Chicken Tenders with Four Dipping Sauces

This quick hearty appetizer works as two meals for the two of us.  Over the years we have explored various dipping sauces and have settled on the four very different dipping sauce flavors.  We use a package of chicken tenderloins from Costco.  We hope you enjoy them as much as we do.  

Click here for the recipe

IRS Clarifies Rules for Rollover of After-Tax Dollars from 401(k) Plans

Professional Alliance Members Neil Larson and Victoria Trigg announced that on September 16, 2014 the IRS issued Notice 2014-54 (and proposed legislations), providing welcome guidance on the rollover of after-tax dollars from 4019(k) plans.

The IRS was challenging the long standing practice of rolling your after –tax 401(k) dollars directly into your ROTH IRA to avoid paying any income tax on the conversion.  

Click hear to read more information on IRS Notice 2014-54

Attention 401(K) Participants: Consistency May Pay Off, Study Finds

Despite the stock market drops of 2008, the average account balance of 401(k) participants who continued investing during the five-year period ending December 31, 2012, grew by a compounded average annual rate of 6.8%, according to a study released jointly by the Employee Benefit Research Institute (EBRI) and the Investment Company Institute (ICI).

A closer examination of the figures illustrates the potential benefit of consistent participation.  As of December 31, 2012, over 30% of the consistent participants had more than $100,000 in their 401(k) accounts, compared with just 18% of the broader group.

Click here for a summary of the study, for the full July 2014 EBRI brief visit www.ebri.org and additional information is available at www.ici.org.

1300 AD: Medieval Italy and the Foundations of the Modern World

When we think of Italy and inventions essential to the modern world, what comes to mind is the Renaissance: Galileo and his telescope; Leonardo da Vinci and his marvelous sketches of flying machines; or possibly, Brunelleschi and his scientific approach to linear perspective, essential to art, architecture and engineering. We don’t think of medieval Italy, and we don’t think about accounting.

Yet one of the inventions most crucial to the formation of the modern world happened in medieval—not  Renaissance—Italy. Without it, the modern company or corporation could not exist; and the stock market, as we know it, could not have come into being. Double-enty bookkeeping was invented in Italy, most probably in the 13th century.

Click here to read the full article

Social Security and Medicare Figures for 2015

The Social Security Administration (SSA) has announced that Social Security and SSI beneficiaries will receive a 1.7% cost-of-living adjustment (COLA) for 2015.

The Centers for Medicare and Medicaid Services (CMS) has also announced next year’s Medicare costs.  The standard monthly Medicare Part B premium will be $104.90 in 2015, the same as in 2014.  However beneficiaries with higher incomes (individuals with taxable incomes of more than $85,000 and couples with taxable income of more than $170,000) will pay more than $104.90 per month because they must pay an income related surcharge.

Click here to read other important Social Security and Medicare figures

Trends and Innovations: Young Blood

For years scientist have known  that if the circulate a young mouse’s blood through an old mouse the old mouse can run longer, has improved memory and rejuvenates its crusty old heart.  They found that by just introducing one particular protein found in blood, call GDF11 they get the same results.   

 A Harvard scientist named Amy Wagers is already working on commercializing GDF11 which is found in human blood too.   PS: Remember to keep growing your investments because you never know when they will find the cure to aging.   

‘Remarkable’ Therapy Makes Old Mice Young, May Hit Clinic This Year

The Rainier Club Guest Chef's Table Experience

When you love to cook like Rocke and I do, chances are you also love to eat, so it makes for a very special evening when you get to watch a master Chef like Bill Morris at work in the Rainier Club kitchen. Rocke and I enjoyed an incredible eleven course meal with wine parings all prepared by Chef Morris. Then to top the evening off, we savored some excellent Absinthe. Many thanks to Lisa and Dave Mayfield for sharing this wonderful venue with us.

The Rainier Club just added Absinthe to their venue--the long banned drink known for its hallucinogenic properties.  In moderation it is said to help promote sleep and pleasant dreams.  We chose to go with a milder version; although it was still definitely something to sip in small quantities. 

Each menu item has a link with a more detailed description and picture.

