Question: What happens if skip an IRS audit?

Answer: The IRS will pick a number and tax you based upon that. The number they pick is designed to be painful, in the hope that you will be “encouraged” to cooperate. It’s never a good idea to skip an audit. You look uncooperative and that doesn’t help you at all. See my article Surviving a Tax Audit.

Question: multi-level marketing, Dave Ramsey

Answer: Dave Ramsey is generally against multi-level marketing companies when they encourage you to stock inventory. He says that’s a waste of money.. money which you could use to pay down debts. If you want to get involved in MLM, Dave recommends that you stock only very minimal products and then order as you sell.

Question: prepaid legal MLM scam

Answer: Yes, Prepaid legal is generally a scam. You get very little for your money, and all the services they brag about for members are sketchy at best. See this video for more information, and also check out

One Comment

  1. Chad Bordeaux 07/10/2008 at 7:18 am - Reply

    One of prepaid legals big “benefits” is getting you out of traffic tickets. Of course, there is no way they can guarantee this. I had Prepaid Legal for a number of years, but do not anymore. During this time, I got a speeding ticket in Charlotte, NC (where I am from). They then informed me that Mecklenburg County (where Charlotte is) did not offer any type of program where they would be able to get me out of the ticket.

    I did get a ticket about two years ago in Jacksonville, NC and they handled that one quite easily. The problem was, two days after I got the ticket, I had about 20 letters from attorneys in Jacksonville saying that they would get the ticket “taken care of” from around $150 – $200. Since I only get a ticket about once every 5 years (if that), it would have been way cheaper to save my monthly fee and pay the attorney when needed. In fact, I may have been able to do it myself- abscent the cost of gas to get to Jacksonville. All they did was get it reduced to a non-moving violation. They were only able to do this because I had not had a ticket in the past two years.

    Anyway, I am not a member anymore. If I need a lawyer, I will pay him then.

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