College Preparation

Something to not forget in this year’s Packing List

Taxes.

A major secret of successful taxation is to make it painless. To do this, taxes must be hidden. Governments tax output up the entire supply chain. The sellers collect the tax. The public does not perceive this.

Check out this (humorous) video.

I think it is very effective in showing how the government gets there “share” of pretty much everything we do and consume.

Thoughts?

Tom Sirois

Great Barrington, MA

Sad story, but good lesson

Couple items come to mind:

• Careful who you trust your money with.
• Read the fine print.

What do you think?

Tom Sirois

Great Barrington, MA

"Running the government on 8¢"

CNNMoney.com reports:

Barring serious efforts to curb the growth in the country's debt, by 2020 Washington could be spending 92 cents of every tax dollar on Medicare, Medicaid, Social Security and interest alone. That would leave just 8 cents to pay for everything else.

Does that put the problem in perspective for you?

Tom Sirois

Great Barrington, MA

Happy New Year

Hope you all have a safe, content New Year.

I try not to make resolutions, I rather make "intentions" and take it one day, or week at a time surrounding my goals. Health and wealth are on the top of my list this coming year.

I came across a great post on a website www.minyanville.com:  Things I've Learned. There is a nice amount of information to reflect upon.

Tom Sirois
Great Barrington, MA

Advice to Average Investors (That is you and me!):

“Don’t trust your government. Do your own research. Use common sense. If you don’t understand the strategy, don’t invest in it.“

Harry Markopolos is the man who blew the whistle on Bernie Madoff’s $60 Billion Ponzi Fund. Visit msnbc.com for breaking news, world news, and news about the economy'>Visit msnbc.com for breaking news, world news, and news about the economy'>Here is an breif interview with him:

Mr.Markopolos’ advice to investors should be translated to the non-financial world as well. If you rely solely on the information being presented to you by our government then you’re not getting the full story - ever.

Take responsibility for building your own knowledge base, independently of traditional sources, and implement strategies specifically designed by you, for your own benefit.

Tom Sirois

Great Barrington, MA

Important Financial Truths You Should Always Remember

I came across this excellent article that lays out seven “Financial Truths”. I find it difficult to decide on seven, but they have done an excellent job.

Since I am most inspired by Financial Literacy in children, I think #6 Wants are not the same as needs is the best advice. If you can instill this in your children from an early age, then I think the remainder will fall in line, or simply be easy to teach.

This list is:

1. Nobody cares as much about your money as you do.

2. Spend less than you earn.

3. Shop around and simplify where it makes sense.

4. You need to pay yourself first.

5. Budget budget budget.

6. Wants are not the same as needs.

7. Using cash when you can is best.

Hat tip to Dumb Little Man; tips for life.

I’d love to know what you think.

Tom Sirois

Great Barrington, MA