com/retirement/5-reasons-women-need-worry-more-about-retirement

Expecting An Early Tax Refund? You Might Have To Wait.

IRS 2010 Federal Tax Return Delay – Earliest Date to File U.S. Taxes in February for Some

We all know that we have a deadline to file our taxes but not much is said about the earliest you can mail in your tax return. Typically, the IRS begins accepting individual tax returns in January, following the end of the calendar tax year. However, due to recent tax legislation, the IRS cannot accept returns from certain individuals until at least February.

When President Obama signed the Tax Relief, Unemployment Insurance Reauthorization and Job Creation Act into law in December 2010, the tax law necessitated changes to 2010 IRS tax forms and processing systems.  According to IRS Commissioner Doug Shulman, most taxpayers will not be affected by the changes, but some will have to wait until at least mid-