The Swiss bank account, the residence in Monaco, Ronny Biggs Company or Corporation in Brazil! A dichotomy of images that nearly always never related to the average man in the street. But times have changed, and with the globalisation of the world economy through the internet, the accessibility to tax panning through offshore vehicles for the average  Company or Corporation investor has now become real.So what are the benefits of investing offshore? and more importantly today, in a world  Company or Corporation where information is king and governments around the globe are using the threat of terrorism to pry into every individuals private affairs, where should one look to escape  Company or Corporation the prying eyes?

1. Saving Taxes

It may seem obvious but it is definitely Company or Corporation the main reason for investing through an offshore company or corporation. As a resident of say, the US or the UK, you are  Company or Corporation governed by a tax regime that taxes an individual income wherever  Company or Corporation it is earned in the world. This means that even if you earn money from an offshore business you are liable to pay income tax at the prevailing rate and should declare such income on your  Company or Corporation annual tax returns.

An offshore company or corporation however, is a completely separate.

legal entity from you  Company or Corporation as an individual. It may carry on business, own assets and pay debts and liabilities of the company through its offshore bank accounts without there ever  Company or Corporation being any liability for you as an individual to make a declaration in your country of residence.

In its simplest form an offshore  Company or Corporation bank account could earn gross interest on a deposit for years enhancing its real return through gross roll up of interest. Tax would only be payable Company or Corporation if the deposit was cash and returned to the individuals country of residence by which time it would have grown  Company or Corporation substantially more than if it had been receiving interest taxed at source. Of course an offshore company and bank account offers a much wider scope for investment than this and methods of distributing Company or Corporation income through visa cards and other offshore vehicles means that an individual may conduct much of his investment strategy without ever having a liability to tax in his country of residence.2. European Tax Havens May Be Places to Avoid Company or Corporation.

As mentioned in the opening paragraph, the places we most  Company or Corporation.

associate with offshore tax havens are the Monaco’s and Switzerland’s of this world. Recent events though in Liechtenstein and the increasing propensity of the Euro Zone governments to force European  Company or Corporation tax havens to disclose private individuals informations has meant that tax havens outside the scope of European pressure have become much more in demand. Panama and Guatemala are two such  Company or Corporation countries whose privacy laws are second to none and who have, since the stabilization of their economies  Company or Corporation and politics, become sort after destinations for offshore company accounts.

Panama is no newcomer to the offshore company environment. In the 1970′s it held more company accounts for offshore corporations than all the Caribbean islands combined. It resurgence to reliable tax haven status owes much to the modernization of its banking system and its Company or Corporation accessibility to the US. For those wishing to gain expatriate status, it has a moderate climate and exceptional laws benefiting ‘pensioners’. (The ‘pensionada’ laws apply to anyone over the age of 18 with a pensionable income – they provide discounts for citizens covering all  Company or Corporation aspects of everyday life)

Whatever your circumstances both Panama and Guatemala have the tightest of privacy laws and with no taxation charge on offshore transactions, you can be assured that your monetary Company or Corporation affairs are not only private, but they are also tax free.

In the title I stated that there were ten good where and whys to investing offshore. I may have slightly over exaggerated the facts. That is unless you remember that reasons 3 to 10 are also saving tax, saving tax, saving tax… and privacy Company or Corporation.

Company or Corporation

Whether you, or someone you know, is interested in learning more about Medi Cal, then you will find this article to be an informative overview of the topic. Oftentimes, adult children find themselves in the position of making health care and quality of life decisions for their elderly parents, and it is easy to become confused and overwhelmed by the complexity of these important issues. Seniors, as well, may have questions about, or unaware of, their options when it comes to qualifying for aid.

Medi Cal is the name of California’s Medicaid health care program, which is a combined federal and state health insurance program that provides assistance for low income families and individuals, seniors, disabled persons, and families enrolled in AFDC (Aid to Families with Dependent Children)

For Elderly and disabled individuals, Medi Cal can assist in paying for hospital and doctor’s bills, prescription drugs, medical equipment and supplies, home health assistance, nursing home care, adult day care medically related transportation, and many other services and items. In most cases, Medi Cal covers 100% of the costs of these items, with no co pay. In some situations, a small co pay may be required, depending on the income status of the individual.

How Does Medi Cal Differ From Medicare?

