Steve and Sinclair review 3 key Social Security Strategies including file and suspend and maximizing the spousal benefit. In the Q & A segment, CFP® Murray Titterington with IQ Wealth Advisory Group, LLC, joins the discussion to review the "start-stop-start" strategy.
Steve and Sinclair focus on real estate today, reviewing the potential opportunity in a high end mall REIT that Barrons thinks is underpriced and potentially a bargain. Michael Orr of the Cromford Report and the WP Carey School of Business joins the A-Team for the Q & A session.
Steve and Sinclair review the Barron's Big Money Report, Spring of 2015 Edition, just released over the weekend. Hear key insights from the nation's leading institutional managers on markets, individual stocks and interest rates. See who is bullish, bearish, and neutral. Dan Shaffer of Shaffer Asset Management joins the A-Team for the Q & A, and Steve reviews how circuitbreakers work on the New York Stock Exchange.
How exactly is your Social Security benefit calculated by the Social Security Administration? Sinclair and Steve review the process as seen on Fox Business. Hedge fund manager Jim Gentrup, CFA, joins Steve and Sinclair for the Q & A, and reviews his intricate process for selecting small and microcap stocks, with $90 million to $800 million in capitalization. Mr.Gentrup manages two portfolios for clients.
It comes as a surprise to many that U.S. banks are some of the biggest buyers of cash value life insurance in the world. Because of the guarantees, safety level, and tax advantages, over 64% of banks now buy high cash value life insurance for their reserves. Bank ing regulations allow banks like Bank Of America, Wells Fargo, and JP Morgan Chase to use cash value life insurance as bank reserves, insuring their employees and executives. Have you heard of the "770 Account", or "Bank On Yourself", or "Overfunded Life?" These are all marketing terms for the same concept, which simply involves systematically reducing the death benefit of a high quality cash generating policy in order buy less life insurance and build up more cash. Constructed properly, the policy owner may then access cash values with tax free policy loans at exceptional rates of income. Steve and Sinclair analyze and compare on today's Mastering Money.
Social Security will run out of funding in 2033 without a set of "fixes". Steve and Sinclair review the fixes and compare their popularity according to polls. Dan Shaffer, who appears on Neil Cavuto this evening, joins Mastering Money in segment 3.
In 2007, bank CDs could still be had in the 4% to 5% range. Long term bonds were paying 5% to 6%. Barron's reports that since 2008, when interest rates started falling on bank accounts and bonds worldwide, investors have foregone over $480 billion in lost interest. The stimulus has helped borrowers and given free money to corporations to buy their stock back (driving up stock prices) but low interest rates have not had the expected result of economic expansion. Affluent savers are spending less--not just in Japan--but in Europe and the United States. Those holding cash for years are being punished. Steve and Sinclair review the Barrons article by Randall Forsyth. Steve reviews a more practical approach to the traditional 60-40 portfolio in segment 3 that can triple wealth over time while paying the income both spouses need for life.
Steve and Sinclair discuss classic cars with Craig Jackson of Barrett Jackson.
For some people, the required withdrawals coming out of their IRAs is a welcome cash flow into their checking account. For others, it is a tax nuisance—they would much rather just keep the money accumulating tax deferred, but Uncle Sam has other ideas. Steve reviews the rules for RMDs and shows how to increase your estate and create more wealth with with Required Minimum Distributions.
Many owners of long term care policies are receiving notices of increasing premiums or reduced benefits. Many carriers have exited the LTC business, including MetLife, Allianz, and Prudential Financial, but are required to honor existing policies. A year of long term care now averages $92,000 annually and is expected to DOUBLE in fifteen to twenty years. Barron's says that individuals with a net worth of $500,000 to $5,000,000 should explore low cost insurance alternatives. Steve and Sinclair dig in and clarify.