Courses:
Amuse
Maine Lobster Salad
Crispy Duck Tongue Cocktail
Smoked Vanilla Basted Foie Gras
Grilled Hawaiian Opah
Apéritif
Spice Crusted Venison Loin
Artisan Cheeses
Dessert
Second Dessert
Absinthe

Martha Stewart French Toast

We started fsic over two decades ago; my husband was laid off for a short period of time, so he helped us out at the firm.  One day while he was eating lunch he turned on the TV to find Martha Stewart making French toast.  He wrote her recipe down as she cooked it—you had to write things down back then because the internet didn't archive like it does today.  We tried her recipe and loved it! Since then is has been an annual tradition to make Martha Stewart French toast for every first cold weekend of fall, like she suggested on her show. 

The key to the recipe is the Brioche bread.  We loved the Nantes loaves from La Boulangerie, a French bakery ran by a very skilled Vietnamese baker up until he retired and closed the bakery.  Brioche Nantes loaves are full of butter and make this recipe incredibly decadent.
  
One fall weekend, Rocke and I headed out to run errands and ran into each other at that French bakery, we both had felt the traditional call of this recipe.   

Click here for the recipe.

Why Do Stock Prices Grow Faster Than the Economy?

Candy J. Lee Financial Planning and Money Management celebrates its 22^nd year in business this year.  Doug Brooks called in 1992 to congratulate us on starting our new firm and we have been friends ever since.  Doug Brooks, is a retired business owner and author of Signal Integrity Issues and Printed Circuit Board Design and Electrical Engineering forthe non-Degreed Engineer, Doug is a frequent speaker to PCB designers and engineers.

If Doug can make non-engineers understand engineering, you will understand why I asked his permission to post a rather insightful commentary he sent to me after reading July’s Investment Commentary.  

Click here to read Doug’s Article: Why do Stock Prices Grow Faster than the Economy 

Solar Power for Two

When you own two electric cars the obvious next step is to install solar panels on your roof.  If your home is suited for solar (south facing roof and little shade) you can actually get solar panels for free*.  If you use solar panels and inverters made in Washington State you qualify for the maximum production income on all the power you put on the electrical  ($0.54 per kilowatt hour).  This incentive is good through 2020 and you also get a federal tax credit of 30% of the cost of the panels. 

The bottom line is the system will pay for itself in five to six years.  There is 100% financing available at a very low rate that uses the panels as collateral.  We used Puget Sound Cooperative Credit Union for our panels since they have an energy loan program.  *so it is really free except for the having credit liability for a couple of years.

We researched our options with A&R Solar, NorthwestWind and Solar and Sunergy Systems.    We found them all to be very professional, but ended up with A&R Solar due to their creative use of panels that allowed us to put more panels on our roof than the others.   We were very happy with the installation and service. 

We recommend you do your own research, and if you think you have the potential for solar, we highly encourage you to explore this opportunity.  It is a wonderful feeling to watch our utility meter running backwards.  

IRA-Owned LLC’s Payment to IRA Owner Results in Retroactive Income Tax and Penalties

(Congratulations to Professional Alliance member Warren L. Baker for his recent publication in the Journal of Accountancy!)

On October 29, 2013, the Tax Court held that the receipt of compensation by the taxpayer from a Limited Liability Company (“LLC”) that was almost entirely owned by the taxpayer’s individual retirement account (“IRA”) resulted in several types of self-dealing prohibited transactions. Thus, the IRA-owned LLC (“IRA/LLC”) automatically terminated as of the first day of the taxable year in which the prohibited transaction occurred (2005), resulting in income tax on the $320k constructive IRA withdrawal, plus a 10% early distribution penalty and a 20% accuracy related penalty.

Click here to read full article,

Courtesy of Warren L. Baker, J.D., LL.M, as published in the Journal of Accountancy.

Bavarian Anniversary

My husband, Rocke surprised me with a Bavarian retreat for our 39^th Anniversary.   We golfed at the Leavenworth Golf Course, stayed at Eyrie cabin at the Sleeping Lady Resort, enjoyed a spa day, putted through  Leavenworth’s Enzian Falls Championship Putting Course, had an art walk through the 67 acre art laced Sleeping Lady resort, and had plenty of time to explore Leavenworth.  We had a secluded cabin where one evening while we were sitting on the back deck a ten point buck was no more than 100 feet away and stayed with us the whole evening.  You can see the deer in the middle of the picture. 

