Michael Cohen meets with NY prosecutors looking into Trump Org. and Stormy Daniels payments


New York
CNN
 — 

Michael Cohen, the former personal attorney to ex-President Donald Trump, met Tuesday with the Manhattan district attorney’s office, the clearest sign that prosecutors are zeroing in on the Trump Organization’s involvement in hush-money payments made to adult film star Stormy Daniels.

As he arrived at the building Cohen said he was complying with a request to meet with prosecutors.

“Called. Asked to come in. That’s what we’re doing,” he said.

About 90 minutes later, Cohen left with his attorney, Lanny Davis, and said, “The meeting went very well.” He added that prosecutors asked him not to disclose the substance of what was discussed but, Cohen said, “It appears that I’ll probably be meeting with them again.”

Davis said he believed prosecutors were “serious” about the investigation.

Cohen previously met with Manhattan prosecutors 13 times over the course of their sweeping investigation into the Trump Org. Their meeting on Tuesday is the first in more than a year.

The focus of the DA’s investigation has returned to the $130,000 payment made to Daniels to stop her from going public about an affair with Trump just before the 2016 election, people familiar with the matter said. Trump has denied the affair.

The district attorney’s office has also reached out to Keith Davidson, who represented Daniels in the hush money deal, in recent weeks but he has not been scheduled for an interview, a person familiar with the matter said.

Cohen was a key player in the hush-money scheme. He facilitated the payments and was reimbursed by the Trump Org. for advancing the money to Daniels. Cohen pleaded guilty to nine federal charges, including campaign finance violations, and was sentenced to three years in prison.

Prosecutors are also looking into potential insurance fraud after new material came to light from the New York attorney general’s civil investigation into the accuracy of the Trump Organization’s financial statements, the people said.

On Friday, the Trump Organization was sentenced to a $1.6 million fine after it was convicted last month of a running a decade-long tax fraud scheme.

Bragg told CNN on Friday that the sentencing represented the closing of one chapter in the office’s investigation, but they are moving onto the next phase.

“It’ll go as long as the facts and the law require,” Bragg said when asked how much longer the yearslong investigation will continue. “But as I said today, we ended a very important chapter. So, a good part of the year was focused on this very, very consequential chapter and now we move on to the next chapter.”

Bragg inherited an investigation focused on the accuracy of the Trump Organization’s financial statements, but he did not authorize prosecutors to move forward to seek an indictment. At the time, he said when the investigation is over he would either publicly announce charges or that the probe had closed.

This story has been updated with additional details.

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What we know about ex-GOP candidate arrested in connection with shootings at homes of New Mexico Democrats



CNN
 — 

An unsuccessful Republican candidate for state office in New Mexico who attributed his defeat to a “rigged” election is accused of masterminding a series of shootings targeting the homes of elected Democrats.

Solomon Peña, who lost his 2022 run for state House District 14, was arrested Monday by Albuquerque police for allegedly paying and conspiring with four men to shoot at the homes of two state legislators and two county commissioners in December and January, authorities said. No one was injured but investigators said Peña intended to cause serious injury or death.

Gunshots were fired into the homes of Bernalillo County Commissioner Adriann Barboa on December 4; incoming state House Speaker Javier Martinez on December 8; then-Bernalillo Commissioner Debbie O’Malley on December 11; and state Sen. Linda Lopez on January 3, according to police.

CNN has reached out to Peña’s campaign website for comment and has been unable to identify his attorney.

Here’s what we know about Peña:

After losing the November election and before the recent shootings, Peña approached a legislator and some county commissioners at their homes, uninvited, with paperwork he claimed showed fraud was committed in the vote, according to police.

Barboa was one of those officials. Shots were later fired at her home on December 4, police said.

“He came to my house after the election. … He was saying that the elections were fake … really speaking erratically. I didn’t feel threatened at the time, but I did feel like he was erratic,” Barboa told “CNN This Morning” on Tuesday.

Peña lost his race to Democratic state Rep. Miguel Garcia 26% to 74%. A week later he tweeted he “never conceded” the race and was researching his options.

In the mid-November tweet, Peña mentioned former President Donald Trump, whose falsehoods about election results, principally among Republicans and usually without proof, have exploded nationwide since he lost his reelection bid and began propagating lies about the theft of the 2020 presidential election.

The false claims of electoral fraud have stoked anger – and unapologetic threats of violence – against public officials down to the local level.

“Trump just announced for 2024,” Peña tweeted. “I stand with him.”

On December 12, Peña responded to a tweet posted by current House Minority Leader Hakeem Jeffries, a Democrat, who wrote, “Violent insurrectionists and extreme MAGA republicans are melting down over repeated election losses. So they accuse Dems of undermining democracy. Get lost.”

“I disagree,” Peña tweeted. “New Mexico elections are absolutely rigged. And we will pursue justice.”

On January 2 and again on January 9, Peña reiterated his election denial and fraud claims, tweeting that he “will fight it until the day I die” and vowing “MAGA nation 4ever!”

Peña faces charges stemming from the four separate shootings.

On December 4, shots were fired at Barboa’s home.

