The Republi-can'ts and the Dum-ol-Crats Maintain The Do Nothing Quo!!!!!
Surprise, Surprise the politicians on the super committee have accomplished nothing. The best cuts they could come up with are ones that simply slightly reduce future increases. Then you add on the President's pay tax cut which is simply robbing future revenues from Social Security and shipping the problem down the road. It is sad, sad, sad and all America is about to find out how sad. Some say it won't be that bad. Well if the past is any indicator it will be. Even if they do not cut our credit rating it is not going to sit well with the stock markets. It would not surprise me if the market falls below 10,000 by the 28th. It will not surprise anyone if the market goes down. The question is how far down it will go? This is one time I hope and pray I am wrong, If American markets closed under 10,000 it could trigger absolute chaos in the world markets. Hope I am wrong.
The Obama administration says it is not that bad and it is getting a little better. Excuse me but the economy is still bleeding. Maybe not as bad as in the past, but it is still bleeding. As more and more people fall off of unemployment the foreclosure problem will continue. It is not because there are not solutions. There are plenty of solutions. However that would require action by both the President and the Congress and they are not so inclined. I have personally sent letters to both Obama and members of Congress containing ideas and plans that will create jobs. You can find those ideas in other posts on my blog. My next blog page will be the platform for my attempt at starting a third party. The party acronym is CARP, which means a type of fish or to complain. Both are appropriate. The full name is the Consitutional American Reform Party. As the name implies it is a constitutionally based party. Its platform is Progressive. It promotes change not just for changes sake, but for the countries sake. Changes that will put America back on its feet and start us moving forward toward a better America with a solid future. One that is not mortgaged on our children's backs. We need to deal with our problems, not pass them on to our children and grandchildren. Changes will and do need to be made. Some will be forced on us regardless somewhere down the road, especially energy problems, but they can be met. It will take a party that not only has the will, but the desire to sit America's house in order. Some of it is going to hurt no matter how we do it. The truth is though if we do nothing it is going to hurt a lot worse.
I truly believe that the averge American does care about America and the direction in which we are headed. The present two party system is "NOT" working. They are too tied to special interests and lining their own pockets to care about what it is doing to the nation as a whole. They just want to get all they can out of the system before it goes down. They have no intention of fixing it. The Republi-can'ts are the true fools in this whole fiasco. They think protecting the rich will in some way help them. They are to stupid to see that when the ship goes down the wealthy will be in the lifeboats with all their wealth.
The Republi-can'ts will quickly learn that those they made wealthy have no intention of saving them as they get their fingers smashed by the oars when they try to get in lifeboats they helped create. Unfortunately for them the poor that planned well enough and survive are not going to be willing to help them either.
The government is bankrupt whether they are willing to admit it or not does not matter. It can get a lot worse and it can do so quickly. America is only surviving because other countries are willing to store their excess money in America. They are earning virtually nothing for doings so. When the world market collapses they will need that money and will call for it. We do not have it to pay and they will quickly learn that and send no more. Even China will come to the conclusion keeping their money at home and getting no interest is better than paying the exchange fees to get nothing in America. That day is soon approaching. The failure of Congress just may be the straw that breaks the proverbial camel's back. Sooner or later America will break that straw. Having moved down the road of life for a long time and been through a bankruptcy myself. A day of reckoning comes sooner or later. What congress does will determine which it is. It is looking like that by their inaction they are pushing for sooner.
Average Americans do not want the government to fail. They also do not want the hardship that is being dumped on America by actions or lack of action in some cases of their elected officials. Americans need an alternative and a way out. The last third party president America had was Abraham Lincoln. It about tore the nation apart. Unfortunately we are at a point in history where it is going to take that kind of forceful action to save America. It will take a new party with foresight that understands the problems and is willing to step up deal with the problems no matter how much it hurts. If it is not done in the short term, it is going to hurt much more in the long term. The thing is that by the frustration with politicians and their low poll ratings it is clear that Americans see the problem. The trouble is the present two party sysem offers no solution.
Sunday, November 20, 2011
Sunday, November 13, 2011
The Cost of Stuff-itis, It Can Make or Break You
Some people might say what is stuffitis. It is stuff. How we get it, and what we do with it shapes our lives and our destiny. The question is do you have stuff or does stuff have you. If you have ever watched one of the programs called "Hoarding" you are witnessing stuff-itis out of control. Hoarders are created several ways. Some people look at everything they ever purchase as an investment. Therefore is has value and should be kept no matter what. Other hoarders no that the stuff they have accumulated has no value anymore but they can not decide what to get rid of. Yet others consider anything they get as adding to their wealth and making them better off. Many of us fall at some level into cracks between the extremes. All stuff has a cost. Sometimes to acquire it. Sometimes to keep it. Sometimes it is because it is kept. When it gets out of hand and is infested by insects, rodents or mold it can even effect the health of the hoarder.
Most of the time I see it, in my opinion, as a failure to understand how to manage money. Often times hoarders are virtually destitute even though they have a big enoung cash flow to meet their needs. The problem is it is mismanaged. If a person has never been taught how to save money they purchase items they do not really need simply because they have the money to do so. It is this last bunch that the media advertising dollar is targeted at.
In my own case I have far more than I actually need, but I have discovered how to use stuff-itis of others to meet my financial needs. Being on disability and some months not having enough to get by my solution was to go to yard sales and auctions looking for "good deals" that I could by for pennies on the dollar and resell for a profit. My goal is to get it for a fifth of its value and sell it for as much as possible. Hopefully for at least half its new value. Even if I only sell it for two fifths of its value I have doubled my money. If you can double your money and keep doing it consistently you should get ahead sooner or later. The trick is learning to buy only stuff you can sell, and that you will sell. If you end up keeping it yourself your losing ground. Also just because it is cheap does not always mean it is a bargain. Some stuff is cheap because nobody wants it. Which means you will not be able to sell it no matter how cheap you got it. I learned this lesson the hard way. At one auction I got five couches for five dollars. After a year I had sold one for ten dollars. The rest of them I wound up burning so I would have room in my shop for new stuff or at least more stuff. In the end my accomplishment was to pay to remove someone else's trash. So even though I doubled my money it was really a loss. Fortunately it happened early in my career of selling "Stuff." Several years later I have learned to leave many things sitting even though they are cheap. If you can not sell it you are simply paying to become a hoarder.
