Category Archives: #BrownleeGlobal

Cyber Secure by Design

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In 2019, victims lost $2.7 billion to cybercrime, according to the Federal Bureau of Investigation.

When it comes to ransomware attacks and data breaches, most cybersecurity experts agree that it’s not a matter of if, but when your business or organization will become a target or a victim of cybercrime. In CyberEdge Group’s 2019 Cyberthreat Defense Report, an astounding 78% of surveyed organizations admitted being victims of cyber attacks. That’s why it’s important to have the right incident response tools and plans in place.

Cybersecurity must become a priority and a core business objective for organizations of all sizes and technology orientation. In order to conduct business and navigate today’s increasingly complex technology threat environment, it is critical for businesses and organizations to devote their time, talent and treasure to securing and building resiliency in cyber technology equipment, systems and protocols.

Cyber security incident plan

Organizations need a written incident response plan, spelling out the necessary steps to address a cybersecurity incident, vulnerability assessments and details on who is is notified, who is responsible for implementing the plan after a data breach.

An incident response plan is a documented, written plan with 6 distinct phases that helps cyber professionals and IT staff recognize and deal with a cyber security incidents like a data breach or ransomware attacks. An incident response plan should be set up to address a suspected data breach in a series of phases. Within each phase, there are specific areas of need that should be considered. The incident response phases are:

  1. Preparation
  2. Identification
  3. Containment
  4. Eradication
  5. Recovery
  6. Lessons Learned

Cybersecurity needs to become core to an organization’s overall business strategy. Organizations and boards need to take effective steps to become “secure by design”. They need to ensure security procedures, controls and policies are integral within all levels of the organization, in all technology solutions and business process from the outset.

Cyber security solutions need to provide the latest cyber threat protection required for an organization’s operations. Whether a business’s digital transformation is migrating to the cloud, application development, leveraging the power of the IoT or integrating IT and operational networks, taking a “secure by design” approach is crucial for business continuity by identifying, responding to, and protecting against known and unknown threats and minimizing the potential effects on core assets.

Shortage of cyber security and IT staff

In most organizations, there exist a critical shortage of cyber security staff. As a result, it has become nearly impossible for organizations to review the plethora of cyber alerts, not to mention investigate and respond to all security incidents. Statistics show that the average time to identify and remediate a cyber security breach is over 100 days. Additionally, the Mandiant Security Effectiveness Report 2020 found that 53% of successful cyber attacks infiltrate organizations without being detected, and 91% of all incidents didn’t generate an alert.

To help address this shortage, the security industry is developing tools to perform automated incident response. An automated tool can detect a cyber security condition, and automatically execute an incident response playbook that can contain and mitigate the incident. For example, upon detecting traffic from the network to an unknown external IP, an incident playbook runs, adding a security rule to the firewall and blocking the traffic until further investigation.

By supplementing manual incident response with automated playbooks, organizations can reduce the burden on security teams, and respond to many more security incidents, faster and more effectively.

Weakest link

Cyber-resiliency also involves recognizing that security is no longer solely a technology or governance, risk and compliance issue. Instead, the whole workforce, including both technical and non-technical employees, should be a student of cybersecurity. Since cyber security is as strong as the organization’s weakest link.

Research participants felt that their respective organizations had invested adequately in cyberthreat solutions. Although four in five respondents (81.7%) felt their employers had invested adequately, that means one in five (18.3%) was not confident in this regard. Given the sophistication and magnitude of today’s cyber threats and the advancements in modern cyber threat hunting technology, the survey results are discouraging.

To implement truly robust and effective measures, businesses and organizations must employ multi-faceted risk mitigations solutions like:

  1. Centrally manage and promulgate robust teleworking solutions to empower and enable employees, customers, and third parties.
  2. Leverage role-based rather than location-based identity and access management solutions, analytics, and controls.
  3. Establish two factor authentication, such as manual phone calls, a system of shared secrets, or other authentication controls.

