Three easy things to do this Weekend: 1)add your kids as authorized users to build their credit (see post) 2) sign up for CreditKarma.com to monitor and optimize your credit, student loans, etc 3)Sign up for Social security website access no matter your age, so you can understand what you're dealing with, how to maximize it, monitor it.
HAVE YOU OPENED YOUR FREE SOCIAL SECURITY ACCOUNT YET?
Regardless of your age, take 2 minutes to create your online account with the SSA here. You'll be glad you did.
You'll be able to see (and correct?) your critical last 35 years of earnings, estimated benefits, and how much more the monthly payment will be if you wait to activate, as well as your spousal estimated benefits.
This is FUNDAMENTAL to the "fixed income" base of your retirement planning, yet most have never taken the time. Do it! Click below:
They did, by working from 14 and putting 100% into equities in a Roth, averaging 10%/yr tax free. Time is a feature of credit score. It costs one nothing as a parent to set them 5 years of credit history ahead, and it only compounds from there :)
LOL, I lost a dozen subscribers on this post. I struggle to understand that mindset.
Being pro health/reality, anti bullshit somehow means you can't build wealth and financial resiience/security? I'm as tree hugging, tiny house movable feast loving as they come, but that is WHACKED! :)
That's interesting! That was always the question. You can't get credit, because you don't have any credit history, but you can't have credit history without credit! 🤣😂 We always used to make fun of that.
I remember getting GE Capital cards sent to my parent's house when I was 10-years-old. They said that I was preapproved for a $50k limit! It was marketing nonsense, because it couldn't have been based on anything legit.
Credit scoring is a game. And credit scores have nothing to do with your ability to repay debt. They *are* an excuse to charge exorbitant interest. I was done playing with credit when I was told that my score could go down because of too many soft pulls. However, you can get soft pulls against your credit from banks that you don't even do business with -- because of credit card offers and such. The whole credit system is a racket. It's also why they won't tell you how to calculate your score, because they don't want you to beat their game.
Similarly, how can *your* ability to pay off debt accrued by authorized users -- in any way reflect the authorized users' ability to repay debt? It makes zero sense, but like I said, it's a game.
However helping your kids establish credit is a good thing. That way they won't be getting shafted from the start! If they understand the rules of the game, they can avoid the pitfalls.
I can't believe that you would lose subscribers because of this post.
Thanks. I agree, it's a pain, but free sites like creditkarma.com make it realy easy to target how your score is calculated and best course of action. They also have links to dispute charges and bad marks. Can't hurt to take a Saturday and dispute every single bad mark on a credit profile. They have limited time to respond, and half the time they just wipe it instead and your score pops. You can set up a free account for any kid over 18 I think (but the technique in the post can be any age above 5 as far as I know!)
Beward of Scientologist "Success Coach" GRANT CARDONE. Most of his followers have NEVER seen the promised 15% returns. More like money market returns, IF THAT.
OK, PART TWO.... How to help your kid set herself up FOR LIFE:
The mailman delivered my son’s 2023 W-2 the other day. I was curious what he earned last year as a lifeguard at our community pool, so I opened the envelope. Box 1, “Wages, tips, other compensation” said $4,500. Not too bad for a teenager working a summer job – especially since he never spends a dime. (While past performance is not indicative of future returns, I can’t imagine ever needing to establish a trust with a spendthrift clause to protect the kid from himself. He throws around nickels like manhole covers.)
Regardless of his frugality, the point of my W-2 interest was to see how much he could contribute to a Roth IRA. He is light years away from the Roth IRA income phaseout levels, so no concerns there. In 2023, the married/filing joint phaseout was $218,000 - $228,000 and $138,000 - $153,000 for single filers. (For 2024, those numbers jump to $230,000 - $240,000 and $146,000 - $161,000, respectively.)
While the maximum Roth IRA contribution amount for 2023 was $6,500 (or $7,500 for anyone age 50 or older), a person cannot contribute more than what he earned. So, the most my son could contribute to a Roth IRA as a prior-year contribution is what was listed in Box 1 on his W-2: $4,500. What if he mowed lawns all summer and made $4,500 “under the table”? Unless he claimed those dollars as taxable income, they would not qualify for an IRA contribution.
As for the task of funding the Roth IRA - does it matter where the $4,500 comes from? It does not. The IRS does not care if I fund my son’s Roth IRA for him, or if a grandparent funds his Roth IRA, or if a rich neighbor gives him $4,500 for the contribution. The IRS is only concerned about my son not exceeding what was reported in Box 1 on his W-2. If a grandparent or a rich neighbor were to make the $4,500 contribution, no special tax reporting is necessary. Cash gifts, each up to the 2024 gift tax cap of $18,000, can be made to an infinite amount of people, related or not, and no special forms are required.
