Zero Percent Floors are Flooring Retirees into Poverty but this Article can save You
I ease economic pain with cheap borrowing. I strategize the economy without regard to fixed income. I create unsustainable cash burning for my elderly.
The U.S. Federal Reserve zero percent policy has guaranteed the majority of elderly will become impoverished.
Fixed income is a method to ensure savings don’t run out. In a world with cheap borrowing banks pay no interest. As of 9 October 2020, Vio Bank pays the highest rate of savings in the United States. This is a mere 0.76% per year.
If you have $500,000 in savings you can expect a mere $3,800 in income. If you have $1,000,000 in savings you can expect $7,600.
These are very optimistic numbers for retirement values. Women’s average total retirement savings is only $23,000. Men’s average total retirement savings is only $76,000 (Source: Annuity.org).
Based on average retirement values the average person can expect to retire on $577.60 of annual income if you’re a man and $174.80 if you’re a woman.
What’s worse? According to the same source 4 out of 10 women have no retirement strategy. 40% of women are exposed to a limited work force, aging ailments and an interest rate environment guaranteeing poverty within 24 months of retirement.
Sound scary? It is.
WHAT CAN WE DO ABOUT IT
Doom and gloom. The desolate destruction of our lives and interest free living seem to be the environment caused by special interest groups. How can the steward of our economic safety put those capable over those incapable?
Those arguing for zero percent floors say it helps businesses and the workforce. What about the elderly who can’t work? What about those who worked their whole lives to save? What about the people who can’t weather 6 months on a park bench?
It’s time we put things in perspective. It’s time we worry about those who can’t survive a rough time. It’s time to put the vulnerable first.
The call to action is for our politicians, federal board governors and the legislators who can change this path. Raise interest rates to 1980’s levels. Voting is expressing a desire for action. Action is what we do with the tools available to effect change in our personal lives.
Voting won’t help you. Maybe I can help.
If you’re over 60 years old and have savings…it’s time to listen up. It’s time for me to tell you something which may just save you from poverty.
CHANGE YOUR PERSEPCTIVE ON 50K
We’re going to pick a middle of the road target. The average man has $76,000 in savings. The average woman has $23,000 in savings. So we will assume the medium is $50,000.
The average cost of assisted one bedroom living was $3,628 in 2016. Adjusted for inflation this means we are at about $4,068 per month.
So you need to generate $49,176 a year to have housing over your head. This is basically a 98.32% return every year until you pass away.
This sounds like a lot doesn’t it? This sounds impossible. Your financial advisors will tell you to beware. Your bankers will say it sounds like a scam. The regulators will caution you. The best hedge funds are returning anywhere from 28–44% per year. The hedge funds are ultra aggressive and you’re scared to lose your shirt. I get it.
It is always easy to dismiss something you don’t understand instead of admitting your ignorance.
Are you going to join the ranks of the impoverished ignorant or will you become the bill paying enlightened?
Can you afford to lose your shirt on a failed bet? You know you want to say…NO!
Let me ask you something?
Isn’t spending it all in one year the guaranteed way to lose your shirt?
Isn’t it better to have a chance at winning every year; rather, than saying you will be a perpetual loser after your first year?
Do you want to be a beggar after twelve months? Do you want to survive off others goodwill? Husband, do you want your wife’s sole safety to be provided by strangers?
I’m guessing the answer is no. Who works their whole life to aspire to be a charity case? Not me.
Let’s face it the politicians bankrupted social security, changed your health care plans around and left you helpless. You trusted others and they betrayed you. You have one silver bullet. Your lifetime savings. You have to fire it and hit your mark.
Let me show you how the risk is manageable on transactional type of deals. Let me show you how to take your savings and earn the income needed to not become impoverished.
No click bait. Just good advice. Decide your own safety.
THE BEAUTY OF FIXED MARGINS
No Ponzi scheme retired. No private placement memorandum required. No money wired to a third party. No gift giving scheme to obtain a $13,000 blessing. No speculation with absurd markets. No need to enter complex financial instruments only available to institutions. No credit required.