Technology:

  1. https://www.itproportal.com/features/cyber-security-awareness-month-2020-six-experts-share-their-thoughts-on-staying-safe-online/
  2. https://cyber-edge.com/wp-content/uploads/2019/03/CyberEdge-2019-CDR-Report.pdf
  3. https://www.itgovernanceusa.com/blog/how-long-does-it-take-to-detect-a-cyber-attack
  4. https://www.fireeye.com/current-threats/annual-threat-report/security-effectiveness-report.html
  5. https://www.securitymetrics.com/blog/6-phases-incident-response-plan#:~:text=An%20incident%20response%20plan%20is%20a%20documented%2C%20written,incident%20like%20a%20data%20breach%20or%20cyber%20attack.
  6. https://www.ey.com/en_us/consulting/covid-19-steps-to-defend-against-opportunistic-cyber-attackers?WT.mc_id=10642922&AA.tsrc=paidsearch
  7. https://www.cynet.com/incident-response/incident-response-plan-template/

Becoming Financially Responsible | Vanguard

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  • Live within your means by earning more than you spend.
  • Prepare for both an income shock and a spending shock.
  • Build a strong credit history.
  • Continue to learn and grow your financial literacy muscle

Most people do fall somewhere on the spectrum of financial responsibility.

Keep income > spending

The math behind living within your means is simple: When you subtract what you spend from what you earn, the result should be positive. If it’s negative, you’re living beyond your means.

If you’re in the positive, keep it up. Try to save even more, if you can. If you’re in the negative, don’t panic. Take control:

  • Distinguish between your wants and needs. This may be easier said than done. If you don’t have easy access to another form of transportation, a car is a need. A nice car is a want.
  • Create a budget. Just having a general goal in mind for how much you can spend on certain expenses—food, entertainment, housing, transportation—over a certain time frame can help you make smarter spending decisions.
  • Avoid your spending triggers. Do your best to maintain your discipline, and try to resist temptation. If bargain shopping is your downfall, unsubscribe from promotional emails to reduce temptation. If you overfill your cart when you go to the grocery store before dinner, don’t shop on an empty stomach.

Prioritize your savings

Prepare for an emergency

Having emergency money means you’ll be less likely to need a loan from a friend, a family member, or an institution if your car breaks down or your roof leaks. Even if your emergency stash falls short, it can still lower the amount you have to borrow (and pay back, possibly with interest).

There are two types of emergencies you should prepare for: a spending shock and an income shock. A spending shock pertains to a onetime unexpected expense, such as paying for car repairs after an accident. An income shock represents a sudden loss of continuous income (for example, experiencing a layoff).

Getting started may feel daunting, but begin small and build your savings over time. We recommend setting aside at least $2,000 to prepare for a spending shock. Consider keeping this money in a low-risk investment like a money market fund. That way, your money will be easy to access and won’t change much in value over time.

For an income shock, aim to have at least 3 to 6 months of living expenses set aside. If you’re retired, try to have 12 months of living expenses saved. Don’t be afraid to start small and work your way up: Tally your unavoidable living expenses for one month. Divide the amount by 12. Save that amount each month. When you reach that savings goal in one year, do it again until you have a few months of savings to fall back on.

It is recommended to save money for an income shock in an easily accessible account like a taxable money market account.

Get ready for retirement

You’re responsible for your retirement savings. The details of your retirement—the age at which you stop working, where you live, and how—are up to you.

Here are the top 3 things you can do to prepare for retirement:

  • Enroll in your employer’s retirement plan if one is offered. (If you don’t have a retirement plan benefit, you still have options, such as an IRA.) 
  • Save, or work toward saving, 12%–15% of your gross (pre-tax) annual income, including any employer contributions.
  • Invest your savings in a diversified, low-cost portfolio that complements your time frame and risk tolerance.

You’ll need to consider your monthly expenses when you retire. Most of them will most likely stay the same, but you may need to review new items in your budget (such as Medigap or long-term care insurance) as well as expenses you’ll no longer need to consider (such as payroll taxes, clothes, and gas for work). You’ll also need to determine your monthly income from Social Security, pensions, or any other part-time work or passive income that you may be expecting in retirement.

Give yourself credit

Your credit history refers to how you use money. Your credit report is a record of money-related activity (balances, charges, and payment history) on credit cards, some bills (such as utility bills), and loans associated with your name and Social Security number. A credit score is a number based on your credit report giving potential lenders a sense of how you handle debt payments and bills.

You need to establish a credit history to get credit. If you don’t have a credit history, it can be hard to get a job, a credit card, an auto loan, an apartment lease, or a mortgage. Before a potential employer, lender, or landlord takes on the risk of giving you something, they want to see evidence you can handle it. In the eyes of a potential lender, your credit report and credit score are good measures of how financially responsible you are. Having a strong credit history and a high credit score can also lower your cost to borrow by qualifying you for a lower interest rate.