Medi-Cal and Medicare are two separate health insurance programs. Medicare is health insurance that comes with Social Security benefits and requires the payment of monthly premiums, deductibles and, by choice, coinsurance for many of its benefits. Medi-Cal, on the other hand, is not tied to Social Security benefits and does not require payment of premiums or deductibles. It provides 100%, comprehensive coverage of most medical expenses. In addition, health care providers who accept Medi-Cal are not allowed to bill covered individuals for any additional charges as is the case with patients under Medicare.

In a nursing home situation, Medicare will only cover individuals who have been admitted to a nursing home after a minimum three day hospital stay and who require skilled nursing, physician, or rehabilitation services every day. Needing custodial care only, i.e. help with personal care, daily activities, or taking medications, does not qualify Medicare to pay for nursing home expenditures. Medi-Cal does pay for custodial care, however, and can take over the payments after Medicare benefits stop for nursing home residents who find themselves unable to afford the nursing home private pay rates.

Individuals who are pregnant, under twenty one, or who meet other specific criteria may also qualify for Medi Cal, but for the purposes of this article, only the criteria relating to Seniors will has been listed.

If you, or someone you know, currently receives monetary assistance under the SSI SSP program, you may be automatically eligible for Medi Cal. You, or your parent, friend, other relative may also be eligible for Medi Cal if you meet the following criteria aged 65 or older, legally blind, disabled, have been diagnosed with breast or cervical cancer.
Currently resides in a skilled nursing or intermediate care facility

In addition, elderly persons defined as over age 65 and or disabled persons possessing less than $2,000 in countable assets, or $3,000 for couples, for whom payment of medical expenses would leave them with less than the available need standard for living expenses, may also be eligible for Medi Cal. Need standard is defined as roughly $600 per month for an individual and $934 for a couple.

Even people with relatively high incomes often qualify for Medi Cal assistance with nursing home and other expenses, due to the high cost of nursing home care.

In determining Medi-Cal eligibility, there are specific assets that are not counted which includes, but is not limited to, the following: the home with an intent to return to the home, whole life insurance policies with a face value of $1,500 or less, term life insurance, burial plots, prepaid (irrevocable) burial plan of any amount (and up to $1,500 in specific burial funds), on care used by the beneficiary or for the applicant or used for medical reasons, rings and/or jewelry, cash, periodic payments on interest and principal of pension funds and annuities, and up to $2,000 in cash reserve.

It is necessary to be a California resident in order to apply for, and receive Medi Cal benefits. A resident is defined as someone who lives in California and plans to continue to do so, but can also be defined as a person working, or searching for work in California.

Is A Persons Home Considered a Medi Cal Asset? No. As the above paragraph explains, a home is not considered to be an asset that can count against an individual for eligibility purposes, as long as it is a primary residence. If a covered individual becomes a resident of a nursing home, their home will still not be considered a Medi Cal asset as long as any one of the following is true: The individual is expected to be able to return home. The individual’s spouse or children who are under twenty one years of age and/or blind or disabled currently reside(s) in the home. A sibling lives in the home who is part owner and has lived with the individual in question for at least a year prior to their entering the nursing home. An adult child who has lived with the individual for at least a year prior to their entering a nursing home currently resides in the house. The individual’s home is considered a multiple dwelling unit

How Can A Person Protect Their Assets And Still Qualify For Medi Cal? There are several ways to do this: Do not transfer money or property without consulting a licensed, elder law professional for advice as Medi-Cal eligibility can be delayed as a penalty for transferring assets without receiving fair value in return.

This penalty period is determined by dividing the amount transferred by what Medi-Cal determines to be the average private pay cost of a nursing home. This period of ineligibility begins on the first day of the month of the transfer.

Be aware that Medi-Cal may look at transfers made 30 months prior to your Medi-Cal application or longer if the transfer was made to specific trusts. An elder law professional will can advise you about this, and many other rules and regulations. That being said, here are a few examples of how to best retain your assets:

Generally speaking, you can transfer money or property to your spouse at any time before or after applying for Medi-Cal. After becoming eligible for Medi-Cal, your home can be transferred to anyone, not just your spouse, as long as it is an exempt asset at the time of transfer and should be transferred out of your name to avoid estate liens by the state after you die.

Resources can also be spent down to the $2000 eligibility limit on any item or service for your own benefit as long as you what you purchase will not make you exceed the $2000 limit at the end of the month in which you desire Medi-Cal eligibility Because you must provide evidence of what you spend after you apply for benefits, keep all receipts, canceled checks or other documentation of your expenditures.

