Financial Peace of Mind
Media Features & Publications
The Healing Money Issues Workshop, co-founded by Rick Kahler, CFP, CCIM and Dr. Ted Klontz, was featured on ABC’s 20/20 Friday, July 31st, 2009.
Rick Kahler, CFP, has co-authored four important financial books that are making a difference in how people perceive, react to, and handle money. Understanding the role money plays in your life and your perceptions of it are key to making successful financial decisions.
Click to read more about Rick’s newest book, Wired For Wealth-Change The Money Mindsets That Keep You Trapped and Unleash Your Wealth Potential, as well as his three previous books.
When Susan came into the world in 1974, of course her parents wanted the best for her. At that time, one of the loving things many parents did for their children was to purchase a life insurance policies on them.
Parents had two reasons for these policies. The first was to pay for the funeral if a child were to die prematurely. The second was to build a little nest egg that the child might use later in life for college or a down payment on a home.
When Susan was six months old, her parents bought a $2,500 whole life policy on her. That amount would actually have purchased two funerals in 1974. The premium was $38 a year. If we adjust these numbers for inflation, they are comparable to a current policy with a death benefit of $12,000 and an annual premium of about $180.
South Dakota has no individual or corporate income taxes. I’m quick to point this out to those unfortunate enough not to live in our fair state. Most recently I was reminded of this advantage when I calculated that a California client would pay 23.8% in federal capital gains taxes and another 13% in state capital gains tax, a total of 36.8%.
Unfortunately, my claim of South Dakota having no corporate income taxes is somewhat incorrect. If you choose to be in certain types of businesses, you do have to cough up a percentage of your net income to the state. Cleverly, we just don’t call these income taxes.
The first of these taxes is an “energy minerals severance tax” of 4.5%, imposed on the extraction (mining or drilling) of resources such as oil, coal, and uranium.
We also tax banks at the rate of 6%. This is called a “franchise tax,” and it only applies to banks.