Barboa said she discovered evidence of the gunshots after returning from Christmas shopping.

“It was terrifying. My house had four shots through the front door and windows, where just hours before my grandbaby and I were playing in the living room,” Barboa said in a statement.

“Processing this attack continues to be incredibly heavy, especially knowing that other women and people of color elected officials, with children and grandbabies, were targeted.”

Barboa said she is grateful for an arrest in the case, she told “CNN This Morning” on Tuesday.

“I’m relieved to hear that people won’t be targeted in this way by him any longer,” she said.

On December 8, a shooting was reported at the home of Martinez.

“I deeply appreciate our Albuquerque Police Department for their hard work throughout the investigation into these shootings targeting elected officials. I am grateful a suspect is in custody, and I trust our justice system will hold those responsible accountable,” Martinez said in a statement.

“We have seen far too much political violence lately and all of these events are powerful reminders that stirring up fear, heightening tensions, and stoking hatred can have devastating consequences.”

O’Malley’s home was targeted on December 11.

“I am very relieved – and so is my family. I’m very appreciative of the work the police did,” O’Malley told CNN on Monday evening.

O’Malley and her husband were asleep when more than a dozen shots were fired at her home in Albuquerque on December 11, she said.

O’Malley called the police to say the adobe fencing at her home had been damaged by gunfire. While police were investigating, O’Malley mentioned Peña had come to her home a day or two before the incident complaining about the recent election results, the affidavit said.

Ring doorbell camera video shows Peña looking for Debbie O'Malley at an address where she used to live.

Ring doorbell camera footage recorded at O’Malley’s previous residence and obtained by CNN showed Peña outside the door and knocking, holding documents in his hands.

The current resident spoke to him through the camera’s speaker feature, telling him O’Malley no longer lived at that residence and directing him to her new home.

On January 3, Lopez’s home was hit, according to police. At least eight shots were fired at the southwest Albuquerque residence. Police said Peña pulled the trigger on one of the firearms.

“Myself and my children were awakened by some loud noises. Initially, I thought they were fireworks,” Lopez told CNN affiliate KOAT. “It’s very scary. You know, as a mom, it’s something you never want to experience.”

Three shots entered her daughter’s bedroom and two were fired into Lopez’s bedroom, KOAT reported.

Lopez told police she “heard loud bangs but dismissed them as fireworks at the time,” according to the arrest warrant affidavit for Peña.

Lopez’s daughter thought a spider was crawling on her face and sand was in her bed, the state senator told police. Officers found “sheetrock dust was blown onto Linda’s daughter’s face and bed resulting from firearm projectile(s) passing inside her bedroom overhead,” according to the affidavit.

Investigators found evidence “Peña himself went on this shooting and actually pulled the trigger on at least one of the firearms that was used,” Albuquerque police Deputy Cmdr. Kyle Hartsock said.

Albuquerque police released a photo of a "tan and black Glock with a drum magazine" that the affidavit said matches one of the guns seized from the suspect during a traffic stop.

But an AR handgun he tried to use malfunctioned. More than a dozen rounds were fired by another shooter with a separate handgun, according to police.

Shell casings at Lopez’s home matched a handgun confiscated from a silver Nissan Maxima involved in a traffic stop about 40 minutes after the shooting and about 4 miles from the residence, police said.

The Maxima was registered to Peña, though Peña was not driving it when it was stopped, police said.

During the fall campaign, Peña’s opponent, Democratic state Rep. Miguel Garcia, sued to have Peña removed from the ballot, arguing Peña’s status as an ex-felon should have prevented him from running for public office in the state, CNN affiliate KOAT reported.

Peña served nearly seven years in prison after a 2008 conviction for stealing a large volume of goods in a “smash and grab scheme,” the KOAT report said.

“You can’t hide from your own history,” Peña told the outlet in September. “I had nothing more than a desire to improve my lot in life.”

The Second Judicial District Court in Bernalillo County in September cleared Peña to run for office partly because the state constitution allows a felon to vote.

“In other words, our State Constitution provides that if a convicted felon is qualified to vote by satisfying any statutory requirements to be able to vote, that person is also qualified to hold public office,” court documents said.

Peña was arrested by Albuquerque police on Monday.

“It is believed he is the mastermind” behind the shootings, Albuquerque Police Chief Harold Medina told reporters, referring to the suspect.

An investigation confirmed “these shootings were indeed politically motivated,” Albuquerque Mayor Tim Keller said Monday.

“At the end of the day, this was about a right-wing radical, an election denier who was arrested today and someone who did the worst imaginable thing you can do when you have a political disagreement, which is turn that to violence,” said Keller, a Democrat. “We know we don’t always agree with our elected officials, but that should never, ever lead to violence.”

Police are still investigating whether those suspected of carrying out the shootings were “even aware of who these targets were or if they were just conducting shootings,” according to Hartsock.

Firearm evidence, surveillance video, cell phone and electronic records and witnesses in and around the conspiracy aided the investigation and helped officials connect five people to the alleged conspiracy, Hartsock said.