What Is The Procedure For Applying For Medi Cal?Interested persons can apply for Medi Cal for themselves or someone else by visiting their local county social services office, either in person or online, and obtaining an application. Once the application is complete, it is sent to an eligibility worker for review.

This review process can take anywhere from 45 to 60 days depending on individual circumstances and materials required to complete the application. In cases of immediate need, an application may be eligible for faster processing.

When making crucial health and quality of care decisions for yourself or someone else, it is important to know all of your options, research them thoroughly, and consult with your financial planner and/or an attorney specializing in elder law.

Yesterday (September 18, 2007), the Federal Reserve Bank (“Fed”) decided to lower interest rates. Fed action begs the question, “Should they do anything at all, or should the economy suffer or benefit from business and consumer choices?” These questions are too debate laden to pursue (although, the subject entices me). In case you didn’t hear, the “Fed” lowered the benchmark rate and the discount rate 1/2% (50 basis points; 100 basis points = 1%).

“I don’t make jokes. I just watch the government and report the facts.” – Will Rogers

All “Fed” action matters to the dollar, interest rates, and inflation.

The dollar: When interest rates decrease; the dollar weakens. Ever have an EKG? If your’s looked like the dollar’s, your cardiologist would send you to intensive care. The dollar is bouncing off a 17 year technical “flat-line”. Breaking below the “flat-line” sends the $ into “uncharted territory”.

A weak dollar reflects a weakening economy, and perhaps, a lack of trust in the dollar as the predominant currency standard for the world. Since 1986, exchange rates between the $ and other currencies have decreased. Dollar strength gives the advantage to U.S. consumers. Foreign producers have an advantage in the U.S. market (Toyota vs.GM). In tennis terms, we’re about to have “match point”.

Interest rates: “Lower interest rates hurts savers”, says Bill Ford, former Governor of the Federal Reserve. Borrowers do not save (so, where do banks get all the money to loan? Check your local banks annual report. Notice the investment account?).

Parents of baby-boomers prefer bank savings accounts or certificates of deposit. After a Chamber of Commerce meeting this morning, an 84 year old man told me, “Older folks who keep their money in the bank get hurt when rates go down.” My wife’s 93 year old grandmother says, “Jimmy Carter…those were the good ole days.”

Inflation: Dale Jorgensen, Harvard Professor (who taught Ben Bernanke at Harvard) said, the Federal Reserve’s commitment is to “monitor growth and inflation”. Further, the Fed must “maintain orderly conditions in the financial markets”. Alexander Hamilton ( first Secretary of the Treasury), founder of “First Bank” (today known as the Federal Reserve Bank) agrees. Hamilton, consistent with his personality empowered the federal government.

Hamilton, consistent with his personality, encouraged federal control of:

national debt
state debt accrued during the revolution
a national bank (quite favorable to northern business)
imposing taxes on imports and whiskey

So what makes inflation such a concern for the Federal Reserve? Ask Jimmy Carter. He lost the election for three reasons.

1. The Iran hostage crisis.
2. The liberal caucus within the Democrat party.
3. The rate of inflation lofted Carter back to Plains, Georgia. Remember Ronald Reagan during presidential debates? “Are you better-off today than you were four years ago?”

“Government’s view of the economy could be summed up in a few short phrases: If it moves, tax it. If it keeps moving, regulate it. And if it s tops moving, subsidize it.” – Ronald Reagan

“Nana” (great grandmother to my children) likes Jimmy Carter because her bank paid her 22% on her money. She did not know (I tried explaining) her real-rate of return was 2-4%. During January and February of 1980, Charles Schultz reported an inflation rate of 18-20%. That had not happened since the 1950′s. Inflation’s insidious economic damage affects everyone.

Inflation: helps and hinders:
Debtors pay debt with inflated dollars. The Good.
Wealthy assets get adjusted downward. The Bad.
The cost to finance business reaches the absurd. The Ugly

In 1979, the Federal Reserve tightened rates prompting a credit crisis. At the same time, budget deficits jumped 50% reflecting the effects of unparalleled government spending. Sound familiar? Economic shifts sneak-up and surprise markets, economists, and policy-makers. All viewpoints have two sides, but only one viewpoint prevails. Knowing which side will be validated challenges everyone. In 1980, the editor of the Economist “quoted a partner in Solomon Brothers as saying, ‘nobody knows where we are going, because we’ve never been here before.’” The United States economy may venture where “no man has gone before”, but not “boldly”.