It is not always about used stuff. Many people have to stroke their ego and drive a brand new car. That new car will lose several thousand dollars in value the moment it leaves the showroom floor. If your ego needs it and you consider it worth it go for it. It might be a lot better investment to buy a slightly used version of the same car and put the thousands of dollars in your pocket. A compromise way to buy a new car and one I have done myself is to buy last years car. When the 2012's come out you simply go looking for a new 2011. The best time to actually buy it is just before tax time in 2012. You still have a car only you have driven. While also saving some on taxes in many states. The taxes are less on a technically two year old car. The goal is to save money. Part of the trick to that is get your own preapproved credit so you can shop and know how much you have. If you have been shopping since the 2012's first came out you know what a 2011 was really going for. You can make an offer several thousand dollars below the asking price. When you tell them you have your own financing and your offer is a take it or leave it offer. They will probably deal. You might have to haggel a little, the secret is knowing what it is worth and what "You" are willing to pay. Dealers hate letting a sure deal walk out the door even if they do not make anything on the car. Their goal is to move it, if it is last years model.
When I go to yard sales and auctions I see stuff sold for pennies on the dollar. The people are trying to get rid of something they no longer need and in many cases never needed in the first place. One of the things I see this on the most is excercise equipment. Tread mills, excercise bikes and weight benches. Most of them have been sitting for years and the only excercise they saw was as a coat or clothing rack. The trick to this whole deal and how make money from Stuff-itis is knowing what people will buy and really need. A couple things I always, eventually, sell is baby beds, chest of drawers, rockers and recliners in good condition. It is a learning process, but it can supplement your income to some degree. It could make a lot more if one pursued it, but for me it is a way to make gas money so I am not stuck at home all the time.
The next time you are having a yard sale do a quick. See how much of the stuff you have out for sale that you never really needed in the first place. Also when you are planning to make a purchase of some items you do not need right away, but that you know you need. Take a small tablet and write the price of the article down at several competing stores. It can save you a lot of money over impulse buying. Hopefully this will help someone get in control of their stuff-itis.
Most of the time I see it, in my opinion, as a failure to understand how to manage money. Often times hoarders are virtually destitute even though they have a big enoung cash flow to meet their needs. The problem is it is mismanaged. If a person has never been taught how to save money they purchase items they do not really need simply because they have the money to do so. It is this last bunch that the media advertising dollar is targeted at.
In my own case I have far more than I actually need, but I have discovered how to use stuff-itis of others to meet my financial needs. Being on disability and some months not having enough to get by my solution was to go to yard sales and auctions looking for "good deals" that I could by for pennies on the dollar and resell for a profit. My goal is to get it for a fifth of its value and sell it for as much as possible. Hopefully for at least half its new value. Even if I only sell it for two fifths of its value I have doubled my money. If you can double your money and keep doing it consistently you should get ahead sooner or later. The trick is learning to buy only stuff you can sell, and that you will sell. If you end up keeping it yourself your losing ground. Also just because it is cheap does not always mean it is a bargain. Some stuff is cheap because nobody wants it. Which means you will not be able to sell it no matter how cheap you got it. I learned this lesson the hard way. At one auction I got five couches for five dollars. After a year I had sold one for ten dollars. The rest of them I wound up burning so I would have room in my shop for new stuff or at least more stuff. In the end my accomplishment was to pay to remove someone else's trash. So even though I doubled my money it was really a loss. Fortunately it happened early in my career of selling "Stuff." Several years later I have learned to leave many things sitting even though they are cheap. If you can not sell it you are simply paying to become a hoarder.
It is not always about used stuff. Many people have to stroke their ego and drive a brand new car. That new car will lose several thousand dollars in value the moment it leaves the showroom floor. If your ego needs it and you consider it worth it go for it. It might be a lot better investment to buy a slightly used version of the same car and put the thousands of dollars in your pocket. A compromise way to buy a new car and one I have done myself is to buy last years car. When the 2012's come out you simply go looking for a new 2011. The best time to actually buy it is just before tax time in 2012. You still have a car only you have driven. While also saving some on taxes in many states. The taxes are less on a technically two year old car. The goal is to save money. Part of the trick to that is get your own preapproved credit so you can shop and know how much you have. If you have been shopping since the 2012's first came out you know what a 2011 was really going for. You can make an offer several thousand dollars below the asking price. When you tell them you have your own financing and your offer is a take it or leave it offer. They will probably deal. You might have to haggel a little, the secret is knowing what it is worth and what "You" are willing to pay. Dealers hate letting a sure deal walk out the door even if they do not make anything on the car. Their goal is to move it, if it is last years model.
When I go to yard sales and auctions I see stuff sold for pennies on the dollar. The people are trying to get rid of something they no longer need and in many cases never needed in the first place. One of the things I see this on the most is excercise equipment. Tread mills, excercise bikes and weight benches. Most of them have been sitting for years and the only excercise they saw was as a coat or clothing rack. The trick to this whole deal and how make money from Stuff-itis is knowing what people will buy and really need. A couple things I always, eventually, sell is baby beds, chest of drawers, rockers and recliners in good condition. It is a learning process, but it can supplement your income to some degree. It could make a lot more if one pursued it, but for me it is a way to make gas money so I am not stuck at home all the time.
The next time you are having a yard sale do a quick. See how much of the stuff you have out for sale that you never really needed in the first place. Also when you are planning to make a purchase of some items you do not need right away, but that you know you need. Take a small tablet and write the price of the article down at several competing stores. It can save you a lot of money over impulse buying. Hopefully this will help someone get in control of their stuff-itis.
Monday, November 7, 2011
How To Not Go Down A Hill..or..Murphy's Law At Work The links go to similar stories
How To Not Go Down A Hill..or..Murphy's Law At Work
Sometimes you can kill more than one bird with a stone. It requires taking a hard look at the problem and believe me I have had many years to look at it. I learned to drive a truck OJT in 1967 in Vietnam. That education went on till I retired in 2004. Over the years I had some, let's say, interesting experiences. Shippers who were paying for the use of the truck always tried to get their money's worth. One time I hauled a load of lumber from Louisville, Kentucky to Phoenix, Arizona. Unfornately I went to load with a half full tank of fuel. The shipper loaded me to my maximum legal limit. Which at that time was 80,000 pounds. This created a problem as if I filled my tanks with fuel I would be almost 800 pounds over weight which would get me fined if I pulled on a state scale. It was a hassel stopping for fuel several times, but it all went okay until Flagstaff, Arizona. Then the fun really started.