For example, if you have excellent credit and qualify for a $20,000 auto loan with a 1.5% interest rate for 5 years, you’ll pay about $772 in interest over the course of the loan. If you have fair credit and qualify for a loan with a 3.5% interest rate for 5 years, you’ll pay over $1,800 in interest—a difference of over $1,000 that you could’ve saved or invested.

Review your credit report for accuracy each year. You’re entitled to a free copy of your credit report once a year, but there may be a charge for getting your credit score.

It’s go time

Smart money management skills can take time to develop. Start by holding yourself accountable for the financial decisions you make. You have a lot to gain by spending less than you earn, preparing for an emergency, taking control of your credit, and saving for retirement. But if you don’t take steps to be financially responsible, you also have a lot to lose.

References:

  1. https://investornews.vanguard/becoming-financially-responsible/

Net Worth Statement

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The process of calculating personal net worth may well be the only exercise in financial planning that savers and investors actually enjoy. It, with a personal cash flow statement, provides savers and investors with a financial scorecard of where you stand along the path of financial security.

“A personal income and expense statement [cash flow] goes hand-in-hand with a net worth statement because it allows you to see sources of income and expenses while working and retired,” David Bizé, a financial professional in Oklahoma City, Oklahoma, said. “It helps you determine how much can reasonably be saved for financial goals as well as project whether your financial goals will be satisfied long term.”

Calculate your net worth

A net worth statement is a list of what you own (assets) and what you owe (liabilities).

Your assets would include any possessions of value, including:

  • Bank and brokerage accounts
  • Real estate
  • Retirement accounts (IRAs and 401(k))
  • Pension plans
  • Stock options
  • Cash value life insurance
  • Other property, such as artwork

To estimate the value of the personal property in your home, a good rule of thumb is to use 25 percent to 30 percent of its fair market value.

Into the liability column falls any debt you may have, such as:

  • Mortgage
  • Car loans
  • Student loans
  • Credit card balances
  • Child support
  • Alimony
  • Back taxes
  • Medical debt

To calculate your net worth, simply subtract what you owe from what you own. If you own more than you owe, your net worth will be positive. If you owe more than you own, it’s negative.

Appearances can be deceiving, the numbers never lie. Your neighbor with the big house and the luxury cars, for example, may exude a high net worth lifestyle, but if they’re up to their nose in debt, or not saving for their retirement, they may have a smaller net worth than the family next door who lives more modestly.

As a rule of thumb, your net worth should be roughly equal to six times your annual salary by age 60, or that your net worth by age 72 (the new age at which required minimum distributions from your IRA must begin) should be 20 times your annual spending. Other financial pundits suggest that you should aim to be net worth positive by age 30, and have twice your yearly salary socked away for retirement by age 40.

According to the U.S. Federal Reserve, the average net worth of all families in the U.S. rose 26 percent to $692,100 between 2013 and 2016, the most recent year for which data are available.  But the average net worth by age group breaks down as such:

  • Younger than age 35: $76,200
  • Ages 35-44: $288,700
  • Ages 45-54: $727,500
  • Ages 55-64: $1,167,400
  • Ages 65-74: $1,066,000
  • Ages 75 and older: $1,067,000

The ideal net worth differs for everyone and depends on your lifestyle, geographic location, income potential, and investment returns. The age at which you plan to retire also plays a role. The longer you work beyond your full retirement age, the less you need saved.

At the end of the day, all that matters is that your net worth is appropriate for your future financial plans, your financial goals and your lifestyle.

References:

  1. https://blog.massmutual.com/post/net-worth-calculate?utm_source=facebook&utm_medium=social_pd&utm_campaign=brand_traf_contentsyndication&utm_content=static_election_6200129223294_learn&utm_term=demo_fin_int_all&fbclid=IwAR1x-0otWLiM1UTNrFC5pLTEcXYkRr-wls4qucKmW6VfVjCjSry1dZr4Frg
  2. U.S. Federal Reserve, “Changes in U.S. Family Finances from 2013 to 2016: Evidence from the Survey of Consumer Finances. Table 2: Family median and mean net worth, by selected characteristics of families, 2013 and 2016 surveys,” September 2017.

COVID-19 Risk Assessment Planning Tool

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The risk assessment planning tool is designed to tell you how likely you are to encounter a coronavirus-infected person at an event.

