LOHENGRIN GROUP

Client Newsletter

Volume 4, Issue 2

Parades Of Mardi Gras, Then And Now...

The many parades of New Orleans' carnival season are highlights to the famed Mardi Gras Day celebration. They have an extensive history of their own. While origins of the Louisiana festival date back to Medieval Europe, the people of New Orleans have spent 150 years adding special events to pre-Lenten traditions, reflecting the French, Spanish, Carribean and African influences of its people. The early French settlers brought the concept of masked costume balls from France. The balls quickly sifted into local culture, especially in regard to race. In the early period, people defined themselves strictly by their racial heritage. Pre-Lenten costume and formal balls in the late 1700s and 1800s became important social occasions where young women were introduced to society and to suitable mates. Today the ball tradition is part of the parade 'krewes' -- organizations, often secret ones, that hold an annual parade and ball. Each krewe has its own traditions, sometimes ancient. The Mystic Krewe of Comus and its Merrie Monarchs of Mirth, the oldest krewe, formed in 1857. It is a secret organization that today holds a ball, but does not parade. In 1872, the new Krewe of Rex came into existence naming a king and queen of Mardi Gras each year. During this period, torch-lit night parades of revelers appeared. Another popular krewe is Zulu, formed by a group of laborers in 1909. Dressed as tramps with tattered trousers, it encompassed a jubilant singing quartet as part of its show. Besides parading krewes there are walking krewes and partying krewes. The three 'super krewes' stage massive parades, enormous parties, and throw lots of goodies to the crowd. Krewe membership is usually by invitation and being a member can be costly. Tickets to the most elaborate krewe festivities are governed by tradition. In some cases, ladies who receive tickets must come to the ball in costume and are required to dance with krewe members. Men must come in tuxedo. This year, Mardi Gras parades began on Saturday, Jan. 6, led by the Krewe du Vieux, and will end with the appearance of Krewes of Rex, Zulu and five others in various parts of the city on Fat Tuesday, February 24.

1.) Public Wi-Fi Services Are Often Not Encrypted - It pays to be wary when using wireless services in coffee shops, airports and hotels. They are almost always not encrypted, which means anyone else on the network who is equipped with available software can easily read your transmissions. When there is a form of encryption, it's usually a Wired Equivalent Privacy (WEP) system that is easily broken. The editors of Business Week say you should not connect to just any public Wi-Fi network, and never connect to "ad hoc" or "peer-to-peer" wireless networks. Be sure not to send private information over a network that doesn't use a secure site. Look for wireless networks that use Wi-Fi Protected Access.

2.) Homeowners, Buyers Like Solar - New One-Time Tax Break Makes Sun Power Attractive- Congress has renewed and increased the tax credit for wind power, solar power, geothermal and other energy saving power plans. Buyers of green homes will benefit, but homeowners who install solar power in their present homes will get a 30 percent one-time investment credit in 2009. If you install a typical $25,000 solar panel system on your roof, you will get $7,500 in income tax credits. That's up from a $2,000 credit under the old arrangement. Home builders are finding that including solar power attracts more buyers. Big builders such as Centex and Pulte are including them more often. Even in a soft housing market, when Standard Pacific Homes put solar systems in a group of new models in a development, they sold out. The builder decided to put solar panels on all 304 homes in the development. Sun power is most attractive in markets where energy costs are the highest, such as California, Connecticut and New Jersey. At OnGrid Solar, an industry research firm, they predict that the pretax rate of return on a typical solar system in these areas will be better than 15 percent each year. The Lawrence Berkeley National Laboratory, which studies the effects of eco-features on real estate values, says more homeowners now view solar panels as a long-term asset.

3.) Asleep At The Wheel? - You might not realize you are drowsy. You say you don't drive for long hours at a time and you're rarely behind the wheel in the middle of the night. So falling sleep at the wheel can't happen to you. Wrong. If you think about it, you'll have to admit there have been times when you were drowsy while driving your car or truck. Though you didn't realize it at the time, your brain was shutting down. You were becoming as impaired as if you were drunk, say doctors at the University of Minnesota. There are two sleepy periods in each 24 hours. The first is between midnight and 6 a.m. The second is from early to mid-afternoon. You might blame what you had for lunch for the sleepiness, but your biological clock is responsible. Quoted in Readers Digest, doctors at Washington State University's Sleep and Performance Research Center say these signs indicate that you are too tired to drive. * Continually yawning. * You are irritable and uncomfortable. Your mind wanders and you have disconnected thoughts. * You can't remember driving the last few miles. Your driving becomes sloppy and you may hit rumble strips on the side of the road. Opening the windows, turning up the radio or stopping to stretch won't keep you awake.

The AAA Foundation for Traffic Safety recommends stopping for a caffeinated drink if you feel sleepy. Then, nap for 20 minutes while you wait for the caffeine to take effect. To decrease your risk of drowsy driving, don't skimp on sleep. Find other ways to save time.

Sleepy drivers are responsible for 22 percent to 24 percent of all crashes.

