PDF FREE (The Power of Zero) author David McKnight

Black Gotham lOrtfolio and that is the most adult sentence I have ever typed Anyway I read it because he asked me to and I didearn stuff about various kinds of retirement funds and the ike It definitely counts towards my 2019 reading goal because dang it I read it Missing key elements I was disappointed The author did not address "A BETTER WAY TO LAND IN THE 0% TAX "better way to and in the 0% tax and that is through capital gains and dividends A The Adventurer's Handbook Life Lessons from History's Great Explorers lost opportunity Instead he uses the expensive option of LRIPs The author glosses over many points that don t fit his argument that need to be addressed to convince the reader of the effectiveness for his solution I would recommend the blog Go Curry Cracker over this book It is too bad that a respected nameike Ed Slott associated his name with this book This book focuses on strategies used to shift taxable income and tax deferred income into tax free income The The Essential Oil Hormone Solution: Reset Your Hormones in 14 Days with the Power of Essential Oils logic being that with tax brackets at historicallyow evels today and with the huge deficits our government is #incurring and its need to someday pay the bill now is the #and its need to someday pay the bill now is the to bite the bullet and recognize income pay taxes instead of waiting deferring taxes until a ater year when Uncle Sam will want a bigger pound of flesh The two strategi A uick and easy read that Manual do guerreiro da luz ll cause one to reconsider a few aspects of personal finance and retirement planning Thesis Tax rates will rise in the future as the US government will struggle to pay for underfundedunfundediabilities such as social security medicare and medicaid As they get sueezed for money they Creative Alcohol Inks ll inevitably turn to taxpayers for additional sources of revenue Current tax rates are at historicalows and can only rise in the future Therefore paying taxes now to end up in the 0% tax bracket upon retirement is beneficialPros David introduces many interesting concepts such as paying all taxes now to avoid them Fallin For His Thug Passion 2 later on And also that tax rates will inevitably increase Traditional and Roth IRAs401ks won t be that different in the end AND Roth IRAs are taxed at current known tax rates whereas Traditional IRAs401ks have an uncertain tax rate in the future Keeping post retirement income to below standard deduction which rises with inflation in order to maintain 0% tax rate Cons David introduces some funky math In the beginning he uses outrageous examples of marginal tax rates at work to induce an emotional response in the reader that theirife savings are going to be taxed at a higher rate than it might be 40% of 600k in what world is that going to happen Additionally some of his marginal tax rate math seemed a Carrot City little funky as well use for your marginal tax rate needs His tax examples surrounding capital gains and dividends are also dubious He doesn t explain too much the different tax structures between short andong term capital gains and that dividends have a different tax rate than regular salary income Finally he pitches Life Insurance Retirement Plan LIRP pretty hard Seeing as how he is a financial adviserplanner I m not surprised He proposes it as a panacea to use after using his 401k and IRA strategies but doesn t really address many criticisms of using See What You Made Me Do life insurance policies as investmentretirement vehicles other than the fees are comparable to 401k accounts and the government probably won t changeegislation around LIRPs In the end he doesn t deny that everyone has to pay taxes Whether now or ater He proposes that paying taxes NOW as opposed to LATER when the tax train wreck has arrived is better While I can agree with when the tax train wreck has arrived is better While I can agree with points other points are harder to swallow He makes many assumptions that may or may not come to fruition down the road However they are curious to entertain This is one of those books that was created to try to sell you something In this case it s trying to convince the reader that they have an issue with their savings plan and that there is a way to pay zero taxes that only a few rich people currently know about The solution involves using a variation on ife insurance You ve been warned I actually thought the first pa. Xperts have even suggested that tax rates have to double just to keep our country solvent Unfortunately if you’re Weaving a Family Untangling Race and Adoption like most Americans you’ve saved the majority of your retirement assets in tax deferred vehiclesike 401ks and IRAs If tax rates go up how much of your hard earned money will you really get to keep In David McKnight’s ground breaking book Th. Rt of the book which ays out the forecast of much higher income tax rates in the US and the impact on different retirement savings vehicles was interesting if #lacking in detail The author conveniently ignores things ike capital gains tax and dividend taxes that #in detail The author conveniently ignores things Principles of Agricultural Engineering Volume-1 (Farm Power, farm Machinery, Farm Buildings, Post Harvest-Technology) like capital gains tax and dividend taxes that currently at aower rate than income taxes and I suspect that will be the case even if his forecast of tax increases occur And he ignores other tax planning schemes that those rich The Special Undercover Delivery (The Little Ad (The Little Ad(option) Agency Book 1) life insurance owners also avail themselves ofike trusts and corporations I would agree that tax rates can and ikely will rise from where they are now And some thought should go into investors tax planning due to that eventuality So the problem statement is a "GOOD STORY BUT WHAT OF THE "story But what of the solution The author focuses on the scheme of buying specific ife insurance policies that have additional features and when you read additional features you correctly think additional costs that allow for additional investment borrowing your invested money without repayment and use as a Randomized Algorithms Cambridge International Series on Parallel Computation long term care annuity It s described aot Northanger Abbey like Saturday Night Live skit it s a floor wax and a dessert topping As you read you want to evaluate this product But alas the author really provides no details instead begging off because there are hundreds of different policies with different costs and different benefits You can t even validate the claim that you canive off the proceeds of your savings without paying taxes because there s not enough detail even in the chapter Longman Academic Writing Series 5 length case study Your only recourse is to visit yourocal insurance broker Not surprisingly the author mentions that the book became a hot seller when insurance agents bought them to give to their prospects Go figureWhen I read a book that is written as advertising material I tread The Japanese Pottery Handbook: Revised Edition lightly Iook to see if there is any value beyond getting informed on some new product Here the value I received with in the initial problem description forecasting increasing taxes I already understand this issue but it was interesting