The COVID-19 Event Risk Assessment Planning Tool, conceived by Joshua Weitz, a quantitative biologist, and built by a team of researchers at Georgia Institute of Technology (Georgia Tech), offers a risk level forecast for every county in the United States. The risk level is the estimated chance (0-100%) that at least 1 COVID-19 positive individual will be present at an event in a county, given the size of the event.

The tool assumes that the actual number of coronavirus cases is up to 10 times higher than what’s in the official reports, because not all cases will be caught by tests.

The map is updated daily with the latest information on how many cases have been tallied in every county across the U.S. The COVID-19 Risk Assessment Planning Tool went live in July, and the tool’s creators reported that 2 million people had visited the site by September.

The hope is that people would use the COVID-19 Risk Assessment Planning Tool to help them make decisions about how many local friends and family to invite to their celebrations, and whether traveling to different parts of the country is worth the risk, according to Clio Andris, Assistant Professor of City and Regional Planning and Interactive Computing, at Georgia Tech.

References:

  1. https://www.latimes.com/science/story/2020-11-11/covid-19-risk-thanksgiving-2020-what-to-expect
  2. https://covid19risk.biosci.gatech.edu

Mindset and the Power of Our

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“We are what we think. All that we are arises with our thoughts. With our thoughts, we make our world.” Gautama Buddha

Your mind is very powerful. The way you think and believe about yourself turns into your reality. If you draw inaccurate conclusions about who you are and what you’re capable of doing, you’ll limit your potential.

Link Between Thoughts, Beliefs, Feelings and Behavior

Each one of us has the power to create a reality of our choosing through our thoughts. What you think about and focus on directly influences how you feel and how you behave, according to Amy Morin, a psychotherapist and the international bestselling author of 13 Things Mentally Strong People Don’t Do. For example, if you think you’re a failure, you’ll feel like a failure. Then, you’ll act like a failure, which reinforces your belief that you must be a failure.

https://twitter.com/iamjallal/status/1297345759885443072?s=21

Once you draw a conclusion about yourself, you’re likely to do two things;

  • Look for evidence that reinforces your belief and
  • Discount anything that runs contrary to your belief.

It might not be your lack of talent or lack of skills that are holding you back. Instead, it might be your beliefs that keep you from performing at your peak.

Creating a more positive outlook can lead to better outcomes in your personal life and professional career. And, harboring optimistic thoughts  can lead to productive behavior, which increases your chances of a successful outcome.

Change your thoughts, beliefs and behaviors

The good news is that you can change how you think with deliberate practice and effort. You can alter your perception and change your life for the better.

According to Morin, you can alter your perception and change your life by challenging your thoughts and beliefs:

  • Look for evidence to the contrary. Acknowledge exceptions to the rule will remind you that your belief isn’t always true.
  • Challenge your beliefs. Perform behavioral experiments that test how true your beliefs really are. If you think you’re not good enough, do something that helps you to feel worthy. Step outside of your comfort zone, force yourself to do something that feels a little uncomfortable.

With deliberate practice and effort, you can train your brain to think differently and eliminate those self-limiting thoughts and beliefs.

Deep breathing is incredibly beneficial in finding inner peace.

  • Breathe in and out deeply for one minute
  • Hold your breath for four seconds
  • Breathe out

This simple technique will bring about inner peace. Try it out for yourself and see the results.

References:

  1. https://www.forbes.com/sites/amymorin/2016/06/15/this-is-how-your-thoughts-become-your-reality/?sh=1dd1728528a0
  2. https://www.shift.is/2019/07/proof-that-our-thoughts-create-reality/

Veterans Day | 5 Things You Don’t Know About

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Veterans Day is a time for us to pay our respects to those who have served.

When first celebrated as Armistice Day, the day marked the end of World War I, formally recognized on the “11th hour, of the 11th day, of the 11th month” in 1918.

In 1954, the holiday was changed to “Veterans Day” in order to account for all veterans in all wars.

We celebrate the day as Veterans Day on the same day every year — November 11 — regardless of on which day of the week it falls.

Veterans Day Deals and Freebies

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Veterans Day 2020 is on Wednesday, November 11th, 2020.

Veterans Day 2020 freebies, deals and discounts are sure to bring a little joy to someone who protected the freedoms and ideal we hold so dear.

Some Veterans Day deals are subject to change and that individual locations’ participation may vary; valid ID is required for most deals and that some, but not all, are also open to active duty military as well.