What to Watch:

Long-term bonds
Gold
Agricultural commodities
Oil prices
Metals

What to Do:

Maintain Asset allocation across and within a wide-range of cross-correlated (don’t let them dance in-step) asset classes

“A government big enough to give you everything you want, is strong enough to take everything you have.” – Thomas Jefferson

If you are considering a personal boat purchase, such as a cruiser, a fishing boat, or any other type of boat, you will want to incorporate insurance into the overall cost of the boat. Its a good idea to get boat insurance quotes when you have decided on the make and model of the boat, or when you are ready to purchase. Personal boat insurance is essential for boat safety and security.

The first place to start is with your current auto or homeowners insurance company. A separate policy is best for a boat, because you don’t want your liability or premiums tied into your home-owner’s policy. You can always sell your boat if the insurance is too expensive, but it is much more difficult to do that with your home. However, if you have your different policy lines with the same company, than you may get more of a discount. After you’ve gotten the initial quote, you can shop around for comparison quotes before you make your decision.

Similar to auto insurance, boating insurance covers liability to others, and physical damage to the vehicle itself. In addition, there is also additional types of coverage you can add to your policy. If you have a newer boat, or have a lienholder on the boat, you will want or may need to include physical damage coverage on your policy, which covers damages to the hull, parts and machinery of the boat. Agreed value is a type of policy where you and the insurer agree on the value of the boat, usually based on the purchase cost. If there is a loss, the insurer already knows how much to pay for the total loss of the boat. With this type of policy, its important that you keep documentation for the value of the boat.

Another type of physical damage policy is similar to auto insurance, where the insurer pays what the boat was worth at the time of loss, or the actual cash value of the boat. This type of policy factors in depreciation, and is usually less expensive than an agreed or stated value policy. However, you may get less then you would in the event of a boat loss.

Your policy will also include liability, which will protect you if you hit another boat, or someone in the water. You want to make sure your liability limit is high, so you will be fully protected in case of an accident. You will also want to include medical payments, which will cover any passengers on your boat who are injured.

Other essential items in a boat policy are emergency services, such as towing coverage, which provides coverage if your boat has to be towed back to shore because of an accident, and also boat recovery. If your boat has sunk, and has to be brought up to the surface, that type of service can be very expensive, and you want to make sure its covered in your policy. You may also want to consider additional coverage for any extra equipment on board, such as fishing gear and tackle, as most policies have a coverage limit for personal items.

Personal boat insurance is a necessity, and should be incorporated into the overall cost of boat ownership. By comparison shopping, you can usually get a good deal on comprehensive insurance. Its better to have the peace of mind that proper insurance provides, so you can truly enjoy yourself when you take out your boat.

Many professionals have a lot of questions about protecting their materials and name. What they are concerned with is what we call ‘intellectual property’. Intellectual property can represent 70% of a company’s value, so it is important to not only understand it, but to also understand how best to protect it. This article will address what intellectual property is, explain each in a bit of detail, discuss how the Internet has impacted it, and how to protect it.

Intellectual Property – what it is
The definition of intellectual property is basically any knowledge, information or ideas that is important to a business for competitive success. Examples include a business name, a logo, a graphic, a tag line, advertising materials, product literature, software, an invention. Even such things as customer lists or vendor lists can be considered intellectual property.

Trade Secrets – keep it hidden!
A trade secret is any information, including a formula, pattern, compilation, program, device, method, technique, or process that provides a business with a competitive advantage that others don’t have access to. To qualify as a trade secret, the company/owner must take reasonable efforts to keep it secret. Sales and marketing plans can be considered trade secrets, as are computer files sales data. Probably the best example of a trade secret is the formula for Coca-Cola. For health and fitness professionals, a trade secret might be a particular bit of survey information that has helped them discover a need in the market that no one else has discovered, yet. This information must not be generally known to be considered a trade secret. However, once the professional has taken steps to market to that audience, as a result of the survey, it will no longer be a secret.

Another example of a trade secret might be a particular program for clients that are different than what others have ever created. It may be a particular workout, or a particular eating plan; some type of program or method that is unique and not generally known or discoverable by others.

