The IRS and Fed Cartel - Thieves!

The IRS and Fed Cartel

The IRS appears to be a collection agency working for foreign banks engaging in money laundering, extortion racketeering, and conspiracy. Much like the Federal Reserve, it operates under “secret code” and mounds of amendments, clauses and paperwork. Operating out of Puerto Rico under disguise of the Federal Alcohol Administration (“FAA”), the FAA was promptly declared unconstitutional inside the 50 States by the U.S. Supreme Court in the case of U.S. v. Constantine, 296 U.S. 287 (1935), because Prohibition had already been repealed. There is no known Act of Congress, nor any Executive Order, giving th IRS lawful jurisdiction to operate within any of the 50 States of the Union.

Their presence within the 50 States appears to stem from certain Agreements on Coordination of Tax Administration (“ACTA”), which officials in those States have consummated with the Commissioner of Internal Revenue. A template for ACTA agreements can be found at the IRS Internet website and in the Supreme Law Library on the Internet. However, those ACTA agreements are demonstrably fraudulent, for example, by expressly defining “IRS” as a lawful bureau within the U.S. Department of the Treasury.

Moreover, those ACTA agreements also appear to violate State laws requiring competitive bidding before such a service contract can be awarded by a State government to any subcontractor. There is no evidence to indicate that ACTA agreements were reached after competitive bidding processes; on the contrary, the IRS is adamant about maintaining a monopoly syndicate. The identity of the Secretary is not found in title 26 U.S.C.. The only reference to the identity of the Secretary of the Treasury is in 27 C.F.R. at section 250.11 (definitions) which specifically states: "Secretary means Secretary of the Treasury of Puerto Rico".

In 1998, the United States Court of Appeals for the First Circuit identified a second “Secretary of the Treasury” as a man by the name of Manual Díaz-Saldaña.

Contact him and see what kind of response you get:
Departamento De Hacienda
Secretary of the Treasury
Manuel Diaz Saldana
P.O. Box 4515
San Juan, Puerto Rico, 00902
1-787-721-2020

To learn more about the Federal Reserve and Taxes visit:
http://legacyinsuranceagency.com/taxes/taxhistory.html

Much of this blog was reprinted from: http://www.supremelaw.org

Protect Yourself From The Unexpected With Short Term Medical Insurance

Protect Yourself From The Unexpected with Short Term Medical Insurance

Short Term Medical Insurance or Temporary Health Insurance can help you protect yourself from the unexpected. The unexpected can happen at any time, while you're in between jobs or after college and before you launch your career. So, why take risks with your health?

You can cover yourself with short-term medical insurance, also known as temporary health insurance. Temporary health insurance can cover you when you change jobs, when you move or any time you have a need for temporary insurance. Short-Term Medical coverage is available for individuals and families.

Perhaps you've been laid off or you're between jobs, if so you may want to consider a temporary solution. Usually, temporary insurance can be purchased for 1 month, 3 months, 6 months or a year. Maybe you have moved and haven't decided on the exact type of plan you are looking for. The important thing is to have coverage in case of the unexpected.

With temporary health insurance, underwriting is easy and you can usually be covered by the next day. You can apply online here http://legacyinsuranceagency.com/shorttermmedical.html

Accidents happen, so make sure you are protected.

Be safe,
Barry Page

Barry Page is a licensed health and life insurance agent. He can be reaced online at www.legacyinsuranceagency.com

How To Buy Whole Life Insurance

Discover The Benefits of Cash Value Dividend Paying Whole Life Insurance

Once you learn how to buy whole life insurance, and truly understand how it works, you can use the cash value to finance everything you buy. This requires discipline though and should only be used with the aid of an experienced agent.

All life insurance policies pay a claim when you die, but whole life can provide many economic benefits while you're alive. If the policy is set-up correctly when you initially make the purchase, you can use it much like any other financial account as a place for your money to reside. The important step is to buy cash value, dividend paying whole-life insurance from a mutual company.

There are but a few mutual companies left today. Most of the life insurance companies have demutualized and become stock based companies. This means their obligation is to their stockholders. Mutual companies have an obligation to their policyholders. To name a few, MassMutual, Guardian, Northwestern Mutual and New York Life. There are more, but those are the major players that have been around for a while.