The full list of military discounts has you covered. If you’re looking for a well-deserved meal, this list of restaurants offering free meals for veterans is just what you’re looking for. Restaurants including Applebees, Chilis, Red Robin, Friendly’s and Buffalo Wild Wings are just a few of the places offering Veterans Day meals, while you can find other 2020 Veterans Day deals and great freebies at places like Starbucks and Red Lobster.

Veterans Day discounts and meals are ways businesses and organizations give back to Veterans. These Veterans Day discounts, free meals and other programs are being shared so that Veterans, their families, caregivers, and survivors are aware of all what available to them. 

Due to COVID-19, some organizations are now offering discounts to Veterans all the time instead of their regular Veterans Day discounts. These adjustments help Veterans take advantage of the discounts offered while avoiding the usual Veterans Day crowds.

Golden Corral

Golden Corral will hand out free meal and beverage cards to all active duty and veterans from Nov. 1-30. The card will be valid for use once from Nov. 1, 2020 through May 31. 2021 for lunch or dinner, Monday through Thursday

Veteran Identification Card (VIC)

Veterans can benefit from discounted goods and services with the Veteran ID Card (VIC), even if they are not yet enrolled in VA. Veterans only need to carry the wallet-sized VIC as proof of Veteran status, rather than other documentation, such as their DD-214 form. VA can also connect VIC-holding Veterans to other benefits and services for which they may be eligible. Apply for the VIC now! 

References:

  1. https://www.blogs.va.gov/VAntage/80347/veterans-day-2020-discounts/
  2. https://parade.com/1109400/jessicasager/veterans-day-freebies/#:~:text=1%20Applebee’s.%202%20Arooga’s%20Grille%20House%20%26%20Sports,Pizza.%2010%20Cotton%20Patch%20Cafe.%20More%20items…%20

Capital Gains Taxes on Real Estate

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“For a nation to try to tax itself into prosperity is like a man standing in a bucket and trying to lift himself up by the handle.” Winston Churchill

If you sell your home and make a profit, you will pay taxes for the capital gains on your home sale if you can’t qualify for an exemption or defer paying taxes through a 1301 Exchange.

Capital gains are the profits you make from the sale of a capital asset, such as a home or stocks, according to the Internal Revenue Service (IRS). When selling your home, the amount of money you pocket after paying off your mortgage and related obligations is considered a capital gain. If you sell your home for less than it’s worth, then it’s considered a capital loss.

Two types of capital gains and losses…short-term and long-term.

  • If you own the asset for less than a year, that profit is taxed as ordinary income or at your normal income tax rate. This is referred to as short-term capital gains.
  • If you own the asset for more than a year. Instead of being taxed at your normal income tax rate, these profits are taxed at the lower tax rate for long-term capital gains.

Capital gains are considered income by the IRS and may be taxed. Short-term capital gains tax rates match standard income tax rates, while long-term capital gains tax rates vary by filing status and income. And, long-term capital gains tax are significantly lower than normal income tax rates.

Capital gains tax exemption

Capital gains of up to $250,000 ($500,000 for joint filers) on the sale of a principal residence may be excluded from gross income every two years.

You can sell your home and not pay capital gains tax based on rules in the 1997 Taxpayer Relief Act which exempted from taxation any capital gains on the sale of a primary residence.

For a capital gains tax exemption, you can exclude up to $250,000 of gain on the sale of your main home. Certain joint returns can exclude up to $500,000 of gain. You must meet all requirements to qualify for a capital gains tax exemption:

  • You must have owned the home for a period of at least two years during the five years ending on the date of the sale.
  • You must have used it as your main home for at least two years during the past five-year period after the sale or exchange.
  • You can’t have used the exclusion for any home sold or exchanged during the two-year period. This period ends on the date of the current sale or exchange.

If you don’t qualify for the full capital gains tax exemption exclusion, you’ll be able to get a reduced exclusion with an exception. There’s an exception if all of these apply:

  • You sold the home due to a change in employment.
  • You didn’t meet the ownership and use tests.

This applies if you started work with a new employer or continue working with the same one in a different place. It also can mean the start or continuation of self-employment.

If the change occurred when you used the home as your main home, this can be considered the reason you sold your home. Your new place of employment must be at least 50 miles farther from your former home than was your former place of employment.

And, if you can exclude all of the gain, you do not need to report the sale on your tax return. If you have gain that cannot be excluded, it is taxable. Report it on Schedule D (Form 1040).