A few miles south of Flagstaff on I-17 near Sedona is a long steep grade. Shortly before the top of the grade there are signs that warn of a very long grade ahead. It also advises all drivers to pull into the rest area before the grade and adjust your brakes. This is good advice. However if it was marked like Emigrant Pass in Oregon it might be a lot safer. On Emigrant a sign tells you what gear to go down the hill in based on your gross weight. This being my first time driving down a long mountain grade, at least first in a civilian truck, and having been trained OJT, the lack of formal training would become an issue. Being a good little trucker I pulled into the rest area and adjusted my brakes. Well a couple of them anyhow. I mean how steep and long can a hill be.
After taking what I considered an adequate break I got back up into my Cabover Cornbinder. (trucker slang for an International brand of truck, oh yeah a cabover is one where you sit above the engine and there is no hood.) and pulled out of the rest area and started off the top of the grade. As soon as I went over the top it occurred to me that adjusting all the brakes might have been a better way to go. The start of the grade is very steep. All of a sudden a pickup pulling a camper went to the right shoulder then back across to the left shoulder. I could tell he was out of control. Suddenly he cut back right to quick and his trailer went over on its side and pulled the pickup over with it. Being only a couple hundred yards behind I was standing on my brakes. While I was slowing down it did not seem enough. The camper finally slid to a stop across both lanes of traffic. My truck stopped about ten feet from the wreck. First thing I did was yell on the CB for somebody to stop the southbound traffic and why. Then I helped the elderly couple crawl out of their truck. They were shaken but okay. I went back to my truck and moved it a couple hundred yards down hill to a small dip where their was a little rise. As I walked by my trailer I could smell that my brakes were hot. It was twenty to thirty minutes before the state police showed up. I had been directing the traffic that had come down the hill. There was barely room to squeeze past the wreck on the shoulder. Once the wrecker showed up, about an hour later, the state trooper told me to leave and that they would take care of the problem.
After saying goodbye to the couple I walked back down the hill to my truck. Again I could smell the brakes. I started easing down the hill and in second gear my truck could hold itself back with the engine compression. Feeling a little more confident I pulled out into traffic and started shifting gears. Rule one is keep a steady pressure on the brakes. However not knowing this I kept speeding up and then using the brake pedal to slow down. It seemed to be working except I kept having to push the brakes a little harder to slow down. Just as I was feeling pretty confidant about it all. A voice came over the CB, "How about that southbound load of lumber. Do you have your ears on?" "Yes" I replied and he kind of burst my bubble. He said, " You might want to check your rear view mirrors. You have a problem. As much as you are smoking you are not going to make it to the bottom of this hill." I looked in the rear view mirrors and sure enough I was smoking pretty good. "Thanks," I said.'"This is my first time going down a hill like this. What do I do?" He replied, "I would stop if you can. If you can't I would start praying."I did and it would not be the last time.
Suddenly I realized this might not be a good day. I tried to stop but couldn't but slowed, almost, to a stop. I tried to down shift to a lower gear but kept missing it. My speed was picking back up as I was out of gear and free wheeling. Finally I got it in about seventh gear. As I pressed on the brakes the pedal started melting into the floor. Even with the pedal all the way down I was picking up speed. This was suddenly not fun. I looked in the rear view mirror and so much smoke was rolling out behind me I looked like one those World War II bombers you see in the war footage going down in flames. Not sure what to do I remembered the Emergency Brake knobs on the dash. In desperation I pulled them. Nothing really happened except the amount of smoke increased dramatically and my speed was steadily climbing.
The chatter on the CB was not comforting. They were taking bets on how far down the hill I would get before I lost it. Suddenly a voice from heaven started talking on my CB. It was a trucker right behind me and he knew the hill very well and asked me how I felt about it all. His voice was very soothing. He asked me how my brake pedal was feeling and what I had done so far. He told me to push the emergency knobs back in as all they would do is get all the brakes hot. He said so far most of the smoke was coming from the trailer. He asked what gear I was in and I told him. He said regardless of what happened leave it in gear. He said the worst that could happen was I would blow up the engine. The speedometer slowly climbed and the engine was over revving quite a bit, but I seemed to steady out a little.
He advised me to let off the brakes entirely as we were getting into a stretch that was not as steep. The truck started to slow a little. That was a relief. He started explainng what we were going to try to do. Now I believe a big part of the talking was to keep my mind settled down. The shallow grade ended and we started off and another steeper grade. My engine had gotten back into its RPM range which made things feel a little better. He told me there was an escape ramp another little bit down the hill and that I should use it. Finally the escape ramp came into view, but their was a problem.
Some older couple was out walking their dog. However their car and camper trailer were parked directly in the path I needed to take. I debated going through the trailer and at the last second decided somebody might be in it. Cursing the elderly as I passed, my speed started to build again and the engine was almost off the tachometer. I kept waiting for it to explode. The steering wheel started vibrating from the engine shaking so hard. We made it to another area where it leveled out a little.
He told me there was a rest area ahead and the road went through a little upgrade stretch and maybe I could get it stopped in the rest area. As the grade leveled out my engine slowed down quite a bit. He talked me through how I should rev the engine to downshift to a lower gear which would help me slow down even more. It worked and I kept at it as quick as I could. While I was going much slower I realized I could not go into the rest area because if someone pulled out in front of me I would not be able to stop. Finally I got down to second gear. All that was left was granny and I knew I could not hit it. Slowly I pulled to the shoulder in front of the rest area. As I looked to the right I saw many people watching and waving. My situation was going down the hill, no pun intended, by radio even faster than me evidently. My truck slowed, and slowed and just before I hit the crest where the hill would start down again I stood on the brakes. However stopping was evidently not meant to be. At about 5 miles per hour my truck crossed the crest and the hill started down again.
Slowly I started building speed. My guardian angel started talking me down the hill again. I discussed that this was not exactly a ship and I thought maybe it was time to jump and let the ship go down by it self. He told me we only had a few more miles to go and if I could make the next corner ahead we would make it to the bottom. We made the corner and out in front of me was a couple of miles of straight but down hill grade. Looking harder I could see that once you hit bottom it started back up grade. Slowly my speed started building. My angel talked me through using the gears as much as possible. Finally he told me to put it in high gear and to hold on. The speedometer passed 75 and then 80 which is as far as it went. I was gaining on the cars in front of me with no way to slow down. Suddenly I saw my path. I pulled over on the right shoulder and down the hill I went.
The RPM guage was way past the end mark and the truck was vibrating like and excercise machine. I figured my speed had to be just over a 100 miles per hour. Finally I was down and crossed the bottom of the hill and started up the next one. My guardian angel told me not to stop under any circumstances. If I did, he informed me, the brakes would catch fire. It was several miles of upgrade and I rode as far as I could before I stopped.
