Financial Goals: Your Prioritization Guide

Financial Goals: Your Prioritization Guide

Beth Braverman

 You already know the most basic principle of personal finance--spend less money than you make. Once you’ve got that covered, however, figuring out how to achieve all your financial goals at once can feel overwhelming.

 Should you direct any extra cash toward paying off your student loans or saving for retirement? Building an emergency fund or chipping away at credit card debt?

 As you grow your family and advance in your career, there may be even more competing goals, such as buying a house, saving for your kids’ college education or taking a dream vacation.

 In general, this is how you might think of prioritization for your financial goals, from the most to the least important.

(Of course, the more complicated your finances, the more you’ll benefit from working with a financial planner who can help you navigate your specific situation.)

 1. Protect Yourself Against the Unexpected

 Before working on almost any other long-term financial goals, you’ll probably want to have at least three to six months’ worth of expenses in a liquid account that you can access in case of emergencies.

 “An emergency fund gives you the ability to stay on track no matter what your other goals are,” says Rich Ramassini, a Certified Financial Planner and senior vice president at PNC Investments. This is true even if you have credit card debt. “Let’s say you want to aggressively pay down your credit cards, but your car breaks down and you need a $2,000 repair. If you don’t have an emergency fund, guess where that money is coming from?”

 Bonus: Rising interest rates mean that you save money in an online savings account and it should earn at least a small return.

 Helping to protect against the unexpected also means making sure that you have adequate insurance coverage. That often includes health insurance, auto and home (or renters) insurance, life insurance and disability insurance.

 Although insurance premiums can put a dent in your cash flow, they tend to be relatively cheap compared to the expenses you’d face in a worst-case scenario without such coverage.

2. Start Saving for Retirement

To continue reading, please go to the original article here:

https://meetfabric.com/blog/prioritization-financial-goals-short-term-long-term

.The Key To Successful Investing Is Patience

The Key To Successful Investing Is Patience.
Tanza Loudenback 

​The CEO of a $13 billion investment firm says there's one lesson everyone has to master to build wealth: patienceThe Key To Successful Investing Is Patience

Compound interest is the most important concept to understand about money, Mellody Hobson said.

Mellody Hobson, a co-CEO of Ariel Investments, told the New York Times that the key to successful investing is patience.

Patience leads to compound interest, which is the most important concept to understand about money, Hobson said.

She cited Warren Buffett as an example of a patient investor. The CEO of Berkshire Hathaway once said, "There is nothing wrong with getting rich slowly.".

"Good things come to those who wait" is more than an old English proverb. In the investing world, it's regarded by many as the rulebook for success.

In a recent interview with the New York Times, Mellody Hobson, a co-CEO of Ariel Investments, a Chicago-based investment firm with nearly $13 billion in assets under management, said patience is one of the key ingredients to building wealth.

In fact, it's an integral part of the investing approach at Ariel Investments, where Hobson has worked for nearly 28 years, the Times' David Gelles reported.
 
"We talk about long-term patient investing, and that idea that slow and steady does win the race, that time can be your best friend when it comes to investing," Hobson told Gelles. "That's why we have a turtle as a logo at Ariel."

Hobson, who also serves on the boards of JPMorgan Chase and Starbucks, said "it's never too late" to get started investing, but regardless of where you are and who you are, the same lessons apply.

To continue reading, please go to the original article here:

https://www.businessinsider.com/ariel-investments-ceo-mellody-hobson-build-wealth-patience -advice-2019-7

.Don’t Worry; Be Resilient Reduce Fragility & Vulnerability

Don’t Worry; Be Resilient
Reduce Fragility & Vulnerability
By  Charles Hugh Smith

At some point, absorbing more information about the unsustainability of modern society yields diminishing returns. It becomes emotionally draining and thus counterproductive.

Part of this exhaustion results from recognizing our powerlessness within the Status Quo, where independent thinking and structural innovation are intentionally winnowed out as threats to existing institutions and industries.

Another part arises from the burden of knowing that the supposedly permanent Status Quo is far more vulnerable than generally believed. I have described the psychology of knowing what lies ahead in The Burden of Knowing.

A related factor that is never publicly discussed is the negative impact on our mental health of all the propaganda that we are force-fed by the Mainstream Media (MSM). 

When truth is incrementally undermined by massaged data and behind-the-façade manipulation, we lose faith in key State and media institutions and suffer from a propaganda-induced disconnect between what we see and what is reported as fact.

These 'burdens of knowing' can diminish the small but real joys of the present: work we like, a home-cooked meal, and time spent with our friends and family.

As a result, many smart, well-informed people consciously refuse to dwell on our systemic problems because doing so “is a downer.” These folks hold the perspective that anxiety about the future should not get in the way of the simple pleasures of living.

This attitude can be described as “don’t worry; be happy.” And it certainly makes sense when life is still comfortable and enjoyable.

