A Section 1,2,Jump - Butner Creedmoor News

THURSDAY
THE BUTNER-CREEDMOOR NEWS
COMMUNITY NEWS
B SECTION
HELP A LOCAL FFA
CHAPTER CAMPAIGN
The cashier at
Southern States might
ask you to part with an
extra dollar this month.
But don’t worry. It’s not
inflation on the rise. It’s
for a good cause.
Southern States is
supporting the National
FFA Organization by
selling FFA emblems for
$1. The campaign takes
place February 18 to
March 24, 2013.
“We are deeply
appreciative of Southern
Y OU
D ECIDE :
By Dr. Mike Walden
N ORTH C AROLINA C OOPERATIVE E XTENSION
States and their
assistance to raise
financial support for FFA
and heighten community
awareness about our
organization,” said Rob
Cooper, executive director
of the National FFA
Foundation. “Funds
raised through the sale of
the FFA emblem at
Southern States stores
will support FFA at the
local, state and national
level and ensure that
we’re able to continue to
develop students’ leadership,
growth and career
success potential.”
WHAT ARE
TODAY’S BEST
INVESTMENT
RULES?
Confused about what to invest in today? Join the
club! The stock market has made up most of what it
lost during the recession, but some say it’s gone too
high. Gold is down from its peak, yet worries about
inflation may push it back up. Real estate appears to
be coming back, but for how long? Safe investments,
like certificates of deposit and government bonds, are
available but are paying near-historic low rates.
So there’s uncertainty and worries in the
investment world. This isn’t new. There are always
investing. Investing deals with the future and, of
course, no one can perfectly foresee what’s ahead.
What’s an investor to do? Fortunately, there are
some traditional investment rules that I believe still
apply to today’s turbulent times. There’s no guarantee
that following them will make you rich, but I’m hopeful
they will prevent you from making some big mistakes.
Here are my top five rules.
Risk and return move together: One of the most
frequently asked questions in my 35-year career has
been, "Where can I invest my money to get higher
earnings yet take no risk?" My answer is always short
– nowhere! One of the basic rules of investing is that
risk and return move together. To get a higher return
on your money, you must take more risk. And to have
less chance of losing some or all of your money, you
have to accept a lower return.
This relationship should make sense. The only way
someone will expose their hard-earned invested money
to more risk is with the expectation -- if things work
out -- of earning more on that money.
This is not to say people shouldn’t take some risk
in investing. Indeed, most experts say some risky
ventures should be part of any investment portfolio.
But investors should know the level of risk they’re
taking. Also, investors shouldn’t think they can have
the free lunch of low risk and high returns!
Learn, and only then, leap: I can remember my
late mom and dad sitting around the kitchen table 50
years ago and listening to someone making pitches
for investments. My parents never went to college --
indeed, neither finished high school -- and while
intelligent, they simply didn’t understand the
terminology or ideas of investing. I know they had no
clue as to what the salesperson was saying.
Any investment worthy of consideration should
and can be presented and explained to you in an easilyunderstood
fashion with a minimum of jargon and
complications. And if it can’t be explained to your
satisfaction, then you should walk away. For any
investment, you need to know exactly how your money
will be working, what can go right and what can go
wrong. Don’t let someone wave their hands and say,
"It’s complicated, but it will work out – trust me."
That’s not good enough..
Find fees: Investment managers and companies
have to earn money. So somehow they will be
compensated. That’s understandable. But before you
put your money in any investment, find out exactly
how the compensation occurs. Sometimes it will be
when you initially invest the money, sometimes when
you withdraw the money, sometimes while the
investment is working and sometimes a combination
of the three. The point is, know how you pay and what
you pay.
And beware, fees do vary. So if an investment
charges higher fees, ask what you are getting in return
for those costs.
Decide to diversify: A traditional way of dealing
with risk -- as well as with the reality that knowing
which investments will do best in the future is difficult
-- is diversification. Diversification means putting your
investments eggs into many baskets. How many
baskets? Experts say to consider stocks, inflation
hedges like gold and real estate, short-term "cash"
investments such as money market funds and longterm
bonds paying a fixed interest rate. Mutual funds
are a great way to access most of these baskets.
How much money you put in each is a personal
choice, but having greater percentages in safer
investments -- like cash and bonds -- as you age is
usually recommended.
Timing is tough: Most investors have dreams of
timing their investments, meaning moving money in
just as the investment is ready to take off, then moving
money out prior to a drop or crash. It’s good to have
dreams, but this is one that is very, very difficult to
achieve. Many have tried -- and may succeed for a
while -- but eventually the odds catch up to them. So
rather than trying to hit a home run with your
investments, the alternative is to go with singles and
doubles!
These investment rules have made sense (and
cents) in the past. Do they still make sense today?
You decide.