When I did my guardian angel pulled over and told me how the road was the rest of the ways to Phoenix. While the truck cooled off I took a much needed break and when the truck was cool enough I adjusted the brakes. However there were problems as a couple wheels were covered with oil on the inside. My angel informed me that the heat had gotten so hot the wheel seals had melted. He gave me some oil and showed me how to add some which I had to do a few times before Phoenix. The next morning I unloaded the lumber and took my truck to a shop to get checked out. They had to replace several seals and all the brake pads. The repair bill was well over $2000 dollars. To me the only thing that mattered was that I was alive to tell about it by the Grace of God.
It was several years before I ever went west again. When I did I sat down with several experienced drivers and absorbed all the knowledge they could bestow on me. This was a life changing experience, but being honest I had a worse one in Viet Nam and a couple not quite so bad ones after, but I did finally get it figured out. The old saying is. "You can go down a hill too slow a thousand times, you can go down too fast once." It is the truth. Slowing down solved my problems.
Friday, November 4, 2011
Prohibition, Income Tax and Pot & What They Have In Common
Have you ever found something you had always been told was not true. It is really scarry when the truth though is harder to believe than the lie. It happened to me recently. It had always been my understanding that the income tax had been passed by Congress to finance our part in World War I. Somebody lied to me along the way. What I discovered was that Taxes, Prohibition and Pot laws all had a common beginning.
Contrary to what I had been told Income Taxes are covered under the 16th Amendment. That means not only did Congress pass the law to create taxes but so did at least two thirds of the states. What were they thinking and how could the American people be finagled into reaching into their own wallets. My research discovered the power of fanaticism and hypocrisy when manipulated. They came together in the form of the Prohibition Movement. Prohibition has deep roots that go clear back to 1657 when the General Court of Massachusetts passed a law making strong liquor illegal. It did not end with that decision. In 1789 a group of about 200 Connecticut farmers formed a group called the Temperance Association based on the writings of Benjamin Rush. His book on "The Effects of the Ardent Spirits on the Human Body and Mind" fueled a movement that in 1826 inspired the formation of the American Temperance Society. It grew rapidly and ten years later was in most states and had over 1.5 million members. It started with a pledge to abstain from alcohol, but later it advocated prohibition of any alcohol. In 1850 the State of Maine voted to become a dry state. It did not work out and was repealed in 1856. The battle lines were drawn. After the Civil War the movement had several new groups advocating abolition of alcohol. The movement was growing when Kansas in 1881 put it in the state Constitution to make Kansas a dry state. The battle moved on and gathered even more strength.
They had a problem though. During the Civil War the government created the requirement to buy a license to make alcohol. The license cost $20 and the government also put a tax of twenty cents per gallon on alcohol. By 1862 the alcohol revenues represented 30% of the governments income. The amount continued to increase after the war and by 1900 the alcohol revenues represented over 70% of the governments income. This made it really hard for the prohibitionist to push their program. They realized the only way they could get rid of alcohol was to figure a way to replace the revenue the government would lose. Over time a plan was hatched and the prohibition movement pushed for a national income tax. They evidently had great zeal as they managed to get the 16th Amendment passed. The amendment was proposed in July 2009 and ratified by the states by February 1913 which means it was completely done before World War I had even started. End if that myth.
Once the ball got rolling the period of 1910 to 1920 saw four amendments passed. The 17th Amendment concerned the direct election of Senators. They had been selected by state legislatures until then. The 18th was Prohibition. It was passed by not giving the details of how it would be enforced. The activists argued it would simply close the bars. However when the Volsted Act which enacted the amendment was passed, even though it was vetoed by President Woodrow Wilson, it was much more sweeping and banned all alcohol. The exceptions were medical and wine for church communion services. Most Americans know the consequences of the Amendment and that it was eventually repealed. One irony is that the Income Tax was used to catch one of the biggest criminals of the Prohibition Period. Eventually America realized that the program was not working and that you could not legislate morality. In December 1933 the law was repealed and liquor started to flow again.
So the next time you pay your income taxes you can thank the Prohibitionists that not only bought you the Income Tax, but also got pot banned in America. It was already illegal before prohibition. After Prohibition new laws were passed to make it a controlled substance. I learned this from a conversation I had with my grandfather back in the mid 60's. He lived through the period and he said smoking pot was very popular during prohibition. In fact it was so popular that after Prohibition ended the alcohol companies were not getting their business back. Having learned few things from the Prohibitionists the alcohol companies lobbied to get pot made illegal so they could get their business back. So now you know why you pay taxes and why pot is illegal.
Just for the record the only winner in the deal was the Federal Government. They got to keep the Income Tax in effect after Prohibition ended. They also got the liquour taxes back. Seems like the average citizen got it from both sides on that little bit of political finagling. This does not help anybody, but it at least lets those interested know how the system works. If you want change in the government it can happen, but it takes a lot of work over a lot of time with a lot of focus. It also proves Americans can be talked into about anything. I mean, like, why would you vote to tax yourself? DUH!!!!!!!!!
Contrary to what I had been told Income Taxes are covered under the 16th Amendment. That means not only did Congress pass the law to create taxes but so did at least two thirds of the states. What were they thinking and how could the American people be finagled into reaching into their own wallets. My research discovered the power of fanaticism and hypocrisy when manipulated. They came together in the form of the Prohibition Movement. Prohibition has deep roots that go clear back to 1657 when the General Court of Massachusetts passed a law making strong liquor illegal. It did not end with that decision. In 1789 a group of about 200 Connecticut farmers formed a group called the Temperance Association based on the writings of Benjamin Rush. His book on "The Effects of the Ardent Spirits on the Human Body and Mind" fueled a movement that in 1826 inspired the formation of the American Temperance Society. It grew rapidly and ten years later was in most states and had over 1.5 million members. It started with a pledge to abstain from alcohol, but later it advocated prohibition of any alcohol. In 1850 the State of Maine voted to become a dry state. It did not work out and was repealed in 1856. The battle lines were drawn. After the Civil War the movement had several new groups advocating abolition of alcohol. The movement was growing when Kansas in 1881 put it in the state Constitution to make Kansas a dry state. The battle moved on and gathered even more strength.