“After the election in November, Solomon Peña reached out and contracted someone for an amount of cash money to commit at least two of these shootings. The addresses of the shootings were communicated over phone,” Hartsock said Monday, citing the investigation. “Within hours, in one case, the shooting took place at the lawmaker’s home.”

Detectives served search warrants Monday at Peña’s apartment and the home of two men allegedly paid by Peña, according to police.

“Solomon provided firearms and cash payments and personally participated in at least one shooting,” the arrest affidavit said. “Solomon intended to (cause) serious injury or cause death to occupants inside their homes.”

Officers arrested Peña on suspicion of “helping orchestrate and participate in these four shootings, either at his request or he conducted them personally, himself,” Hartsock added.

Peña is being held on preliminary charges of felon in possession of a firearm; attempted aggravated battery with a deadly weapon; criminal solicitation; and four counts each of shooting at an occupied dwelling, shooting at or from a motor vehicle, and conspiracy, according to a warrant.

Police said last week they had a suspect in custody and had obtained a firearm connected to one of the shootings. A car driven at one of the shooting scenes was registered to Peña, according to police.

Charges are expected to be filed against the other men who participated in the shootings, police said.

One conspirator initially instructed shooters “to aim above the windows to avoid striking anyone inside,” the affidavit said, citing a confidential witness with knowledge of the alleged conspiracy.

But Peña eventually wanted the shooters to be “more aggressive,” according to the affidavit, citing the confidential witness.

Peña “wanted them to aim lower and shoot around 8 p.m. because occupants would more likely not be laying down,” said the affidavit, citing the confidential witness.


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Dick Cheney Fast Facts



CNN
 — 

Here’s a look at the life of Dick Cheney, the 46th vice president of the United States.

Birth date: January 30, 1941

Birth place: Lincoln, Nebraska

Birth name: Richard Bruce Cheney

Father: Richard Herbert Cheney, worked for the Department of Agriculture

Mother: Marjorie Lorraine (Dickey) Cheney

Marriage: Lynne Ann (Vincent) Cheney (August 29,1964-present)

Children: Mary and Elizabeth

Education: Attended Yale University, 1959-1960; Attended Casper College, 1963; University of Wyoming, B.A. in political science, 1965; University of Wyoming, M.A. in political science, 1966; Attended University of Wisconsin as a Ph.D. candidate, 1968, did not finish

Religion: Methodist

When Cheney was 13, his family moved to Casper, Wyoming, where his father worked for the US Soil Conservation Service.

Cheney was co-captain of the Natrona High School football team and senior class president. Lynne Vincent, his future wife, was the homecoming queen.

Has had at least five heart attacks since 1978.

His younger daughter, Mary, is openly gay. Cheney has said in the past that he supports same-sex marriage, but regulations should be handled at the state level.

His oldest daughter, Liz, is a US Representative from Wyoming.

1966 – Drops out of the doctoral program at the University of Wisconsin to work as staff aide for Governor Warren Knowles.

1968 – Cheney is awarded an American Political Science Association congressional fellowship with Congressman William Steiger and moves to Washington, DC.

1969 – Assigned to work for Donald Rumsfeld, director of the Office of Economic Opportunity in President Richard Nixon’s administration. Rumsfeld appoints Cheney to the position of special assistant.

1970 – Rumsfeld becomes a White House counselor. Cheney becomes his deputy.

1971-1973 – Assistant director of the Cost of Living Council.

1973 – Rumsfeld asks Cheney to join him in Brussels, Belgium, when Nixon appoints Rumsfeld ambassador to NATO. Cheney declines and instead accepts a post as vice president at Bradley, Woods and Company, a Washington, DC, investment firm that counsels corporate clients on politics and federal policy.

August 1974 – Gerald Ford succeeds President Nixon and appoints Rumsfeld to head his transition team. Rumsfeld recruits Cheney to serve as his deputy.

September 1974 – Named deputy assistant to the president.

November 5, 1975-1977 – White House chief of staff.

June 18, 1978 – Has a heart attack.

January 3, 1979-March 17, 1989 – US Representative from Wyoming. Is reelected five times.

1981-1987 – Chairman of the House Republican Policy Committee.

1984 – Has a second heart attack.

1987 – Elected chairman of the House Republican Conference.

1988 – Becomes House minority whip.

1988 – Has a third heart attack and undergoes quadruple bypass surgery.

March 1989 – President George H.W. Bush nominates Cheney for secretary of defense after John Tower’s nomination for the position fails to win Senate confirmation.

1989-1993 – Serves as secretary of defense. He directs two military campaigns during this time: Operation Just Cause in Panama and Operation Desert Storm in the Middle East.

July 3, 1991 – Awarded the Presidential Medal of Freedom by President Bush for his leadership during the Gulf War.

March 1992 – Cheney and other current and former congressmen are named in a scandal involving overdrafts at the House bank. Cheney later acknowledges the overdrafts. The House Ethics Committee, formerly the House Committee on Standards of Official Conduct, offers recommendations that stop short of a formal inquiry. (The bank of the Sergeant-at-Arms of the House of Representatives ceased all banking activities at the end of 1991.)