Harriet Bullitt built the Sleeping Lady Resort by converting the old Camp Field where my husband’s siblings went to summer camp and his brother spent time as the camp’s care taker and a counselor/mountain guide which added a special feeling to the retreat.  It was a fun weekend and just before the worst fire of the century roared through Leavenworth.   Our thoughts go out to all those affected by the tragic fire.

1288 AD - Birth of the Corporation

In 1999, Seattle drew the world’s attention as protesters disrupted meetings of the World Trade Organization. The protesters beat drums and chanted against many things. Anti-corporation vitriol was a common theme.

Corporations were not always targeted by populists, politicians or students wearing butterfly costumes. Indeed, the history of the corporation—as a form of social organization with legal recognition similar to that given to an individual—predates t-shirt tie-dying by 2,000 years. Corporation-like entities existed in ancient India and Rome.

Click here to read full article

Broiled Salmon with Tomato Cream Sauce

We really enjoy salmon and are always looking for recipes that have unique flavors.  This recipe was especially exciting for us since it was so easy to prepare.  We always keep Costco frozen salmon fillets in the freezer as well as the lima beans and peas, so when a quick and satisfying meal is needed we turn to this recipe for fulfillment. 

Click here for the full recipe

The New-and-Improved Economic Indicators Dashboard

In 2009, the question on many people’s minds was whether the U.S. economy could recover from the impacts of the Global Financial Crisis.  At that time Russell created the Economic Indicators Dashboard to provide a visual summary of major market and economic indicators.  To help understand what “normal” looks like and where the economy stood relative to typical historical ranges for key indicators. 

But the economy is in a different place now that it was five years ago and the dashboard has been  updated in order to ensure it continues to be relevant and valuable. 

Click here to find more about the changes

Trends and Innovations: Amazon’s 3D Printed Parts Delivered by a Drone in Minutes

Just when you think things can’t get any faster you read about Amazon’s quest for your orders to be delivered at your doorstep within minutes of placing it.  Amazon’s vision of the future is having 3D printers in key locations to print items and deliver them by Drones to your door step.  

12th Century: The Medieval Cloth Trade and the Champagne Fairs

Recent historical research provides evidence that credit and derivative contracts, so dominant in modern investment and finance, were in existence in Europe at least as early as the High Middle Ages (ca. 1000-1300).  Some of these contracts were designed to meet the needs of those involved in the cloth trade, a vital aspect of the medieval economy.

Click here to read full article © Russell Investments 2013. All rights reserved. Reprinted with permission.

Trends and Innovations: A Mass of Water

3 times bigger in volume than all of the Earth’s oceans has been discovered by Northwestern University scientists using seismometer technology.  The reservoir sits deep beneath the surface.  The discovery supports the theory that the planet’s seas originated from deep within.

Article obtained from Investor’s Business Daily.

976 AD - The Greatest Invention Ever?

In the Codex Vigilanus of 976 can be found the earliest mention in a western work of the Arabic numeral system, a development that can lay claim to being perhaps the greatest of all the great moments in western financial history.  Too lofty a claim?  Hardly, when you consider what life would be like without it.

Click here to read full article © Russell Investments 2013. All rights reserved. Reprinted with permission.

Pepper Sirloin Steak

After many months of Seattle grey we have been blessed by a few spectacular warm sunny days that entice us outside to dust off the BBQ.  Our preferred method for steak is off a very hot Big Green Egg charcoal grill.  This large sirloin steak recipe is great for four to six but if there are only two of you like us, don’t worry, the leftovers are great for steak and eggs in the morning or for a hearty steak salad.  

Click here to view recipe

Columbia Tower Club

Candy has been a member of the Columbia Tower Club for over 15 years.  She has met many wonderful people there, hosted many events, chaired the startup of the popular CEOtoCEO Breakfast Series that started at the club and served on the Board of Governors.  The club is an excellent venue to meet business colleagues, clients and friends.  We are pleased to announce that the Club featured Candy in their May/June member’s magazine.

Click here to view a copy of the Columbia Tower Club’s article about Candy 

Automatic Marriage Day

Many of Washington State’s same sex partners went through the process to legally marry in 2013 when the new law allowed them to do so.  Those that were registered as domestic partners that chose not to go through the formal process will automatically be given marital status as of June 30, 2014.  If the couple does not wish to marry they must officially opt out.  Estate attorney, Sean Bleck reminds couples that marriage is an event that should automatically trigger a review of your will and estate documents. 