To summarize, he had taxable compensation of $4,500 in 2023. His Roth IRA contribution for that amount (coupled with his existing account dollars), brought his total Roth IRA balance up to an even $10,000. The Roth IRA is invested in quality mutual funds with a more aggressive tilt. With a few clicks on a financial calculator, the powers of compounding (or what Albert Einstein called “the 8th wonder of the world”), are revealed.
Assuming not a single additional penny is ever contributed to his $10,000 Roth IRA:
$10,000 at 6% annual growth after 40 years? $102,857
$10,000 at 8% annual growth after 40 years? $217,245
What if he contributed just $5,000 each year for the next decade, but then stopped contributing for the remaining 30 years?
$10,000 now, plus $5,000 for 10 years, at 6%, after 40 years? $481,373
$10,000 now, plus $5,000 for 10 years, at 8%, after 40 years? $946,111
If you have the means, a little can become a lot. It’s not about timING the market, it’s about time IN the market. If a teenager starts early, the long-term benefits could be astronomical.
"GET YOUR KIDS OUT OF SPORTS IF THEYVE BEEN VACCINATED UNTIL THIS>>>>>"
@MakisMD
NEW ARTICLE: 11 Children ages 9-19 had a Cardiac Arrest at US schools in the past MONTH: some schools are now starting to conduct "Sudden Cardiac Arrest Screening". "Is there a time bomb in your child's chest?"
11 Children had Cardiac arrest at school in past month:
Nov.04 - 14 yo Knox MacEwen (Davie, FL)
Oct.30 - 15 yo Tommy Bergeron (Ridgefield HS CT)
Oct.23 - 14 yo Kingston Davidson (Memphis, TN)
Oct.18 - 9 yo Gryffin Cavender (Scott Depot, WV)
Oct.14 - Durham School (Grayslake, IL) - name N/A
Oct.13 - 16 yo Angel Hernandez (Fort Worth, TX)
Oct.10 - 15 yo Elijah-Jay Mariano Rivera (CT)
Oct.02 - 15 yo Keshaun Allen (Savannah, GA)
Sep.29 - 17 yo Breanne McKean (Nova, OH)
Sep.22 - 13 yo Heather Freligh (Tracy, CA)
Sep.22 - 12 yo Kaden Gunter (Greeneville, TN)
Cardiac arrests while getting ready for school:
Oct.11 - 12 yo Isabelle Marie Herrera (TX)
Oct.04 - 15 yo C'Anna Ramirez (RI)
Remember, 1 in 30 children likely have subclinical myocarditis from one COVID-19 mRNA Vaccine (which increases their risk of cardiac arrest):
Study #1 - Thailand study (2022, Mansanguan) 202 boys ages 13-18, from two different schools, 7 of them developed subclinical myo/pericarditis after 2nd Pfizer COVID-19 mRNA dose. That’s 1 in 30 per Pfizer dose.
Study #2 - Swiss Study (2023, Muller) - 777 healthcare workers had Moderna COVID-19 mRNA booster shot, 22 had evidence of myocardial injury (22/777 = 1 in 35 per Moderna dose)
Parents should get their COVID-19 mRNA Vaccinated children out of all sports until they can have thorough cardiac screening done.
SCHOOLS ARE STARTING TO CONDUCT "SUDDEN CARDIAC ARREST SCREENING" for High School Student Athletes
Article Link in photo to avoid shadowban, just re-type the URL into your browser
Three easy things to do this Weekend: 1)add your kids as authorized users to build their credit (see post) 2) sign up for CreditKarma.com to monitor and optimize your credit, student loans, etc 3)Sign up for Social security website access no matter your age, so you can understand what you're dealing with, how to maximize it, monitor it.
BONUS!
HAVE YOU OPENED YOUR FREE SOCIAL SECURITY ACCOUNT YET?
Regardless of your age, take 2 minutes to create your online account with the SSA here. You'll be glad you did.
You'll be able to see (and correct?) your critical last 35 years of earnings, estimated benefits, and how much more the monthly payment will be if you wait to activate, as well as your spousal estimated benefits.
This is FUNDAMENTAL to the "fixed income" base of your retirement planning, yet most have never taken the time. Do it! Click below:
https://www.ssa.gov/prepare/plan-retirement?gclid=Cj0KCQjwxuCnBhDLARIsAB-cq1rivIbVwdFiwjptFhOLcQKGuCp4aoQ-iA4uMlphVayREtxT9YwD6zgaAr3zEALw_wcB
They did, by working from 14 and putting 100% into equities in a Roth, averaging 10%/yr tax free. Time is a feature of credit score. It costs one nothing as a parent to set them 5 years of credit history ahead, and it only compounds from there :)
LOL, I lost a dozen subscribers on this post. I struggle to understand that mindset.