Before we get started on how to buy whole life insurance, let's take a look at how the policy works. With a Whole Life Insurance Policy the premiums remain fixed for the life of the policy. A portion of the premium is used to purchase and accumulate a guaranteed cash value thus adding a savings element. You can purchase paid up additional insurance as well to increase this cash value. Dividends, which are not guaranteed, may also increase policy cash value. Provided that premiums are paid as specified in the policy, the policy remains in force during the insured's entire lifetime.

The part of your premium that goes into a cash reserve and accumulates as cash value is tax-deferred and can be tax-free if accessed correctly. Generally you can access this cash value at any time, for any reason (Imagine doing that at your bank without a lengthy application and credit report). The reasons could be many including financing a car, a hardship, college, marriage, retirement or critical illness.

While providing many benefits of its own, whole life insurance also makes your other assets stronger. By providing protection, a hedge against inflation and significant tax benefits. With permanent life insurance in place at retirement the owner of the policy can spend down all of his assets if needed without fear of running out of money.

Some of the many benefits of owning whole life insurance:

• Tax Deferred


• Tax Free *


• Estate Tax Free *


• Unlimited Contributions *


• Competitive Return On Investment


• Guarantee


• Creditor Protection *


• Unlimited Investment Options


• Collateral


• Liquid, Use and Control


• Disability Waiver *

*Benefits may vary based on your situation. All benefits should be examined by an experienced agent and may not work in all cases.

Before you purchase whole life insurance, follow these steps:

1. Interview and find an agent that represents a mutual life insurance company. Ask the agents how much life insurance they own, and how much is whole life (Pay close attention to see if they mention "human life value" or "economic value".
   
2. Once you find an agent and decide on a mutual company, decide how much life insurance you want. You will find this is different than what you may have been told to buy, or how much you need.


3. You may want to own some term insurance to help you achieve your human life value. If the term is from a mutual company, it is usually convertible to whole life at a later time.
   
4. After you decide how much you want you can then determine how to fund the policy. Your agent should help you here, that's what he gets paid to do. Factors will include how long you want to fund the policy and how you foresee yourself using the policy in the future.


5. A few important riders you should look for include the waiver of premium, and paid-up-additions rider. The waiver will protect you in the event of your disability and the PUA will allow you to overfund the policy as you want to help grow your cash value.
   

Follow these steps and buy whole life insurance while you are young and healthy. If you have health issues, then you can buy it on your spouse, children or loved ones and you can retain ownership. Whole life insurance can provide many benefits while you are alive and allow you to pass on a legacy of financial independence to your heirs.

Enjoy Life Today, Leave a Legacy for Tomorrow sm,
Barry Page

Barry Page is an experienced life insurance agent. He can be reached at: http://www.legacyinsuranceagency.com/

Post Election Tax Reform

Campaign 2008 is finally over. Democrats are stunned that they haven't blown it again, and Republicans feel bamboozled, but seem ready to move forward. Barack Obama will be the 44th President of the United States. He'll take office in January with strong Democratic majorities in both the House and Senate and the most sweeping tax proposals since the 1986 tax reform.

Obama himself promised to cut taxes for families making less than $250,000, uh $200,000, via Biden that's $150,000 per year. But who knows how long that promise will last?

Now it's time for Obama's campaign promises to meet economic reality. And one of those realities is that there just aren't as many Wall Street millionaires to tax as there were when Obama rolled out his plan!

Understandably, the media has generally focused on the true bailout provisions of the Emergency Economic Stabilization Act of 2008. But this landmark legislation also contains a bundle of tax law changes that will affect you as an individual taxpayer.

You should take the time now to protect your profits from new tax legislation. The decisions you make now will affect your spendable income and your family's future.

How To Save with Your Life Insurance

Life Insurance Planning
It May Be Time to Reevaluate Your Policy

You can use life insurance to protect your family and save money in any economy. As the political landscape heats up headlines will abound. Unfortunately, many of these headlines will be of negative news. One recent headline from the Washington Post read “Inflation Climbs to 17-Year High.” So, you are paying more now for what it takes you to live on. Things like food, clothing and gas.