1995 – Becomes chairman and CEO of Halliburton, an engineering and construction company for the petroleum industry.

March 2000 – Asked by George W. Bush to be his running mate. Cheney declines, instead accepting a position vetting potential vice presidential candidates. He accepts in July when Bush asks again.

November 22, 2000 – Cheney checks himself into a hospital with chest pains. Doctors say he had a mild heart attack and insert a stent to open an artery.

December 12, 2000 – The US Supreme Court reverses a Florida Supreme Court decision ordering a recount of thousands of votes – effectively ceding the presidency to Bush and Cheney.

2001-2009 – Serves as vice president of the United States.

March 5, 2001 – Cheney checks himself into George Washington University Hospital with chest pains. He undergoes angioplasty to reopen the artery treated in November 2000. It is determined he did not suffer a heart attack on this occasion.

June 30, 2001 – Doctors insert a “pacemaker-plus” device to monitor Cheney’s heart rhythm and slow it down if it becomes irregular.

November 2, 2004 – Bush and Cheney are reelected.

September 24, 2005 – Undergoes surgery at George Washington University Hospital for an arterial aneurysm behind his right knee. A similar procedure will be performed on an aneurysm in an artery behind the left knee at a later date.

December 18, 2005 – Makes a surprise visit to troops in Iraq. It is his first trip to the country since 1991.

February 11, 2006 – During a quail hunting trip in Texas, Cheney accidentally shoots and wounds his hunting companion, Harry Whittington.

July 13, 2006 – Cheney, along with Karl Rove, Scooter Libby, and a number of unnamed defendants, are named in a federal civil lawsuit by Valerie Plame and Joseph Wilson. The suit contends Plame was the victim of intentional and malicious exposure, and that both she and Wilson “suffered a violation of rights guaranteed them under the United States Constitution and the laws of the District of Columbia.” The lawsuit is later dismissed.

March 5, 2007 – Doctors at George Washington University Hospital find a blood clot in Cheney’s lower left leg.

July 28, 2007 – Cheney has the battery replaced in his heart defibrillator.

November 26, 2007 – He is diagnosed with atrial fibrillation (an irregular heartbeat), after he visits his doctor complaining of a lingering cough. He undergoes a routine heart procedure intended to shock the heart back into normal rhythm.

September 17, 2009 – Undergoes elective back surgery to deal with pain caused from a case of lumbar spinal stenosis.

February 22, 2010 – Cheney is hospitalized at George Washington University Hospital after experiencing chest pains. It is determined Cheney suffered a mild heart attack.

August 2011 – On a tour to promote the release of his upcoming memoir “In My Time,” Cheney criticizes former Bush administration officials Condoleezza Rice, Colin Powell and George Tenet.

March 24, 2012 – His office says he is recovering after undergoing successful heart transplant surgery.

2013 – The medical memoir “Heart: An American Medical Odyssey,” co-written by Dick Cheney and Dr. Jonathan Reiner, is published.

December 3, 2015 – A bust of Cheney is unveiled at the US Capitol.

January 3, 2017 – Attends the swearing-in ceremony of daughter Liz Cheney. In November, she won the Wyoming congressional seat once held by her father.

March 27, 2017 – Says that alleged Russian meddling in the 2016 election could be considered an “act of war” during a speech at an economic forum in India. He also declares that he believes the Russian efforts were directed by President Vladimir Putin.

December 25, 2018 – The movie titled “Vice,” starring Christian Bale as Cheney, opens in US theaters.

January 6, 2022 – Cheney and his daughter Rep. Liz Cheney are the only Republicans on the House floor during a remembrance of the January 6th riot. Later, he makes a statement saying he is “deeply disappointed at the failure of many members of my party to recognize the grave nature of the January 6 attacks and the ongoing threat to our nation.”

August 4, 2022 – Cheney appears in a new campaign ad for his daughter, Rep. Liz Cheney. In the ad he criticizes former President Trump as a “threat to our republic” and a “coward.”

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When should I sell my mutual funds?

When is the best time to get out of a mutual fund?

After a recent stock market dip, Ian Bloom, a financial planner in North Carolina got a panicked call from a VIP client: his mom.

“I have to sell everything!” she told him.

He assured her, as he does all his clients, that if she did she would lose much more than she would gain, because they had created a financial plan that already accounted for market sell-offs.

wealth-coach-card

Now would come the hard part: sticking to it.

Fluctuations in the market can leave investors looking at their mutual funds with disdain. They may feel their money could work harder elsewhere.

That may be true. There are situations in which selling mutual fund shares works to your advantage. But you could also encounter adverse consequences.

The time to sell a mutual fund is when you need the liquidity and you have planned ahead to make the move, says Eric Gabor, certified financial planner and founder of Eagle Grove Advisors.

“Any kind of decline in the market or reaction to a geo-political event is not the time to sell,” he said.

Individual investors should only sell funds when their situation calls for a need to make a change, says Amy Hubble, a certified financial planner and principal investment adviser at Radix Financial. Investors may need cash, she says, or need to reduce risk as a need for cash draws nearer.