Southern States is a
supporter of FFA and is
proud to be the sponsor
of the “I’m Supporting
FAA” fundraiser, said
Thomas R. Scribner,
president and CEO of
Southern States. “Every
dollar collected will
benefit FFA members
across the area.
Southern States has a
rich heritage of working
with FFA and hopes the
public will assist with the
project by supporting the
effort and contributing a
dollar for a personalized
paper FFA emblem.”
After you buy an
emblem, you can sign
your name on it or even
the name of a child you
care about. The emblems
will then be displayed in
the store for all to see.
Proceeds are split
between the local FFA
chapter, the state FFA
association and the
National FFA
Foundation.
To buy a paper
emblem, visit a
participating Southern
States Cooperative near
you.
Tax & Business
INFORMATION PROVIDED BY
Cozart & Edwards, PA
Certified Public Accountants
DON’T MISS THESE TAX-CUTTERS ON
YOUR 2012 RETURN
As you assemble the paperwork you’ll need to file
your 2012 tax return, take a minute to review some
last-minute moves you could make to cut last year’s
tax bill. Also, pay attention to deductions you
shouldn’t overlook. Here’s a quick checklist.
( The American Taxpayer Relief Act, signed into
law on January 2, 2013, has some tax-savers for 2012.
The law restored for 2012 through 2013 the following
tax breaks:
* The optional deduction for state and local sales
taxes in lieu of deducting state and local income taxes.
* The above-the-line deduction for up to $4,000
for qualified tuition and related expenses.
* The above-the-line deduction for up to $250 of
classroom supplies purchased by teachers.
* The exclusion from income for cancellation of
mortgage debt of up to $2 million on a principal
residence.
* The deduction for mortgage insurance
premiums.
* The tax credit for making energy-saving home
improvements.
( If you’re in business, the new law included some
tax breaks you shouldn’t overlook. The first-year
expensing option for equipment purchases in 2012
was increased to $500,000, with a $2,000,000 total
limit. The research tax credit, the work opportunity
credit, and the 15-year recovery period for qualified
leasehold and retail improvements and qualified
restaurant property were all made available for 2012.
( If you qualify, you have until April 15 to make a
deductible 2012 IRA contribution. The maximum
2012 contribution is $5,000 if you’re under age 50
and $6,000 if you’re 50 or older.
( The $2,500 deduction for student loan interest
is still available for 2012 and can be taken even if
you don’t itemize deductions on your return.
The tax law gets more complicated every time
Congress passes another bill, but don’t let your tax
bill creep higher than necessary through oversight.
Call our office if you want details on any of these or
other ways to cut your 2012 tax bill.
Senior Center
Activities Schedule
PO Box 766, Hwy 56E. & Main Street
Creedmoor, NC 27522
Week of Mon. Feb. 25 - Fri. March 1, 2013
Daily: 8:30 - 11:30 a.m. Walking in the Gym
9:00 - 10:00 Coffee Hour
12:00 - Lunch
For More Information - Call 528-0848
www.granvillecounty.org
Click “Senior Services”
Monday, Feb. 25: 8:45 Game Time, 10:00
Painting Class w/Alma Burke, 11:15 Devotion:
Minister Phil Morton, 4:00 Zumba Gold Class.
Lunch 12:00: Chicken Salad, Broccoli Salad,
Pineapple, Crackers, Milk.
Tuesday, Feb. 26: 8:45 Game Time, 9:00 L.I.
Aerobics, 9:00 AARP Tax Assist. Program (by
Appointment),10:15 Exercise for Arthritis, 10:45
Bible Study w/Dr. Mercedes Summers,12:30 Water
Aerobics - YMCA, 4:00 Computer Class.
Lunch 12:00: Fried Fish, Green Beans,
Coleslaw, Cornbread Square, Milk.
Wednesday, Feb. 27: 8:45 Game Time, 10:15
Bingo(Sponsored by Universal Health Care,
Oxford), 2:30 Royal Jewels Meet.
Lunch 12:00: Hamburger, Corn on the Cob,
Lettuce/Tomato, Hamburger Bun, Milk.
Thursday, Feb. 28: 8:45 Game Time, 9:00 Low
Impact Aerobics, 10:00 Crochet Club, 10:15 Exercise
for Arthritis, 12:30 Water Aerobics - YMCA, 4:00
Computer Class.
Lunch 12:00: Teriyaki Chicken, Rice, Asian
Blend Vegetables, Roll, Citrus Sections, Milk.
Friday, March 1: 8:45 Game Time, 9:00
Ceramics Class/Joan Harrison & John Smith, 9:00
Zumba Gold Class, 12:00 March Birthday Party,
12:30 Card Games.
Lunch 12:00: No Menu
• Milk is served with each meal - Chocolate milk
and 2% low fat milk are available.