to read someone else s take on it My second takeaway was the reminder that this kind of The Columbia Guide to East African Literature in English Since 1945 (The Columbia Guides to Literature Since 1945) life insurance product exists If the need arises while I m managing my investments Il know my insurance guy will have something to sell me He always does While I think tax planning for retirement is often overlooked I was not a fan of this book for a few reasons1 McKnight s math is imprecise and fan of this book for a few reasons1 McKnight s math is imprecise and give readers the wrong impression While he goes into marginal tax brackets Reckoning The Epic Battle Against Sexual Abuse and Harassment later in the book heargely writes as if your top tax bracket is indeed what you pay in taxes However most people pay significantly The Conditions of Agricultural Growth The Economics of Agrarian Change under Population Pressure less For instance in his Social Security example in the tax deferred chapter the hypothetical couple with 95000 in taxable income would have an average tax rate of 15% not 22% according to tax rate calculatorsHe also talked extensively about how the current tax brackets will expire in 2026 but fails to mention that the standard deduction will also drop in half at that time He even talks inater chapters about how a couple could safely take out RMDs of 37000 and have it be tax free thanks to an inflation adjusted standard deduction But assuming the tax aw sunsets as scheduled we will never see a 37000 standard deduction2 He completely ignores certain planning strategies such as Health Savings Accounts to pay for health care expenses or relocating to a state with no income tax that can help people minimize taxes in retirement 3 McKnight never mentions Roth 401k accounts4 He promotes LIRPs heavily without providing much detail Vague descriptions tend to always raise a red flag and I eft wondering what it is about these plans that is being Jane Addams left unsaid Exactly how much higher are feesinsurance premiums at the start vs other retirement vehicles Does the cash value disappear into the pockets of the insurance company at death as is the case with most permanentife insurance plans And so onWhile I ike the concept behind the book it felt vague and hyperbolic and so it was only ok for me. E Power of Zero he provides you with a step by step roadmap on how to get to the 0% tax bracket effectively eliminating tax rate risk from your retirement picture Why is the 0% tax bracket so powerful Because if tax rates double two times zero is still zero The day of reckoning is fast approaching Are you ready to do what it takes to experience the power of ze. The Power of ZeroDue to our country s current historically ow income tax rates David McKnight the author of The Power of Zero feels that now is the best time to use non deductible savings instruments in our retirement plans Taxes will never again be this The Mindset of Organization: Take Back Your House One Phase at a Time low according to McKnight His opinion on this is based on our growing record debt and the underfunded Social Security problem The current tax rates phase out in 8 years by which time the need to dramatically raise taxes will be indisputable People saving for retirement today will have to pay taxes on reuired EMD withdrawals from their 401K s and their IRA s at much higher future tax rates while those with money in non deferred savings instruments will pay theowest taxes or for a few prescient ones no taxesIt isn t necessary to reduce a future retiree s tax deferred savings to zero under McKnight s proposed plan Most of us already have 401K and IRA retirement savings accounts When we retire we should be able to use the standard deduction in the year of ERM withdrawal to shield that money from taxes assuming that the total value of those accounts isn t too arge to do so One enlightening passage addressed the taxability of Social Security income Non taxable sources of income are considered by the IRS when determining how much of a person s social security income is taxable Municipal bond income is one of the sources that get into that calculation Even though muni income is not subject to federal income taxes it may be subject to state and ocal income tax and even if not taxed by the state of residence it is used in the total income calculation used in determining social security taxation A formerly unknown retirement avoidance tool that was mentioned unknown to me that is is the LIRP Life Insurance Retirement Congress Allows Taxpayer "Congress allows a taxpayer buy URBAN ROMANCE life insurance witharge periodic payments The bulk of the payments add directly to the cash value of the policy with a small portion going toward the cost of the insurance itself The death benefit and cash surrender value go to our beneficiaries tax free with the result that none of that money being subject to estate tax or to income tax The benefit to the purchaser of the policy is that the cash values in these policies are Open Adoption Experience Complete Guide for Adoptive and Birth Families From Making the Decision Throug liuid The purchaser can borrow those funds back at any time for any purpose The borrowings carry a modest interest rate toegitimize the transaction as a On Alchemy loan to the IRS but theoan is an investment of the insurer and its interest earnings are added to the policy s cash surrender value I regret that the author did not provide the names of insurance companies Who Sell These Types Of Policies As I Was Unable sell these types of policies as I was unable find any with a google searchRetirement plans are as individualistic as any form of investment plan I ve tried doing it on my own but after reading The Power of Zero I realize that I have eft myself open to paying taxes than I could have had I taken a different savings tact prior to retirement Don t make the same mistake We re all hoping to enjoy a healthy fun filled retirement someday IRS reuired minimum distributions are unavoidable so part of our retirement plan needs to include a strategy for minimizing the tax conseuence they represent Read The Power of Zero and other retirement books as they all provide ideas and raise issues that need to be considered and addressed in a good retirement plan An exceptional read that makes you think about retirement planning in a whole different way It is relatively easy to understand however if you have a finance background it s a much easier read and well worth the time I earned uite a bit to utilize in my stress free discussions about retirement Worthwhile info to consider when planning for retirement uick read but still a Star Wars: The Force Awakens littleong winded due to a bit of redundancy Also worth mentioning some aspects of the strategies presented in this book are based on speculation but then again what investment strategies are not My State Farm agent sent me this book to read before our annual meeting to discuss my insurance There’s a massive freight train bearing down on the average American investor and it’s coming in the form of higher taxes The United States Government has made trillions of dollars in promises for programs Timo l'Aventurier tome 1 like Social Security and Medicare it simply can’t afford to keep The only way to deliver on these promises is to raise taxes It’s simple math Some