“Or maybe your target allocation to that asset class has grown outside its tolerance compared to the rest of the portfolio,” says Hubble. “For example, you had a strategic allocation of 10% and it’s now 17% of your portfolio.”

But it can be hard for investors to remember that they need to sit on their hands when they hear bad news.

It’s not uncommon for a novice investor to want to sell their investments when they see declines in the market, says Leah Hadley, a certified divorce financial analyst and chief executive of Great Lakes Investment Management. “That’s why we work with clients to determine an appropriate level of liquidity so that there is less temptation to sell when the market is down.”

Keep in mind that your mutual funds might include more than just US stocks, says Bloom, head of Open World Financial Life Planning.

“Your portfolio will include funds that include different parts of the market,” he says. “Sure there’s the S&P, but there might also be bonds, international and emerging markets. When the market goes down, no one is talking about the other parts, the international investments, the bonds. The part that stands out is the part that is in the red: the S&P.”

While your plan is to stick with your strategy for the duration of your timeline, there are mutual fund red flags that could merit a change.

“I will consider making a change in portfolios if there has been a change in the fund’s strategy and it no longer makes sense in my overall strategy with the client,” says Hadley. “I will also sell out of a mutual fund that is consistently under-performing the relevant benchmark.”

Gabor recommends watching the fund manager, too. “If a manger leaves a fund they have managed for many years and a new successor is named, that may be a time to re-evaluate how it fits into your portfolio.”

He adds that investors should also be on the lookout for tax inefficient funds.

“You could get out if there are large inverse tax consequences,” says Gabor. “That’s why I like tax-managed mutual funds, and exchange traded funds.”

Watch out for high turnover ratios, says Hubble, like those over 25% per year. “Funds with high turnover ratios mean the fund is managed tax inefficiently and you’re likely to receive unannounced short-term capital gain distributions at the end of the year, which have high tax costs.”

Another red flag is high expense ratios. “This is the most important number to look at in a fund,” says Hubble. “Do not pay managers more than 1% to underperform the market half the time in long-term savings accounts. Do yourself a favor and for long-term money, skip the active managers altogether and invest in low-cost index funds.”

If an investor does decide to liquidate the fund, keep an eye on your tax liability.

“If the investor has held the fund for a less than a year, all capital gains will be taxed at their income level,” says Timothy Kenney, a certified financial planner and founder of TK Pacific Wealth. “If they have held the fund for greater than a year, they can get a little break in the capital gains tax, maybe 5% or 20% depending on your tax bracket, but they may have a big tax bill to pay next year since we’ve been in a bull market for so long.”

If you have a fund you are looking to sell and it happens to be at a loss, Kenney suggests paying attention to the capital gains distribution.

Funds tend to pay capital gains toward the end of the year, and by selling before the distribution you avoid getting hit with the tax.

Have an investing question? Ask us here to be included in a future column.

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Could you live on $16,000 a year? Here's why you might have to

social security measly increase 2

We’re told repeatedly how important it is to save independently for retirement, but a lot of us still aren’t listening.

An estimated 33% of Americans have no money at all saved for retirement, but an even more frightening statistic is the fact that 30% of those 55 and older are in the same boat. And a big reason so many of us aren’t saving boils down to Social Security.

In fact, according to the National Academy of Social Insurance, Social Security is the sole source of income for almost 25% of Americans 65 and older.

But while it’s true that Social Security helps countless seniors stay afloat financially in retirement, there’s a real danger in relying on it too heavily. And if we don’t start taking matters into our own hands, a lot of us will risk coming up short when retirement rolls around.

Can you live on Social Security alone?

The problem with banking on Social Security is that your benefits are only designed to replace about 40% of your pre-retirement income. This isn’t just an educated estimate; the Social Security Administration even says so itself.

Now you may be expecting your living costs to go down once you retire — so much so that you’ll be able to survive on Social Security alone — but in reality, that’s not likely to happen.

For one thing, you’re going to have a lot more free time on your hands, which means you might wind up spending extra on leisure and entertainment. But more importantly, you’re going to have health care to worry about, and that’s where so many seniors get thrown for a loop.

According to 2016 data from HealthView Services, a provider of healthcare cost-projection software, the average healthy 65-year-old couple retiring this year can expect to incur $377,000 in medical expenses over the course of retirement.

Younger couples have it even worse. The average healthy 55-year-old couple today could spend as much as $466,000 on health care expenses throughout retirement, while a 45-year-old couple today in similar health might rack up $592,000 in health care costs. And those are the numbers healthy couples are facing. If your health isn’t great, your expenses could climb even more.

When you think about it that way, Social Security probably won’t be enough, especially since the average recipient currently receives $1,341 in monthly benefits, or just over $16,000 a year. Even if you and your spouse each receive $16,000 a year in Social Security benefits for a total of $32,000, if you wind up spending $377,000 like the average healthy older couple over the course of a 20-year retirement, that’s $18,850 a year on medical costs alone. Subtract that figure from $32,000, and you’re left with just over $13,000 a year, or roughly $1,100 a month, to cover the rest of your expenses.

