Posts tagged as:

Government Spending

Government Spending & 2 Highly Predictable Facts

October 15, 2009

If the average American has more expenses than income, what are their choices? They can 1) cut expenses, 2) increase income, or 3) both.

Unfortunately, Congress doesn’t operate under the same rules. For them the answer is to raise taxes and print more money, which causes inflation.

This means two things for you: Your money will never be worth as much as it is today, and your current tax bracket is the lowest it will ever be.

So what are you going to do about it? And do you even know how to beat these sad facts?

*If you are getting this feed in RSS or email and cannot see the video, please click on the header to view it on the blog.

Tagged as: economics, Economy, Government Spending, inflation, taxation

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Increased Government Spending Equals Higher Taxes

September 6, 2009

Podcast: Download (23.0MB)

Did you miss this week’s show? Doug Andrew interviewed guest Aaron Andrew:

Most Americans believe that if GM can’t be profitable it should simply disappear.

If there is any single event that will hurt the current presidency it is the involvement of bailing out General Motors, a monstrous unprofitable organization that has been failing since the 1970s.

Survey after survey over the last six months shows that 70% of Americans are opposed to any government assistance to this corporation.

Over the past century Americans have seen hundreds of corporations that were listed on the Fortune 500 disappear. The birth, growth, decline and death of large corporations is a natural fact of life.

Here are a few segments of Doug’s interview with guest Aaron Andrew:

What is the fundamental difference between what a traditional financial planner tells people to do and what you prescribe for your clients?

Most financial advisors tell people to put money in 401(k)s and IRAs. Because we are an instant gratification society, we want the tax break today even though this only makes our tax situation worse during retirement.

Putting off taxes while this money continues to grow and compound only makes the tax problem greater down the road. As the government continues to increase taxes to pay for increased government spending, money inside 401(k)s and IRAs will most likely have higher taxes when it is withdrawn.

What we do is help people have a tax-free retirement income so that half their money is not going to Uncle Sam.

Why have most traditional investments in IRAs and 401(k)s not been successful during the last decade?

With the huge downturn in the market from 2000 to 2002 people lost a ton of money. Let’s work with an example of say $100,000. When people have a 50% drop they only have $50,000 remaining. They have to have a 100% return to get back to their original investment.

It’s going to take a long time to make that money back and with the recent downturn again in 08, investors have lost a lot of money again.

Why didn’t your clients suffer any loses this last year?

The financial products that we use provide safety so that when the market tanks our clients don’t lose a dime. They have a floor and little risk because their money isn’t in the market.

This year with market picking back up they are on track for a 16% rate of return. This is all part of a lock-in and reset strategy.

Attend our one hour event live with Guest Aaron Andrew over the internet this coming Tuesday, September 8th at 11:00 am and again at 6:30 pm Pacific: Don’t miss your chance to understand how to protect your money during this economic crisis and get competitive rates of return during the good years. This strategy is called indexing and you need to know all about it. Call 888-76-Radio (888-767-2346) to register.

FREE Missed Fortune E-book: Baby Boomer Blunders. 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. Download at www.babyboomerblunders.com

Tagged as: Doug Andrew, General Motors, Government, Government Spending, Max Funded Insurance, MFTA Life Insurance, Missed Fortune, Missed Fortune Radio

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Are You Frustrated with Bad Financial Advice?

August 16, 2009

Podcast: Download (23.0MB)

Did you miss this week’s show? Doug Andrew discussed the following:

The government is spending.

If you’ve been reading the Wall Street Journal or USA Today in the last week or so you may have seen articles about the soaring federal deficit. This administration will have quadrupled last years federal deficit by the end of 2009.

We’re probably going to hit about 1.8 trillion dollars on top of the current debt, which is 11.7 trillion.

In other words, that is $38,500 for every US citizen, whether they are old enough to pay taxes or not. And the next years is anticipated to be about 1.3 trillion (This information is from the White House).

Recently we’ve had about 2,000 people call us after listening to Missed Fortune Radio.

Many of them have been frustrated with the financial advice they have been getting over the years. Many of them have lost 30,40, or 50 percent of their savings, but instead of new solutions their advisors are telling them to stay the course.

Sometimes it seems financial advisors give advice that benefits them and their families more than you and your family.

Make sure and listen to the song we played on Missed Fortune Radio (It is funny and you’ll be glad you did)

Attend our one hour event live over the internet this coming Tuesday, August 18th at 11:00 am and again at 7:00 pm Pacific: Don’t miss your chance to understand how to protect your money during this economic crisis and get competitive rates of returns during the good years. This strategy is called indexing and you need to know all about it. Call 888-76-Radio (888-767-2346) to register.

Why I don’t own an IRA or 401(k) and never will.

If you are like many Americans, you may have seen a loss of 30%, 40%, and 50% in the value of your 401(k). I predict the worst hit is yet to come and it isn’t what you think.

Recovering from losses can be tough. Did you know if you lost 50%, you need to get a 100% return to get your money back?

That isn’t everything that we need to worry about either. The biggest loss you may ever incur is the day you start to pull out your money from these accounts. You’ll be in a higher tax bracket and future taxes will be higher than they are now.

I’ve always put my serious cash such as college savings, retirement, and home equity into investments that will accumulate money tax free. And then when I access that money it is tax free, including the gain.

When I die it also blossoms and transfers income tax free. I make sure this money is liquid, safe, and earns a competitive rate of return. I choose to put my cash into Maximum Funded Tax Advantaged (MFTA) Life Insurance.

FREE Missed Fortune E-book: Baby Boomer Blunders. 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. Download at www.babyboomerblunders.com

Tagged as: 401(k), 401(k)s, Doug Andrew, Federal Deficit, Government Spending, IRA, IRAs, Missed Fortune Radio

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