​But the philosophy of “thinking about the future is a downer, so I live in the present” ultimately rests on a false confidence that the future will take care of itself, regardless of what happens to the large-scale systems of State, finance, and resources.

It overlooks the reality that not all responses to instability or devolution are equally successful. Those who are totally dependent on the Central State and speculation-based markets will have a much more difficult time maintaining their "happy” view if the systems they depend on erode or fail.

Perhaps the wiser response is “don’t worry; be resilient.”  The resilient household can be happy not only in the present surplus of energy, entitlements, goods, and services, but can also thrive in a future where the current surplus of cash, credit, and speculative gains has dried up.   
What is Resilience?

What is resilience?  A dictionary definition is “an ability to recover from or adjust easily to misfortune or change.” In other words, it is on the other end of the response spectrum from fragility, brittleness, and vulnerability.

In terms of individual psychology, resilience can be characterized as being able to roll with the punches, maintaining a positive attitude through difficult times, and focusing on developing successful responses to misfortunes and challenges.

American culture extols individual resilience, and we are taught to think that the individual can overcome anything and everything with the right attitude. But if the Status Quo is vulnerable to disruption on a systemic level, then it is prudent to think of resilience in a systemic way as well.
 

To continue reading, please go to the original article here:

https://www.peakprosperity.com/dont-worry-be-resilient/

Three Financial Lessons From Squirrels

Three Financial Lessons From Squirrels

Protect Your Money / By David Somerville

Over the years, I have been studying wildlife in the woods behind my house.

My favorite critters are the squirrels that scamper and dash among the trees, and I spent a lot of time learning about their habits.

One of the aspects of squirrels that fascinates me is how they make it through winter.   The survival tactics of squirrels have evolved over millennia in the ultimate testing ground of Mother Nature. 

Winter survival is the wildlife equivalent of financial planning for people. Squirrels have to allocate resources, deal with risk/reward scenarios, and execute a plan consistently.

Let’s take a look at how squirrels do “financial planning” and see how we can apply that to our lives.

Three Financial Lessons From Squirrels

1. Stash Stuff Away

Most squirrels prepare for the lean times of winter by stashing away nuts and other food.  This seems like an obvious thing to do and reflects on our need always to be saving as much money as we can for our lean times.

What squirrels have taught me about stashing valuable things away is that there is no perfect plan. 

Some squirrels like the American pine squirrel, create a MASSIVE central food stash called a midden.   .  A midden can have a diameter of 30 feet and be several feet deep.  It takes considerable energy to construct a midden, but the result is enough food to last for many winters. 

This is an “all of the eggs” in a single basket approach to investing that has its obvious drawbacks.  Pine squirrels are highly territorial and have to fight to protect their middens. (midden – refuse heap/large pile)

If the midden is lost then the squirrel can starve.  On the flip side, some Pine squirrels are so successful that they end up leaving the midden to an offspring as a massive inheritance and go create a new midden in a different territory.

Other squirrels, like the grey squirrel, have a highly diversified portfolio.  They will create multiple food staches all across their territory. This approach works out well in case they happen to make a “bad investment” for one particular food stash.  A case in point is this squirrel that filled a car engine with walnuts  He lost that food stash but had more stored elsewhere!

The point is that both types of “squirrel investment plans” have their pros and cons.  What makes both kinds of plans work is that squirrels are consistently stashing and storing.  They find something that works, and they stick to it!

Pick an investment plan, get started, and be consistent.

2. Invest in Yourself

Another way that squirrels prepare for winter is by investing calories in changing their bodies.

To continue reading, please go to the original article here:

https://yourmoneygeek.com/financial-lessons-squirrels/

To Will or Not To Will?

To Will or Not To Will?

By Muhammad Ali

Generally, when I ask my Dinarians what's the first thing you want to do after RV?  Settling my debts seem to be the top answer, of course after giving thanks to the Almighty.

I had the occasional, take a long overdue holiday and get into some banking investments, but I've never had anyone tell me, I need to update my Will or get my Will done first.

It seems to me that the focus on Wills is secondary to many other things.

A few months back I met with a legal consultant on Wills, he’s been doing Will preparations here in Malaysia for the past 16 years, and he opened my eyes to a lot of very important things.

One of the key things that he told me was that there is currency over RM80 Billion (Ringgit Malaysia) in assets and funds being held by the various States due to improper Wills or no Wills at all.

That is a lot of wealth being locked up, can you just imagine for minute, if that money was in the hands of the people.  To put this in another perspective, that amount is equivalent to every person in Malaysia having RM2 Billion in their bank account.  

And it's a real shame and all due to improper planning, and some of these complications go far back to grandfathers and great grandfather’s estates. So it trickles down to Uncles and Aunts and cousins and siblings, over generations so you can see how it becomes complex.