Copyrights – do you really need them?
Of more importance to health and fitness professionals is the law of copyrights. Many clients ask me about this when they are creating handouts and the answer depends on how much you feel your materials need protection. Copyright law applies to pieces of work such as books, works of art, software, websites, musical recordings, magazines, plays, dramatic performances, and movies. An easy way to informally protect works is to include the “©” symbol, followed by the name of the author/publisher, the year of publication. You can also include the phrase, “All rights reserved”.

Copyright protection gives the original author exclusive legal rights to economic benefits from the work. They can reproduce copies, develop derivative works based on the original product, such as workshops, for example, distribute copies, perform it publicly, and display it publicly. Of most importance is that copyrighting the work prevents others from copying, distributing, performing or displaying the work without permission from the author/publisher.

Health and fitness professionals often ask if they can legally copy materials to give to their clients, and the answer is, “it depends”. Many educational materials will include the statement that they can be reproduced for educational purposes, and other materials will include a statement that as long as original author and contact information is included, materials can be copied and distributed. If a person is unsure, they should contact the author or publisher.

If you have educational material, should you go through the process of formally copyrighting it? Well, to decide this, you need to first determine if it qualifies. There are three basic requirements for copyright protection: 1) the work must be fixed in a tangible medium (written on paper, on a computer disc, or recorded on tape), 2) the work must be original, and 3) it must contain some bit of creativity. Legally, once a work has been fixed onto a tangible medium, it is copyrighted; a notice on the material is not even required! However, if the author wanted to prove infringement in court in the US, the owner of the copyright must have it registered with the Register of Copyrights, in Washington, DC. The process is simple and very affordable, so the author just needs to determine to what extent they need to protect their work.

Examples where just listing the copyright protection should be enough are educational handouts or any other similar materials for the education of clients. If a professional has created a particular of work that he would like to expand into workshops, or is something he would like to eventually license, it would probably be worthwhile to formally copyright. If you are unsure if your work should be copyrighted, it would be wise to consult with a copyright attorney, but it’s not necessary to use an attorney to apply for copyright protection. Books are definitely copyrighted, however, and the most recent court ruling on royalties due authors who publish their works on the internet indicates that authors who wish to be paid for such works should register, also.

Protecting your name with a trademark
Trademark protection is a huge business! Consider companies such as Nike with their ‘trademark’ swoosh, or the golden arches of McDonalds. A trademark is any word, phrase, name, symbol, sound or device that identifies and distinguishes one company’s products or services from another.

When you consider trademark protection, you can trademark just in your state or federally. It is generally recommended to go for the federal trademark, for wide protection, but then also file for state trademark while you wait through the federal process. Not all trademarks are eligible for federal registration, however, such as descriptive marks. If you are starting a company and have created a unique name that you would like to protect for years to come, it may be a strategy you wish to take. However, the process of obtaining a federal trademark can be complex and it is recommended to use an experienced attorney for the process. Examples of what you might want to trademark could also include a particular logo, tag line or phrase.

The internet
On the internet, domain names, which are website addresses, are given on a first-come, first-served basis. As a result, some people started to buy up domains of names that were trademarked by large companies and then tried to sell those domains to the companies for large amounts of money. There was no protection of trademarked names when it came to domain names. Anyone could use the domain name of Ford.com, for instance.

As a result, Congress passed the Anticybersquatting Consumer Protection Act of 1999 to make it illegal for a person to register a domain name, with bad-faith intent to profit from the name, if the domain is identical or very similar to a distinctive trademark or identical or similar to a famous trademark.

In order to properly protect your intellectual property, you should register or take specific steps to protect it. It is ultimately up to you to know the law when concerned about protecting what you created. When deciding on how far to take your protection, be sure to consider to what extent this property is important to supporting your revenue and competitive advantage. Sometimes it may not be important, such as a simple informational handout, but other times it may be extremely important, such as writing a book and planning to create workshops and programs around that book. As you develop your business, it is important to understand the role that your creation will play in the growth of that business.

In today’s hectic world, the decision of buying a holiday or vacation home is very tempting indeed, but before one takes the plunge there are a few things that should definitely be kept in mind.

Figure out first, why do you need a second home? Will it serve as your retirement or vacation house or a financial investment? These two factors can potentially effect the final decision you make regarding the location, type and price of the house.

If the purpose is to serve truly as a vacation house then be very careful when deciding the location of your dream home. An ideal location would obviously be a destination that you love going to, not just once or twice but time and time again. Choose a place that you have been to and liked.