Savvy
Senior
You ask the Senior question ~ We find the Savvy answer
How Medicare Covers Diabetes
Dear Savvy Senior,
What does Medicare cover when it comes to
diabetes? I’m 65 and have pre-diabetes, and would like
to find out what all is covered.
Fat Albert
Dear Albert,
Medicare actually offers a wide range of coverage
to help beneficiaries who have diabetes, as well as those
who are at risk of getting it – but they don’t cover
everything. Here’s a breakdown of what Medicare
covers when it comes to diabetes services and supplies
along with some other tips that can help you save.
Doctor’s services: If you’re a Medicare beneficiary,
Medicare Part B will pay 80 percent of the cost of all
doctor’s office visits that are related to diabetes. You
are responsible for paying the remaining 20 percent
after you’ve met your annual 2013 $147 Part B
deductible.
Screenings: If you don’t currently have diabetes,
but you do have pre-diabetes or some other health
conditions that put you at risk of getting it – such as
high blood pressure, high cholesterol and triglycerides,
are overweight, or have a family history of diabetes –
Medicare will pay 100 percent of the cost of up to two
diabetes screenings every year.
Education: If you have diabetes, Medicare covers
80 percent of the cost of self-management training
(after you meet your Part B deductible) to teach you
how to successfully manage your diabetes.
Supplies and medications: Eighty percent of the
cost of glucose monitors, test strips and lancets (100
per month if you use insulin, or 33 per month if you
don’t), glucose control solutions and insulin (if you use
an insulin pump) are covered by Medicare Part B, after
you’ve met your deductible.
If, however, you inject insulin with a syringe,
Medicare’s Part D prescription drug benefit may help
pay your insulin costs and the supplies needed to inject
it – if you have a plan. Part D plans also cover most
other diabetic medications too. You’ll need to check your
plan for details.
Nutrition: Medicare will pick up the entire tab for
medical nutrition therapy, which teaches you how to
adjust your diet so you can better manage your
condition. You’ll need a doctor’s referral to get this
service.
Blood sugar tests: Also known as a hemoglobin A1c
test, this checks your average blood sugar level over
the past three months to determine how well your
diabetes is being controlled. Medicare covers this test
when your doctor orders it.
Foot exams: Since foot problems are common among
people with diabetes, Medicare also covers 80 percent
of foot care every six months for diabetics with diabetesrelated
nerve damage, and therapeutic shoes for people
with severe diabetic foot disease. Orthopedic shoes are
not covered.
Eye exams: Because eye diseases like diabetic
retinopathy, glaucoma and cataracts are more common
in diabetics, 80 percent of dilated eye exams are covered
each year, but eye exams for glasses are not.
For more information, call Medicare at 800-633-
4227 and ask them to mail you a free copy of the
"Medicare’s Coverage of Diabetes Supplies & Services"
booklet (publication 11022), or see medicare.gov/pubs/
pdf/11022.pdf.
Other Insurance
If you have a Medigap (Medicare supplemental
insurance) policy, it may pay some of the costs that
Medicare doesn’t cover. Call your plan’s benefits
administrator for more information.
Or, if you’re in a Medicare Advantage plan (like an
HMO or PPO), your plan must give you at least the
same diabetes coverage as original Medicare does, but
it may have different rules. You’ll need to check your
policy for details.
Financial Assistance
If you’re income is low, and you can’t afford your
Medicare out-of-pocket costs, you may be able to get
help through Medicare Savings Programs. Call your
local Medicaid office for eligibility information.
Also, find out if you are eligible for "Extra Help"
which helps Medicare Part D beneficiaries with their
medication expenses. Visit www.ssa.gov/
prescriptionhelp or call Social Security (800-772-1213)
to learn more.
FINANCIAL FOCUS
CHRIS ELLIS
EDWARD JONES INVESTMENT FIRM
CAN INVESTORS LEARN
FROM YOGA FOLLOWERS?
World Yoga Day takes place on February 24. But
whether or not you practice yoga, you can apply some
of its lessons to other areas of your life-such as
investing.
For example, consider one of the most important
principles of investing: balance. As an investor, you
too need to seek balance by avoiding extremes, such
as investing too aggressively or conservatively.
Yoga teachers also stress flexibility. And you will
need to be flexible enough to adjust your portfolio
periodically while still maintaining your long-term
strategy.
Yoga students strive for relaxation. As an investor,
you also need to relax and not overreact to the ups
and downs of the market.
Yoga teaches its students to exercise positive
thinking. When you invest, you can benefit by
maintaining a positive attitude. By staying positive,
you may be more likely to make better decisions for
the long term, rather than overreacting to short-term,
negative events.
Try putting the teachings of yoga to work -- they
may help you become a better investor.
This article was written by Edward Jones for use
by your local Edward Jones Financial Advisor.