Freedom Checks have become the most recent talked-about investment method that the energy sector companies are banking on. They are payments that are made by Master Limited Partnerships (MLP) to their investor through a new tax structure that ensures MLPs make no or less tax payments, thus, passing 90% of their total income to their investors.
Benefits of Freedom Checks
First introduced as MLPs, the idea was invented in 1981 in which companies in the energy sector were not expected to pay any tax. This enabled them to pay more money to the investors who gained up to 4% or even 10% of their investment. The checks have enabled Matt Badiali, the founder, to make enormous earnings as well as his followers. He once sold his gold mining stocks at a rate of $.06 and later sold them at a rate of $2.64 which made him make up to 4,400% profit.
Companies that issue Freedom Checks
Currently, about 568 companies issue Freedom Checks which are in quarterly or monthly payments. The checks are more of stock dividends although they represent the “return of capital” instead of income. Since they are from the green energy sector, they are tax-free. If an investor wants to sell his/her checks, the only financial component that would be taxed is the capital gain rate which is usually lower than the rate of income tax.
The champion behind the investment plan
Freedom checks were introduced by Matt Badiali who is not only a financial expert but also a renowned geologist. He graduated from the University of Penn State with a bachelor’s degree in Geological and Earth Sciences. He also went for a master’s program at Florida Atlantic University to study Earth Sciences. In 2005, he also got his Ph.D. certificate from the Carolina University.
Matt Badiali recently released a video where he discussed about the Checks. He noted in the video that the new investment idea came about after he realized that even the common man has the interest to achieve independence and financial sustainability. Furthermore, he realized that the energy sector has a lot of investment opportunities that people could easily utilize. For sure these Checks have already proven to be worthwhile to some investors.