MOST PEOPLE THINK PAYING OFF THEIR HOME AS FAST AS THEY CAN and MAXIMIZING THEIR 401(k) and IRA's is the FASTEST and SAFEST way to RETIRE.

Well, all the dogs barking up the wrong tree does not make it the right tree and certainly the "herd mentality" on this subject deserves your CLOSER EXAMINATION.

It's like driving down the highway with one foot on the gas and one on the brake.  How crazy is that?

Consider this, as you pay off your home three things happen.

FIRST, your Mortgage Balance decreases and reduces the loan interest you pay which is TAX DEDUCTIBLE, thus removing Uncle Sam's tax savings.

SECONDLY, Home Equity earns ZERO return, so it's like putting money in a TIN CAN! For a video demonstrating this point please see Doug Andrew's Pitcher and Goblet presentation in a live seminar.

THIRDLY, your Equity is NOT LIQUID nor is it SAFE, as home buyers around the US are now experiencing. Infact there is an article here by the Chicago Federal Reserve that states that home equity is a "misappropriation" of funds when it comes to building one's retirement nestegg. Here is the article.

Why are people losing their homes NOW? Because they are NOT LIQUID, if they lose their jobs they can not make their payments.  If equity was removed and earning safe returns of say 7-9% one could make their house payments for years, thus protecting their investment and their credit score.

We recommend emailing us and buying a signed copy of a Best Seller called MISSED FORTUNE 101 or LAST CHANCE MILLIONAIRE, written by my good friend Doug Andrew. He has appeared on various TV shows and radio interviews, has spoken publicly all across the USA to thousands, and is helping American's MULTIPLY their Wealth through SAFE, CREATIVE concepts. We call it Wealth Transformation and Asset Optimization. Below is a link to hear Doug speak on PBS with Connie Chen regarding "The 10 Baby Boomer Blunders".

Think about this for a moment. 

Consider your Retirement Plans like a farmer and his seed.  If you were a farmer and you had the choice of:

Tax Deductible Seed and a Taxable Harvest or after Tax Seed and a TAX FREE HARVEST, which would you choose?

Most tell us, the After Tax Seed. That is what we show you.

Further consider this situation:

If you save $6000 per year in a Tax Deductible Plan and you earn 8% for 30 years, you will grow an account to $1,000,000. If you are in a Federal and State combined Marginal Tax Bracket (that is the tax rate the last dollars you make are taxed which in 2007 would be between $63,700 and $128,500) you would have saved $2000 per year or $60,000 over 30 years in Income Taxes.

Now consider this:

At retirement let's say that you are earning that 8% on that $1,000,000 and you earn $80,000 after income taxes of 33% you would pay $26,400 per year. 

HOW MANY YEARS BEFORE YOUR $26,400 of payable income taxes pays back to the IRS the $60,000 you SAVED during that 30 years? $60,000 divided by $26,400 is 2.72 years!

So EVERY 2.72 years you are paying back all the taxes you saved over 30 years AGAIN and AGAIN and AGAIN and AGAIN.

Who's Retirement were you saving anyway?

We recommend that you read the books, learn these concepts and then we INVITE you to participate in our Wealth Transformation Process to see what you can achieve and the WEALTH TRANSFORMATION you can have.  You will be amazed, thousands have. 

Drop us an email for your book today.

Recently the Author Doug Andrew spoke in an interview on PBS regarding Last Chance Millionaire book and the "The 10 Baby Boomer Blunders":

  The Home Equity Planning and Wealth TRANSFORMATION concepts can seem daunting at first glance, but the ideas are simple. They are based on a few facts that most people are unaware of.

• Equity is Not Liquid!
• Equity is Not Safe!
• Equity Has No Rate of Return!
• Properly designed Investment Grade Life Insurance is the Best Wealth Accumulation and Management Tool one can use in all 4 phases of life which are: CONTRIBUTION, ACCUMULATION, DISTRIBUTION and TRANSFER.

One comment as it relates to Transfer.  At death, many have no idea how costly it can be to transfer assets that are tax deferred to the next generation.  Along with that thought, the following link you will note that there is a difference between passing on an inheritance of assets and passing on a legacy of wisdom with such an inheritance.  Click on this link to hear the story about the Vanderbilt and the Rothschild's as taught by Douglas Andrew:

We are TESTED and have passed the Esteemed Missed Fortune Associate Testing. This Premier designation is expected to be only enjoyed by less that 200 across the USA.

DISCLOSURE: FINRA does not advise the reallocation of home equity into investments or securities that can go up and down, such as stocks, mutual funds, Variable Annuities or Variable Life, etc.  The Missed Fortune books and strategies advocate Liquidity, SAFETY and Rate of Return using ONLY GUARANTEED and properly designed insurance products with highly rated insurance companies. Accordingly, our firm will NOT participate in such recommendations or transactions due to the safety and financial well-being of our customers.

For more insight into the warnings of using "non-guaranteed securities or investments" for home equity, please see the PDF published by NASD, now called FINRA.