Being pro health/reality, anti bullshit somehow means you can't build wealth and financial resiience/security? I'm as tree hugging, tiny house movable feast loving as they come, but that is WHACKED! :)
Well, I just followed your advice for my daughter, so, thank you!
Awesome. That makes my day!
Great idea! Didn't do it, but drilled the dangers of debt into their heads enough that they'll have cars and houses paid off in their thirties.
And teach them how to use CASH, not just digital privacy invasion.
I've had cards for my kids for years but never knew this. Thank you for this valuable information!
Thanks!
That's interesting! That was always the question. You can't get credit, because you don't have any credit history, but you can't have credit history without credit! 🤣😂 We always used to make fun of that.
I remember getting GE Capital cards sent to my parent's house when I was 10-years-old. They said that I was preapproved for a $50k limit! It was marketing nonsense, because it couldn't have been based on anything legit.
Credit scoring is a game. And credit scores have nothing to do with your ability to repay debt. They *are* an excuse to charge exorbitant interest. I was done playing with credit when I was told that my score could go down because of too many soft pulls. However, you can get soft pulls against your credit from banks that you don't even do business with -- because of credit card offers and such. The whole credit system is a racket. It's also why they won't tell you how to calculate your score, because they don't want you to beat their game.
Similarly, how can *your* ability to pay off debt accrued by authorized users -- in any way reflect the authorized users' ability to repay debt? It makes zero sense, but like I said, it's a game.
However helping your kids establish credit is a good thing. That way they won't be getting shafted from the start! If they understand the rules of the game, they can avoid the pitfalls.
I can't believe that you would lose subscribers because of this post.
Thanks. I agree, it's a pain, but free sites like creditkarma.com make it realy easy to target how your score is calculated and best course of action. They also have links to dispute charges and bad marks. Can't hurt to take a Saturday and dispute every single bad mark on a credit profile. They have limited time to respond, and half the time they just wipe it instead and your score pops. You can set up a free account for any kid over 18 I think (but the technique in the post can be any age above 5 as far as I know!)
I only use legal tender...
Ok, now I have to play Jackson Brown at full volume.
Thanks a lot
I like Ramsy's method better. No credit score at all.
Of course that'll keep big brother and big banker out of your hair, so it's not an option for most of us.
Tiny house and retire at 30 off the grid:)
Re Dave, I don't like his 5% upfront fees. Insane.
Take his advice, skip the 5% fee.
If only I had taken your advice years ago.
But then, I'd have none of those memories.
PS Don't waste your life in Health (Now Death) Care.
Once your kid has earned income DO THIS!
https://youtube.com/shorts/Lw0JO_Asz1s?si=eiBcl_AJw3XkD_vE
Beward of Scientologist "Success Coach" GRANT CARDONE. Most of his followers have NEVER seen the promised 15% returns. More like money market returns, IF THAT.
The former senior executive who spoke to HuffPost claimed working for Cardone Capital was like “‘Wolf of Wall Street’ or a really bad movie.” The JETS are real, but what of the rest? https://www.huffpost.com/entry/grant-cardone-financial-influencer_n_64ada368e4b0e87d65574e9b
Success is all about understanding the needs of your REAL target market :)
Watch
https://www.facebook.com/watch/?v=223604210603538
OK, PART TWO.... How to help your kid set herself up FOR LIFE:
The mailman delivered my son’s 2023 W-2 the other day. I was curious what he earned last year as a lifeguard at our community pool, so I opened the envelope. Box 1, “Wages, tips, other compensation” said $4,500. Not too bad for a teenager working a summer job – especially since he never spends a dime. (While past performance is not indicative of future returns, I can’t imagine ever needing to establish a trust with a spendthrift clause to protect the kid from himself. He throws around nickels like manhole covers.)
Regardless of his frugality, the point of my W-2 interest was to see how much he could contribute to a Roth IRA. He is light years away from the Roth IRA income phaseout levels, so no concerns there. In 2023, the married/filing joint phaseout was $218,000 - $228,000 and $138,000 - $153,000 for single filers. (For 2024, those numbers jump to $230,000 - $240,000 and $146,000 - $161,000, respectively.)
