Sunday, March 18, 2012

People Are Wonderful

This article was written by Devin Thorpe, author of "Building Wealth for Building the Kingdom: A Financial Planning Guide for Latter-day Saint Families". Devin has owned and operated an investment-banking firm, which included an investment advisory business, a mortgage brokerage and having served in a variety of corporate finance positions. He has unique experience in this area. You can buy his book here. You can also follow his blog at bw4bk.tumblr.com.

I’m a Mormon and in all my years, I’ve never faced a personal attack on my religion.

The nearest thing to a personal attack on my religion was in graduate school, a visiting student (who later enrolled) asked me where I was from and upon hearing I was from Utah, she said, “how did you like that?” She was clearly referring to my experience living among “all the Mormons” but I confess, I forced her to say it, by asking her in reply, “What do you mean?”

She was, as you’d expect, a little embarrassed when she completed her query and I responded that I was a Mormon. We both smiled and that ended the conversation.

So that was it. The closest thing I’ve ever experienced to a personal attack on my religion.
Of course, I’ve had some theological discussions with people who don’t agree with LDS doctrine, but I’ve never been the recipient of a personal attack.

Furthermore, I’ve never observed any anti-Mormon discrimination in housing, education, employment or service in any business establishment. Might I have been the victim of some prejudice of which I was unaware? Perhaps. But I’m not that oblivious. Are there some who might have treated me different but for not knowing that I was LDS? Likely, but that only seems to confirm my theory that once people know one another it is unnatural if not impossible to treat them according to the artifice of a stereotype.

Personally, I conclude that the reason this is the case is because people are all so generally good. We are all good to the people we know. We respect each other and even judge one another less by stereotypes and labels than by our individual character—once we are acquainted.

Stereotypes are only used—and then wrongly—by people judging groups of people they don’t know.
The implication of this observation is clear: if you don’t like “Mormons” or any other group of people for that matter, the remedy is simple. Get to know one.

Want to guest post on Stay N Faithful? All writers interested in posting on the topics of religious freedom, Mormonism towards non-Mormon audiences, and patriotism in an unpopular world are welcome to submit a request! Contact Jesse at jesse@staynalive.com.

Thursday, March 8, 2012

Mormons and Mormonism 101 [Infographic]

Ever wondered about Mormons? This is a great infographic put out by LDS Newsroom about Mormons and Mormonism. See anything you didn't know? Click the link to learn even more:



Friday, March 2, 2012

This is HIS Church

The Church of Jesus Christ of Latter-day Saints has certainly seen its share of criticism. Whether it be criticism of the Church's stance on blacks and the Priesthood, or maybe even Baptisms for the dead, or perhaps it's the Church's stance on Gays getting married (click through those links to get a good overview of what those are). The "Mormon Moment" is bringing to the forefront issues that, while perhaps minuscule compared to other mainstream religious histories, due to a Mormon President running for Public office in the United States are now a mainstream issue.

There's one criticism I keep seeing though, which is that the Church has made "mistakes" in the past. That its leaders have swayed from what's "right", and some even suggesting that "The Church can't be true" because of those imperfections of its members and leaders. I'd like to make a bold statement saying, based on my own experience, any statement to that regard simply isn't true. It can't be as long as I call myself "Mormon".

I mentioned before that saying "I'm a Mormon" is a very bold statement. It truly is. It's saying that regardless of imperfect people guiding and leading the Church, this Church is still lead by God (you'll want to read that link). It holds His Priesthood, and He will not let it fall astray. Being a Mormon means, regardless of the imperfections of man, those men still receive revelation from God (I imagine some times whether they want it or not), some times revelation even they don't understand, and this Church is lead by HIM. Most of these men never asked for this calling - I'm sure they'd happily give it away if they didn't have such a firm conviction in God and this principle. To me, the Church of God CANNOT be true without imperfect men receiving revelation from Him to take His Gospel to the world. God will not allow His Church to fail - it's that simple. That's a very bold statement.