Mike became a heating and air conditioning specialist, eventually landing a job at the local school district, working on the HVAC equipment at the schools. Lauren had started out as a high school teacher when they were first married twenty years ago, but has only substituted since their daughters were born. The couple had a hard time with their money issues.

When they came in to see us for help, they told us their major hope for any kind of financial security was their planning on getting an inheritance from Lauren’s great Aunt Rachel, who was never married, had a nice little nest egg in the bank, and a paid for home. But that possibility was a serious issue they didn’t know what to do about. See, Rachel loved Lauren, who was the only relative who ever took the time to call Rachel or visit her.

The rest of the family considered Rachel to be “eccentric” (the family’s code word) and didn’t have much to do with her. Even Lauren’s mom, who was Rachel’s niece, said she didn’t want to visit Rachel because she “is too odd, and I don’t approve of her lifestyle.”

Rachel’s life partner, Debbie, didn’t live with Rachel, but was involved in her life for over 10 years. Debbie rented an apartment near Rachel’s home. Debbie and worked in a local bookstore, never really having or saving anything.

When Mike and Lauren came in to see us, they had a major dilemma they wanted advice on. Here’s the story. Rachel had gotten Alzheimer’s three years ago, after a stroke. She was unable to take care of herself, and Debbie served as her caretaker for the remainder of her life. Rachel passed away a few weeks ago.

Debbie never said a word to them about anything to do with Rachel’s money, but at the wake, as Lauren tried to deal with her own grief, she saw Debbie sitting in the back. By herself. Even though the family knew who she was, no one acknowledged her until Lauren and Mike arrived.

Lauren hugged Debbie as she sobbed in Lauren’s embrace. Lauren tearily asked Debbie what she was going to do, and Debbie replied, “I don’t know honey. All I know is I’m going to miss your aunt so much.” After the funeral, Rachel’s lawyer called Lauren, asking her to come to see her.

When Mike and Lauren met with the attorney, she told the couple that in her will, Rachel left her assets directly to Lauren. The will was written way before Rachel met Debbie in the bookstore. Lauren, and Mike both felt miserable. Not only did they lose their favorite aunt, but the inheritance issue really bothered them. Here they were, presented with a one time chance to get some financial stability, and yet they felt hollow. Debbie’s connection to Rachel was as if it never happened. But it did happen.

The couple told the family that they felt dejected at the thought of taking Rachel’s inheritance and leaving Debbie out in the cold. As you may guess, this went over like an atom bomb. Lauren’s dad, went ballistic. Actually, her mom did as well. Lauren’s sisters and brother also went nuts. “How can you give a hoot about this, this, whatever she is (referring to Debbie) when your favorite aunt was so nasty she cut all of us out and gave her money to you alone? Are you actually thinking about giving this, this woman the money, when we’re your family? What about us?”, her dad expressed to Lauren soon after.

The rest of her family’s feelings were basically identical. “How can you not split up the dough with us, as it should have been all along anyway, and then split it with this stranger, who is not the kind of person any of us would ever have anything to do with anyway?”

Lauren and Mike wanted us to help. “What do you think we should do?” We first explained we had to review their entire financial situation, ask them lots of detailed questions, and then we could be in a position to give them some truly objective advice. About finances only. Not about how to deal with the family. That’s not a job we can do anything about.

Well, when we analyzed the couple’s situation, they indeed could use all of their aunt’s inheritance. With it, they could pay off all their credit cards and car loans, (which they couldn’t do the way they used to any more, refinancing their house every year or two, with the tanking economy decimating the value of all houses in the area), put money away for their daughter’s education, be able to afford to contribute to both of their 403(B) plans at work, invest some money each month on their own... and have something left over to do things around the house, etc. And without the assets inherited from Rachel, they would have a very tough time.

Lauren wanted us to do another scenario for them, if they were able to use half of Rachel’s assets. We thought we knew where Lauren was going with this, but as we said, that’s not our end. Running those numbers showed us that the couple could still pay off their credit cards, not the cars, and have to make a decision between savings being put into the girls’ college funds, or their retirement plans. Not both.

Mike and Lauren came in to see us to go over what they decided and how to best utilize their finances based on the plans we laid out for them. Lauren was very emotional as she told us, they had decided to give half of the assets to Debbie. When they went to see Debbie to tell her, Lauren said Debbie broke down and had a hard time talking to them.

Debbie told them she was crying only for the kindness that the couple was showing her, but no, she refused to accept anything from them. “Your aunt loved you both so much, and I know she left her assets to you and only you because of the love you gave to her. When she wrote her will, she meant it to be for you, as it should be.”

Lauren told us she made it clear to Debbie that, “You were the one who loved Rachel, you were the one she loved, and you were the one that took care of her day and night through the nightmare fog of dementia, and you deserve to have something from Rachel. I know if she hadn’t had the stroke, and if someone had reminded her about her will when you two were together, she would have changed it to you being her heir. You have to accept this memory of Rachel. I just can’t sleep knowing you’re out in the cold. It’s not right. I know you have no legal standing, but I don’t care. The laws don’t have anything to do with the reality of love, illness and respect.”