So, I will do a little twist here and my article will not be about how to write a Will, but what happens to your family when you do not have a Will.

If you don’t have a Will when you die, your money, property and possessions will be shared out according to the law instead of your wishes. This can mean they pass to someone you hadn’t intended or that someone you want to pass things on to ends up with nothing.

Dying without a valid Will is called intestacy or dying intestate.

Some people may think, alright, after RV, once I exchange my currencies and then buy the new land and build the new home and get everything in place, only then do I need to create my Last Will and Testament.  What if you had exchanged your currencies, bought the land and before the house was even being started to build, you passed away.

Your Will, definitely will require ongoing maintaining and changes as per your asset accumulation, so please do not think it's a one-time thing.  Even if you have new children or grandchildren you'll need to update your Will.  As a matter of fact, you should have a Will now that includes your currencies and who will be the beneficiaries of it, in the case of your early demise.

In recent years there has been a major change to inheritance tax laws and for many people that has necessitated a change to their Will, even though their ultimate wishes remain the same. So this is something that you'll need to look into with your lawyer.

Depending on the amount of currency you hold and how much you will have after the RV, you may be updating your will once a year or every 2 to 5 years.  It will all depend upon what has changed around you.  Whether your family has changed, with either new additions or losses, and if your assets has changed, or if you added new assets or sold off some assets.

Now aside from the legal disbursement aspect, let's look at the psychological factors that will happen if you did no leave a Will behind.  Children, spouses and ex-spouses, and siblings will fight. And fight. And fight.

Death does not always bring out the best in people. Interestingly, the prospect of pending death is often seen as an occasion to mend fences. But once the death actually occurs, all bets are off and the gloves come on.

This is more likely to happen in families where the heirs have different socio-economic statuses. The son who can’t hold a job wants to know why his rich older brother needs yet more money. The rich older brother thinks he should be put in charge of managing the unemployed brother’s share of the estate. And so on. But the decision shouldn’t be theirs; it’s yours.

And don't forget about your pets, they may not get the care they deserve or you intended for them.  You cannot leave money or property to your dog or any other pet.  

You can, however, establish a trust for them and fund it.  It requires that you find someone who agrees to provide the care you want for your furry companion.   Shelters are filled with pets whose owners died leaving them with no place pre-arranged to live.

While we’re at it, if you have minors in your care, you need a Will to establish their custody.

Also equally important, don't forget with your life insurance policies to make sure the beneficiaries are properly updated.  Let's say you have setup a policy years ago when you were married to your first spouse and then some time later you got divorced and then re-married, but your policy beneficiary is still in the name of your Ex.  So imagine the joy on your current spouse's face when he/she finds out at that money to help him/her cover the funeral expenses and survive for the future is going to your Ex.

Another problem that may arise is you left a Simple Will; however, with the value of Net Worth you had, you actually needed a Complex Will.  You also are more likely to have your Will challenged if you decide to give more of your assets to one of your children, or if you decide to cut out a child altogether from your Will. 

Sometimes creating a complex will along with a trust will better accomplish your estate planning goals. You can create what is called a “pour over” Will. In a pour over Will, you create a trust and then state in your Will that all of your assets at your death will be poured into the trust.

When dealing with a Complex Will, you need to work out your Net Worth, your Assets and your Liabilities.  My new Companion Edition add-on to my Currency Exchange Planner will help you plan for this. 

You can enter all of your assets and your liabilities and it will calculate your net worth that you can take to your lawyer.  From there he will advise you whether you'll need a Simple Will, Complex Will or a Trust.

So to cut this short, having a thorough, carefully planned-out Will is a MUST, even more of a priority than paying off your debts at the start.  There are 4 types of Wills and I suggest you do some online research and learn the differences between them so when you present yourself to your lawyer, you're already educated. 

Get the Will done, get it out of the way and then you'll have the peace of mind to continue to settle your debts, if that is part of your planning and then work on bank investments to generate a healthy monthly income stream.

My Currency Exchange Planner and my new Companion Edition with its Advanced Wealth Management tools have been carefully and thoughtfully designed for the Dinarians at heart.

I hope you have benefited from my article.

​Thank you and I wish you all the success in your currency exchange.

Muhammad Ali  http://www.CurrencyExchangePlanner.com 

The No. 1 Planning Tool for the Dinar community.

Available in Desktop PC/MAC and Mobile App (Android & IOS) versions

The Four Views - The Rest of The Story

The Four Views - The Rest of The Story  

Eldon Taylor June 18, 2014

Views of the world from four different minds - four different sets of eyes - four different hearts - How do YOU see the world?

