Conventional wisdom suggests the best way to increase net worth is to own your home outright, to eliminate debt and to save money in as many tax-deferred instruments as possible.
In the 21st century, it’s clear that many of the certainties in life — your house will always grow in value, your tax bracket will decrease as you grow older — aren’t really certain at all.
Instead of trusting your hard-earned and carefully saved money to the country’s economic state and the current batch of elected officials, take control of your wealth and use it to your own advantage.
Howard’s philosophy suggests:
- Instead of working diligently to pay off the mortgage on your home, maintain the loan and set the money you would have paid aside to earn interest. This gives you a liquid asset you can use at full value, instead of forcing a house sale or refinance in unfavorable economic times, if you suddenly need the money.
- Instead of pouring money into a 401(k) or IRA based on the promise of lower taxes, set that money aside in other ways. The tax “savings” in this scenario isn’t real money – you’ll still pay the taxes later on, and there’s no guarantee that tax will be less 20 years from now.
- Instead of buying term life insurance because it’s cheaper, understand how a whole life insurance policy can provide the foundation for your own plan.
Take the uncertainty — and the “hope” — out of your retirement planning. Contact Howard Silvermintz to discuss your situation and allow him to offer examples of how the system can work for you and your lifestyle.