In the Midst of the Border Crisis

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We believe… that it is our responsibility to care for the poor, the sick and the disadvantaged, and to use our talents for the betterment of mankind through education, opportunity and freedom.

Stewardship Foundation Credo #6

The Stewardship Foundation was founded on six defining principles that remain today our guiding tenets. There are currently 11.2 million unauthorized immigrants residing in the United States (Pew Research Center, 12 June 2019), and the number grows by hundreds of thousands as those who feel compelled to come with the promise of employment stream over the border. Our reaction is a mix of compassion, confusion, and too often political rhetoric. But if we believe in our Principle #6 (above), can we deny these people the education, opportunity and freedom that we hope for all mankind?

On one hand, we are alarmed at the risks that they take from dangerous smugglers looking to exploit these mostly low-skilled workers and their families during their trek north. On the other hand, our immigration policy exists to maintain an orderly and rational means for people to immigrate here, for the betterment of all (the common good).

The Church teaches that good government has two duties: welcome the foreigner out of charity and respect for the human person, and to secure one’s border and enforce the law for the sake of the common good. 

The U.S. Catholic Bishops’ pastoral letter of 2003 “Strangers No Longer: Together on the Journey of Hope” notes that all people have the right to economic freedom—the right to work for a living and support their families. In 2003, they could not have foreseen the murder, crime, violence and corruption that would befall Honduras, or that schools would grow so expensive there that families would flee to the U.S. simply to educate their children so they can have a better life. 

Even on the heels of 9/11 and the real threats of terrorism, the Bishops perhaps could not foretell the depth of the drug crisis and its ever-greater impact on both Mexicans and Americans as more and more drugs are illegally funneled across the border.

While we struggle to reconcile these things, our hope lies in more targeted, humane, and proportional enforcement measures; cooperation of the countries of Latin America; and the courage to stand by our treasured U.S. Constitution, our laws and leaders while we collectively figure this out.

How the Wealthy Can Pay Less Tax in 2019

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The Tax Cuts and Jobs Act was signed into law in late 2017, effectively lowering the tax bracket for America’s highest earners from 39.6% to 37%. Most us, however, are somewhere between 22% and 32% and we don’t pay taxes on everything we make. Nonetheless, the new law has made us all pause and rethink how we save and give. We’re looking at creative ways to to protect what you have and bring down taxes.

Here’s what the wealthiest among us are doing:

  1. Not waiting until the end of the year to plan; 
  2. Having regularly scheduled meetings with their financial advisor;
  3. Owning land that can be taxed as a “conservation easement” or green space;
  4. Owning stocks and working with their investment advisor to actively manage capital gains and losses for tax advantages;
  5. Structuring a limited liability company, LLC, to manage investments and deducting management fees as a business expense;
  6. Taking advantage of the temporary doubling of exemptions (until 2025) for estate and gift deductions to lower taxable income;
  7. If you’re a business owner, consider a defined-benefit plan (like a pension) to set aside more tax-deferred money than you can in a regular 401(k).

Of course, these ideas to protect and grow income by lowering tax liability may not work for your particular income and tax bracket, but it may pay to find out now. There’s still time to weigh options and make changes. Call our office for an appointment.

PS: You can still take a deduction for charitable giving, but you have to itemize your taxes and the TCJA nearly doubled the standard deduction to $12,000 for individuals and $24,000 for married couples, making it a higher bench over which to climb.

“Sell All That You Have”

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A rich young man said to Jesus, “What must I do to inherit eternal life?” Jesus answered, “Sell all that you have and give to the poor.” Mark 10:21

What? Sell my home, my cars, the sofa, the lawnmower, clothing, shoes, and all that stuff in my garage? You’ve got to be kidding!

When we, as wealthy Americans (and we are all wealthy as compared to the world population), read this Bible passage, how does it make us feel? Confused mostly, because it can’t be possible for God to wish that we actually sell all that we have and, after it’s all gone, still give more to the poor!

If we have “stuff” and money, are we doomed to the eternal fire because we disobeyed Jesus?

Look at the passage again, the rich young man asked Jesus how to inherit even more than he already had. In addition to his worldly goods, he also wanted to “inherit” (get without working for it) eternal life. 

Jesus was teaching the young man a valuable lesson. Serve the Lord, not money. Comparing the concept of eternity, endless time, with the 70 – 90 years of earthly life, can put a few things into perspective. We also learn in 1 Timothy 6:17-19, that we can serve God and His people by means of our money so as to “win the life that is true life.” Bottom line, material wealth should never become our god, nor should our greed prevent us from reaching out to the needy.