If you own multiple homes, you’re required to pay capital gains taxes on the sale of any home that isn’t your main residence. The act applies to only the dwelling that you consider your primary residence.

“Taxes are your largest single expense.” Robert Kiyosaki

Understanding capital gains exemptions for real estate

You may qualify to either fully or partially exclude the capital gains on your home sale from being taxed. Below, we break down the eligibility requirements for each exemption type.

IRS full exemption

You must meet the IRS eligibility test to be eligible for the full capital gains exemption on your home sale. The eligibility test requires you to meet the following requirements.

  • Ownership. You must have been the owner of the property for at least two of the last five years. If you’re married, only one spouse needs to meet this requirement.
  • Residence. You must have used the home as your primary residence for at least two of the last five years. The residency does not have to be completed consecutively, but both spouses must meet this requirement.
  • Look-back. You must not have used the capital gains tax exemption on another home sale within the past two years.

Borrowers who meet these criteria may take advantage of the maximum exemption allowed by the IRS.

The 1031 Exchange.

One option to avoid paying taxes on capital gains is a “like-kind exchange” per Section 1031 of the tax code. In short version, you can take the proceeds from selling one property and use them to buy similar property, and defer paying the capital gains taxes on the sold property.

A “like-kind” property usually means a property used similarly. For example, you can sell a property used as rental property and use the profits to buy another property to be used as rental property.

There’s a time limit. Within 45 days of selling the original property, you have to “nominate”—identify to the IRS—the new replacement property you’ll be buying. Then, you have to actually buy it within a total of 180 days from when you sold the old property.

A 1031 exchange doesn’t mean you avoid paying taxes on your gains. When and if you ever sell the new property for a profit, you’ll owe capital gains taxes on it.

Once you sell the property, you’ll owe capital gains taxes on the property, unless you do another 1031 exchange, in which case you can keep buying higher-priced properties and keep deferring capital gains taxes indefinitely.

1031 Exchange Rules

If you plan to use a 1031 exchange, understand that there are some pretty strict rules that mus be followed. If you don’t, you won’t get the tax-deferred exchange.

  1. Properties Must Be “Like-Kind”. The IRS requires that the property being sold and the replacement property must be “like-kind assets.” Also, keep in mind that the property must be an investment, not your primary or secondary home.
  2. The Replacement Property Should Be of Equal or Greater Value. In order to completely avoid paying any taxes upon the sale of your investment property, the IRS requires that the replacement property being acquired is of equal or greater in value than the property being relinquished. And, the replacement property price must be greater than the sale price of the relinquished property, not just the profit you made.
  3. 45-Day Identification Window. You must identify the property you plan to close on within 45 days or lose the entire benefit of the 1031 exchange. The timer doesn’t start until the day you sell your property.
  4. The 180-Day Closing Window. The clock for the 45-day window starts ticking the moment the relinquished property is sold. At this same moment, another clock begins counting down. Its known as the 180-day closing window. The IRS requires that the new replacement property be fully purchased (the title officially transferred) within 180 days of the sale of the relinquished property. This rule, along with the 45-day rule, is strictly enforced. Your entire 1031 exchange will fail if you do not meet both rules.
  5. Qualified intermediary. One of the most important rules governing the entire 1031 exchange process is that you must not touch the money of the sold property to avoid the taxes. Although there may be up to 180 days in between the sale of the sold property and the purchase of the replacement property, the proceeds may never enter your bank account or an account controlled by you. Instead, you are required to use a qualified intermediary who is someone who holds onto your money while you wait to buy the new property. A qualified intermediary cannot be you, your agent, your broker, your spouse, your family member, your investment banker, your employee, your business associate, or anyone who has had one of these roles in the past two years.

In summary, a 1031 exchange allows you to “defer” paying any property taxes on the investment property when it is sold, as long as another “like-kind” asset is purchased using the profit received.

References:

  1. https://www.msn.com/en-us/money/realestate/how-to-avoid-capital-gains-taxes-on-real-estate/ar-BB107jT3#:~:text=You%20could%20partially%20or%20fully%20avoid%20a%20capital,fall%20below%20the%20threshold%20for%20your%20filing%20status.
  2. https://www.biggerpockets.com/blog/real-estate-investing-legally-avoid-capital-gains-taxes
  3. https://www.biggerpockets.com/blog/2015-09-24-1031-exchanges-real-estate

COVID-19 mRNA Vaccine 90% Effective

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Breaking News: Pfizer’s mRNA-based vaccine was found to be more than 90% effective in preventing COVID-19. The preliminary Phase 3 results indicate that the vaccine works and is safe.