And as much as you can try to keep your living costs down, there’s just no getting around the basics like food, electricity, transportation, and housing. In 2014, the average American spent $934 a month on rent alone. If you’re in a similar boat, that means you’d be left with less than $200 a month to cover the rest of your expenses if you were to rely solely on Social Security. And that’s just not enough.

Time to start saving

If $16,000 a year per person in retirement doesn’t sound adequate, then it’s time to start saving independently while you still have a chance. Even with retirement less than a decade away, there’s still time to amass some savings before you stop working for good. Anyone 50 or older can currently contribute up to $24,000 a year to a 401(k) and $6,500 a year to an IRA. If you can’t max out those contributions, do what you can. Saving just $250 a month over the course of 10 years will give you an extra $36,000 in retirement if your investments generate a relatively conservative 4% average annual return.

If you’re still in your 30s or 40s, you have an even greater opportunity to catch up. Saving $250 a month over the course of 20 years will leave you with $137,000 for retirement, assuming your investments generate an average annual 8% return — a reasonable assumption for younger investors who are able to get more aggressive.

Now if you’re already in your 60s and have yet to start saving, you might consider postponing retirement and working a few extra years to put some money aside. Though it may not be your ideal solution, some studies have shown that working longer could actually lead to a longer life. Another option? Work part-time in retirement to supplement your Social Security benefits.

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No matter what you do to generate extra retirement income, don’t make the mistake of depending on Social Security alone to fund your golden years. Social Security can and should play a strong role in your retirement budget, but without another source of income, you risk running out of money at a time when you just might need it the most.

CNNMoney (New York) First published November 29, 2016: 11:45 AM ET

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Retirement contribution limits will rise in 2019

Planning young: a retirement roadmap

Good news retirement savers: The Internal Revenue Service announced cost of living increases to the contribution limits for retirement-related plans in 2019.

Annual contribution limits to 401(k)s will increase to $19,000 from $18,500.

And the annual contribution to an IRA, last increased in 2013, rises to $6,000 from $5,500.

“This is another win for investors and savers,” says Stephanie Bacak, a financial planner at Capstone Global Advisors. “For so long there were really no cost of living increases in the IRA so it is a great opportunity for so many to be more prepared for retirement.”

Catch-up contributions, available to those age 50 and over, will remain unchanged at $6,000 for 401(k)s and $1,000 for IRAs.

In addition to 401(k)s, limits for 403(b)s, most 457 plans and the federal government’s Thrift Savings Plan will also increase to $19,000.

Also rising next year are the income ranges that determine eligibility for deductible contributions to IRAs, to Roth IRAs, and to claim the saver’s credit.

For example, the income phase-out range for taxpayers making contributions to a Roth IRA increased to $122,000 to $137,000 for singles and heads of household, up from $120,000 to $135,000. For married couples filing jointly, the income phase-out range is $193,000 to $203,000, up from $189,000 to $199,000.

The IRS increases are helpful, says Shane Mason, certified financial planner at Brooklyn FI, but only if you are able to make the maximum contribution.

He says those who want to continue to max out their 401(k) should revisit their contributions to make sure they’re putting in enough with each paycheck.

Those that are paid semi-monthly (twice a month or 24 times a year) should be contributing $792 per paycheck and those paid biweekly (every two weeks or 26 times a year) should be contributing $731 per paycheck.

CNNMoney (New York) First published November 1, 2018: 4:50 PM ET

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How can I protect my investments from inflation?

How can I protect my investments against inflation?

Even as your investments increase in value, inflation can eat away at what they’re worth.

There are things investors can do to hedge the immediate effects of inflation, or earn a return that outpaces inflation over time. But it can be hard to predict.

wealth-coach-card

“After-inflation returns are the only ones that matter for investors in the real world,” says Robinson Crawford, an investment adviser with Montebello Avenue.

Even if inflation is currently rising more slowly than analysts predicted, it’s better to be prepared.

Financial advisers say one of the most consistent hedges against inflation is a properly diversified stock portfolio.

Equities have historically outpaced inflation, says Sean C. Gillespie, a financial planner with Redeployment Wealth Strategies says that while there is inherent volatility in a stock portfolio, “equities are a long-term asset for your plan just like inflation is a long-term threat.”

To figure out where to put your money in the stock market, investors could look to a total return strategy that relies on equities to provide positive inflation-adjusted returns over the long term.

“Of course, investors have to accept more risk when investing in stocks and endure periods when the returns have not outpaced inflation,” says Dejan Ilijevski, an investment adviser at Sabela Capital Markets. “Although some investors may assume that higher inflation leads to lower stock performance, US market history shows that nominal annual stock returns are unrelated to inflation.”

Gold and commodities have been standard havens from inflation for investors.

“Traditionally commodities and gold have been good inflation hedges,” says Stephanie Bucko, a chartered financial analyst and co-founder of Mana Financial Life Design. But she says it is important to take into account the US dollar’s strength as part of this equation.

“We like oil exposure, as this impacts our clients on a day-to-day basis related to gas prices, but it also provides a good inflation hedge,” says Bucko, adding that we saw this in the 1970s as inflation doubled and nominal oil prices skyrocketed.