The good news is there is one thing that works as a hedge against inflation, Life Insurance. As a matter of fact, because of mortality rates increasing, the cost of life insurance has actually gone down in recent years. And, as you look for more effective ways to have your dollar last longer and work harder, permanent life insurance provides protection, savings and growth.

So, how can you save money with your life insurance? Well, first you need to evaluate your situation with a qualified life insurance agent to make sure your family's needs are covered. Second, if you currently have enough coverage, you may be able to get a better rate now than when you first applied. Third, there are more and better choices today and your current plan may be out of date.

Let's take a look at some specifics. According to LIMRA, a leading authority on life insurance research, over 68 million Americans have no life insurance and many that do, don't have enough. Some may look at this and say they don't have it because they can't afford it. Nothing could be further from the truth. Life insurance is more affordable than ever, and in many cases it's less than any regular bill every month. And, if you don't have it, your family will ultimately pay more. If you are having problems making ends meet, a qualified agent can help you find money that you are probably losing to fees, taxes and other unnecessary expenses.

Other important points of interest include financing, education, retirement and medical costs. When structured properly, life insurance can provide all of these added benefits in a single product. Proper coordination and integration is required here, so again you will want to seek competent advice.

The bottom line, life insurance provides multiple uses of your money. No other product can guarantee that what you want to happen will happen, regardless of what else happens with the economy, the weather and your health.

So, why not take the opportunity to speak with your life insurance agent today. Your family and charity are depending on you.

Enjoy life today and leave a legacy for tomorrow,
Barry Page
www.legacyinsuranceagency.com

Barry Page is a licensed, independent life insurance agent.
Learn more about life insurance here: http://legacyinsuranceagency.com/lifeinsurance.html

HOW TO CREATE YOUR OWN BANK

Learn How To Create Your Own Banking System Using the Infinite Banking Concept™

WHAT IF:
· You could recapture all the money you paid for a car?
· You could recapture all the interest you paid on financing it?
· You could make the same profits as the banking institution that financed it?

AND --- DO IT ALL ON A TAX-FREE BASIS!

Infinite Banking teaches the process of using your current flow of finances versus consumption of money, for integrating protection and wealth accumulation enabling one to enhance their assets without creating additional liabilities. If you had your own grocery store would you buy groceries from a competitor's store? If you owned your own bank, would you borrow money from a competitor's bank? Most people agree that if you own a business, it makes sense to fully utilize that business and all its assets for not only your business but also for your personal needs. Yet that is not generally what happens especially when we make significant purchases such as cars, equipment, and homes.

YOU CAN LEARN HOW TO…
· Use available savings and cash flow to build your own “bank”
· Finance things you buy through your own “bank” with loans from your “bank” to you
· Repay your “bank” exactly the same way as you would repay the financial institution you would use otherwise
· Build a system of banks that increases your personal wealth

Consider this, "we finance evetything that we buy." We either pay interest or we give up earning interest.

Here's the problem, the average American pays 34.5 cents of every disposable dollar to interest! And, we are not saving enough money. Currently the American savings rate is near it's lowest in history, comparable to what it was during the Great Depression. Yet, most people are more concerned about earning interest than paying interest. Even if we were saving 10% of our income (the U.S. average is less than 3%), that would mean that our ratio of paying interest to saving is 3 to 1. Rather than fighting a head wind, wouldn't it make more sense to create our own perpetual tailwind?

You can using the Infinite Banking Concept™. Though this concept has been around as long as the process of arbitrage, Nelson Nash was the first to explain in it in an easy to read book,
Becoming Your Own Banker™. The book details how anyone can create their own banking system using ordinary, dividend paying, whole-life insurance.

While the book has it's skeptics, and some naysayers have even called it a scam, the process is undeniable. You will need a coach, preferrably a qualified life insurance agent that practices the Infinite Banking Concept™ themselves. Don't expect to buy life insurance direct from the company, or ask the home office how the process works, they won't know.

So, if you are tired of paying your hard earned money to the banks and financial institutions, and you want to recapture this interest and deposit it into your own bank, then read the book. You'll learn the basics, see lots of examples of how you can use the concept, and understand what it means to be an "honest banker."