“A man sees in the world what he carries in his heart” - John Wolfgang Von Goethe

A few years ago I wrote a piece that has been rather widely circulated and, based on some of the comments I have seen, not too well understood. The piece is titled, “The Four Views.” Please allow me to share it with you before making any further comments. This then is the story:

Once a wise master had four students who exceeded all others in ability. One day the five gathered, and the master spoke to the first student, “Tell me what you see when you look into the world.”

“I see savagery. The planet is raped. The world hides from the truth. Contaminating material is released everywhere. There is particulate matter in the heavens and acid rain. The rain forests are being destroyed, and so is the ozone. There is such ignorance and selfishness. The world needs so much correction.”

The master replied, “You are right, and I shall call you Correction, for you by your vision have committed to a world of need.”

To his second student, the master put the same question, “Tell me what you see when you look into the world.”

The second student replied, “Master, I see futility. Nothing can be done to change the ways of the world, though some will repent and call for change. Still, the world is condemned by the acts of man.

The sciences teach us that too many people are coming onto the planet, too much destruction has already been done, too little money is provided for science to adequately assist, and there is too little concern for ethics and values. Crime escalates while families decay. Law is lost.

“You too are right, and I shall call you Righteous, for your indignation beholds a corrupt world beyond repair while your heart suffers its pain. You shall be known for your words, and your works will express the sadness of your heart.”

The master turned his gaze to the third student. “And you, what do you see?”

“I see a world needing the restoration of Law. I do not believe hope is lost. I find encouragement in the words of my brothers, for they too recognize the need the world has for a change of ways.

It is with confidence that I sense the willingness of man to change. All good government is government of the people and for the people. It is through law and government that change can be effected. The masses will follow the right action and attitude of government. The agent for change exists and is law and government.”

“You also are right. I shall call you Government, for your words forge your observations and become what you teach. You will therefore be committed to a work of law and order through government.”

Finally, to the fourth student, the master put the same question, “And what do you see?”

To continue reading, please go to the original article here:

https://www.eldontaylor.com/blog/2014/06/18/the-rest-of-the-story/

​.How To Avoid High-Income Lifestyle Creep

How To Avoid High-Income Lifestyle Creep
By  Poor Swiss

Posted in Dinar Recaps Archives on 7/13/2019

My personal goal is to become financially free as soon as possible. As a software engineer in Switzerland, I am earning about $130,000 per year, and, lifestyle creep is one of the toughest parts of my life.

With my salary, I am viewed as a high-income earner. And, people think that earning a high-income makes it easier to become financially free.

And in many ways, it does.

But, most high-income earners are not financially free and a lot of them are not even wealthy.

Americans more credit card debt than savingsThe main reason for that is lifestyle creep, and in this post, I’m going to spill the beans about how I battled with the devastating phenomenon as well as how I’m avoiding its grasp!

And more importantly, how high-income earners can overcome lifestyle creep and achieve their own version of financial freedom!

Lifestyle Creep
Let’s start at the beginning: what is lifestyle creep?

As people earn more, they have a tendency to spend more. This means that even though you earn more money each money, you are not saving more. In other words, you aren’t acquiring additional wealth. At least, not much.

This is as simple as that. But it has a large impact on their finances.

Lifestyle creep – also known as lifestyle inflation, is the main reason why many high-income earners are not wealthy. In fact, many high-income earners are less wealthy than some low-income earners.

To continue reading, please go to the original article at

How to avoid high-income lifestyle creep

Acquirers' and Inheritors' Dilemma

Acquirers' and Inheritors' Dilemma

Dennis T. Jaffe and James A. Grubman

Discovering Life Purpose and Building Personal Identity in the Presence of Wealth

People come to wealth in essentially two ways: they acquire it during their lifetime through effort or circumstance, or they inherit it from someone else's reserve.

The way in which a person becomes wealthy is an important determinant of how wealth affects his or her personality, profoundly influencing one's personal identity and sense of self.

Armed with a better understanding of the stresses and adjustments of wealthy clients, financial advisors can tailor the relationship with accuracy, empathy, and sensitivity.

This article reviews the psychological and sociological literature of the past several decades about individual and family dynamics related to wealth.

The authors first explore the psychological experience of creating or acquiring wealth, with its impact on identity development, relationships in families, and the difficult process of parenting the next generation.

They look at how acquirers of significant wealth must come to grips with their good fortune and how they must raise their children under novel circumstances, and examine the different experience of inheritors who are raised with wealth.

As native-born citizens in a privileged economic culture, heirs of multigenerational wealth experience a stressful blend of advantages and pressures that can often be antithetical to personal growth.

The authors finally propose a model of development for a person's wealth identity, beginning with a phase of conflict and confusion, and then reaching a level of personal reconciliation with, and integration of, one's wealth with one's self.