They had a problem though. During the Civil War the government created the requirement to buy a license to make alcohol. The license cost $20 and the government also put a tax of twenty cents per gallon on alcohol. By 1862 the alcohol revenues represented 30% of the governments income. The amount continued to increase after the war and by 1900 the alcohol revenues represented over 70% of the governments income. This made it really hard for the prohibitionist to push their program. They realized the only way they could get rid of alcohol was to figure a way to replace the revenue the government would lose. Over time a plan was hatched and the prohibition movement pushed for a national income tax. They evidently had great zeal as they managed to get the 16th Amendment passed. The amendment was proposed in July 2009 and ratified by the states by February 1913 which means it was completely done before World War I had even started. End if that myth.
Once the ball got rolling the period of 1910 to 1920 saw four amendments passed. The 17th Amendment concerned the direct election of Senators. They had been selected by state legislatures until then. The 18th was Prohibition. It was passed by not giving the details of how it would be enforced. The activists argued it would simply close the bars. However when the Volsted Act which enacted the amendment was passed, even though it was vetoed by President Woodrow Wilson, it was much more sweeping and banned all alcohol. The exceptions were medical and wine for church communion services. Most Americans know the consequences of the Amendment and that it was eventually repealed. One irony is that the Income Tax was used to catch one of the biggest criminals of the Prohibition Period. Eventually America realized that the program was not working and that you could not legislate morality. In December 1933 the law was repealed and liquor started to flow again.
So the next time you pay your income taxes you can thank the Prohibitionists that not only bought you the Income Tax, but also got pot banned in America. It was already illegal before prohibition. After Prohibition new laws were passed to make it a controlled substance. I learned this from a conversation I had with my grandfather back in the mid 60's. He lived through the period and he said smoking pot was very popular during prohibition. In fact it was so popular that after Prohibition ended the alcohol companies were not getting their business back. Having learned few things from the Prohibitionists the alcohol companies lobbied to get pot made illegal so they could get their business back. So now you know why you pay taxes and why pot is illegal.
Just for the record the only winner in the deal was the Federal Government. They got to keep the Income Tax in effect after Prohibition ended. They also got the liquour taxes back. Seems like the average citizen got it from both sides on that little bit of political finagling. This does not help anybody, but it at least lets those interested know how the system works. If you want change in the government it can happen, but it takes a lot of work over a lot of time with a lot of focus. It also proves Americans can be talked into about anything. I mean, like, why would you vote to tax yourself? DUH!!!!!!!!!
Tuesday, November 1, 2011
Is It Time To Put The Ship of State in Drydock
With the ship of state taking multiple hits and listing badly it may be time to do a major overhaul. Having been hit buy several torpedos in quick succession the ship is floundering and needs repairs desperately. The housing market seems unable to recover. The truth is it will not recover as long as unemployment is out of control. The liberal unemployment payments are not helping and in the long run may be making the situation worse. The gaping hole from the war in Iraq may soon be sealed, however the bleeding of the economy by the Afghanistan war continues. There is talk of cutting programs and the size of government. This sounds good to many people, however this will only add to the unemployment problem. While downsizing the military may cut expenses in one area, it will raise them in another. As it will put more people on the unemployment rolls. This will not solve the problem it will only compound it and stretch it out over a longer time. Cutting social programs only increases the hardship on those who are already struggling to survive. The out of control student loans and collapsing infrastructure are just two more signs of the need for a major overhaul. It is time to put the Ship of State in drydock before it sinks.
So how do you put the ship of state in Drydock. The only way I see to do it is find a way to bypass the present system, but keep it working. They use that system all the time in construction. A temporary bridge is built to take traffic around a site. Then the regular bridge can be rebuilt without the interference of traffic. My plan provides a way to do that. While the temporary plan is in place Congress can focus on fixing the real problems in a real way. They can cut out all the loopholes, subsidies and other benefits that do not benefit each and every citizen. They can start by eliminating those that just benefit special interest of the wealthy and big business. Big oil for one does not need subsidies no matter how much they complain. Banks and businesses that can not stand on their own merit need to be allowed to disappear. If there is a demand it will be filled by a provider that is able to make a profit because of better practices. So I can not buy a Chevy. That is Chevy's fault. There will still be companies providing cars and they will be doing it at a profit.
Cutting benefits is not the answer. Yes we need to cut the debt, but there are other solutions. It is the obligation under the Constitution to provide for the welfare of the nation. That is where Congress has come up short. Article 1. Section 8, paragraph one, says it is the duty of the Congress to levy taxes and tariffs as needed and to raise a military to defend America while also providing for the welfare of the nation. What is welfare. From my readings of Paine, Franklin and Jefferson they did consider taking care of the old, retired and indigent a responsibility of the state. That being said when you provide welfare for your family you provide, not only shelter, but food, clothing, healthcare and security. These are the duties of a family and of a nation. While a certain Veteran Congressman is able to have seven homes and live high on the hog, while it is not illegal. It hardly seems right. Especially when his fellow veterans are sleeping on the streets because there are no jobs for them. From my experience in America. There are always jobs. Sometimes I have held three or four at one time to make ends meet. The problem is the jobs available do not pay enough for the work involved or require more training than many Americans have. Instead of allowing illegals to fill the menial jobs or documented foreigners to fill the better ones while letting many Americans do without. America needs a jobs oriented education system instead of one dedicated to sucking all the financial resoures of its victims while providing nothing in return.
So how do you accomplish this? I have a plan that does it right now. It is a plan that pays for itself and can be implemented immediately. It will not be popular but anyone who seriously looks at it can tell it will work. The old saying of "no pain, no gain" is true. However refusing to change and continue with politics as usual guarantees even more pain down the road.
My plan accomplishes several worthwhile and needed goals. It sets in motion a "paid for" plan to fix, repair and replace America's crumbling infrastructure. It creates jobs and stimulates business. Fixing the infrastructure requires not only laborers, it requires equipment, materials and cash flow that stimulates the economy. This creates payroll taxes that help the struggling economy. The final thing it does is reduce our dependence on foreign oil. It will encourage the American people to become a serious part of the world economy and to limit our waste and pollution. While also showing the world America is serious about dealing with our problems. A couple of my blog pages explain plans that could save America millions of gallons per day. Not by reducing our standard of living, but by maximizing the energy usage from the what we already consume. Electric cars may help, but they are not the total answer. If you drive long distances electric at present is not the answer. What do you do when you head out cross country and hit the middle of Kansas or Nebraska. You will be parked and have no where to plug in. There are viable alternatives that will work. In France a company builds an air powered car. Yes it runs on compressed air. It will run seventy miles per hour and go one hundred twenty miles on a tank of air. If air stations are built a car can refill its tanks in less than five minutes. Even doing it at home on your own compressor, which comes with the French car, takes less time and equivalent amount of energy to an electric car.
