[Christopher]

Apologies, wasn’t getting notifications so I thought this all fell upon deaf ears.

By Financial Engines, at least as far as I see them, are avenues whereby the velocity of money can passively be capitalized upon (or through semi-passive means) and eventually become independently sustaining, growth developing, and, ideally, self managing with regards to all costs ranging from stock, management, insurance, taxation and salaries while also containing within them, accruable value characteristics beyond that of the function, service or product presented by the business.

Worth noting: I believe, within OUR community, we should only consider business expansion AFTER we have expanded the quality of our employees lives and assured them of futures whereby their lives can be made secure by requiring them to take part in a ‘3 x 3 Program’ consisting of a “Private to our Business” Insurance Program that consists of a 50/50 Employee/Employer Split Plan (medical, dental, 20-30 Pay Whole Life), a 100% Employer Funded SEP-IRA Program that will fund up to 25%, but no less than 12.5% (the difference being made optional into an annual bonus made payable to the employee) of their Pre-Tax Salary into a Retirement Plan that they can manage and will include a Financial Literacy Course and an Open Door Company Policy with regards to Investment Assistance with their Plan; and finally, a 50/50 Employee/Employer Contribution Split into a Backdoor ROTH IRA.

To add to this, I believe a Company should take the future of their people into account, to include opening a 529 Account for each child born during their time with the Company, with up to a $1000 Contribution Annually, investments managed by the employee subject to Program Guidelines.

My reason for all of this is to drive home a fact that we all should know by now. No one. No one will step forward to offer a helping hand to us moving forward. If we do not look after our own, there will only be wolves looking on, waiting, hungrily, enviously. And as we experience success, we can expect to be taxed, perhaps, as we are already experiencing, reparation taxed (through the General Fund of most States as in is being done in California, making the true cost, allocation, and earmarking nearly impossible to track and/or quantify), and as such, wisdom is on the side of running successful business and incomes with lower levels of cash on hand, reducing our tax bills to relative zero, while taking advantage of every single tax exempt account possible, and setting up future income streams that are also tax free.

Outputting Most Company Assets via Salaries + Employer/Employee Sponsored Plans + Write Offs = Keep What We Earn

Having Portions of Salary Routed to SEP/BD ROTH/Insurance HDV = Massive Reduction of Taxable Income

20/30 Pay Whole Life Policy = Cash Value to be Used to Supplement Income Tax Free in Retirement/for Investment/etc.

* Expansion before securing the lives and futures and families of those whom have granted your business success in the first place is greed. God is with us when we are stewards of His resources, and better examples of His standards with our actions in the business arena, as in any other place.

***Last paragraph withstanding, I’m aware that much of that is a total word salad, I promise it’s only so those terms can be used in your own research & brain storming and will be more easily found in their “salad” form in other places online than in the examples I will give below.

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Example 1: Small Business : Non-Franchise / Growth Potential in Form of Expansion of Site or Adding Sites to Brand
Laundromat : NF / Growth in Form of Adding Machines, Lower Overhead due to bulk purchasing
power, and Rising Real Estate Equity while paying down Real Estate Note.

When you have a circular service offering business (vs a new customer generation product based business) coupled with Real Estate Ownership, you already have the ingredient for a Financial Engine as you stand to benefit from two financial items simultaneously within one business ( Profit + Real Estate Equity).

Profit being defined as Remaining Cash On Hand after calculating:
Revenue – Supplies+Repairs+Utilities+Salaries and Benefit Offerings = Manageable Cash
MC – Site Expansion Investment – Mitigated Tax Rate Calculation
(MTR = Bus. Tax Rate after applying all Write Offs, Subsidies, Prop. Tax Write Downs, etc.) = Profit.

This is a semi – passive, slow growth type of engine that will be easily kept under the Small Business Requirements for Benefits and Subsidiations as currently in effect, while requiring a low enough employement requirement as to provide benefits as outlined.

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Example 2: Family or Invitation Only Investment Club

Allocation: 20% Life Settlements (3.125% in Escrow) + 15% Community Lending (Tax Loss Harvesting ) + 15% Tax Free Bonds
+ 5% 2x Inflation Promissory Notes + 5% Held in Agri-Shares + 5% Held in Natural Gas & Oil Well Contracts +
5% in REITS + 25% Dividend Reinvestment Plan Securities (DRiPS) + 1.875% Cash

Depending on your role within the IC, this can be a totally passive financial engine whereby income is derived from variable sources within the Trust held Portfolio. The Portfolio, subject to annual vote by Trustees consisting of any and all Members of the IC, shall have all profit zero’d out annually, with payouts made to Members respective to their investment percentage made to the Club as a whole (rather than subject to whose funds were used for which individual investment, thus smoothing over losses and to a degree, balancing the risk profile while admittedly, applying toward pressure on individual growth potential on specific trades or holdings).