You can purchase the book Becoming Your Own Banker™ here: http://www.legacyinsuranceagency.com/BYOB

Stop Paying Interest and Start Earning Interest Now! The possibilities are infinite...

Until next time,
Barry Page
www.legacyinsuranceagency.com

Barry Page is a member of the Infinite Banking Concept Think Tank and a licensed insurance agent.

Managing Debt for Financial Freedom

Financial Freedom – It’s All About Managing the Here-and-Now
By Barry Page

To help achieve financial freedom we need to manage how we spend our money. This may require us to make small shifts in our spending habits today in order to reap big rewards tomorrow.

One way to help secure bigger rewards over time is to control and manage the here-and-now. For those who find it difficult to pass up the corner gourmet coffee shop, read on.

I’m not professing to create a budget; I think budgets are limiting. Better yet, I think you should create a spending plan. Think of your money as a means to an end. What’s important to you and how can you get there. If you want the money to be there in the future, then you need to manage it today.

Think of the following items you may spend money on every day and how, by making “exchanges” in your spending, you may be able to save a little more for the future. It’s all about maximizing the “equation of exchange”.

1. Credit Cards: There is a lot that goes into determining the interest rate you pay on a credit card. The credit card rate you pay is determined by adding a “spread” to a “base rate”. The spread that is used to calculate your rate is usually determined by your credit history. A less than great credit history may result in a spread 2-3 percentage points higher than someone with a better credit history. So it’s important to maintain a good credit rating. Consider calling your credit card company and asking for a reduced rate; if need be, transfer your current balances to a lower rate card.

2. Phones: I’m not going to recommend you get rid of your cell phone, house phone or cable line. I do suggest you review your phone plans to ensure you have the best plan for your needs. For example, for cell phone users who use the same vendor, you may be able to call each other without being charged airtime or usage. Additionally, review your monthly phone bills to determine how many minutes you actually use; you may be better off reducing the number of minutes.

3. Mortgages and Auto Loans: Experts generally recommend if you can reduce your interest rate by 1 or 2 points on your auto or home loan, and recoup any related closing costs, you may be better off to refinance the loan at the lower rate. Another consideration is to make biweekly payments instead of monthly payments on your mortgage. The lender will receive the money faster and in the future, you should have the loan behind you.

4. Gourmet Coffee: Are you one of those folks who stand in line to order gourmet coffee. At a whopping cost of about $3.00 per cup, instead of buying 4 a day, reduce it to 2. This little spending reduction will save you over $2,000 in one year!

5. Charging vs. Paying Cash: Do you charge just about everything you buy? If you find yourself reaching for the plastic, stop and consider what that convenience is costing you. When making small purchases, pay cash. Paying cash helps with managing your expenditures and over time, becomes a way of life.

6. Student Loans: Are you still paying off student loans? Consider consolidating them into one manageable bill. While this will probably extend the payment period, you may lock in a lower rate. For example, if you’ve already graduated and consolidate your loans by July 1, 2006, you can lock in a 5.375% rate for the life of the loan. Additionally, graduates who consolidate during their grace period (the six months before you have to start making monthly payments) can lock in a rate as low as 4.75%.

Now that you’ve hopefully freed up some money, don’t go running to the closest gourmet coffee shop and purchase a latte with sprinkles. Save the money and take one step closer to financial freedom.

Barry Page is a financial consultant with Legacy Insurance Agency, PLLC
a subsidiary of the
Shield Financial Group
2600 Government Street
Ocean Springs, MS 39564
(228) 875-5545
http://www.legacyinsuranceagency.com

It's Your Money

If you keep up with the news you have no doubt heard that we are in a recession. This by itself is not our problem; The problem lies in our inability to keep our money out of the hands of our government. Our government, despite their good intentions, has led us into our current situation through out-of-control spending.

Regardless of which side of the isle you come from, or even if you consider yourself an independent, hopefully you can understand that YOU can take better care of yourself than Uncle Sam. If you can not, then you are destined to a life of financial slavery. That may sound a little harsh, but it's tough love.

We have to get our arms around the fact that our current tax system and the IRS confiscate our money regularly and by doing so, deny us the right to think and act on our own. Don't hear me wrong here, because I believe in paying taxes to support our government, so it can function and protect us from foreign interests. But, they are doing just the opposite.