Pfizer and their collaborator, BioNTech, announced this morning positive efficacy results from their Phase 3, late-stage study of their potential COVID-19 vaccine.

The vaccine candidate was found to be more than 90% effective in preventing COVID-19 in participants without evidence of prior SARS-CoV-2 infection in the first interim efficacy analysis, according to preliminary information the company received from independent third party evaluators.

The study was very robust covering participants ranging from ages 5 to 85 years young. This may be the most significant medical breakthrough in the past century according to Albert Bourla, Pfizer’s Chairman and CEO.

The results demonstrate that Pfizer’s mRNA-based vaccine can help prevent COVID-19 in the majority of people who receive the two doses, twenty-one (21) days apart. Within seven days of receiving second dose, the vaccine has proven 90% effective and is safe.

This means the world is one step closer to potentially providing people around the world with a much-needed breakthrough to help bring an end to this global pandemic.

In the fight against COVID-19, a vaccine is a critical part of addressing the global health crisis by decreasing rates of infection, disease and death worldwide.

Pfizer and BioNTech leveraged their decades of scientific expertise and worked together to develop, test and manufacture this breakthrough mRNA vaccine to help prevent COVID-19.

Source: https://www.pfizer.com/news/hot-topics/albert_bourla_discusses_covid_19_vaccine_efficacy_results

Financial Literacy – A National Priority

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Knowledge is your best financial asset

Financial literacy and money management skills require greater attention and urgency in the United States. According to a 2019 study by the FINRA Investor Education Foundation, there’s been a decrease in recent years of how much Americans know about interest rates, taxes, loans, and debt…the major money decisions that affect so much of our lives.

The study also showed that millennials have the biggest gap in money knowledge and skills as compared to other age groups. This is worrisome because they’re America’s largest generation, and millennialsare often shouldering outsized debts and limited economic mobility.

Moreover, George Washington University research showed that 1 in 5 American high school students lacked even basic financial skills — such as the ability to interpret a pay stub to determine how much money will be deposited into their bank account or the savvy to avoid being tricked into sharing an online bank account logon.

The average student debt in 2017 was about $29,000, according to the Institute for College Access and Success. About 1 million borrowers default for the first time on their federal student loans each year, a report from the Urban Institute found.

Learning about how to budget, how to wisely invest, and how to control your spendings can seem daunting, but money experts like Stefanie O’Connell, author of The Broke and Beautiful Life, have made it their mission to make finances empowering for everyone.

Think of it this way: The more you know about your own spending habits, the less likely you are to make a costly mistake.

https://youtu.be/vl2sasYSY4E

Financial literacy is the possession of skills that allows Americans to make smart decisions with their money, according to financial coach and guru Dave Ramsey. Financial literacy means people can regularly do the right things with money that lead to the right financial outcomes.

Financial literacy helps people develop a stronger understanding of basic financial concepts—that way, they can handle their money better, especially when you consider how the typical American handles money:

  • Nearly four out of every five U.S. workers live paycheck to paycheck.
  • Over a quarter never save any money from month to month.
  • Almost 75% are in some form of debt, and most assume they always will be.(1)

When you have financial literacy knowledge and skills, you’re able to understand the major financial issues most people face: emergencies, debts, investments and retirement. Financially literate people know their way around a budget, know how to use stocks and bonds for financial security, and know the difference between a 401(k) and a 529 plan.

References:

  1. https://www.apartmenttherapy.com/money-advice-financial-experts-give-friends-36838772
  2. https://www.tdameritrade.com/education/personal-finance.page?a=aqu&cid=PSEDU&cid=PSEDU&ef_id=fc4aabeabe19150570d4f44c54b1871a:G:s&s_kwcid=AL!2521!10!81501364379637!81501451536164&referrer=https%3A%2F%2Fwww.bing.com%2Fsearch%3Fq%3DFinancial%2Bliteracysearch%3Dform%3DQBLHsp%3D-1pq%3Dfinancial%2Bliteracysc%3D8-18qs%3Dnsk%3Dcvid%3D4F9192028F2446EAB4DC1C65810CC605
  3. https://www.daveramsey.com/blog/what-is-financial-literacy