Mormons believe in the Atonement of Jesus Christ. We believe that mankind was brought to this earth because they were imperfect and needed to learn the things that would make it possible to live in the presence of our Heavenly Father. Christ came to this earth as the only perfect man, willing to give us the example, and take on our sins so that our sins would not hamper us down from moving forward to that end goal.

To a Mormon, God's Church cannot exist without imperfect people. It simply can't. At the same time it cannot exist without the Lord at the helm, leading the way with those called individuals as his mouthpiece. To Mormons, it could be any one of us called to that position, so we support these individuals with every bit we can, knowing and understanding the challenges they must be going through in order to fulfill such a solemn calling. (The story of Moses comes to mind, as does Joseph of Egypt and even Muhammed and other faiths' religious leaders and prophets throughout time that were average people, called of God in very humbling circumstances to be the mouthpiece of their God)

To suggest that anything ever happened to the Church, as a whole, was not lead by the Lord Himself, would completely discredit any truthfulness of The Church of Jesus Christ of Latter-day Saints. That is why the Church answers "we don't know" to questions such as blacks and the Priesthood - we simply don't know why the Lord wanted it that way. History shows that many leadership didn't want it that way, but the Lord still said, very directly, "No". And the truth is, we say that not because we're justifying the lack of revelation, but because revelation itself is guiding that response. When the Church says "we don't know", so does the Lord.

To suggest that "the Church made a mistake" on something as big as withholding the Priesthood from blacks simply can't be true if The Church of Jesus Christ of Latter-day Saints is to be true. The truth is, as Mormons, we believe this Church is true. We've each learned that through personal revelation (and we seek it if we don't yet have it), and because of that we cannot deny the fact that this Church was, still does, and will continually be lead by God Himself in the future. We don't always know why. We sometimes don't always understand and in many typical scenarios we'd even disagree (such as blacks and the Priesthood). However, this is HIS Church in every definition to Mormons and because we believe it's true, we follow the Lord's counsel.

Now it comes down to understanding yourself if God exists, if this is His Church, and if he speaks through prophets. None of this will ever make sense until you are able to come upon this yourself. It's a moot conversation until you do, and shouting from the housetops will never fix that.

Disclosure: as an employee of The Church of Jesus Christ of Latter-day Saints, these are my opinions and words, and not intended to be the voice of the Church. It's how I define my very personal testimony as a Mormon, and who I am. To learn from the voice of the Church and its called leaders, I encourage you to click through to the links throughout the article.

Monday, February 13, 2012

Family Finance - a Mormon Perspective

Hard times have lead to many of us thinking of our finances. Members of The Church of Jesus Christ of Latter-day Saints (also known as Mormons), like anyone, are not immune. In fact, there are some very unique things Mormons have to think of which those of other faiths don't when it comes to finances. This article was written by Devin Thorpe, author of "Building Wealth for Building the Kingdom: A Financial Planning Guide for Latter-day Saint Families". Devin has owned and operated an investment-banking firm, which included an investment advisory business, a mortgage brokerage and having served in a variety of corporate finance positions. He has unique experience in this area. You can buy his book here.