So how does this wonderful program work. This technically does not raise taxes, it creates a new one. For the Republi-can'ts who argue against tax increases. They had no problem doubling the national debt during the Bush Administration. However they did not provide a means to pay for it. It is time to step up to the plate and help solve the problem they created. That being said it is paid for in advance by a tax of $1.00 per gallon on gas. It is immediate. All it takes is being voted in and it can be implemented tomorrow. Based on America's present consumption average per state is about eight million two hundred and thirty two thousand gallons a day. That means the state immediately can pursue projects that are already going or ready to go. Over a year that would generate over three billion dollars for each state to use. The tax can be reduced later if it is doing the job it was designed to do. This tax will provide an incentive to buy more economical cars. This program eliminates a constantly recurring budget drain. This program creates a possibly permanent fund to constantly deal with the infrastructure problems. The tax collected in each state should stay in the state it is collected in. The Federal government other than creating the tax, should have no part in it or access to the funds. The Fed should only be allowed to make sure each state is using the money for what it is designated for. Fixing infrastructure. It should generate enough tax income that each state should be able to fund their own programs. This is a solution and it works now. Its does not take months or years. It will start stimulating the economy immediately.
This is definitely an outside the box program. The thing is it can work while giving Congress time to deal with the real problem which is the budget. The budget needs to be cut and cut drastically. The couple trillion the Congressional Super Committee is supposed to cut is just the tip of the iceberg. It will take cutting over 5.6 Trillion to balance the budget. With 1.2 billion per day paid in interest on the national debt we will be over 4.3 trillion more in debt than when we started the ten years period they are talking about. That is just in interest. That means we have accomplished absolutely nothing. It is time to get real and deal with the problems.
So how do you put the ship of state in Drydock. The only way I see to do it is find a way to bypass the present system, but keep it working. They use that system all the time in construction. A temporary bridge is built to take traffic around a site. Then the regular bridge can be rebuilt without the interference of traffic. My plan provides a way to do that. While the temporary plan is in place Congress can focus on fixing the real problems in a real way. They can cut out all the loopholes, subsidies and other benefits that do not benefit each and every citizen. They can start by eliminating those that just benefit special interest of the wealthy and big business. Big oil for one does not need subsidies no matter how much they complain. Banks and businesses that can not stand on their own merit need to be allowed to disappear. If there is a demand it will be filled by a provider that is able to make a profit because of better practices. So I can not buy a Chevy. That is Chevy's fault. There will still be companies providing cars and they will be doing it at a profit.
Cutting benefits is not the answer. Yes we need to cut the debt, but there are other solutions. It is the obligation under the Constitution to provide for the welfare of the nation. That is where Congress has come up short. Article 1. Section 8, paragraph one, says it is the duty of the Congress to levy taxes and tariffs as needed and to raise a military to defend America while also providing for the welfare of the nation. What is welfare. From my readings of Paine, Franklin and Jefferson they did consider taking care of the old, retired and indigent a responsibility of the state. That being said when you provide welfare for your family you provide, not only shelter, but food, clothing, healthcare and security. These are the duties of a family and of a nation. While a certain Veteran Congressman is able to have seven homes and live high on the hog, while it is not illegal. It hardly seems right. Especially when his fellow veterans are sleeping on the streets because there are no jobs for them. From my experience in America. There are always jobs. Sometimes I have held three or four at one time to make ends meet. The problem is the jobs available do not pay enough for the work involved or require more training than many Americans have. Instead of allowing illegals to fill the menial jobs or documented foreigners to fill the better ones while letting many Americans do without. America needs a jobs oriented education system instead of one dedicated to sucking all the financial resoures of its victims while providing nothing in return.
So how do you accomplish this? I have a plan that does it right now. It is a plan that pays for itself and can be implemented immediately. It will not be popular but anyone who seriously looks at it can tell it will work. The old saying of "no pain, no gain" is true. However refusing to change and continue with politics as usual guarantees even more pain down the road.
My plan accomplishes several worthwhile and needed goals. It sets in motion a "paid for" plan to fix, repair and replace America's crumbling infrastructure. It creates jobs and stimulates business. Fixing the infrastructure requires not only laborers, it requires equipment, materials and cash flow that stimulates the economy. This creates payroll taxes that help the struggling economy. The final thing it does is reduce our dependence on foreign oil. It will encourage the American people to become a serious part of the world economy and to limit our waste and pollution. While also showing the world America is serious about dealing with our problems. A couple of my blog pages explain plans that could save America millions of gallons per day. Not by reducing our standard of living, but by maximizing the energy usage from the what we already consume. Electric cars may help, but they are not the total answer. If you drive long distances electric at present is not the answer. What do you do when you head out cross country and hit the middle of Kansas or Nebraska. You will be parked and have no where to plug in. There are viable alternatives that will work. In France a company builds an air powered car. Yes it runs on compressed air. It will run seventy miles per hour and go one hundred twenty miles on a tank of air. If air stations are built a car can refill its tanks in less than five minutes. Even doing it at home on your own compressor, which comes with the French car, takes less time and equivalent amount of energy to an electric car.
So how does this wonderful program work. This technically does not raise taxes, it creates a new one. For the Republi-can'ts who argue against tax increases. They had no problem doubling the national debt during the Bush Administration. However they did not provide a means to pay for it. It is time to step up to the plate and help solve the problem they created. That being said it is paid for in advance by a tax of $1.00 per gallon on gas. It is immediate. All it takes is being voted in and it can be implemented tomorrow. Based on America's present consumption average per state is about eight million two hundred and thirty two thousand gallons a day. That means the state immediately can pursue projects that are already going or ready to go. Over a year that would generate over three billion dollars for each state to use. The tax can be reduced later if it is doing the job it was designed to do. This tax will provide an incentive to buy more economical cars. This program eliminates a constantly recurring budget drain. This program creates a possibly permanent fund to constantly deal with the infrastructure problems. The tax collected in each state should stay in the state it is collected in. The Federal government other than creating the tax, should have no part in it or access to the funds. The Fed should only be allowed to make sure each state is using the money for what it is designated for. Fixing infrastructure. It should generate enough tax income that each state should be able to fund their own programs. This is a solution and it works now. Its does not take months or years. It will start stimulating the economy immediately.
This is definitely an outside the box program. The thing is it can work while giving Congress time to deal with the real problem which is the budget. The budget needs to be cut and cut drastically. The couple trillion the Congressional Super Committee is supposed to cut is just the tip of the iceberg. It will take cutting over 5.6 Trillion to balance the budget. With 1.2 billion per day paid in interest on the national debt we will be over 4.3 trillion more in debt than when we started the ten years period they are talking about. That is just in interest. That means we have accomplished absolutely nothing. It is time to get real and deal with the problems.