Wow. We were speechless. Mike continued as Lauren began to have trouble going on with the story. “We know that the family is insane with rage, and we know we won’t have as much in our future as we might, but we are going ahead with this. We talked to our lawyer who said he didn’t agree with us, but understands what we’re doing. He said Lauren’s family could sue her, but that they wouldn’t likely prevail since the will was totally solid, and Lauren can do whatever she decides with her inheritance. So we need you to help us follow the best plan for us with half the money.”

Lauren finished saying, “I know my family hates us, but you know, they hated Rachel for who she was, they treated her like she was a criminal, an outcast, and now that money’s involved, all of a sudden they were all her favorites. I know this will, hell, already has, destroyed my relationship with them, but it’s their choice to be so mercenary and cold. My one sister, Jamie, is the only one who agrees with us. She says even thought she wasn’t nice to Aunt Rachel during her life, she now sees that life isn’t so cut and dried, so simple. That Aunt Rachel would want Debbie to have something. Maybe she and I will be able to be friends again. But my parents and other siblings, well, that’s another story.”

When we asked Lauren if Debbie had accepted her offer, all Lauren would say is, “We’ll see about that.” Hmmm.

As we said. Wow. We hope that their family can heal their wounds, and know we’re doing all we can to help our clients plan for the future, and manage their finances during this deep recession we’re all in the middle of. We guess Lauren’s sister is right. Life isn’t so cut and dried. Nor so simple.

While your situation might not be the same as Lauren and Mike’s, you shouldn't take that to mean your planning needs aren't just as critical! PLANNING BEFORE TAKING ACTIONS IS THE MOST FUNDAMENTAL, AND IMPORTANT ELEMENT OF FINANCIAL SUCCESS!! So make sure you take heed, and call us BEFORE making any moves! We're here to help you plan, and make sure you have the best shot at financial security! Especially during these tough economic times!

You may already be watching your vitamin D intake because it's needed to help your body absorb calcium. The D and calcium together protect your bones. Now, many studies point to the fact that lack of this sun-derived nutrient is tied to increased heart disease risk. Reporting in Business Week, Dr. James O'Keefe says low vitamin D levels are associated with major heart-risk factors such as high blood pressure, diabetes, and stiffening of the left ventricle of the heart and its blood vessels.

A low vitamin D level is also associated with increased inflammation, a big heart risk.
According to O'Keefe, about half of all adults and 30 percent of children are vitamin D deficient. There are several ways to get more.

Just ten minutes of sun exposure between the hours of 10 a.m. and 3 p.m. each day is enough for whites to reach the recommended level. People with darker skins need somewhat longer exposure.
If you will have more than 15 to 30 minutes of sun exposure, be sure to wear sun block.
Salmon and deepwater fish are rich in vitamin D. Milk is fortified, but you would need to drink 10 to 20 glasses of milk to get enough D, says O'Keefe

Dr. Danert Simpson, professor of pharmacology at the University of Michigan, whose group was the first to identify vitamin D receptors in heart cells, says vitamin D isn't just another vitamin. It is a precursor to a hormone, that is a cardiovascular regulator. He recommends supplementation because you probably won't get enough vitamin D from food.

Q. A Reverse Mortgage is:

a. A rising debt loan.
b. Only available to people 62 years or older.
c. Generally not tied to income.
d. All of the above.

Q. Are student loans dischargeable in bankruptcy?

Yes No

A. No. Student loans are not dischargeable in bankruptcy unless you can show that your loan payment imposes an "undue hardship" on you, your family, and your dependents. Non-dischargeable debts are those debts that you cannot totally eliminate when you file for bankruptcy and will have to be paid by you. It is almost impossible to show an undue hardship unless you are physically unable to work and the chances of your obtaining any type of gainful employment in the future are non-existent.
Under the Bankruptcy Abuse Prevention and Consumer Protection Act of 2005, privately funded student loans are treated the same way that loans funded and guaranteed by the federal government or nonprofit institutions. Prior to the new law, if you had a loan from a private-sector lender that was not guaranteed, it could be discharged under chapter 7. The new law gives these loans the same protection as the guaranteed loans.

Baton Rouge,LA - Did you know that all financial advisors are not the same? And, if you need to get some help with your money, you will need to know what to ask a financial professional before you make any moves!!

Most people really don't know what questions to ask, or what things they should be aware of. When it comes to your money, you had better know!
Picking the right advisor can help you, and picking the wrong advisor can be a big mistake!
Make sure you know which is which! In today's messed up economy, you cannot afford to take any chances. If you are like most of us, these days of world crisis, economic slowdown, and general confusion have you downright worried.

You know what? You should be! Managing money was always tough, but this last year has set records for government foul-ups and totally unpredictable markets.
These are scary times. And, therefore, you must be sure to use an advisor that will be right for you!

To help you, we have prepared a FREE REPORT called "Ten Questions You Must Ask A Financial Advisor BEFORE YOU HIRE THEM!"

To get your FREE REPORT, and learn the secrets some advisors would prefer you never knew, call toll-free 888-6INVEST, 24 Hrs., for your free copy of this eye-opening report will be sent to you immediately. Call NOW!

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