To continue reading, please go to the original article here:

http://jamesgrubman.com/sites/default/files/Acquirers_and_Inheritors_Dilemma.pdf

The Journal of Wealth Management Fall 2007, 10 (2) 20-44; DOI: https://doi.org/10.3905/jwm.2007.690946

 https://jwm.pm-research.com/content/10/2/20 

Brain Meets Money

Brain Meets Money

Richard Quinn    February 20, 2020

HOW OFTEN DO you think about money? Hey, you just did. Seriously, we think about money every day and sometimes every hour. Some studies say we ponder financial matters even more often than the old standby: sex.

We’ve been thinking about the stuff for a long time. Money goes back about 3,000 years. Paper currency can be traced to China in 700 BC. They didn’t fool around: Their currency stated that all counterfeiters would be decapitated. I’m guessing counterfeiting was rare.

Today, it costs two cents to manufacture a penny and almost eight cents to make a nickel. Result? Each year, we taxpayers lose about $85.4 million on the production of pennies and $33.5 million on nickels.

Gee, at that rate, those of us on Social Security could receive a $2-a-year raise if they made cheaper money. Who needs pennies anyway? Money is no more than a piece of metal or paper—basically worthless, except you can get stuff for it because the people who sell you stuff can get other stuff with the money you give them.

Does money make us happy? Benjamin Franklin didn’t think so. “Money never made a man happy yet, nor will it. The more a man has, the more he wants. Instead of filling a vacuum, it makes one.”

The evidence suggests Ben was right, but try telling that to addicted lottery players. I recall a TV show depicting the impact of winning the lottery on people. Instead of making the winners happy, it often messes up their lives, mostly because they’re ill-prepared to handle the money and because they thought spending would make them happy.

One winner stands out in my memory. He bought several pieces of used heavy construction equipment just to have. He didn’t know the tax withholding on his winnings wouldn’t cover all of the tax he owed. He eventually lost all of his prize possessions and a great deal more to the IRS.

Another family lived in a trailer and, instead of moving, expanded it, bought each child their own ATV and gave each an allowance of $1,000 a month. The kids were ostracized at school and had to leave.

“The conviction of the rich that the poor are happier is no more foolish than the conviction of the poor that the rich are,” offered Mark Twain. Indeed, if you Google the subject of happiness and money, you will find assessments from every point of view. But none concludes that money buys permanent happiness, only fleeting pleasure perhaps.

On the other hand, money can relieve stress—or create it. If you don’t have enough to pay the bills, more money will help. But if you have plenty of money, the fear of losing some may be stressful.

To continue reading, please go to the original article here:

https://humbledollar.com/2020/02/brain-meets-money/

Where Do I Store My Wealth?

Where Do I Store My Wealth?

From Crisis To Confiscation—

By Jeff Thomas     International Man

International diversification of wealth (no matter how large or small) can save your economic freedom.

Although most of our readers thoroughly understand this concept, one of the most oft-heard concerns is that, by offshoring assets, one may not be able to get to them as easily as they now can. Here’s the response to that, and some practical advice on what you can do to protect yourself.

Let’s say you presently regard yourself as being economically diversified. You own stocks and bonds, you have some cash, you have a retirement fund and you have a bit of gold stuffed away at home. On the surface, it would seem that you’re covered.

Trouble is, you have all your wealth in one jurisdiction, and should that jurisdiction find itself in an economic crisis, all that “diversification” will be seriously at risk.

***

Of course, it’s human nature for us to want to keep our wealth close at hand. It feels more secure than having it miles away from us. We tend to follow this concept even though we’re well aware that to have our wealth really close (i.e., on our person) we would be asking to have someone with a gun take it away.

Although we understand this, we somehow manage to convince ourselves that our own government, should they decide that they wish to get their hands on our wealth, is less of a threat to us than some thief. If we’re being really truthful with ourselves, governments pose a greater threat than the average thief, as they can steal legally.

Confiscations and Bubbles

In recent years, the governments of the US (in 2010), Canada (in 2013) and the EU (in 2014) have passed bail-in legislation, allowing the confiscation of deposits in bank accounts.

When confiscation does occur, I believe it will happen without warning, as it did in Cyprus. One day, you wake up and your money is gone. What can you do? Nothing. It’s legal.

But you may still be all right, since you’re diversified. How about your retirement fund? Well, both the US and EU have announced that, should the investments of your fund be deemed to be at risk, the government will ensure that you will not lose your money, by requiring that your fund be heavily invested in government Treasury bonds, which are guaranteed.

 However, should there be an economic crisis, that guarantee will quickly go south.

Again, when this happens, it will happen suddenly, without warning.

Well, how about those stocks and bonds? You broker assures you that he has wisely invested your money in a variety of stocks and bonds and he declares that your investment is therefore diversified.

Trouble is, the bond and stock markets are presently in the greatest bubbles the world has ever seen. Even a minor crisis can put a pin to those bubbles without warning.