There are many people both within and without of the Mormon community that might ask “how is financial planning for Mormon families different from that of other families?”
There are five key differences:
  1. Larger families: Members of The Church of Jesus Christ of Latter-day Saints on average have larger families than other people in America. This not only means that there are more mouths to feed, but more college tuition to plan for and at least a desire if not a need for larger homes.
  2. Tithing: Mormons are not alone in the world in making contributions to their church, but devout members of the faith donate more than 10% of their income to the Church—more than three times the average charitable contribution deduction taken by those who itemize their deductions in the U.S.
  3. Missions-Young: Male members of the LDS faith are expected to serve two-year missions—at their own expense—at age 19. While optimally, this expense would be born by the 19-year-old who serves, most often the expense falls to the family. Young women are also invited to serve missions at age 21 if they choose, again, at their own expense.
  4. Missions-Senior: The LDS Church asks senior couples to serve another mission when they enter retirement. This requires not only good financial planning but other sacrifices as well; the time when seniors are entering retirement is exactly the time when their children are typically having children—something that no grandmother ever wants to miss.
  5. “Consecration”: Latter-day Saints believe in the principle of consecration, of devoting all of their resources to building up “the Kingdom of God.” In the 1800s, the Church experimented with literally taking title to member’s assets. While that practice was not continued, members continue to avow their belief in the principle, leading some to place much of their assets in trust for the benefit of the Church. Others find that simply living a life that includes a large family and lots of missionary service leaves substantially all of the assets spent anyway.
When approaching financial planning, Mormons are wise to seek counsel from financial advisors who are familiar with LDS financial planning—not necessarily Mormons, of course. Everyone who seeks financial advice is wise to remember that it is your money—not your adviser’s money—and that you make the financial decisions after obtaining good counsel.

Want to guest post on Stay N Faithful? All writers interested in posting on the topics of religious freedom, Mormonism towards non-Mormon audiences, and patriotism in an unpopular world are welcome to submit a request! Contact Jesse at jesse@staynalive.com.

Friday, February 10, 2012

Calling Yourself Mormon is a Very Bold Statement

"I'm a Mormon." You've likely heard it before, especially in the messaging and advertising of The Church of Jesus Christ of Latter-day Saints, also known as the Mormons. Have you really thought about what that means though?

To say you're Mormon like I do takes guts in today's world. It means you believe in modern day revelation. It means you believe there are men today that speak to God, and God speaks to them. It means you follow them because they are normal men called of God, just like Moses, Abraham, and Isaac of old. Many of them are humbled in this calling - they never asked of it. They never wanted it. Yet, God called them. And as a Mormon, you're willing to follow these laymen leading God's Church just like people did in the times of Christ.

Saying "I'm a Mormon" or even calling someone a Mormon is bold because it means they believe and follow the words of modern day prophets that have advised against drinking alcohol, against drinking coffee or tea, against drugs. Being a Mormon is bold, and usually unpopular because you don't believe in premarital sex. You go to church every week to renew covenants you made with God. You likely attend a temple regularly to perform ordinances for your dead ancestors. Some even wear funny (to the world) underwear, in remembrance of covenants made in the temple. True, most Mormons are far from perfect and even though they believe these things they make mistakes, but these are the things they strive to follow, and they rely on the merits of Christ to do so.

Saying "I'm a Mormon" is bold, and unpopular, because you believe in the Judeo-Christian definition of marriage, and that it should be part of the public square, and that religion should still have a place in the public square. It means you follow, and support modern day prophets who have been called to warn of what will happen to society when religious freedoms are taken away, and that that messaging comes from God, while still trying to ensure equality for all men and a love for all. It means you don't think their revelations are wrong, or that God's message sways to meet public need.

Perhaps most bold of all, saying "I'm a Mormon" means you believe a prophet of God, Joseph Smith, saw  God the Father and Jesus Christ, as two separate beings, negating even the popular notion of the trinity itself being 1 being in many forms. And because you believe it, you can't deny it, and you're okay being unpopular as a result. It means you believe in a historical record made out of gold plates, dug out of the ground and translated through revelation by that prophet, and that it is true, not fiction. It has likely changed your life.

The truth is, it's really, really tough to be a Mormon in these days. I've been mocked. I've been ridiculed. My ancestors were forced from their homes and their lands because of this. I've been called a bigot, despite my purest, and most loving intentions to love my fellow man as my Savior taught me. The truth is I've seen the fruits of what being a Mormon brings though, I've learned that being popular isn't what it's about, but if the Church is true, it doesn't even matter if you're popular. I've learned that's why it's so important to know for myself, without hesitation, that those that lead The Church of Jesus Christ of Latter-day Saints are God's servants on earth today. It's why I've sought so hard to learn if it is true, and why I'm willing to openly declare it. It takes a belief in God. It takes testing that belief. It takes prayer. It takes trying it out and seeing the fruits that come, but in the end, I know it's true so I have to believe. For every Mormon out there, they know this and have tried it, and are willing to give up everything for it, just as any treasure one might find.

