Title: “Tax-Free Retirement”
Author: Patrick Kelly
Publisher: Patrick Kelly, 2007
Genre: Non-fiction, History
Page Count: 173
This book covers the 9 Financial Land Mines:
- Lack of Planning
salesman, the author says, it is never too early to begin and even suggests putting money aside for future generations (children, grandchildren).
- Getting on the Wrong Side of Mr. Interest
- Desire for Instant Gratification
- Following the Masses
- The Inertia Factor
much energy will it take to get YOU motivated enough to not only be excited to start a retirement plan, but to actually put that plan in motion?
- A Desire to Get Rich Quick
Remember, the tortoise beat the hare – slow and steady wins the race.
- Lack of Generosity
also sparingly; and he which soweth bountifully shall reap also bountifully.”
- Acting Like the Future Will Never Arrive
today. As adults, we think we’ll never get old or never die, but (unless the Lord comes back first) we will get old and we will die. We need to prepare for the future. “Moreover it is required in stewards, that a man be found faithful.” 1 Corinthians 4:2
(Bulleted Items are Taken from the Table of Contents)
The author recommends taking out a permanent life insurance contract called Universal Life. Although, I am not in the income bracket where taking out this sort of life insurance contract would work for me, I learned something new. I learned that for my income bracket, taking out a Roth IRA would be the best retirement plan for me.
I would have liked for the author to have presented a greater comparison between Roth IRAs and Universal Life Insurance instead of concentrating so heavily on Universal Life. This book appears to have a great idea for those who are reasonably wealthy, making a salary of $160,000 or above. Like the author says, this book is not for everyone.
Another Book by this Author:
“The Retirement Miracle”
How often do we just believe what we are told and don’t even question it? The Government
would have us to believe that enrolling in a 401(k) program is the best idea for our retirement. But if that be the case, it is because our 401(k) plan is highly taxable, so the governments get its retirement from our pocket. What people fail to realize is that when a retirement plan is tax-delayed, it doesn’t mean there is little or no tax, it just means that the
tax is delayed and thus compounded to have much more tax taken out when the plan
is put into action. Although, this author is against investing all your money in a 401(k), he is not totally against it. He suggests putting money into your 401(k) as long as your employer is giving you free money to make it worthwhile since some employers meet the amount you put into your 401(k) up to so much of a percentage. Otherwise, he says that it is best to invest your money for retirement in a permanent life insurance contract.
Three Keys to Financial Retirement Success:
Set a Goal – Decide how much money you will need or how much you want to accumulate and figure out how many years you have to reach that goal. For example, if you are 30 now and want to retire when you are 65, how much money do you need to lay aside and let accumulate to reach your goal?
Pay Yourself First – Lay aside at least 10% of your gross income for your retirement plan right off the top. If you wait and pay bills, etc first, then you will always find another use for the money that you should have given yourself for your retirement. Think about it this way, the government takes their cut (taxes) off the top, so why should you treat yourself any
Be Consistent – Don’t quit your plan. Make a goal and stick with it! Don’t just be a
good starter, but be a good finisher too!
Proverbs 6:6-11 “Go to the ant, thou sluggard; consider her ways, and be wise: Which having no guide, overseer, or ruler, Provideth her meat in the summer, and gathereth her food in the harvest. How long wilt thou sleep, O sluggard? when wilt thou arise out of thy sleep? Yeta little sleep, a little slumber, a little folding of the hands to sleep: So shall thy poverty come as one that travelleth, and thy want as an armed man.”