But commodity markets, for the unfamiliar, can be complex and risky.

“Commodities are volatile, more so than stocks, which means that adding commodities to a portfolio may increase real return volatility, offsetting the benefits of hedging,” says Ilijevski.

Real estate is the ultimate hard asset in times of inflation since it will see price appreciation. Financial advisers suggest investors find a place for real estate in a portfolio.

Investors can gain exposure to real estate by directly owning commercial or residential property, or by investing in real estate investment trusts (REITs).

Real estate is a sound investment, says Crawford. “But I would caution that if you’re not increasing rent in your real estate, you aren’t fighting inflation.”

Short-term bonds and Treasury Inflation-Protected Securities (TIPS) are investments that are a hedge against inflation.

“Hedging seeks out asset classes that tend to positively correlate with inflation,” says Ilijevski.

For example, he says, short-term maturities allow bond-holders to more frequently roll over the principal at higher interest rates. This helps inflation-sensitive investors keep up with short-term inflation.

Similarly, TIPS, issued by the government, are also a fixed-income security hedge against inflation. Their principle is adjusted to reflect changes in the Consumer Price Index. When CPI rises, the principle increases, resulting in higher interest payments.

“TIPS absolutely merit a place in a US investor’s portfolio, especially those with significant bond holdings,” says Crawford. “The main issue is that they increase in value in conjunction with the CPI, which many would argue is not an accurate inflation measure.”

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Ukraine's ambassador to Australia condemns Russian flag display at the Australian Open



CNN
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Ukraine’s ambassador to Australia has “strongly condemn[ed]” the Russian flag being displayed in the stands at the Australian Open.

The flag was seen during the first-round match between Ukraine’s Kateryna Baindl and Russia’s Kamilla Rakhimova in Melbourne.

In light of the war in Ukraine, Russian and Belarusian tennis players have been permitted to play at the Australian Open but must do so “without flags or country recognition.”

“I strongly condemn the public display of the Russian flag during the game of the Ukrainian tennis player Kateryna Baindl at the Australian Open today,” Vasyl Myroshnychenko wrote on Twitter on Monday, alongside a photo showing the flag on display.

“I call on Tennis Australia to immediately enforce its ‘neutral flag’ policy.”

It’s unclear who was responsible for displaying the flag during the match.

An agency photo also shows the Russian flag on display in the stands during the first-round match between Daniil Medvedev and USA’s Marcos Giron.

CNN has contacted Tennis Australia but did not immediately receive a response.

Baindl went on to win the match 7-5 6-7(10-8) 6-1 and will face American Caty McNally in the second round.

Tennis’ response to Russia’s invasion of Ukraine has been a point of controversy over the past year.

Last year, Wimbledon organizers banned Russian and Belarusian athletes from competing in the tournament in the face of “unjustified and unprecedented military aggression,” according to a statement released in April.

The ATP and WTA Tours, the governing bodies of men’s and women’s tennis, later responded by stripping Wimbledon of ranking points in the face of what they deemed “discrimination” towards Russian and Belarusian players.

After her first-round victory at the Australian Open, Ukraine’s Marta Kostyuk said she will not shake hands with rivals from Russia and Belarus, who she feels have not done enough to speak out against the invasion.


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Why 2023 is a year to be optimistic for American tennis



CNN
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History might come to view 2022 as a watershed year for American tennis, even with the retirement of the country’s greatest ever player.

Serena Williams’ decision to hang up her racket felt like a pivotal moment, such was her dominance in the sport for more than two decades. But in the same year, her compatriots showed that the future of tennis in the United States looks bright.

On the men’s and women’s circuits, American players won more singles and doubles titles last year than any other nation – 22 on the ATP Tour and 21 on the WTA Tour.

Among those players to excel was Jessica Pegula, who rose to No. 3 in the world rankings at the end of 2022 – the highest year-end finish by an American since Williams in 2016.

The 28-year-old Pegula has carried her form into the new year, too, defeating world No. 1 Iga Świątek as the US won the inaugural United Cup competition earlier this month, then cruising past Jaqueline Cristian 6-0 6-1 in the Australian Open first round.

Pegula hits a serve in a practice session ahead of the Australian Open, which begins on January 16.

Her relatively late rise through the rankings comes after battling injuries earlier in her career.

Eurosport expert Laura Robson, a former Junior Wimbledon champion and an Olympic silver medalist, told CNN Sport that Pegula is “definitely” one of the main contenders for the women’s title.

“She has always been an unbelievable ball striker but she’s improved her consistency and movement so much over the last year,” Robson said.

“She is hitting the ball better than ever and the win against Świątek at the United Cup will give her a huge amount of confidence to believe that she can finally have that big breakthrough at the slams.”

Alongside Pegula, the 18-year-old Coco Gauff has continued to show maturity and composure beyond her years.

Gauff reached a career-high fourth in the rankings in October and topped the doubles rankings for the first time in August. She also contested her first grand slam final at the French Open, losing against a dominant and in-form Świątek.

