July 17, 1996 A Doleful Retirement When Senator Bob Dole left his Capitol Chambers to run for President full time the press made it seem as it he was destitute and needed money because he gave up his "job". But the Doles are prime examples of thrift and the results of two lifetimes of hard work that most people could be envious of. Here`s what he has- $107,118 per year in congressional pension (average person gets 27% of former pay-Congressmen get 72%) $17,00 per year in Social Security $18,600 per year in tax free military disability pay $100,000 in a Thrift Savings Plan $1,100,000 in Keogh and IRA accounts Here`s what Elizabeth Dole, the President of the American Red Cross has- In three years she is eligible for an annual pension of $46,000 for her 28 years in government. Social Security of $12,000 per year. $615,000 in Keogh and IRA accounts Plus all the corporate boards they can serve on. Women Believe Investing is a Man`s Job It`s Time For a Change of Attitude Women have been socialized to believe that the men in the family will take care of them. If you`re a women and you believe this and think you don`t need to concern yourself with financial planning you are living in a dream world. If you are a man you have some educating to do. Women live an average of seven years longer than men, the divorce rate is at 47% and an increasing number of young women are marrying much later in life than their mothers did. If you are a woman, you need to compile your own investment plan immediately. If you`re a man, you need to encourage the women in your life to take an active role in planning their financial future and learn about investing. Women who are 35 and older, grew up in an era when they were taught their real responsibility in life would be domestic, and their upbringing created a lack of confidence and desire to handle long term financial decisions. Even when women are aware of the need to save for retirement, they often are too cautious. Single women invest less than 14.6% of their non-real estate assets in stock, whereas, men invest 27.4%. The reason, women are more risk-averse than men. If they lose money, they internalize the guilt, whereas men are able to shrug it off more easily. Women are more likely to put all their money into certificates of deposit, bonds or worse-bank savings accounts-because they believe their money will be safest there. That`s the greatest mistake-putting money in the bank and going broke safely. We suggest that women should contact a financial planner to see about the advisability of investing. We note here that Howard Lisch is a financial planner and a registered representative and is able to handle all your financial planning needs. Sneak Preview Howard Lisch is now a licensed mortgage broker and as such can help you with home financing, refinancing, home equity lines, etc. We can offer mortgages from GMAC of customizable length and terms as well as non income verification mortgages; all with far more service and smiles than the "Bank you have a friend at!" More in a later letter. It`s Easy to Prepare a Tax Return There are 37 members of the House Ways and Means Committee and 19 members of the Senate Finance Committee, all experts on the tax law, only 6 of whom prepare their own tax returns, a rate of 10.7%. Riddle me this? Why does the Commissioner of the IRS, Margaret Richardson hire a professional to do her taxes? Bill Archer claims to be the first House Ways and Means Chairman to do his own taxes. Bob Dole and Alfonse D`Amato also hire professionals to do theirs. What Kind of Firm Are We? Like the virus in Michael Crichton`s Andromeda Strain, we are constantly mutating, We used to be an accounting firm that did auditing, accounting, tax return preparation and tax planning. We are rapidly becoming a one stop financial service organization that has three companies that provide the following services, through either Accounting Offices of Howard Lisch, Howard Lisch Financial Planning Services or Howard Lisch, Esq. Home Mortgages Accounting Tax Planning Investment Services Home Equity Loans Bookkeeping Tax Advice Individual Retirement Accounts Refinancing Compilation Service Tax Return Preparation Pension Plans Review Service Checking Accounts Debit Cards Certificates of Deposit Legal Services Management Consulting If you have any questions about this or any other financial matters, please call me.