What am I?
I am the item you picked up at your store. I am the small piece needed to assemble your every day product. I am the part order to supply what takes you to work every day. I am the bulb lighting up your hallways.
I am a Manufacturer Purchase Order.
Every product is made with raw material. Every product has a margin. Every bulk shipment has a cost. Every primary distributor sells items to retail stores. In every product you buy there is 1) material cost 2) a manufacturing cost, 3) a distribution cost, 4) a wholesale cost, and finally 5) a retail cost.
At each step the cost increases. A $1.99 bottle of hand sanitizer started for pennies on the dollar somewhere. At some bottling plant there was a $0.02 bottle, a $0.15 ingredient cost and a $0.32 shipping, handling & packaging cost. Total cost to make what you see…a mere $0.49.
APPLYING THE CONCEPT
Network to provide manufacturing cost capital. Ideally you want to buy the raw materials. This is the key to your future. It is possible to make something for a dollar and sell it for three dollars. You’re not starting a business. You’re finding a business who is already started, has a reputation and does real sales with real distributors. Preferably you want outsourced manufacturers who provide small pieces to large companies who put those parts together. Think of the small factories making parts to send those parts to Apple.
Your job as a retiree is to use what you learned every day of your life. Find the products you need to survive. Find the products everyone uses. Research the manufacturers. Contact the accounting department. Offer to provide capital to manufacture items. Explain the requirement to take profits from future sales. Obtain purchase orders and distribution contracts. Review order history and fulfillment. Once you see it is all tangible…finance the product.
If you do this you will earn +50% margins every 6 months. This isn’t rocket science. It’s common sense. Don’t let the world discourage you from saying returns this high aren’t real. All you have to do is hold up the pen you’re writing with. No one sells the pen for less than double its cost. The irony of risk versus rewards is…risk is pretty low. You just have to know where to find those companies. It’s not my job to give you a company. Remember…I said no click bait.
Save your future by deploying it into commodity store of value. The champion of your future is you.
Who would have known I could give you a simple strategy to potentially save you from poverty in about five (5) minutes?
Complexity is for those seeking to hide something from you, deceive you or stroke their own ego. Earning money doesn’t have to be that hard. Don’t let them fool you. Dominating a market or becoming the next billionaire is hard. Earning enough to survive isn’t fraught with difficulty. Don’t let people manipulate you into poverty.
To your knowledge success!
About Christopher: Christopher Knight Lopez is a Professional Entrepreneur. Christopher has opened over 7 businesses in his 14-year career. Christopher’s purpose is to take advantage of various market-driven opportunities. Christopher is a certified Master Project Manager (MPM), Master Financial Planner (MFP) and Accredited Financial Analyst (AFA). Christopher previously held his Series 65 securities license examination. Christopher also has his General Lines — Life, Accident, Health & HMO. Christopher has managed a combined 286mm USD in reported Assets Under Management & Assets Under Advisement. Christopher has work experience in 29 countries, raised over 50mm USD for various businesses, and grossed over 8.0mm in his personal career. Christopher worked in the highly technical industries of: biotechnology, finance, securities, manufacturing, real estate, and residential mortgages. Christopher is a United States Air Force Veteran. Christopher has a passion for family, competitive sports, fishing, martial arts and advocacy for entrepreneurs. Christopher provides self-help classes for up-and-coming entrepreneurs. Christopher’s passion to mentor comes from belief that entrepreneurs need guidance. The world is full of conflicting information about entrepreneur identity. See more at www.christopherklopez.com.
Disclaimer: This information is not meant to be a form of investment advice or financial advice. Do not apply this situation to your own personal circumstance. Various risks include: business risk, investment risk, political risk, and other risks. This information is for informational and educational purposes only. Please do not reach out to the author for any investment strategies or philosophies. Please consult your own financial advisor or legal advisor for your own circumstance. Not a recommendation or endorsement of any kind.