It's easy to follow the crowd and do what our government recommends. However, by doing so you are increasing your risks and giving up your rights.

If you take a look at history, our country was actually founded because of a dispute of having to pay taxes and the Boston Tea Party. After which we actually had a 100+ year period of prosperity. Then came 1913 and the Federal Income Tax.

Our beloved Abe Lincoln and Franklin D. Roosevelt were the culprits that contributed the most to this ever increasing problem of the IRS. As taxes have increased over time we have lost control. Read for yourself on the IRS website: http://www.irs.gov/individuals/students/article/0,,id=177655,00.html

And here's a chart on the history of income taxes:
http://legacyinsuranceagency.com/taxhistory.html

Okay, so you say what does all of that have to do with me and MY Money? Let's take a look at the average American family, Mom and Dad with 3 kids. Dad earns $72,000 a year after 4 years of college and considerable work experience. He has the typical 401k and saves towards his employer sponsored retirement plan. If this isn't you, just stay with me, you'll get the picture.

Mom drives a 5 year old minivan that's paid for, and carries the kids all around to numerous games, parties and events. Dad drives a newer pickup and has a $500/mo truck payment. They live in a normal neighborhood and have 12 years left on a 15 year mortgage with a 6% rate.

Do you think they sound rich? Well according to IRS tax rate schedules that puts them in a 28% income tax bracket. See for yourself, here's the link:
http://www.irs.gov/formspubs/article/0,,id=164272,00.html

Now you may be saying, "Yeah but I made that and I didn't pay taxes." Some people actually believe that because they get a refund check, or because they don't have to pay money in at the first of the year, that they didn't have to pay taxes. What about that withholding that came out of each and every check all year. Uncle Sam loves payroll deduction. And, let's not forget Social Security, Medicare and your 401k. "What? I thought that my 401k actually saved taxes?"

Let's look at each one of these "deductions" one at a time.

1. Fed Income Tax - This comes right out of your check before you have a chance to spend it. You do have an option here, but most don't exercise their rights to hold on to their money until the end of the year. Uncle Sam feels safer knowing you pay him first, and in many cases most individuals do as well. In this example it would be about $250 every 2 weeks.
2. State Income Tax - Don't forget your friendly state government, in this example we'll assume there share would be about $130.
3. Social Security Tax (OASDI) - Again, before you have a chance to count your money, it's gone. We'll talk about the failure of Social Security later, but in this example about $180
4. Medicare Tax - You can count on not seeing this either, but hey maybe it will be around when you really need it at retirement. In this example, it's about $40.
5. 401k - Conveniently, we'll let our All American Dad contribute 5% or $150 to this "plan"so he can fund his pre-tax investment. You can pay him now or you can pay him later.

Maybe this family has some health benefits and they'll contribute another $250 to these coverages.

After all is said and done this family brings home about $2,250 from the $3,000 he earned.

As if you don't already know this, here are 2 different examples to prove the above calculations.

Your Friendly Social Security Administration: http://www.ssa.gov/OACT/COLA/cbb.html

If you would like to calculate your payroll deductions, check out this cool site with lots of calculators: http://www.dinkytown.net/java/Payroll.html

To keep his mortgage company happy, they are also letting them hold in escrow the property taxes and insurance as well, so in reality they'll never see this money either. After this family pays their mortgage, $2,000 PITI, car payment, credit card debt, and normal living expenses, they feel lucky if they have $50 left over to take the family out to eat.

Don't worry about the capital gain taxes, sales taxes and other miscellaneous taxes, we all pay them, right?

They feel fortunate because they are "getting by" and they feel "comfortable", but inside they strive for more. Our media feeds them advertisements of new cars, plasma televisions, wireless phones and movie star lifestyles, and, they eat it up. We can't help but want those things because "everybody" has them and we have to keep up with the Jones's. Sound familiar?

Okay, so back to the point about who's in control of your money. And, how can you keep more of your money? It's pretty simple really, take control.

Watch every penny. I'm serious, if you want control of your money, you need to document every expenditure. When you do, you will take notice. Once this is accomplished you can move forward, because you have to recognize that there is a problem. If you don't recognize the problem, you will not have the discipline to make a change.

