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18 Aug

The Way High Net Worth Individuals Think About Philanthropy is Changing

Philanthropy has always been a major component of financial planning for many wealthy families. In the past, it was common to set up a trust or a foundation to conduct such philanthropic activities in a tax-exempt manner. These entities, however, are susceptible to increased scrutiny from other governmental agencies. For this reason, a new breed of billionaires has started to emerge with a new way of thinking about how to involve themselves in philanthropic causes with less headache.

The Emergence of Charitable LLCs

One such endeavor by Facebook founder Mark Zuckerberg and his wife Dr. Priscilla Chan made headlines when the two structured their philanthropic organization, the Chan-Zuckerberg Initiative, as a privately held limited liability company (LLC).  They weren’t the first billionaires to set up their charitable organizations in this way. Chan and Zuckerberg’s initiative follows the footsteps of such charitable entities as the Emerson Collective, founded by Steve Jobs’ widow, and the Omidyar Network, founded by eBay founder, Pierre Omidyar and his wife, which are both set up as charitable LLCs instead of nonprofits.

A charitable LLC is legally no different from a for-profit LLC, which means it is governed only by applicable corporate law. A nonprofit foundation or trust, on the other hand, would be subject to further state nonprofit statutes and additional oversight by attorneys general and the IRS. With an LLC, although the entity is subject to federal and state taxes, there are no restrictions on donations, investments or income. There are also lighter restrictions on political activities than governing charities, allowing for more flexibility within the organization. In fact, the owner of the charitable LLC has almost complete flexibility to change the LLC’s mission or projects at any time. The LLC also provides a veil so that it is more difficult to see how much money was donated or utilized in a given year.

Millennials Embrace New Philosophies of Giving

Not only are the new ways of structuring philanthropic causes changing, but the number of new donors among the Millennial generation is also changing. According to CAF America, as the philanthropic landscape undergoes a transition, the profile of donors is also shifting as more and more Millennials are making significant donations and funding various charitable projects.

The way Millennials give is also a departure from Baby Boomers’ style of giving. While Baby Boomers have traditionally zeroed in on organizations or philanthropic causes that hit close to home, Millennials are more broad in their charitable approach. Many Millennials, including Facebook co-founder Dustin Moskovitz and his wife, embrace a charitable philosophy known as “effective altruism”, which is the belief that donors should give to causes where the greatest positive impact can be achieved through one’s donation.

Few Millennials Consult Financial Advisors Before Giving

While it is encouraging to foretell the generosity of the next generation, one point of concern, however, is that only 47% of multimillionaires aged 18 to 34 consult a financial advisor before making philanthropic decisions, according to a report by U.S. Trust. Even of those who do use a financial advisor, only a small percentage reported discussing philanthropic activities with them.

This is concerning because there are various ways to structure entities or donate funds to charitable causes that can have a tremendous effect on your tax burden for the year. By failing to limit your tax liability, even someone with the best intentions may have less to give to the causes they believe in each year. One simple example is offsetting charitable contributions against other capital gains to reduce future tax burdens. If you don’t consult a wealth advisor on issues like these, they won’t be able to help you implement this strategy to save money on your taxes, allowing you to give more to the causes you care about most. An open line of communication with your financial advisor is crucial, particularly when it comes to donating your wealth to causes that are close to your heart, so you can maximize your charitable impact.

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17 Aug

How to Make Your Inheritance Last

MP900404926A 2012 study by Ohio State researcher Jay Zagorsky found that about one-third of Americans who receive an inheritance have negative savings within two years of getting their money, and of those who receive $100,000 or more, nearly one in five spend, donate or simply lose it all.  If you are about to receive an inheritance, there are several steps you can take to insure your funds will last longer than a few years. read more

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15 Aug

Keep Up Financially with the Changing Seasons

6a01b8d0a6271d970c01bb0882e4f2970d-500piAs the summer season will eventually come to an end and we head into the fall, a parallel can be drawn between the seasons of weather and the seasons of money. Just as you have spring, summer, fall and winter, there are four financial seasons of life that include accumulation, preservation, distribution and succession. Approaching your finances with these four seasons in mind can help to keep you on track toward reaching your long-term financial goals. read more

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13 Aug

Mainstream Ayurveda vs. SV Ayurveda

As an Ayurveda fan you probably know that Ayurveda originated in India more than 5,000 years ago. The Maharishi Mahesh Yoga introduced Ayurveda to the USA in the 1960s. The Beatles were followers of the Maharishi, and learned to meditate, causing meditation to gain momentum in the west. A few decades later, Deepak Chopra comes out with his book “Perfect Health” and talks about Ayurveda with Oprah on national television. Then the practice of yoga becomes popular as a form of fitness, and as people see the benefits, they begin to explore and embrace its sister science Ayurveda.