As part of the terms of inclusion in such a Club, each Member is required to Act through a Tax Sheltered Trust, which is held under a Joint Umbrella with the Investment Club itself, in addition to an Escrow Trust to be used for certain investment costs as outlined below.

A Trust such as this, within the context of becoming a functioning Financial Engine, negates the taxation risk through the usage of Tax Sheltered Trusts, coupled with the investing of Insurance based products such as Life Settlements and Life Fractional Shares, for which a revolving door escrow account is required, with a minimum of 15% of Total Policy Investment Value on hand to be held in Escrow in the event of Policy Expiration, Insurance Company Default, etc.

Driving Down Risk, the Maximum Amount of Institutional Investment in I Bonds and EE Bonds to the tune of
$10,000 Each Annually. ($20,000 Total) + State/Agency/Municipal Tax Free Bonds up to an amount equaling 15% Of Total Portfolio Allocation.

Continuing Our Focus on Community. 25% of Annual Inflows, Roll Over Income, Maturing Bonds, Policy Payouts, shall be Escrowed for Investment in Businesses that are owned, managed, and true to shared business outlooks as outlined above with rates at 1/2 of the current market rate offerings at that time, thus creating a tax loss harvesting shelter year over year.

Inflation Risk shall be driven down through the allocation of Market Liquid Promissory Notes such as those offered in the form of Income Driver Notes by Toyota, Harvest Notes by John Deere, Market notes, by GM, etc. with a focus on Notes offering 2x inflation and guaranteed same day liquidity on trade in.

Adding to Tax Sheltering Benefits, 1:1 Balanced Investments into Natural Gas and Oil Wells toward the formulation of an all phase Portfolio should be coupled with an Investment in American Agriculture in the form of Agri-Shares and Private Offerings to include Rights to Real Estate Equity over the term of investment.

Adding to Dual Income Opportunities within Single Investment Types, a Real Estate Investment Trust Portfolio would be developed spread across investments in Commercial Real Estate Debt Notes, Commercial Real Estate Direct investment, Multi Unit Dwelling Investments to Include Property Equity and Percentage of Rental Income, Cell Phone Tower Coupon Type Holdings, and, over time, direct financing made available to communal businesses and families seeking financing for Single Family Homes and Businesses, and the development of multi unit housing for those in our community.

A Portfolio of Companies that pass our ethics and morals standards for investments shall be developed, within the context of dividend paying companies with stable payout histories that are deemed fair and equitable with regards to cost of entry. These shall be purchased only through the direct investment via Company offered Dividend Reinvestment Plans and Direct Purchasing Plans. By going this route, our Institution will maintain shares held in our IC’s Name, not the name of a broker held in “street form,’ allowing us access to all shareholder and stakeholder gatherings, circulars, and allowing us the power to help further our community interests in the Corporate sphere by voting our shares.
This is increasingly one of the most important routes to granting and amplifying the voices of those whom otherwise could be marginalized in the modern world.

And finally, having some cash on hand is always a must, for safety’s sake.

[Oscar]

what do you mean by “financial engine” ?

[Anonymous]

Sure, sounds interesting.

[Christopher]

Would love to upload my current financial engine and modeling outlay and compare it to others within the community here. Financial professionals always have an angle and articles and self teaching always leaves the angle of the author and can never account for one not knowing what they don’t know, or not knowing what questions to ask.

Let me know if this is of any mutual interest and I’ll gladly mock up a little pyramid of sorts and get the ball rolling to make sure we are doing our best to look out for ourselves, our family and our community. Especially in a world that is providing financial incentive against our personal successes in the form of over-taxation being laid at out feet while others are benefiting from injustices ranging from free race based college payments that free flow from State General Funds into State Universities to the benefit of groups whom have never been victimized by anyone who is actually being burdened with the cost of their free ride. So, best that we keep an eye out for each other. No pressure though as I know the old saying goes something like: Politics, religion and finances are the trifecta of rude conversation.
Either way, God Bless! Keep safe 🙂

[Author]

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