We have accepted the fact that in lieu of a stimulus check in the mail, we should be seeing more money in our paychecks. And that is fine and good. In fact, rumors abound throughout this country that Obama will seek major tax cuts in his stimulus plan, and there are several tax breaks under consideration right now. All this talk makes taxpayers feel like relief is finally on the way. But what can we really expect? One plan is to provide a tax credit that would allow companies to reduce the tax they withhold. However, if that is only $500 for individuals and $1000 for a couple, as proposed on CNN.Money, I don’t see how that is going to impact the way I spend my money. If I break $500 down by 26 paychecks a year, I will only see an increase of about $19 per payday. I do understand the economics behind this but it doesn’t make me feel any better. A mere $19 is not really enough money to increase a credit card payment and it’s not enough money to stash away in a savings account so I probably will spend it without thinking, which is exactly the intention of this tax cut. The problem is, $19 every other week is not going to make me feel very hopeful that the economy is turning around and this feeling will probably lead me to continue living as frugally as possible. I wonder how many others will feel the same way? Read more »
I don’t need to remind you that when President-elect Barack Obama takes office, he will face what may well be the bleakest economic outlook since World War II. Over the past couple of years, we have stood by and watched as personal income has slowed to a crawl and then felt helpless and stressed these last few months because the economic forecasts have spiraled downward with ungainly speed. Today, many experts believe that unemployment could reach 10 percent by the end of next year and our economy could fall $1 trillion short of its full capacity. This translates into more than $12,000 in lost income for a family of four. This is on top of the money we have already lost in our investments and the value of our homes. But, this country will soon swear in a new president with a new plan providing us with a new hope. Read more »
It’s about time someone on commercial TV addressed some of the real issues going on in Washington. I am referring to the John Stossel’s 20/20 report Friday, October 27th. I believe that Americans are basically good. When given the choice, we would rather see all people enjoy prosperity, live harmoniously in a safe and clean environmentand have equal opportunities. However, politicians (first with the visions of serving the public good and then after serious indoctrination, with the illusions of grandeur and power) corrupt the American dream. It never ceases to amaze me that an idea that starts with the best of intentions, once touched by special interest groups and seasoned politicians, turns into a huge expense for the American taxpayers and does little to solve the original problem it was designed to fix. How does this happen? Does the political arena attract only the genetically corrupt? Have Americans stopped being the watchdogs of the government? Or, is there something else amiss here? Read more »
Is there anyone out there that really understands what is going on in the financial world? How come our current administration insisted for the past year that our economy was sound and that it would survive the sub-prime mortgage crisis and then turn around in a panic and, just last week, ask Congress for $700 billion dollars. This is a government intervention unprecedented since the Great Depression. Shouldn’t the public have had some warning that a meltdown was inevitable? Shouldn’t the taxpayers have been prepared for the fact that they would eventually be responsible for picking up the pieces instead of facing a demand (on a Monday morning, no less) that the Fed needed this money and they needed it now or else? This all seems so surreal that I can’t quite grasp the immediacy of the bailout. What does this say about the collective intelligence of corporate and political America? No wonder the American public is not behind this. It is time for Congress to support their constituents and look at not revising this bailout, but throwing it back into Wall Street’s hands - after all, isn’t that why they pay these guys the big bucks?. If our government has $700 billion dollars to just give away then let’s jump start the economy by giving it to the taxpayers.