Either you're Mormon or you're not. Either you believe in modern-day revelation or you don't. It's the very core of Mormon beliefs. Saying so is a very bold, unpopular, but deep hearted message. Think about that the next time you hear someone say "I'm a Mormon." And if you're a Mormon, think about that the next time you tell someone you're a Mormon - do you really believe what you're saying?

I'M A MORMON


Disclosure: as an employee of The Church of Jesus Christ of Latter-day Saints, these are my opinions and words, and not intended to be the voice of the Church. It's how I define my very personal testimony as a Mormon, and who I am. To learn from the voice of the Church and its called leaders, I encourage you to click through to the links throughout the article.

Sunday, December 25, 2011

Christmas Traditions

As I finish up the night, stockings all hung, presents wrapped and under the tree, I can't help but reflect back on all the traditions my family has participated in over the years. Christmas, in my family, is about tradition, family, and loving one another as we reflect on all the years we have spent with each other.

In my childhood, we all had stockings, made from patterns from my grandmother that my Mom made. My Dad even had his own stocking, made by his grandmother that he would hang alongside ours. We didn't have much money growing up, so we'd spend Christmas Eve usually as a family, some times going over to someone else's Christmas party and others just enjoying time with each other. We'd always, as Christians, read Luke Chapter 2 and eventually our traditions wound up with us opening up one gift from a sibling that night. I'd then have a sleepless night pretending to sleep when I really couldn't, wishing the night could go faster.

As I got older and even though I knew, in my heart, that Santa Claus wasn't real, the Spirit of Santa Claus was still there, and I still secretly wanted him to be real. I'd imagine all night long, what if my parents themselves had just stopped believing in Santa but he really did come? Yet I still wasn't quite sure how all the presents got there in the morning. I also enjoyed adding to the mystique and happiness, the story of Santa Claus brought onto my younger brothers and sisters faces and enjoyed keeping the story alive for them. Even today I enjoy playing Santa and keeping the story alive in my children's lives, with "visions of sugar plums dancing in their heads." I think the Ballet, "The Nutcracker" sums up that fantasy well - it's the essence of what being a child is all about, and again goes back to traditions, and remembering our childhoods as we grow old and how innocent we were.

As a child, on Christmas day we would wake up, usually way too early waiting for the designated time our parents set to wake them up and open up presents. By that time I usually had scoped out approximately what Santa had laid out for us at night and was eager to open the new presents. Our Mom would always make us eat a full breakfast so all the candy from Santa didn't spoil our meals, and we'd get at least something healthy that morning (even if it was sugar cereal, as we usually enjoyed). For Christmas dinner, we would usually have a ham, some times turkey. After spending time with our new toys and presents, we'd often go see a movie or go do something special together as a family. For us, Christmas really was about family.

Now that I'm older, I find similar traditions permeating my own family into the lives of my wife and kids. Every year we visit my in-laws (my parents live all the way in Boston so we don't see them as often as we would like). We open presents from the in-laws, have dinner, and spend time with my wife's parents and siblings.

We then spend Christmas Eve as a family. Just as a child, we read Luke Chapter 2, and this year we even watched an amazing presentation of Luke Chapter 2 set in ancient Israel produced on the iPad (very few words - really amazing!) by The Church of Jesus Christ of Latter-day Saints. I think this itself will become a new tradition for our family.



We then finish the night with a piano recital by each of my kids (they are taught piano by my wife, who plays beautifully), a trumpet solo by me, and a beautiful piano solo from my wife. We end the performance with a couple songs we sing with each other and top it off with "Silent Night." We have a family prayer and everyone rushes to bed, trying to beat NORAD's Santa tracker on Google to when Santa is supposed to arrive.

