SKILLS THAT ENRICH US
Th
January is National Hobby Month, and since it falls at the beginning of the year, it’s the perfect time to try something new! Hobbies add variety to your life and ensure you aren’t just living to work, so to speak. The best way to find a hobby you enjoy is to be open to new things. Whether it’s gardening, reading, drawing, running, fishing, crafting, or even beekeeping, finding an activity you enjoy is important. Here’s why! Hobbies are stress relievers. Hobbies offer a healthy escape from your busy lifestyle by keeping you engaged in something you find pleasure in. Instead of just relaxing on the couch and turning off your mind for a bit (which is totally acceptable sometimes), hobbies allow you to remain mentally productive while winding down at the same time. Hobbies also provide eustress. Believe it or not, one type of stress is deemed beneficial: eustress. If you aren’t overly stressed and are feeling a little under-stimulated, a hobby can provide activity for both your mind and body to keep you feeling excited about life and ready to take on new challenges and adventures.
A CRASH COURSE ON OFFSHORE FINANCE
Like the Panama Papers released in 2016, the Pandora Papers published in October 2021 expose the financial secrets of some of the world’s wealthiest people. In particular, they detail how the very rich use offshore finance to hide the extent of their wealth.
Simply having an offshore bank account or shell company is not illegal or even necessarily a sign of nefarious activity. Lawyers and accountants who deal in offshore finance often know exactly how to use the law to their clients’ advantage. They can also propose solutions that are technically legal. But concerns arise since the countries chosen to hold wealth offshore tend to prevent foreign governments from inspecting their accounts; this makes legal vetting next to impossible. A lack of transparency is the main point of contention, and it’s the reason why many people look at offshore finance negatively. Because the U.S. government cannot determine which assets are being held offshore, it cannot impose any taxes on them. Some parties also view hiding wealth offshore as a way of protecting a person’s assets from civil lawsuits, creditors, or investigations in the owner’s home country. It’s estimated that over $1 trillion is held in offshore accounts, and studies indicate that the bulk of this money is owned by the ultra-wealthy. Further, experts believe that the tax revenue lost to offshore finance equals about $800 billion per year worldwide. As to whether or not the Pandora Papers will inspire changes to the law, we’ll just have to wait and see.
But what exactly is offshore finance? Why do people use it? Is it even legal to use?
Offshore finance gets its name from the island and coastal locations where the practice of creating foreign tax havens originated. Today, offshore finance refers to any financial instruments or assets kept in countries that are not the owner’s country of residence. When an offshore account is created, it follows the financial regulations of the nation in which it is held. Countries commonly used for offshore finance often have stricter privacy laws and allow the creation of shell companies. Shell companies are organizations that exist on paper only, without employees or offices, but act as a legal “shield” against taxation and creditors. (At least 19,000 shell companies exist in the Cayman Islands alone.)
Published by Newsletter Pro • www.newsletterpro.com
2 | 616-514-3831
Made with FlippingBook Ebook Creator