May 6, 2018 · Investment Advisors

Matt Badiali, an editor at Banyan Hill Publishing, writes a few financial newsletters designed to help people invest their money. A number of his latest articles have been about “Freedom Checks”. He started off by releasing a video about these where he held up a big check showing the type of monthly returns one could earn from this investment. He says that the average Freedom Check exceeds a regular social security payment by three or even four times. Visit to know more about Freedom Checks.

These checks were created by Statute 26-F, he has written. The checks they issue are tax-free but the company issuing them has to meet two requirements. The first requirement is that 90% of their revenue has to come from oil and gas. This involves producing these natural resources, processing, storing them, and/or transporting them. The second requirement is that the entity behind the Freedom Check has to pay out to their shareholders these checks each year.

Statue 26-F was passed by Congress in 1987. There are now 568 firms which meet the requirements to issue a Freedom Check. Matt Badiali says he came across this statute when he was doing some research. The common term for the businesses that issue Freedom Checks is Master Limited Partnerships (MLP). By law they have to pay 90% of their revenue to their shareholders which can add up to a lot of money. They pay out either once a month or once a quarter. The IRS treats these payments as a return of capital so people receiving these checks don’t have to pay income taxes on what they receive. Watch this video at Youtube.

Matt Badiali says that buying MLP shares isn’t really any different than buying stocks or bonds. Also, like if you own a stock that pays dividends, you can choose to have the checks either sent to you by mail or have it deposited into your brokerage account. He adds that some people receive upwards of $50,000 a month but those are people who have invested a lot of money. Most people can expect returns that are around 2-3 times what they would be earning if they invested conservatively.

In his financial newsletters he explains more about Freedom Checks and which companies are the most lucrative to invest money in. He gives a hint that one of these companies is headquartered in Chicago, Illinois and will soon be paying $28 million to their investors in just one month.


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