As more westerners learned about Ayurveda, they would adapt it to fit their modern lifestyles. Instead of “one” Ayurveda, there became a variety of interpretations – hence the Ayurveda that is most prevalent here in the west today, “Mainstream Ayurveda.”

Mainstream Ayurveda – the kind I learned originally – is a simplified version of Ayurveda. Less Sanskrit, fewer “rules” – more of an introduction to Ayurveda. There’s nothing really wrong with it, but it’s not “deep” into the vast amount of knowledge that Ayurveda provides. We learned about the doshas, the daily routine, and a little massage, and then were sent on our way. If we wanted to learn more, there were books – so that’s what I did, and luckily at that time, back in the late 1990s – the books that were available were by some pretty good teachers, like Dr. Vasant Lad and Dr. David Frawley.

But as time went on, and the original teachers taught others to teach, the knowledge really got watered down. And then as the word spread, and yoga got super popular and every yoga teacher wanted to say something about Ayurveda, some of the knowledge got misinterpreted, and misunderstood – and even put into books and classes and webinars. Kind of like that children’s game of “Telephone” so now Mainstream Ayurveda looks in many ways very different from authentic, traditional Ayurveda.

And in the wrong hands, sometimes this misinterpreted knowledge can even be dangerous. For example, I recently saw a prominent figure in the Ayurveda community provide a “gut flush” recipe in an e-mail newsletter that went out to hundreds of thousands of people. She recommended taking pure lemon juice mixed with fresh raw ginger and cayenne pepper and drinking it every morning on an empty stomach. She said to make one big batch and it would keep in the refrigerator for a week. That’s just bad advice – and it is being labeled as “Ayurveda.” The harm is that when people take this advice, and end up with upset stomachs or worse, they’re going to blame Ayurveda, and you know how things go viral these days… that’s what happens. It’s bad PR for Ayurveda!

There’s another woman, with an Indian name who is not Indian, you might have heard of her, she is famous for being the ex-wife of a TV star. She is now billing herself as an “Eye-Ra-Ved-a” expert with her own line of products named after herself, and she even has a course out. Clearly she knows little about Ayurveda as she can’t even pronounce the word. Her objective is to sell products.

One way to gauge the authenticity of your teacher’s knowledge is to ask about the lineage. Where is the teacher getting this information?

My mentor, Vaidya RK Mishra teaches that the original source of all the wisdom in Ayurveda is the Carak Samhita. Interestingly enough, when I was originally learning Ayurveda, the Carak Samhita was never mentioned! It was many years before I understood how important, and how essential, this text is.

Using this classic text from the ancient school of Ayurveda, “from sutra to science,” is one of the hallmarks of Vaidya Mishra’s practice of Shaka Vansya Ayurveda – SVA. This is an integral part of Vaidya Mishra’s lineage. His familial lineage is traced in the ancient Vedic text, the Puranas.

Vaidya Mishra’s paternal ancestors have always been Ayurvedic physicians serving the Kings and Royal Families of India. They lived in a village called “Vaidya Chak” (literally: small village of healers) in the district of Bhagalpur in the state of Bihar, India for at least the last ten generations. Their practice was enhanced by handed-down secrets and recipes, always formulated and kept in the spirit of the original classical teachings, not contradicting or subtracting from the essence of the sutras in the Carak Samhita.

Although Vaidya Mishra completed his formal training in institutional Ayurveda he also practices according to the guidelines of his ancestry. His practice is informed by modern ayurvedic scholarship as well as modern western scientific medicine, in addition to the ancient knowledge held in his tradition.

Vaidya Mishra knows that the stress of modern lifestyles, including environmental pollution, toxic diets, and poor personal routines, exert more and more pressure on the physiology’s coping mechanisms. He understands that Ayurvedic therapies must adapt to meet the needs of these modern times while maintaining the bio-energetic purity and integrity of their ingredients. Combining this age-old knowledge of SVA, with current advances in research and technology, he’s been able to create many amazing products that help people deal with all kinds of health issues. You’ll see scientific studies cited in his books. Although Ayurveda has had this wisdom all along, now modern science has done us the favor of proving it to be true.