Then begins the present wrapping and visit by Santa. As we're wrapping presents, my wife and I enjoy watching traditional Christmas shows. Some times we watch "A Christmas Story", with its own portrayal of tradition and youth from the view of a child. Other times we watch midnight mass, enjoying the ancient Catholic tradition that goes back to early days of Christianity and the spirit that is felt there.

Lately I find myself watching a production of my Grandpa's, "Mr. Krueger's Christmas". This new tradition shows the view from an old, lonely man (played by Jimmy Stewart), and his own desire to get the most out of Christmas, despite his lonely circumstances. I like it because it makes me think about others that could be like him in the world, and those that may not have family with them to celebrate these traditions each year.



Even as I write this, I'm starting a new tradition. In the background I'm playing back-to-back episodes of The Mormon Tabernacle Choir's "Music and the Spoken Word" Christmas specials. This has become near and dear to my heart lately as I've had a few opportunities to help out the choir in their social media efforts.

I think Mr. Krueger said it best when he said the purpose of Christmas was to love one another. As a Christian, our tradition is that Christ himself suggested the same. In fact, as I reflect on Christmas traditions and going back to my own childhood, I can't help but remember Christ's own direction, "Whosoever therefore shall humble himself as this little child, the same is greatest in the kingdom of heaven." Even Christ himself, who in our tradition is the Savior of mankind, came to the world as a child, and asked us all to reflect on that.

May you all remember your own childhood traditions as you go about this Christmas. My hope is that, believer or not, we can all take the Spirit of Christmas to heart, becoming as little children just as Jesus Christ did in Luke Chapter 2, as my own family reads every year. I believe there is much to be learned from each others' traditions, and hope me sharing mine can help instill a little tradition into each of your own lives this Christmas.

May you all have a very Merry Christmas, Happy Holidays, and Happy New Year this season, and may you all experience wonderful traditions in your lives.  Hopefully the videos shared in this post give you more to think about this season of giving, and reflecting back on our own childhoods and traditions.



Sunday, November 20, 2011

Why Corporations should pay less taxes and individuals should pay more

Currently the US essentially has the highest corporate income tax rate in the world at 35% and by including state taxes. Many people probably think that because they are big, rich companies, they should be paying at least as high as the individual tax rate. Corporations also do not get tax breaks for capital gains like individuals do, nor do they get a tax break on dividend income unless it's from another US company in which they own 80% or more. This means that US corporations potentially have a higher tax base and thus may be paying even more taxes than individuals. So you may be saying, "So what? At least I'm not paying more taxes." Well...this is what we're seeing because of the taxes on corporations.

To put it conceptually, the government needs to fund itself and needs to get revenue in one way or another. This is not a debate about how much revenue the government should use, just a debate in the method in which they get it. If you think about it, the profits that corporations make are taxed twice: once by the corporation and a second time when distributed to their shareholders. This means that people can get more money if they plan around that. Any US citizen is taxed by the US government no matter where they live, so there's little to be done to avoid the individual taxes. However, corporations and the locations where the income is earned is pretty flexible given how flat the world has become. The result is planning around where the income is earned and in corporate tax planning.

I make a living off of helping corporations plan where their income is earned. Being a US practitioner, my expertise is in US tax law, and given the high US corporate tax rate, my planning is around shifting income out of the US. Globally, any tax practitioner knows that you plan around the US by avoiding pushing any income into the US. The common places to use with planning are Luxembourg, the Netherlands, and Switzerland which have given great incentives for corporations to move their businesses and income to their countries. They do it through tax rulings. Essentially their tax system is not solidified with rules that are intended to catch everything a company does, so most everything is negotiated with the tax authorities. The tax authorities will give you a lower rate the more income you are bringing into their country. In other words, they incentivize companies to move income out of their home country and into one of these European countries. They then receive tax revenue they did not have before and we in the US lose the tax revenue.