While the maximum Roth IRA contribution amount for 2023 was $6,500 (or $7,500 for anyone age 50 or older), a person cannot contribute more than what he earned. So, the most my son could contribute to a Roth IRA as a prior-year contribution is what was listed in Box 1 on his W-2: $4,500. What if he mowed lawns all summer and made $4,500 “under the table”? Unless he claimed those dollars as taxable income, they would not qualify for an IRA contribution.
As for the task of funding the Roth IRA - does it matter where the $4,500 comes from? It does not. The IRS does not care if I fund my son’s Roth IRA for him, or if a grandparent funds his Roth IRA, or if a rich neighbor gives him $4,500 for the contribution. The IRS is only concerned about my son not exceeding what was reported in Box 1 on his W-2. If a grandparent or a rich neighbor were to make the $4,500 contribution, no special tax reporting is necessary. Cash gifts, each up to the 2024 gift tax cap of $18,000, can be made to an infinite amount of people, related or not, and no special forms are required.
To summarize, he had taxable compensation of $4,500 in 2023. His Roth IRA contribution for that amount (coupled with his existing account dollars), brought his total Roth IRA balance up to an even $10,000. The Roth IRA is invested in quality mutual funds with a more aggressive tilt. With a few clicks on a financial calculator, the powers of compounding (or what Albert Einstein called “the 8th wonder of the world”), are revealed.
Assuming not a single additional penny is ever contributed to his $10,000 Roth IRA:
$10,000 at 6% annual growth after 40 years? $102,857
$10,000 at 8% annual growth after 40 years? $217,245
What if he contributed just $5,000 each year for the next decade, but then stopped contributing for the remaining 30 years?
$10,000 now, plus $5,000 for 10 years, at 6%, after 40 years? $481,373
$10,000 now, plus $5,000 for 10 years, at 8%, after 40 years? $946,111
If you have the means, a little can become a lot. It’s not about timING the market, it’s about time IN the market. If a teenager starts early, the long-term benefits could be astronomical.
William Makis MD
"GET YOUR KIDS OUT OF SPORTS IF THEYVE BEEN VACCINATED UNTIL THIS>>>>>"
@MakisMD
NEW ARTICLE: 11 Children ages 9-19 had a Cardiac Arrest at US schools in the past MONTH: some schools are now starting to conduct "Sudden Cardiac Arrest Screening". "Is there a time bomb in your child's chest?"
11 Children had Cardiac arrest at school in past month:
Nov.04 - 14 yo Knox MacEwen (Davie, FL)
Oct.30 - 15 yo Tommy Bergeron (Ridgefield HS CT)
Oct.23 - 14 yo Kingston Davidson (Memphis, TN)
Oct.18 - 9 yo Gryffin Cavender (Scott Depot, WV)
Oct.14 - Durham School (Grayslake, IL) - name N/A
Oct.13 - 16 yo Angel Hernandez (Fort Worth, TX)
Oct.10 - 15 yo Elijah-Jay Mariano Rivera (CT)
Oct.02 - 15 yo Keshaun Allen (Savannah, GA)
Sep.29 - 17 yo Breanne McKean (Nova, OH)
Sep.22 - 13 yo Heather Freligh (Tracy, CA)
Sep.22 - 12 yo Kaden Gunter (Greeneville, TN)
Cardiac arrests while getting ready for school:
Oct.11 - 12 yo Isabelle Marie Herrera (TX)
Oct.04 - 15 yo C'Anna Ramirez (RI)
Remember, 1 in 30 children likely have subclinical myocarditis from one COVID-19 mRNA Vaccine (which increases their risk of cardiac arrest):
Study #1 - Thailand study (2022, Mansanguan) 202 boys ages 13-18, from two different schools, 7 of them developed subclinical myo/pericarditis after 2nd Pfizer COVID-19 mRNA dose. That’s 1 in 30 per Pfizer dose.
Study #2 - Swiss Study (2023, Muller) - 777 healthcare workers had Moderna COVID-19 mRNA booster shot, 22 had evidence of myocardial injury (22/777 = 1 in 35 per Moderna dose)
Parents should get their COVID-19 mRNA Vaccinated children out of all sports until they can have thorough cardiac screening done.
SCHOOLS ARE STARTING TO CONDUCT "SUDDEN CARDIAC ARREST SCREENING" for High School Student Athletes
Article Link in photo to avoid shadowban, just re-type the URL into your browser
@P_McCulloughMD
@DrAseemMalhotra
@twc_health
#DiedSuddenly https://x.com/MakisMD/status/1722200311513968716?s=20
HAVE YOU DONE THIS POWERFUL (AND USUALLY OVERLOOKED) THING FOR YOUR KIDS FUTURE YET?