In actual fact, the only investment you have that’s not at risk from a financial crisis is the gold you have at home. It will actually benefit from a crisis. Precious metals have been described as the only investment today that is not concurrently someone else’s liability, and this is quite true.

In actual fact, your bank accounts, retirement fund, stocks and bonds are not diversified at all. They are, in fact, totally at risk, should you reside in one of the above jurisdictions.

Crises and Complications

But that, of course, hinges entirely on whether a crisis may occur in the future. Unfortunately, those jurisdictions are all experiencing major debt problems. The US in particular is in the greatest level of debt the world has ever seen.

The EU owes less but is also more economically fragile and is already popping its buttons. The US will follow and its neighbour, Canada, will be pulled down with it. That’s why they’ve all passed bail-in legislation, so that they can use your wealth in a last ditch effort to buy a bit of time on the way down.

Not a very promising situation. So, will everyone go down with the ship? Not at all. There will be those who recognise that “keeping the wealth close” is not the most important aspect of retaining wealth.

Internationalisation: The practice of spreading one’s self both physically and economically over several jurisdictions in order to avoid being controlled or victimised by any one jurisdiction.

Internationalisation is not merely sending wealth offshore, it is the art of studying those jurisdictions in the world that, at any given moment, have no confiscation legislation, have a reputation for political stability and have firm non-intrusive national policies.

Internationalisation and Diversification

Those countries whose governments stay out of your bank account, stay out of your retirement fund and stay out of your other investments to the greatest degree are invariably the safest places for your wealth. Although there are no guarantees, these jurisdictions are less likely to go after your wealth and will be the last to do so, even if other jurisdictions have taken all you have.

So, is the “keeping the wealth close” idea valueless? Not strictly, no. Someone in Australia might very sensibly choose Singapore or Hong Kong as his first choice for internationalising. Someone in Europe would be likely to make Switzerland his first pick.

In the Western Hemisphere, the British Virgin Islands (BVI), the Cayman Islands and the Bahamas are top choices. A one-hour flight from Miami provides a far less rapacious government, in addition to true diversification.

The greater the level of wealth, the more diversified the investor will want to be. Those who diversify into Switzerland, Singapore and BVI will increase their safety level beyond those who have utilised only one or two locations.

Today, those who are living in a jurisdiction that may, in the near future, be looking at a national economic crisis at home, should regard any wealth in banks to be sacrificial, i.e., that it might very well be swallowed up soon.

So, the first concern is to get the wealth out. But what then? Aren’t overseas banks being threatened as well? Well, yes, they are. Although they’re subject to local laws, rather than the laws of the EU, US or Canada, many of those banks are being threatened by those countries and are under pressure.

So, whilst they represent a very definite step away from risk, they cannot maximise that safety. Therefore, the second step is, as much as possible, to transfer the wealth into a form that is difficult (or impossible) for other governments to confiscate.

The two ideals are precious metals and real estate. For any government, even a powerful one, to attempt to confiscate real estate in another country is an act of war.

Hence, if the EU were to attempt to confiscate land in, say, Hong Kong, it would be an act of war against China. If the US were to attempt to confiscate land in, say, the Cayman Islands, it would be an act of war against its closest ally, the UK. Possible? Yes. Likely? Very far from it.

The other investment, precious metals, tends to be off the radar from reporting requirements for tax purposes. It additionally has the advantage of being liquid. Bullion can be sold quickly and is therefore the ideal for emergency purposes.

The ideal, of course, is to diversify, so a balance of bullion and real estate are advised. Cash, privately held (again offshore), should be part of the mix. If you have the expertise to diversify further into fine art and other collectibles, so much the better.

Much of the world has gone on a massive spending spree and has, in effect, used a credit card to do so. Soon, that bill will need to be paid and the jurisdictions that are in debt will unquestionably be revealed to be insolvent.

The economic crisis, when it hits, will be sudden and will be devastating. Everyone in those jurisdictions will be negatively impacted, but those who have internationalised their wealth will fare best. When the dust settles, they will be the ones who are in place to recover and rebuild.

http://www.internationalman.com/articles/where-do-i-store-my-wealth

Post RV Tips and Suggestions

Post RV Tips & Suggestions

From OOMF  By Just Da Truth  (From Our Archives)

While there are numerous ways to prepare for the RV I feel this will assist you in preparation for that most awesome day.

When you see RV in big letters on your favorite currency forum, , or when you hear me scream hallelujah from wherever you are in the world…that is when you will know that glorious day has arrived. But will you be ready?

Prepare: I realize many of you have done your research on how to invest, donate, and spend your money (Lord knows we have had plenty of time to do that, LOL) but time should also be allocated to how you are going to receive your investment.

Preparation is not a huge task and I believe it is essential.

Many of us have our dinar stuffed in the sock drawer, safe deposit box at the bank, or maybe even locked in the pages of your Bible but when that day arrives for you to exchange your currency there are a few things you should consider. Here are some simple steps and advice…

Give thanks: First and foremost hit your knees!

