Viking Arthur on the Economy

Arthur, the author of Arthur's Hall of Viking Manliness provides a good overview of what happened to the economy and why. He places blame where it belongs, virtually everyone.

Read the full article here...

Government Motors

I sold all of my stock in Government Motors today. I had bought a few hundred shares very cheaply a few weeks ago on the gamble that somehow the government wouldn’t %@#* things up. I obviously had too much faith in those people. On a bright note, TiVo stock did well today on news that they won their lawsuit against EchoStar. So it was not a completely dark day where my portfolio is concerned.

Tomorrow may be darker as we learn more about Obama's outright theft of a multi-billion dollar, once great company. Now we get to watch Ford and Toyota fight it out to become that largest car manufacturer in the US.

Taxes 2008

According to the Seattle Times, people shouldn’t protest their taxes since the vast majority of people are paying less taxes now than in the last 30 years. The paper claims that the vast majority of people pay an average of 9% of their income in federal taxes. I claim BS.

Looking at my figures for the year, working part time while attending school full time earned me $10,577 from all income sources. Of that $10.6K I paid $876 in federal withholdings, $631 in socialist security, $251 in fuel taxes, $147 in Medicare taxes, $126 L&I taxes, $94 in sales tax, and $81 in vehicle registration taxes. Add all of those up and I paid 20.86% of my 2008 income in taxes. This is my second largest expense, the largest being school.

I misplaced many of my receipts from the first part of the year, so I know that the sales tax figure I'm using is actually lower than it should be. The federal government claims that only the wealthy will be getting their taxes increased. I plan to be one of those wealthy people in a few years and I don’t see why I should be penalized for being more productive to society than I am today.

The government is penalizing the most productive part of our economy in order to subsidize the least productive part. The wealthiest individuals and the most profitable businesses pay trillions in taxes, while the government is giving that money away to people who make very little money and to businesses that have been run into the ground as a result of poor management. And some people truly wonder why tens of thousands of people are out protesting today?

Wise Politician?

Tax Deduction

As many people start thinking about starting their income taxes, here's a little story I found:

Here's the kind of accountant you've got to admire. Last year he deducted eighty cartons of cigarettes from my income tax. Called it loss by fire!

Quote from Jacob Braude's Complete Speaker's & Toastmaster's Library: Business and Professional Pointmakers. Published in 1965.

Please consult a tax attorney before attempting such a write-off. Also, consuming cigarettes in any quantity is unhealthy, both physically and financially.

Perspective

Image from XKCD.

How to live comfortably on $1,000 per month

The secret? Find roommates, people have been doing this for generations. It isn’t limited merely to those moving out for the first time or in college either. The pure economics of sharing rent and other major expenses allows living costs to be cut significantly. If you can manage to share food as well you can save more money by buying more bulk items from random wholesale places instead of normal grocery stores.
Read the full article on cheaper living here.