There was a good article in the Seattle Times on Valentine’s Day that provides additional background information on the June 30 deadline.

Click here to view article

Transfer on Death (TOD) Deeds Now Available in Washington State

Washington State has legalized the ability to execute a deed that will automatically transfer the ownership of our real estate to your beneficiaries without going through probate effective March 2014.

Although this tool will be a good option in some cases, estate attorney, Pat McGowan cautions individuals to make sure using this new option does what it is intended to do, and does not conflict with your will or existing trusts.   Elder Care Attorney, Sean Bleck warns of a potential time bomb for the beneficiaries.  The State Department of Social and Health Services (DSHS) have the option to file liens against the property up to two years after death.  It is wise to consult your attorney and financial planning professionals prior to implementing a TOD Deed.

Click here for more information on the new TOD Deed. 

Habits of the Rich and Poor

Research shows that daily behavior determines our economic outcomes.  It has proven a long-standing philosophy of mine that if you want to be rich, watch what poor people do and do the opposite.  This interesting research by bestselling author, Thomas Corley can help you fine tune your habits to help increase your wealth. 

Click here to view full-sized chart

President Obama Authorizes New Roth myRA Retirement Account

The myRA (rhymes with IRA) is a new workplace retirement savings account discussed by President Obama in the State of the Union address, and subsequently authorized by executive order. The administration hopes that employers who currently don't offer a workplace retirement plan will make myRAs available to their employees.  The myRA is a regular Roth IRA with some special features. Your contributions are made on an after-tax basis, through payroll deduction.  

Click here to read the full article

Click here to read the White House Fact Sheet 

Click here to read the Presidential Memorandum to the Treasury

The Only Way to Have Friends is to Be One

I am blessed to have three women business owners as close friends.  Being a business owner brings its unique challenges and being a woman business owner adds a unique twist to the norm.  Over the last several years my friends, Debbie, May and Tish, have met every month for dinner and the sharing of our challenges and accomplishments.  We replaced one of our monthly dinners with a trip to Christopher Conrad’s photography for new press photos and ended the evening with this wonderful group shot.

Roast Chicken with Garlic and Rosemary

This recipe has been a staple for us for many years. We particularly like the chicken served with a slice of iceberg lettuce topped with blue cheese and chopped tomatoes. It is especially delicious when the roaster comes from Rocke’s brother’s Temenos Highland Farm. At Temenos they strive to make a positive difference in the health of the soil, the life of their animals, and the quality of the food they produce. If you happen to be in Molson, WA you may want to stop by and get one of these very flavorful birds. Tenemos Highland Farm: temenosfarm@gmail.com

Click here to view full recipe

Trends & Innovations: Army Eyes Flying Rescue Truck

A new “transformer” type truck can also fly.  The aptly named Black Night Transformer unmanned robotic vehicle will operate like a standard utility truck.  When needed though, it has 8 rotors that deploy for flying.  Like side mirrors on cars, they can fold in for flying down narrow streets, then tilt forward for faster flight.  The machine, developed by Advanced Tactics, is undergoing tests.  It resulted from a request by the U.S. Army for a “multi-mission medical and casualty evacuation” vehicle.

Article obtained from Investors Business Daily 

1st Century – “Fiduciary” is Latin for…

The Romans are commonly thought to have been a fairly barbaric, even if advanced, civilization and not unfairly so.  For 400 years, gladiators fought one another to the death in the Coliseum – as a form of entertainment, to help the idle rich and poor while away the day.

Click here to read full article © Russell Investments 2013. All rights reserved. Reprinted with permission.

New Mortgage Rules Take Effect January 10

Professional Alliance member Conrad Wouters reminds us that a new category of  mortgage loans referred to as Qualified Mortgages (QM) have been created with specific rules effective January 10, 2014.  The QM underwriting guidelines are very specific and strict, which means in general homebuyers will need to provide more documentation (subject to third party verification) and will have loan size limitations set by debt to income ratios.  Being higher quality, the QM loans are designed to enable better rates and lower fees than non-QM loans.

Click here to read full article, courtesy of  Conrad Wouters