Before going house hunting get your finances in order. Getting a pre-approved mortgage would help you make the decision, come the crunch time. Be honest and realistic about your limits and make sure you have the payments planned, at least in theory.

Another decision is the type of home you are looking for. A mansion, villa, cottage or a condo all are available options. There are pros and cons for all different options. With Condos and town houses an additional expense might come into play with the HOA fees, but then the maintenance would be taken care of by the HOA as well.

If you want a retirement house, keep in mind facilities that are offered in and around the place for senior citizens. Public transport, medical facilities and clubs etc in the vicinity will make life a lot easier and enjoyable in days to come.

A vacation home should ideally be located at a convenient distance from the primary residence, around 3 to 4 hours drive. Close enough for you to make it easy to travel to every odd weekend or so, but not so close that you would be running there every time an emergency repair has to be made.

The locale should offer you enough to make your stays pleasurable. Golf, fishing, skiing, hiking or whatever else takes your fancy should be on offer in or around the place. The community plays a big part in this regard also. An inviting and friendly neighborhood will certainly add to the quality of time you spend in your holiday house, making your holidays fun.

Buy a vacation house for love; love of the place and its escape value, making it an investment into your mental and spiritual well being rather than monetary gains with a time line of 10 to 15 years. If buying a property in the desired area is looking out of reach, consider the up and coming markets as they would have the potential to grow a lot more than an established destination.

When you rent out a vacation home, it is considered as an income source for you and would incur taxes as well. Make sure you can handle that aspect of your investment as well. Once you are satisfied with your finances and find the right tree and the perfect nest, use it to your heart’s content for the purpose you intended it for. Enjoy it, relax and make the most of your valuable escapes.

Tax exemption on municipal bonds exists because the federal government is restricted from taxing the state government. Consequently, the interest generated by any bonds issued by a state, municipality or other local entity is exempt from federal taxation.

As an added benefit, most states will allow a state tax exemption (double exemption), if the owner of the bond resides in the state of issue. In fact, with the ownership of some bonds, you can receive a “triple tax exemption” by purchasing municipal bonds issued by the city in which you live, assuming the city levies a tax.

Municipal bonds come in a variety of forms. General obligation bonds are backed by the taxing power of the issuing entity. Revenue bonds are backed by the revenues generated from the project being financed by the bond issue. The backing behind individual bonds will directly affect their creditworthiness.

Municipal bonds should be selected by strict criteria based predominantly on the state’s or municipality’s ability to service the debt.

If you decide to invest in tax-exempt securities, there are a number of different choices to consider. You can purchase individual bonds, which come in denominations of $5,000. Or you can consider investing in a municipal bond mutual fund, a portfolio of bonds in which you can invest for as little as $500.

Municipal bonds can also be purchased through a unit investment trust, a closed-end portfolio of bonds with minimums of $1,000.

When considering a purchase of tax-exempt securities, you should consider the tax-equivalent yield of the prospective purchase, the taxation of your Social Security benefits, and your overall investment objectives.

By comparing taxable yields to tax-exempt yields, you can decide whether to invest in taxable or tax-exempt investments.

For instance, if you have a marginal tax bracket of 28 percent and invest in a municipal bond yielding 5 percent, this is equivalent to investing in a taxable investment yielding 6.94 percent.

If you are only able to find a taxable investment that currently yields 6 percent, you will be better off in the tax-exempt bond. If, on the other hand, you can find a taxable investment generating 8 percent, the taxable investment is a better alternative, assuming the investment risks are equal.

Also, be aware that tax-exempt income is included in the formula for determining taxes on Social Security benefits. In some instances it may be necessary to limit your tax-exempt income by shifting to other tax-preferred investment areas.

Note that in some states you will have to pay income tax if you buy municipal bonds issued by other states. In addition, while some municipal bonds may not be subject to regular income taxes, they may be subject to federal, state, or local alternative minimum tax. If you sell a tax-free bond at a profit, there are capital gains to consider.

If they’re in line with your investment objectives, tax-exempt securities can be an excellent means of reducing taxable income.

Mutual funds are sold only by prospectus. Please consider the investment objectives, risks, charges, and expenses carefully before investing. The prospectus, which contains this and other information about the investment company, can be obtained from your financial professional. Be sure to read the prospectus carefully before deciding whether to invest.