Keep Quiet: On the day you discover your investment has RV’d your first reaction is to scream with excitement and to tell the world. Think of your safety and your family’s safety first. Handle your affairs as quiet as possible.

Even though this event trumps all events you could ever post on Facebook and Twitter…it is better not to tell anyone about this particular event.

Identification: If you decide to use a bank or your currency trader at time of exchange both are going to ask for 1 to 3 different forms of identification.

Make sure your id’s are current. You will likely use your driver’s license, passport, credit cards, student ID, work ID, and/or a utility bill.

Banking: If you are dealing with small banks, go straight to the VP or upper management. If your bank has a foreign currency exchange department immediately ask for the VP or President of the department.

With larger national  banks, go to their Private Banking or equivalent division for customers with great wealth. I think you get the point I am trying to make…

If the new exchange rate is considerably higher and you have several dinars to exchange you will be dealing with a high amount of cash in exchange. This step will only move the process along and further protect your asset.

They may have more options when it comes to banking, and have a better grasp of the disclosure and security procedures in the bank.

It would also be beneficial, if you know your banker, to have his/her name and phone number ready in case there is a technical challenge wiring the funds.

If not, have the banks phone number and address readily available…go ahead and log into your contacts in the cell phone.

Also, research your own bank options, banking fees, bank account features, return rates, FDIC insurance, NCUA insurance, etc.

If you are utilizing the services of a currency trader make sure you have all the needed account numbers that the exchange office will require in order to wire funds to your bank of choice. So you will need your bank name, bank account, routing number, and wire transfer numbers. Also add the phone number and address into your cell phone for quick access.

Contingency Plan: Lets say you plan to go to your local bank to cash in your dinar. You find out there is something you are not too familiar with or maybe…they do not offer a currency exchange service.

If they are going to ship your Dinar out-of-state (out of your sight) for 3 or 4 days, the cash in spread is too high, etc etc. What do you do?

Do some calling around before you leave to see what services your institution offers. Ask about the rates and if there will be a delay for the money to be deposited into your account.

Take a preventive measure today by writing down a list of banks near your home, next major city, or an adjacent state that you can contact if a problem with your initial bank arises.

Depositing your Cash: Regardless of the method you use to exchange your dinar into dollars you will likely deposit a large sum of cash into a bank account. If you are in the United States banks are required to report to the IRS any single deposit exceeding $9,999.99. This is to identify potential criminals dealing in fraud, theft, or even terrorism.

Furthermore, funds deposited in the amount of $10,000 or more can be “frozen”by the bank or by the bank on behalf of the IRS if the deposit appears“suspicious”. These frozen funds can by tied up to 10 days or until you can provide valid proof where these funds originated.

There are suggestions on how to avoid your bank account from being frozen but none will guarantee you will not wait to have access to your funds. Banks can hold wired funds, checks and cashier checks until funds are honored by the issuing  institution. Much like a second party check each bank has a “clearing”period based on different transaction types.

Prior to making the deposit (especially if it is a large deposit) talk with the manager and explain the situation as an investment payout. You may need validation of some kind such as a written statement. This may avoid the IRS from being directly involved and shorten the time frame you will have access to your entire deposited funds.

Please discuss this with your banker, attorney, and/or CPA for further clarification and understanding.

“Walking” out with your money: If you were cashing a check for a few thousand dollars it is likely the banker would place your bills in a zipper bag and let you walk out the door.

However, if you ask to walk out with lets say a few hundred thousand dollars be prepared to wait.

Banks refrain from having large bulks of cash on hand for security purposes and most transactions are electronic.

However if you desire to have “cash” be prepared to make a request anywhere from 24 to 72 hours prior to your withdrawal in order for the bank to make arrangements.

Trusts, LLC, and Other Legal Entities: There are many ways to suggest how to set up your financial portfolio. Some have suggested to set up a trust(s), some have suggested establishing a LLC. Some just plan on cashing in as a single person.

However you decide to set up your arrangement make sure all of the legal documents are close by so that you can refer to them, if need be.

If you desire to open a bank account under a Trust, LLC, etc. these documents will be required. See bank accounts above.

Be careful of online offers and Dinar forums offering trust advice or assistance. Do you research…you don’t know who these people are..Don’t send anyone funds prior to a thorough investigation. Call the Better Business Bureau for advice.

Wills: I realize this sounds morbid but it is essential. I hate to say it but here is a scenario…you cash in and deposit $1 million in your bank account. On the way out of the bank you do your best impression of the Snoopy dance.

Not watching where you are going you come face to face with a large RV…not revaluation but a recreational vehicle! Your RV came twice that day…first to make you wealthy and the second time to meet your maker. So what happens to your $1 million?