Here's 3 steps to Take Control of Your Money:

1. Let's take a look at the paycheck first. Most of your payroll deductions don't have to be deductions at all. By changing your exemptions you can control who holds onto your pay. By doing so, you will have the use of this money. DO NOT change this unless you have the discipline to set this money aside in an interest bearing account with the sole intent of using it at the end of the year to pay your taxes.

The next deduction on your paycheck is your beloved 401k. Now I know Uncle Sam and all of the so called financial gurus tell you to max out this contribution, but you need to understand what is really happening. Your 401k only defers taxes, it does not save you taxes. While the argument is that you will be in a lower tax bracket at retirement, this is a myth. The reality is that you could be in a higher tax bracket at retirement. That's a whole other topic which we will examine another time.

2. In this example the family is paying about $500 per month for medical coverage because the employer is pitching in some of the premium. While that may sound good, it could actually be better. But, because we are so convinced that our employer needs to fund this, and that we need co-payments and low-deductibles, we let even more money slip out the door. Every situation is different and in many circumstances this example may very well be the best option.

If you want control, you should keep 6 months of income liquid in an emergency fund. Now this may seem impossible to some, but you have to start somewhere. If you do, you can raise all of your insurance deductibles and therefore control your money until you actually need it. Doing so will save you hundreds, if not thousands of dollars every year.

By the way, if you think socialized medicine will work, take a look at Social Security and Medicare. Here's the scenario. Social Security was created in 1935 by FDR. It was never intended to support people into their 70's, 80's and 90's. The debt for SS is $10 TRILLION. Medicare was created in 1965 by Lyndon B. Johnson. The debt for Medicare is over $60 TRILLION. Some quick math will tell you that's $70 TRILLION. And, don't worry about what the retiring baby-boomers will do to that.

3. The next way that many lose control of their money is with a 15 year mortgage. We've all been told that we save interest by paying off our mortgage sooner. While it is true that you can save interest, in reality this may cost the average family hundreds of thousands of dollars over their lifetimes. Again, don't hear me wrong. Each situation is different and if your goal is to pay your home off early, you can still do that in 15 years and have MORE CONTROL of your money along the way.

To grasp how a 15 year mortgage gives away control of your money, you'll have to understand some basics:

• Your home will appreciate or depreciate regardless of the mortgage.
• Because of the interest tax deduction, your net payment may actually be reduced.
• Any payment going towards principle may actually increase your risk and decrease the mortgage lenders risk.

For more follow this link for a mortgage comparison using the LEAP financial calculator:
http://legacyinsuranceagency.com/mortgage-comparison.html

To summarize, with FINANCIAL EDUCATION and DISCIPLINE, you can take CONTROL of YOUR MONEY. When you are in control of your money, you can make informed decisions versus having someone else make decisions for you.

Until next time,
TAKE CONTROL OF YOUR MONEY!
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Get Out of DEBT and SAVE More Money in 2008

It's that time of year when we set our goals and try to improve over the past year. Hopefully, saving more money is on your priority list. Since the rate of spending in America is at an all time high and savings is at an all time low (negative for 2006), this is a good topic to help you get off to a good start.

In today’s world it takes work and discipline to get ahead and save. And, with the ease of using a credit card it’s even harder to stay out of debt. While many of the financial gurus will tell you to cut up your credit cards, I’d like to share some information with you that will help you get out of credit card debt and allow you to keep your credit cards.

While most of have been lured to the stock market for more aggressive returns, the truth is you can’t get ahead until you get out of debt. And, while these returns haven’t been that spectacular anyway, why gamble? There are many more ways to maximize your return without risking your hard earned money. Before we get into making money though, let’s take care of some simple housekeeping.

One of the easiest ways to earn a guaranteed return, is to get rid of your bad debt. If you are uncertain of the difference between bad debt and good debt, good debt would be a secured loan on an insured asset, like your mortgage. On the other hand, a high interest credit card that is unsecured or uninsured would be bad debt.

If you are one of the typical American families who carries a balance on a credit card, you can enjoy a huge return, as high as 22% by paying off your credit card balances. The interest rate you are paying now will be the “gain” you receive by paying off the balance. So, if your rate is 18% your return will be 18%. If your balance is 6%, your return will be 6%, nothing huge but nothing to sneeze about either. Primarily though, it is risk free and guaranteed. And, after fees and you’ll be way ahead of most stock purchases or other investments.