Friday, October 28, 2011
MONEY: Cost of Driving? See The Chart Below, It Could Save You A Bundle Of $$$
With the constantly changing cost of gas sometimes it is hard to figure the cost of taking a trip. This chart was made for two reasons. The first was to make an easy way to figure the cost to make a trip. The second was to show people the cost savings of going to a newer, high mile per gallon vehicle. I know some people need a gas sucker for work or to haul a large family and groceries. However the back up vehicle when not working does not have to be a gas sucker. If you are a person who drives over two thousand miles per month and have your gas sucker paid off it might pay to look into a getting a second vehicle for when you do not need the gas sucker. If you drive in the four to five thousand mile per month range it definitely will not only pay for itself. It will pay the additional insurance cost also. The old saying, "You have to spend money, To make money." definitely applies to this situation. As fuel prices go higher it will apply even more so. You may be able to help not only yourself but the country. If enough people buy cars it creates jobs. If enough stop wasting fuel when they do not have to it will help America reduce our need for imports. Not to mention helping save the planet by reducing emissions. It can be a win, win situation.
MILES PER GALLON
PRICE PER 6 8 10 15 20 25 30 35 40 45 50
GALLON
PRICE PER MILE IN CENTS
$2.20 .366 .275 .22 .15 .11 .08 .073 .062 .055 .048 .044
$2.60 .433 .325 .26 .173 .13 .104 .086 .074 .065 .057 .052
$3.00 .50 .375 .30 .20 .15 .12 .10 .085 .075 .066 .06
$3.40 .566 .425 .34 .22 .1 .136 .113 .097 .085 .075 .068
$3.80 .633 .475 .38 .253 .19 .152 .126 .108 .095 .084 .076
$4.20 .70 .525 .42 .28 .21 .168 .14 .12 .105 .093 .084
$4.60 .766 .575 46 306 23 .184 .153 131 .115 .102 .092
$5.00 .833 .625 .50 .333 .25 .20 .166 .142 .125 111 .10
TO USE THE CHART SIMPLY MULTIPLY THE MILES YOU DRIVE PER MONTH TIMES THE PRICE PER MILE.
EXAMPLE YOU DRIVE 2000 MILES PER MONTH AT 15 MILES PER GALLON AND GAS IS $3.40 IT COSTS
2000 DIVIDE BY 15 = 133 GALLONS PER MONTH X 3.40 = $452.20 FOR GAS
2000 DIVIDE BY 35 = 57 GALLONS PER MONTH X 3.40 = $194.28 FOR GAS
IF YOU TRADED FOR A 35 MPG CAR AND DROVE 2000 MILES THE COST WOULD = $257.92 SAVINGS
MILES PER GALLON
PRICE PER 6 8 10 15 20 25 30 35 40 45 50
GALLON
PRICE PER MILE IN CENTS
$2.20 .366 .275 .22 .15 .11 .08 .073 .062 .055 .048 .044
$2.60 .433 .325 .26 .173 .13 .104 .086 .074 .065 .057 .052
$3.00 .50 .375 .30 .20 .15 .12 .10 .085 .075 .066 .06
$3.40 .566 .425 .34 .22 .1 .136 .113 .097 .085 .075 .068
$3.80 .633 .475 .38 .253 .19 .152 .126 .108 .095 .084 .076
$4.20 .70 .525 .42 .28 .21 .168 .14 .12 .105 .093 .084
$4.60 .766 .575 46 306 23 .184 .153 131 .115 .102 .092
$5.00 .833 .625 .50 .333 .25 .20 .166 .142 .125 111 .10
TO USE THE CHART SIMPLY MULTIPLY THE MILES YOU DRIVE PER MONTH TIMES THE PRICE PER MILE.
EXAMPLE YOU DRIVE 2000 MILES PER MONTH AT 15 MILES PER GALLON AND GAS IS $3.40 IT COSTS
2000 DIVIDE BY 15 = 133 GALLONS PER MONTH X 3.40 = $452.20 FOR GAS
2000 DIVIDE BY 35 = 57 GALLONS PER MONTH X 3.40 = $194.28 FOR GAS
IF YOU TRADED FOR A 35 MPG CAR AND DROVE 2000 MILES THE COST WOULD = $257.92 SAVINGS
YOUR SAVINGS PER MONTH WITH A 40 MPG FORD FIESTA WOULD BE = $ 282.20 SAVINGS
Thursday, October 27, 2011
MONEY: Getting Your Loan.
This post continues the post I made on 10/10 about Starting Your Own Business and Dealing With Banks. Hopefully I got across the point that when dealing with banks you tell them no more than you need to tell them to get your loan. That being said you have to properly prepare yourself for seeking help from a bank. Banks are interested in one thing making money. You need to convince them that your plan will make money. More than that, that you will make them money. You need to know the answers to the questions they may ask you. The thing they need to know is that your idea or plan is profitable. Of course this is something that you also need to know. They do not want to hear, "I think it will make this much." They want to hear "It will make this much and here is how." Then you need to be prepared to tell them why you need the money your asking for. You also need to be able to tell them how much profit it will make. If you can not answer these simple questions you are not ready to deal with a bank. You need to practice your sales pitch that you will give the bank till you are totally comfortable telling it to anybody that asks. This will help you sound convincing when you go into the bank. You may be nervous, but it should not show. You need to project confidence and professionalism. That starts with what you wear and how you look. What the banker sees the first time he sees you will influence his decision. You may work in cutoffs or jeans with holes in them and a T shirt with your favorite slogan on it. However when you enter a bank you are on the bankers turf and you need to look up to the part. I always wear a suit or slacks and a nice shirt or sweater when dealing with people I am asking to invest in my business. Is it hypocritical, not really. It shows you know how to be professional when you have to be. When doing sales work I almost always had on bib overalls. The one place I did not compromise is my beard. My beard is pretty long and gray. Picture in your mind Santa Claus and you have just visualized me. Sometimes I had to ask people to give me thousands of dollars up front strictly on my word. Sometimes people would say to me, "How do I know I can trust you?" I usually just smile and say, "If you can't trust Santa Claus who can you trust." I hardly ever had a person say no to me. Could Santa Claus rip them off? You betcha it could happen and does, but not by this Santa Claus.