Like Pegula, Gauff has also started the year in auspicious fashion after winning the third singles title of her career in Auckland, New Zealand, and reaching the second round of the Australian Open with a 6-1 6-4 victory against Kateřina Siniaková.

“Coco has to be the best mover in the women’s game, along with Świątek, so as long as her body stays healthy I always see her as a potential slam winner,” said Robson.

“Combined with the fact that she won last week in Auckland, that will give her such a positive mindset going into the tournament. If she’s able to use the fast court surface in Melbourne with her serve, I could see her having a great result.”

Gauff celebrates defeating Spain's Rebeka Masarova in the final of the ASB Classic.

Madison Keys, meanwhile, was unbeaten across five United Cup games and has recently made her return to the top 10 in the world.

But will these performances translate to success at the Australian Open? Aside from Williams, who won the year-opening grand slam seven times, Sofia Kenin is the other American woman to triumph in Melbourne in the past 20 years.

Since that title in 2020, Kenin has struggled with form and injury, dropping well outside the top 100 in the rankings.

Other American challengers include Danielle Collins, last year’s runner-up at the Australian Open, and 21-year-old Amanda Anisimova, a former grand slam semifinalist.

“I think people are sort of happy with how this group is ticking along, especially with Gauff and also Pegula in the mix,” tennis journalist Ben Rothenberg told CNN Sport. “I think people are pretty content right now.”

But on the men’s side, grand slam success has proved harder to come by. Not since Andy Roddick’s US Open title 20 years ago has an American man won a major singles title, several months after Andre Agassi won the final grand slam title of his career at the Australian Open.

Another American male champion feels long overdue, and among the current crop of players, Taylor Fritz, Frances Tiafoe, and Sebastian Korda look the most likely to end the drought.

Fritz reaches for a backhand against Italy's Matteo Berrettini in the final of the United Cup.

Fritz became the first American man since Agassi in 2001 to win Indian Wells last year, while he also reached a first grand slam quarterfinal at Wimbledon before losing to an ailing Rafael Nadal.

Tiafoe defeated Nadal to reach the semifinals of the US Open, and Korda, a former junior champion at the Australian Open, came a point away from defeating Novak Djokovic at the Adelaide International on January 8.

Korda, the son of two ex-tennis players and the brother of two professional golfers, won his first ATP Tour title two years ago aged 20 and came agonizingly close to ending Djokovic’s unbeaten run in Australia, which now stands at 34 matches.

“All three players really impressed me in the lead-up events for the Australian Open,” said Robson.

“Korda was outrageously close to pulling off an upset against Djokovic in Adelaide. The margins are so small and a scoreline like that shows you how close he is to the very best in the game.

“Fritz and Tiafoe were equally impressive at the United Cup and with the hot and fast conditions in Melbourne they will be super dangerous.”

Both Tiafoe and Korda came through their first-round matches at the Australian Open in four sets, while Fritz faces Nikoloz Basilashvili in a later game.

Djokovic’s nine previous titles at the Australian Open make him the favorite in Melbourne, although he has been managing a niggling hamstring in recent games.

Top seed Nadal, meanwhile, got off to a winning start against Great Britain’s Jack Draper having suffered back-to-back defeats in the United Cup.

The in-form US hopefuls are certainly outsiders to win the Australian Open, but recent results will make each of them quietly confident of producing their own American Dream Down Under.

“The American players have pushed each other and helped each other to believe they can compete close to that level,” former player turned broadcaster John McEnroe said in a recent interview with Eurosport.

“If I had to pick one, I’d probably pick Sebastian Korda; he’s the youngest of that current top group of Americans and the one with the most upside right now.

“Frances Tiafoe made some great improvements as well, Taylor Fritz is a phenomenally superior ball-striker, and is a legit top-10 player and a threat to make a deep run.”

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It's now minus 50 in the world's coldest city

Thought your winter was cold? Temperatures in the world’s coldest city have plunged to minus 50 degrees Celsius (minus 58 degrees Fahrenheit).

The city of Yakutsk in east Siberia, widely identified as one of the coldest places in the world, has seen an abnormally long cold snap. January is its coldest month and, although they’re accustomed to freezing temperatures, residents in the remote region are taking extra precautions to keep warm.

“You can’t fight it,” one resident dressed in two scarves and multiple layers of gloves, hats and hoods told Reuters. “You either adjust and dress accordingly or you suffer.”

Layering, according to another resident selling frozen fish at a local market, was the key. “Just dress warmly. In layers, like a cabbage,” she said.

Fish vendors Marina Krivolutskaya and Marianna Ugai pose for a picture at an open-air market on a frosty day in Yakutsk, Russia, January 15, 2023.

Fish vendors Marina Krivolutskaya and Marianna Ugai pose for a picture at an open-air market on a frosty day in Yakutsk, Russia, January 15, 2023.

Roman Kutukov/Reuters

Home to fewer than 1 million residents, Yakutsk winters can be extreme — even by Russian standards.

But the city drew international attention in July when haze from nearby wildfires tore through forests, blanketing the region in thick smoke.

Scientists expressed grave concerns about the increasing frequency of the fires brought about by climate change in the Siberian arctic.

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