The average family today has credit card debt approaching $8,000. And the typical interest rate is about 18%, with many paying even more. If you do the math, an 18% interest rate on an $8,000 balance is $1,440 a year. Can you afford to pay $1,440 a year in interest?

Another way to look at it is, if instead of paying $1,440 a year, you had $1,440 to invest every year for the next 20 years and you earned an average return of only 6% percent a year. Over the 20 years you would have invested a total of $28,880 and your money would have grown to $56,150. More good news is that at that point compound interest is really starting to work for you, and in just 10 more years (30 total), you would have saved a whopping $120,674. There is really no reason not to pay off your credit card debt and let your money start working for you.

So, what are you waiting on? The fact is, if you have high interest, unsecured debt and you don’t act now, you are going to dig yourself a hole that will be hard to ever get out of. It’s easy to get in debt and it can be easy to get out of debt. Here’s a few simple steps you can take to clear up your debt and start saving.

Analyze your budget and see if you are spending money needlessly. Determine exactly where your debt is and take charge of paying it off asap. Don’t be tricked into thinking your saving money in the market or in your low interest savings account until you have cleared up your revolving debt. Use your savings if you have to, but pay off your credit cards. You may be able to consolidate credit cards into one low interest payment, still pay it off. Once you do, you will have cash-flow and you can then truly start to save.

Another option may be to refinance your mortgage, but make sure you are getting an attractive rate and that you are NOT using your mortgage to build more debt. This can be a trap, so if you use this method use caution and discipline.

You should keep your credit card accounts open if they don’t have a yearly fee, this will help you maintain a favorable credit score.Pay your credit card balance off monthly without hesitation. This will help you discipline yourself not to overspend. And, it will keep you out of debt.

Once you have paid off your balances, if you have decided to keep your credit card accounts open, you are now in a position to negotiate the interest rate. There are many ways to do this, but the first is to simply ask. Pick up the phone, call the company and ask for a better rate. If you pay your bill on time, they will probably oblige your request. If not, you may have to threaten to close the account or transfer the balance. It is in your best interest to not close the account, but you only want to keep it open if there is no annual fee.

Traps of Credit Cards

• Late Payments - If you have fallen into the trap of paying your bill late, you probably have a high interest rate. Timeliness in paying your bill is the single most important factor in determining your credit score. So, if you haven’t learned this lesson already, pay your bills on time. Banks will sometimes forgive you once or twice, but ultimately there is no excuse for being late.
  
• Exceeding Your Limit - If you overextend your credit limit, you are asking for a higher rate. Generally, you will be stuck with a fee that can be as high as $50, and your company will most likely raise your interest rate.
  
• Paying Too High of an Interest Rate - Some banks will try and charge you a higher rate regardless. And, many have hidden fees and a yearly fee. There is no reason to pay a yearly fee or a non-competitive interest rate when so many banks offer credit cards. If your credit score is above 620, then you are in a position to negotiate.
  
• Closing Your Credit Card Account - When you close your account you are throwing away your history. Your “history” in making payments is a huge factor in determining your credit score. If you close the account, this could negatively effect your score, even if the balance was paid off. So, pay off your balance but keep the account open if there is no yearly fee. If they have a yearly fee, ask them to waive the fee.
  
• Transferring Balances - If you are savvy you can save yourself a ton of money by utilizing balance transfers. On the other hand, if you are not careful you can cost yourself a ton of money as well. The trap is most low interest balance transfer offers are only for the transfer itself. All new purchases are charged a higher rate, usually more than 6%. Understand the rules before making the transfer and do not make new charges on the account.
  
• Using Credit Cards for Cash Advances - Using your credit card at an ATM for cash is a bad idea. Cash advances on credit cards can cost you 20% or more. And, the bank will probably make you pay off your regular balance before allowing you to pay off the advance. This is a trick banks use to charge higher rates, so again understand the rules. Debit cards are free with many checking accounts now, so if you need fast cash just withdraw from your checking account using your debit card.

