ECONOMICS: My thoughts to save the USA

Friday, October 11, 2024

One would think that someone would recognize that “shipping all the jobs overseas” was a fundamentally flawed strategy to bankrupt the middle class. Seems obvious to me.

DJT’s tariffs would be a step in the right direction IF AND ONLY IF it was done “gently” (so as not to ignite a trade war) and strategically (focus on the key industries need in war time). Same with mergers and acquisitions approval.

In the financial realm, TBIF (too big to fail) is TBTE (too big to exist). Balance sheets should be limited to a reasonable amount percentage relative to the national GDP.

Unfunded liabilities by any entity should be outlawed.

Also, executive compensation should be “taxed” to the extent that it exceeds what the President is paid and any other compensation should be “laddered” (i.e., vested non-transferable corporate bonds staggered in equal amounts over a long term time horizon) say thirty years to encourage long term decision making (i.e., no sacrificing long term survival for short term profitability).

Don’t tax savings or whatever it earns.  Distinguish between savings, investment, and speculation.

—30—

Leave a Comment » | ECONOMICS | Tagged: , | Permalink
Posted by reinkefj

MONEY: A grandparent’s obligation?

Wednesday, December 17, 2014

https://personal.vanguard.com/us/whatweoffer/college/vanguard529

Saving for college—trust Vanguard to help you reach your goal

*** begin quote ***

Keep your money for college—not taxes

When you invest in a 529 plan, your earnings grow tax-deferred, so more of your savings goes toward your main goal—financing a college education.

Why the Vanguard 529

  • Low costs
  • Our expenses and fees, among the lowest in the industry, allow more of your money to work for your child.
  • Easy investing
  • Choosing an age-based option and
  • an automatic investment plan (AIP) could mean almost no work for you.

Experience

  • We’re a leader in direct-sold 529 plans: Vanguard investment options are offered in 28 plans totaling more than $25 billion in assets.*

*** end quote ***

Holiday gift giving season is upon us.

I’m not only a fat old white guy injineer, but a Bahhh Humbug type who’s hero is old Ebenezer (who I think was given a bad rap!).

Grandparents, assuming you want the best for this grandchildren, have an obligation to “fill in” for the parents. Parents have to do the day to day things, under pressure and time constraints. Us old <synonym for multiple instances of  flatulence> — and I include myself in that category — have the luxury of seeing the “whole road” since we are far closer to the end than the beginning.

What one thing do parents overlook or can’t afford — other than there own retirement?

Yup, saving for their kids education. 

Now in our day and age, I know I got a present and a savings bond. Sometimes the savings bond WAS the present. One uncle gave me a FIFTY DOLLAR bond and a big <synonym for donkey> navel orange! I remember that one. But the savings bond is a joke now days. It’ll never pay for tech school or college.

So, rather than throw money away on presents that will NEVER be remembered, I’m agitating for 529’s.

Specifically the Vanguard 529 Nevada plan because of the “age adjustment” option and the very low fees.

While YMMV, this gift would be wasted. Even if it’s forgotten.

# – # – # – # – #   

Leave a Comment » | MONEY | Tagged: , , | Permalink
Posted by reinkefj

MONEY: CD rates are the answer to the wrong question

Thursday, October 4, 2012

BANKING
Is It Stupid to Save? 5 Alternatives
With low interest rates here to stay, we look at options that can beat putting money in the bank.
http://www.smartmoney.com/plan/banking/is-it-stupid-to-save-5-alternatives-1348525179055/?cid=djem_sm_WeekontheStreet_t

#####

I find it amusing when articles give financial advice without any context. No that I’m a financial guru. But at least I’d stratified my advice into some tiers:

dirt poor — you should be focusing on burn rate and “months of cushion”

poor — you should be focused on pyramid and how you establish a basis going forward

young family man — should be thinking insurance and home ownership

youngsters — save your nickels and develop 10 part time jobs

… … before you start worrying about savings rates!!!

#####

Leave a Comment » | MONEY | Tagged: , | Permalink
Posted by reinkefj