This part may sound a little strange but it helps. First you do not want to come across as begging or needing the help. In fact it helps if you can put across an image of not needing the money. Your presentation should clearly show how you will use the money you are asking for. If you can not show or tell how you will make money your chances are slim. If you have already done X amount of business and made X amount of that is a strong help. Some businesses require little planning and very little equipment. Basic landscaping may get buy with a pickup truck, a wheelbarrow, a couple types of shovels, several kinds of rakes and some tarp. Most everything else you can rent from a rental center. Building decks may be simple also. The basic pickup, a good saw, a small chain saw, some post hole diggers and some saw horses can get you started. You can rent a trailer for hauling longer items, or machinery for moving dirt. You need to figure these rental costs into your estimates. Time going and getting them, cleaning them up and taking them back are all part of the job. Knowing what materials are necessary to build the deck are also important. If you make out a written contract for the job it should have a good description and picture diagram of the deck and how it will be built. When you have this in hand you can go to the bank and tell them I have a contract for a deck of X size, it will cost this much for materials and it will net this much. You should be able to tell him how many man hours you will have in it. The banker will decide based on how prepared he thinks you are. You occasionally will have things that come up unexpected, but generally you should know your business well enough to know how much you will make. The contract should detail the basics. How many steps, the pattern of the posts, the type of materials, are there railings and is it screwed together or nailed. How the post are set. The more detail you can put in the contract, the less chance the customer can add things that will take away from your profit. Make sure your contract is clear that if it is not in the contract it is not covered and must be negotiated separate. Believe me I learnt this the hard way. It does not have to be fancy but it will help you convince the bank you know your business.
Finally when you get the loan pay the bank first, the materials second, your employees and rental fees third and yourself last. Paying in this order will help you stay in business. It will only take burning yourself once or twice to find out if there actually is a profit to be made in your business. It is best to learn it quickly and adjust accordingly. If the bank gives you the loan and even if you lose money, as long as you pay them and maintain your credibility you can get another loan and try it again. If you spend all the money and leave everybody else hanging for the money owed them you won't be in business long. Going back up to what I said about trusting Santa Claus. There are plenty of con artist who take advantage of customers, banks and everybody else they deal with. That is what makes it so hard to get a loan. I always heard that 50% of all new businesses fail in the first five years. That number supposedly rises to 95% by ten years. Some businesses are even worse than that, Restaurants are even worse than the average business. They supposedly hit 90% failures by five years. It is a very competitive field. You can profit from their failures though. A friend of mine made a very good living buying and selling restaurant equipment. When going out of business most will take what ever they can get. Getting into the business they will pay what they have to for what they need. He made his living knowing the differences. He started his business from his own failure. As long as you learn from your mistakes and keep at it you will succeed sooner or later. Or at least you will keep busy trying. Most businesses do not succeed the first time around. It takes perseverance and determination to succeed. If you are trying to become self employed to spend more time with your family. Do yourself a favor and forget it. If your goal is to work less or not as hard, again forget it. Finally if it is to be in charge and not answer to anyone. Again I suggest forget being self employed. You will have to not only keep your customers happy, but your employees if you intend to keep the good ones. If you are still interested in starting your own business make sure it is something you enjoy doing. To me there is no worse experience than waking up everyday to do something you do not like. To me anyhow, life is to be enjoyed, not endured.
This part may sound a little strange but it helps. First you do not want to come across as begging or needing the help. In fact it helps if you can put across an image of not needing the money. Your presentation should clearly show how you will use the money you are asking for. If you can not show or tell how you will make money your chances are slim. If you have already done X amount of business and made X amount of that is a strong help. Some businesses require little planning and very little equipment. Basic landscaping may get buy with a pickup truck, a wheelbarrow, a couple types of shovels, several kinds of rakes and some tarp. Most everything else you can rent from a rental center. Building decks may be simple also. The basic pickup, a good saw, a small chain saw, some post hole diggers and some saw horses can get you started. You can rent a trailer for hauling longer items, or machinery for moving dirt. You need to figure these rental costs into your estimates. Time going and getting them, cleaning them up and taking them back are all part of the job. Knowing what materials are necessary to build the deck are also important. If you make out a written contract for the job it should have a good description and picture diagram of the deck and how it will be built. When you have this in hand you can go to the bank and tell them I have a contract for a deck of X size, it will cost this much for materials and it will net this much. You should be able to tell him how many man hours you will have in it. The banker will decide based on how prepared he thinks you are. You occasionally will have things that come up unexpected, but generally you should know your business well enough to know how much you will make. The contract should detail the basics. How many steps, the pattern of the posts, the type of materials, are there railings and is it screwed together or nailed. How the post are set. The more detail you can put in the contract, the less chance the customer can add things that will take away from your profit. Make sure your contract is clear that if it is not in the contract it is not covered and must be negotiated separate. Believe me I learnt this the hard way. It does not have to be fancy but it will help you convince the bank you know your business.
Finally when you get the loan pay the bank first, the materials second, your employees and rental fees third and yourself last. Paying in this order will help you stay in business. It will only take burning yourself once or twice to find out if there actually is a profit to be made in your business. It is best to learn it quickly and adjust accordingly. If the bank gives you the loan and even if you lose money, as long as you pay them and maintain your credibility you can get another loan and try it again. If you spend all the money and leave everybody else hanging for the money owed them you won't be in business long. Going back up to what I said about trusting Santa Claus. There are plenty of con artist who take advantage of customers, banks and everybody else they deal with. That is what makes it so hard to get a loan. I always heard that 50% of all new businesses fail in the first five years. That number supposedly rises to 95% by ten years. Some businesses are even worse than that, Restaurants are even worse than the average business. They supposedly hit 90% failures by five years. It is a very competitive field. You can profit from their failures though. A friend of mine made a very good living buying and selling restaurant equipment. When going out of business most will take what ever they can get. Getting into the business they will pay what they have to for what they need. He made his living knowing the differences. He started his business from his own failure. As long as you learn from your mistakes and keep at it you will succeed sooner or later. Or at least you will keep busy trying. Most businesses do not succeed the first time around. It takes perseverance and determination to succeed. If you are trying to become self employed to spend more time with your family. Do yourself a favor and forget it. If your goal is to work less or not as hard, again forget it. Finally if it is to be in charge and not answer to anyone. Again I suggest forget being self employed. You will have to not only keep your customers happy, but your employees if you intend to keep the good ones. If you are still interested in starting your own business make sure it is something you enjoy doing. To me there is no worse experience than waking up everyday to do something you do not like. To me anyhow, life is to be enjoyed, not endured.
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