Okay, now that you understand how to keep your credit cards under control it’s now time to start saving some money. If you’re already saving money that’s great, keep saving. While there are many ways to save money, from sticking it under your mattress to buying into a mutual fund, we will focus on safe, secure and guaranteed returns.

If you have a retirement plan at work consider yourself fortunate. However, you want to make sure you understand how it works. If you have nothing, or if you are not getting the return you want, now is the time to start saving. Regardless of where you are in your life, you can start to save now and live your retirement with dignity.

When considering a savings plan or any investment vehicle, here are some questions to consider:

1. Are the returns Guaranteed?
2. Is there a competitive Return On Investment?
3. Is the gain or growth Tax Deferred?
4. Is the gain or growth Tax Free?
5. Are the distributions upon your death Estate Tax Free?
6. Are you allowed Unlimited Contributions?
7. Is it Creditor Proof?
8. Do you have Investment Options?
9. Can the savings be use as Collateral?
10. Is it liquid, and do you have Use and Control?
11. What would happen to the contributions if you became Disabled?

If you do your research (this does not mean reading the opinions of so called experts on the radio and in the magazines), you will find that few savings plans can promise you all of this. Fortunately, one does, it’s called Whole-Life Insurance. And, nothing else offers you the tax advantages, the guarantees, and the ability to control your money, even after your death. You owe it to yourself and your family to explore the uses of life insurance.

Key Points

• Use the money you were paying on your credit cards to start to save money.
• Discipline yourself to save monthly or at every pay interval.
• Watch your money grow by utilizing tax and investment strategies.

Learn more about the uses and advantages of Life Insurance with a free financial analysis from Legacy Insurance Agency. We’ll help you to understand the facts about saving for retirement with no pressure and no obligation.

Until next time,
Get out of Credit Card Debt and Start Saving!
Barry Page
http://www.legacyinsuranceagency.com

Legacy Planning

Making a Difference, After You Are Gone
Author: Barry Page
© copyright 2007 www.legacyinsuranceagency.com

How do you want to be remembered? Do you want to impact the lives of others for years to come? Your legacy can live on forever with proper planning today.

The obituary in the local paper or the epitaph on a burial marker is sadly all we will have to remember many when they pass. But, this does not have to happen to you. Even if you feel you don’t have any assets or that it is too late, there are steps you can take to ensure that you leave a legacy for others.

Most people think that leaving a will, or designating a beneficiary on their retirement account, is all they need to do to safely pass on their assets to their loved ones. While this may be a strategy, it does not maximize the transfer of wealth and there are tax and legal ramifications that should be considered.

If your estate is already worth a substantial amount, then there are precautions you may want to seriously consider while you are still in control. How would you feel if the assets that you spent your entire life building were subject to probate or excessive taxes? Or the house you left your children became a subject for controversy and split the family apart? And, if the taxes levied on your estate consumed the bulk of the assets, would that be prudent?

The first step in planning your legacy involves properly structuring a strategy today. You should first seek legal counsel and determine what it is you would like to achieve. A good CPA should be able to provide tax advice and be utilized as well. However, it is imperative that you choose the advice of licensed professionals that have experience in the areas of estate planning. Ironically, many of today’s so called “financial planners” may actually be the ones you may want to leave off of your legacy planning advisor list.

The most important advisor you can have may have the initials CLU after their name, but most certainly they will merit the representation of one America’s fine mutual life insurance companies. The term mutual is very important because it relates to your mutual ownership in the company. This advisor will also have a fluent understanding of this company’s products and services.

Quite simply, the most prudent financial decision you could ever make today also ensures you can leave a legacy for others. And, it also avoids many of the tax and legal issues that usually follow the passing of a loved one.

Life insurance that is properly structured for a holistic approach to legacy planning ensures your control over your assets today and in history. The dollars you use to purchase whole life insurance from a mutual company today may very well be reused by your family and ancestors to achieve financial success in years to come.

Using this approach, your other assets will be relieved of pressure and be used to enjoy today. Reverse mortgages can be utilized and real estate can be sold. Assets can be used when you want or sold with timing at a premium. Risks are minimized and health care issues no longer demand fear.

You can determine your legacy today. Take care in making your decisions and make them now while you have time.

Barry Page