In The News

Axiom | Vol 321

Quarterly Estimated Tax Payments Are Due 9/15/2022.

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1 | Week In Review

Fed Chairman Powell’s comments at Jackson Hole sent the markets lower, as he reasserted that the Fed will seek to lower inflation, even if a recession occurs. Annex Wealth Management’s Dave Spano and Todd Voit discuss.

2 | Poll

Required Minimum Distributions: Common Questions: What Reporting Obligations Does My Brokerage Firm Have With Respect To RMDs?

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3 | Client Exclusive

Is Fine Dining In The Stars?

Few of us who live outside America’s largest cities could name a Michelin Star restaurant off the top of our heads.  If you can, then it’s safe to say you’ve achieved “foodie” status. Or you watch a lot of Food Network.

“Michelin” can connotate one of two things: a quality tire for your vehicle, or an extraordinary meal prepared by a top-notch chef. Yes, this isn’t a coincidence.

The France-based Michelin company began publishing a travel guide for Europe in 1900 in order to encourage drivers to take road trips to local attractions, using Michelin tires, of course[1]. This guide included, among other things, anonymous restaurant reviews that rated both quality and style; and thus the Star was born.

A Michelin Star is the highest award that a restaurant can receive and represents not only exceptional food, but style, quality, and creativity. Though a popular guide in Europe for many decades, it was only in 2005 that Michelin started appearing in the United States, and even then, only in Chicago, New York City, Washington DC, and San Francisco.

If you aren’t near any of those cities, you may want to plan an extra special trip to visit one, perhaps as part of a special culinary tour or as part of your bucket list to see just what they are about, and what makes them special.

When making your plans, consider making a reservation as early as you can, and note some restaurants even require a credit of up to 50% an average bill in order to hold your reservation.[2] It is also important to note that when you’ve finally booked your table, plan for up to 5 hours if you opt for the full tasting menu experience.

Part of why a Michelin Star restaurant stands above the rest is the attention to detail, the flow of each course, the thoughtful pairing of menu items, and the knowledge and consideration of the staff in providing you with a holistic dining atmosphere.

Though not typically standard, some restaurants even take guests on a tour of the kitchen during the course of the meal to fully immerse you in the experience.[3] These are just a few ways Michelin Star restaurants distinguish themselves and attract those who are seeking an elevated experience, and for those who were wondering, just like we were, here are a few things that the anonymous full-time restaurant reviewers look for. Sidenote: that might be the best job ever!

  • Using quality ingredients (maybe this one is obvious)
  • Mastery of flavor and technique
  • Seeing the personality of the chef in the cuisine
  • Value for money (yes, please!)
  • Consistency in food

Now, if you think that cooking a meal for your in-laws when they visit is stressful, imagine trying to keep up with the small handful of recognized restaurants worldwide and the top tier critics that are constantly and anonymously judging every move you make! It’s no wonder that some chefs have actually rejected the prestigious Michelin award.

As it stands, there are only 14 Michelin 3-star restaurants in the U.S.[4] and most of them are in California, so it’s pretty easy to say the guide is extremely stingy in their selections and devote their time only to the largest culinary cities.

The stars can become an obsession for chefs (chef Gordon Ramsey actually cried when his New York restaurant was stripped of one[5]) and can be damaging to profits – and even the state of mind – of the chef under pressure.

Spanish chef Julio Biosca gave up the star he was surprised to earn, and claims he sleeps more soundly at night because of it, saying that though the award is high praise, “the problem is all that surrounds it: the eagerness to become number one, to step on others along the way. I was exhausted from the system and wanted to come back to the origins: having people leave my restaurant feeling happy.” [6]

Biosca and other chefs who have rejected the award were able to go back to their craft without the added pressure of what the Star means for their customers, their menu, and ultimately their bottom line. One chef even said that as a Michelin star destination, on food alone, they don’t make a profit![7]

Kind of sounds like a double-edged, expensive sword. But one that most chefs around the world would gladly yield for the prestige it brings. The name Michelin implies an extraordinary menu and experience, and it might be worth checking out for yourself once you can get those reservations booked, that is.

If you’re interested in learning more about the world of high class, Michelin Star-level dining, check out the Danish documentary called Michelin Stars: Tales from the Kitchen where you can see interviews with recipient chefs and kitchens about the process and their experiences while being in the Michelin Star limelight.[8]

Bon Appetit!

[1] https://www.ice.edu/blog/michelin-stars 
[2] https://www.traverse-blog.com/beginner-guide-michelin-star-restaurants/ 
[3] https://www.traverse-blog.com/beginner-guide-michelin-star-restaurants/ 
[4] https://www.finedininglovers.com/article/how-many-3-star-michelin-restaurants-are-there-usa 
[5] https://www.ice.edu/blog/michelin-stars 
[6] https://www.pri.org/stories/2015-03-02/why-great-chefs-reject-michelin-stars 
[7] https://www.pri.org/stories/2015-03-02/why-great-chefs-reject-michelin-stars 
[8] http://povmagazine.com/articles/view/review-michelin-stars-tales-from-the-kitchen 

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4 | Did You Know?

Quarterly Estimated Tax Payments Are Due 9/15/2022.

If you have estimated tax payments, your Q3 payment is due September 15, 2022.

Please visit the link below for instructions on how to complete your payments. If you have any questions, comments, or concerns regarding your quarterly estimated payment, please reach out to your Wealth Manager or Client Service Manager.

Click Here For Instructions

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5 | Ask Annex

Annex Wealth Management’s Randy Winkler, CFP® answers several Ask Annex questions:

“Do break-even calculations for social security tend to work out?” – Ben

“Does my paid-off house count when it comes to my financial plan?” – Kyle

“What portion of my portfolio should be liquid and in what form?” – Ray

“What do you see more of, people who regret retiring early or late?” – Joyce

“Please explain the 4% rule.” – Anonymous

Do you have a question for Annex Wealth Management? Drop it here: annexwealth.com/ask

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6 | Quote of the Week

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7 | Annex Radio

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