While there are many things that SVA does differently than Mainstream Ayurveda – here are just two:

 

– What we eat. Mainstream Ayurveda talks about the six tastes, and which tastes are best for the seasons and the doshas. SVA take this further, into deeper knowledge about what foods cause inflammation, what foods are to be used as medicines rather than foods, and specific ways that foods should be prepared to best be assimilated into the physiology so that the physical body is nourished.

Mainstream Ayurveda also makes “accommodations” that allow for our modern day conveniences. For example, The Carak Samhita says we should never eat leftovers. Yet some ayurvedic authors say that this is because back in the day we didn’t have refrigerators, so now we can have leftovers. One author says three days in the fridge is ok, another says up to one week. There’s no general agreement. But SVA is clear – no leftovers. And it doesn’t matter if we have refrigeration, it’s not just because of the bacteria that gets into food. It’s also because SVA sees all food as Sattvic (healthy, intelligent and filled with life force), Rajasic (stale, processed, or “dumb” food), or Tamasic (basically “dead” food that can be bad for you).

When you learn more about SVA you understand why you should not be eating garlic, onions, potatoes, tomatoes, bell peppers and eggplant. While Mainstream Ayurveda may tout the benefits of these foods, SVA refers back to the Carak Samhits with specific reasons why these foods could actually be harmful.

– The vibrational body. Mainstream Ayurveda compares Marma therapy to acupressure and uses it in much the same way. Marma therapy is a whole science unto itself, and one that SVA endorses for many uses – for health, for beauty, and for spiritual growth. There is specific protocol in SVA for this. SVA gives us a “whole person” picture of the physical body and the vibrational body – how to find the balances and imbalances in each and what to do about them.

– Purification and detoxification. Mainstream Ayurveda is all about Panchakarma. But Vaidya Mishra and SVA says it’s not so simple. Sometimes more harm than good can be caused by detoxification so we have to be very careful. The liver, the colon, and the enzymatic system – all of these things come into play when looking at the intelligence of the channels, and preparing the channels. SVA gives us a deep understanding of this. SVA says that with the proper lifestyle we can keep ourselves from getting out of balance and needing any detox in the first place. It also provides gentle rebalancing protocol so that we can avoid any possible detox poisoning. SVA promotes the use of specific spices and herbs to help clear the channels for gentle and effective purification of the system.

 

When you practice SVA you learn that Ayurveda is not an “alternative” medicine, it can be our FIRST medicine. With SVA there is always a solution. To learn more visit Vaidya Mishra’s blog: http://www.vaidyamishra.com

 

 

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12 Aug
10 Aug
08 Aug

Who Gets What?

Family Portrait At ChristmasThe murkiest part of estate planning is discussing when and how to distribute your assets to your heirs. This process requires a series of considerations and trade-offs to avoid emotion-laden family problems… when it comes to these issues, things get gray because emotional factors drive decisions now. There is no correct answer on how to distribute your estate. read more

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04 Aug

Where There’s a Will …

6a01b8d0a6271d970c01bb0882e6df970d-500piThere are a multitude of mistakes that people make when it comes to putting together their wills.  These include naming of executors and custodians, trying to write their own wills, and not considering items such as liquidity. One of the colossal failures in estate planning I witness when people make their wills is not coordinating the will with the overall beneficiary designations they have chosen. read more

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03 Aug

Kids: Don’t Fight!

Children Holding Hands on School PlaygroundMany people think sibling feuds only occur when we are young. In some cases this is true, but for some siblings this feud can continue into adulthood, tearing families apart. Caring for an ill parent or settling their estate once they have passed can start a feud or add to an already existing one. When parents divide their assets to their children, they don’t expect such fights to occur, but it can be the case. read more

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02 Aug

Why Wait?

6a01b8d0a6271d970c01b8d17bcba9970c-500piThe number of Malaysians making wills has soared following the recent airline tragedies. An estate planning firm here has reported a 40 per cent increase in new wills while public trustee AmanahRaya has received more requests from companies to hold talks for their employees on the importance of estate planning. “There is usually a surge (in new wills) whenever a (widely reported) tragedy occurs because it reminds people that life is fragile and it is better to be safe than sorry,” Rockwills Trustee Bhd senior general manager Azhar Iskandar Hew said. read more

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