Perhaps this still is not completely clear, so let me run through a common example of how it's done. Google, a US company, was in the news for its 2.4% effective tax rate. That means that based on its billions in revenue only 2.4% is the amount anticipated that will be taxed. The report mentioned that it was using a Dutch sandwich structure and pushing income offshore to Bermuda. I do not know exactly what the structure entails, but I imagine it is something like this:

Google owns all sorts of brands and has operations throughout the world. Only one company can own the brand, so the other companies operating elsewhere in the world will pay a royalty fee for the right to use the license. The company that owns the brand or Intellectual Property ("IP") receives the royalty payments as income. This is where a lot of income shifting is done. Even though Google is based in the US, they set up companies in countries throughout the world and one of those locations is the Netherlands where they probably get a very favorable tax rate from a negotiated ruling. The Netherlands is probably willing to give a really low rate considering they generate billions in IP income. Let's take Google+ as an example. This is a more recent brand that Google developed. If they "developed" the brand in the Netherlands (the details of this can be complicated but it's what companies do globally), then any other company in the Google family that utilizes that brand pays a royalty to the Dutch company. The companies paying the royalty get a deduction just as they would from salary expenses. That means the US company gets a deduction that reduces the amount of US taxes that are charged.

Google also has a lot of cash built up and is generating a lot of new jobs. However, this cash is likely not available in the US and the jobs are likely going overseas. This is because it's too expensive to bring the cash back to the US (remember 35% tax rate on dividends) and the jobs are going overseas to support the development of IP outside the US. The bottom line is it's too expensive to do business in the US, so all the cash and potential jobs that are being created by our huge iconic US companies are going overseas where they can get more profit. This is not about patriotism or pride, this is simple economics. Companies will go under if they don't do similar planning because their competitors will be more profitable and run them out of business.

The solution? I am not completely sure, but I can tell you what the UK is doing. The UK had a 28% corporate tax rate, significantly lower than the US. However, they are lowering the rate further by reducing it by 1% each year until they get to 23%. They are also giving incentives for companies to do business there through some debt schemes and other strategies. Their version of the IRS (HMRC) is working together with my UK tax counterparts on how to give incentives to bring business and income back into the UK. In other words, they are supporting tax planning schemes that will compete with these Dutch, Lux, and Swiss schemes. I would love to sell work to clients on how they can save money and hassle by moving income into the US, but it would require a fundamental change in the corporate tax system.

I love my country, but we are behind the times and perhaps too prideful to lower the rate, thinking that since we are such an economical powerhouse and land of opportunity companies will do business here regardless. However, I think we are losing money and jobs at a tremendous rate and will continue to do so until we make ourselves competitive. If you want domestic examples of what happens economically, look at why Volkswagen moved their US headquarters from Detroit to Northern Virginia...taxes! Virginia has made themselves very business friendly and has given incentives for companies to move here. Companies move among states for tax incentives, so are we surprised that companies would completely leave the US given the disparity in tax rates between countries is even larger than the disparity between states.

Is this a solution to the jobs crisis? Perhaps. In order to lower the corporate tax rate, we can't be afraid of increasing the individual tax rate. The idea is that if we bring more money and business to the US, the number of jobs and the standard of living will increase and offset the cost of an increased individual tax rate. Look at the individual rates in the UK and Switzerland. These countries also have a Value Added Tax which may be described as a federal sales tax that is ultimately paid by the end consumer. We will be paying more in taxes out of our pockets but decreasing taxes paid by our US corporations that are providing us jobs. We will get paid more to offset the cost and over time make our country competitive again. So let's get off Wall-Street and over to the Hill and help Congress enact these cuts to provide future jobs and a better economy for our country. A number of people in Congress have put this on their agenda, but it would require a larger public support to see anything pass. I hope this article sheds some light on the situation and the action that our government needs to take. I think you will find that this is an issue that both sides would agree needs to see some action or we will be left in the dust with everyone moving offshore.