This is why it is essential to draw up a will. Even a simple notarized will is better than nothing. Easy wills are found at places like Office Depot…some are free online as well.

Tax: The ugliest three letters ever made up. But it is something we all will deal with. Don’t try to avoid it as you will find yourself regretting you ever did. Its better to place a certain percentage aside allocated just for taxes and never touch it!

These percentages have been quoted all across the spectrum but whatever you decide to allocate..remind yourself not to spend it till you decide to send that check to Uncle Sam.

My advice would be to look up the phone numbers of local CPA’s, CPA/Tax Attorney’s and have their numbers available to make appointments with them post RV.

Get their advice and reconcile their thoughts. Once you pick someone you are comfortable with he/she can walk you through the needed forms and steps.

Of course, choosing a CPA or a Tax Attorney is not that simple…so keep your ears open for a well-qualified person to handle your taxes.

I understand some are saying their are methods to avoid paying taxes on currency exchange. Listen! Be Smart! Get the advice of a tax professional and don’t end up owing money or perhaps be under investigation.

Don’t be fooled…the IRS follows every transaction at banks so just be cautious and pay your taxes.

Post RV Investments: The only advice I can give you here is to… get advice.

Seek the services of a financial consultant, go to the library, Google everything that comes to mind. I will admit that just about any financial advisor that exists would likely roll of out of his chair in laughter if he heard about this investment pre-RV but I would also place a handsome bet that he or she would want your business when you are in search of advice post-RV.

Do your due diligence before you spend money. Don’t be afraid to get second opinions and ask around.

This kind of blessing will likely never happen like this again so be wise.

Also..Be wary of fellow dinar investors asking you to partner with them in an investment. Just because they are a fellow investor doesn’t mean they have your best interest at heart. Be Smart!

Donations/Tithe: I think it is imperative we should all give back, pass it forward, and donate. But do your homework and give your money to honest charities. It’s shameful to think that people make up fraudulent organizations and never spend donations instead they line their greedy pockets. Give to organizations that are close to your heart.

Tithe to your church. The tax man is going to take a chunk of your wealth you might as well offset the tax man by giving those funds to something meaningful and worthwhile.

Document Everything; This can’t be emphasized enough. If you are fortunate to gain a large sum of wealth remind yourself to treat your accounts appropriately and be careful not to let others mishandle your money.

You may have more money than you ever had before but that doesn’t mean you will always have it. Keep records, bank statements, receipts, contracts, agreements, etc.

If you hire a financial advisor be actively involved with your account and have understanding of what your advisor is doing with your money. Also, be aware of all of the fees advisors charge for their services.

After all how many times have you heard of celebrities discovering they are broke because they trusted someone else with their money?

Debt: When the RV occurs you will have been blessed with a sudden amount of wealth. No matter how small or large the sum of your return find it in yourself to reduce your personal debt.

Pay off the mortgage, pay off the credit cards, pay off the installment loans, pay off the student loans, pay it all off. Stop being a slave to debt and avoid at all costs reentering into a lifestyle of owing a creditor.

Pay yourself: There is nothing wrong with spending money on yourself. Take a vacation, buy a car, pay off some bills, go to the mall. Withdraw some “fun”money but take the rest and let the interest and dividends accrue.

Remember to buy smart: Many of us have lived modestly most of our lives and with a sudden amount of cash in the bank your buying potential could be endless. But remember to be smart when making purchases.

Sure you can afford a 10,000 sf house but remember the taxes, utilities, and cost to maintain the home. Sure you can afford a Ferrari, Lamborghini, and a Porsche but remember the maintenance cost associated with these high end cars. Enjoy your wealth…learn to keep it.

Loose Lips, Sinks Ships: Its sad but true…the minute you have money in your bank account will be happy. But if friends and family that are non-dinar investors hear of your recent influx of wealth they are going to want a piece of your pie.

I am sure you are going to want to help your friends and family but do it under your own will and not because of their solicitation. Be quiet and serve your fortune to those with gratitude and need.

Safety: Lets just be honest. There are some cruel people in this world and they will do anything they can to harm you or your family in order to obtain a portion of your wealth.

This refers back to being quiet. Fly under the radar. Live as normal as you can. Enjoy your life but be aware of your surroundings and the people you invite into your life.

Enjoy your life: Money does not buy happiness. Some of the richest people in history were the most miserable. Let the happiness in your life result from living your life right, spending your wealth of time with your family, and being debt free.

Now that you are rich avoid falling into the temptation the desire to become wealthier.

Don’t let money be a driving force in your life. It is perfectly fine to invest and protect your wealth just don’t allow it to consume your life.

These are just a few tips and suggestions. This is my soul my opinion and I am not a financial consultant, CPA, lawyer, and in no capacity have the power to give financial or legal advice however I am a concerned investor that wants all of us to be informed.

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