Our economy is changing every day for better or for worse. We have experienced several stock market corrections over the last several years but salaries have not experienced a correction in years. It seems that every year, for whatever reasons, salaries go up even though our world competitor’s cost of labor do not increase. We have become collateral damage.
Inflated salaries that are carried by the so called developed countries (U.S.) are now competing with minimal salaries from countries in development for example INDIA. Here you have a clear example of how outsourcing is affecting the business development is U.S., thousands and thousands of jobs are being exported abroad paying pennies on the dollar and those exported salaries are helping other countries develop to the detriment of ours. I understand that in many cases it makes good business sense to lower the cost of services and /or products to improve the bottom line of many companies like WALMART, TARGET, MATTEL & others that manufacture abroad, but it comes at an immense cost to our Nation. When you export manufacturing and services, the cost of production may decrease, but those lost salaries affect the Social Security and Medicare that were supposed to help the treasury. We have become collateral damage.
GENERAL MOTORS and CHRYSLER are a good example of the inflated salaries and benefits paid in U.S., in comparison with developing countries offering cheap labor
or foreign companies manufacturing in the U.S. like TOYOTA and HONDA, which employ thousands of U.S. workers but do not permit unions to inflate their costs. We have become collateral damage
Technology has created many jobs for educated people that deserve higher salaries, but at the same time the jobs held by those not so well educated Americans are lost, and we are not doing a good job cross training them for this new world economy, therefore, they lag behind and become unemployed. We have become collateral damage
Is this the beginning of the end for the U.S. economy that imports more that what we export in order to supply cheaper goods to a consumer, a society that is not able to see the difference between the WANTS and the NEEDS? I am sure that most of us would want something that we currently don’t have, but the question is, do we need to keep on spending our dollars so the rest of the world survives at our cost? Or should we become a little more protective of our technology, our jobs and the future generations to come by spending what we have and what we don’t have? We have become collateral damage
Many of the unemployed prefer to receive an unemployment check instead of going out and get a job, just because they are not willing to accept a lower salary than the one they had when our economy was healthy. The unemployment benefits are now being extended and Americans are simply staying at home waiting for the unemployment check. We have become collateral damage
Yes, this is a New World Economy and we are all part of it, but AMERICA must come first.
Yes, we should keep helping the world to develop but AMERICANS come first. Maybe this Protectionist Policy might not be romantic, but is certainly practical in these critical times. Once our house is in order, we can then continue helping the rest of rest of the world
José F. Padró, CPA.
padrocpa@padrocpa.com
PADRO and Company, P.A.
The information at this Site has been provided by José F. Padró , CPA. for general information purposes. It does not constitute legal, accounting, tax or other professional advice or services and is presented without any representation or warranty as to the accuracy or completeness of the information.
Tuesday, January 12, 2010
Monday, November 23, 2009
My point of view in America’s Home ownership Cult.
When a Social Democracy is forced against plain and simple Democracy, the future cost for generations to come is normally ignored, bringing the consequences that we are living now.
It’s sad that when we look back at President Clinton’s Community Reinvestment Act in which the Federal Housing Administration (FHA) increased the home ownership opportunities for those borrowers that were at the time un-served or under-served by the private mortgage markets (and with good reason to do it), failed in a way that may have bankrupt our country and the future of many generations to come.
The perfect storm that has occurred may be directly related to the irresponsible homeownership legislation that wanted to make renters without the ability to purchase and maintain a home , owners in the land of opportunity, were all dreams comes true.
Not everyone can afford a home, many people that did purchased a home with very little down payment and very low income, are the main reason of the real estate boom and its demised, and most of those foreclosed homeowners are back were they started, renting a home. We must brake free from our homeownership cult, homeownership is not always the right choice.
Yes, the fall began with President Bush and is in a freefall with President Obama. It has been over the years that the most costly entitlements have been under Democrats and what is happening now is President Obama and the democratic congress responsibility. We have no means to afford a Healthcare Bill that will increase taxes in already battered American taxpayers. The squeeze the rich to increase entitlements has brought this nation to its knees and with no political answer to Social Security and Medicare. The continued printing of U.S. Dollars will only bring inflation and no solutions.
The short-term thinking of our “I want to get elected and/or continue in congress” at any cost have our society thinking, what will be of us, the millions of American that are not late in their mortgages, are not late with their credit card payments, that pay their taxes, that believe in God, that pray every day, that send their children to private school because the public system has failed, that do not depend in government.
What will be of us, when current politicians keep the “real American dream” under chains and destroy our future, piece by piece, legislation by legislation.
Yes, we have a voice. Yes, we have the power that democracy gives us. Yes, we need to protect our country. Yes, we need to protect our children. Yes, we need to protect our present and our future. Yes, we must vote against the politicians that are playing the politics game. We need leaders that will bring us back to the country that our forefathers dreamed for them and for us.
José F. Padró, CPA.
padrocpa@padrocpa.com
www.padrocpa.com
PADRO and Company, P.A.
The information at this Site has been provided by José F. Padró , CPA. for general information purposes. It does not constitute legal, accounting, tax or other professional advice or services and is presented without any representation or warranty as to the accuracy or completeness of the information.
It’s sad that when we look back at President Clinton’s Community Reinvestment Act in which the Federal Housing Administration (FHA) increased the home ownership opportunities for those borrowers that were at the time un-served or under-served by the private mortgage markets (and with good reason to do it), failed in a way that may have bankrupt our country and the future of many generations to come.
The perfect storm that has occurred may be directly related to the irresponsible homeownership legislation that wanted to make renters without the ability to purchase and maintain a home , owners in the land of opportunity, were all dreams comes true.
Not everyone can afford a home, many people that did purchased a home with very little down payment and very low income, are the main reason of the real estate boom and its demised, and most of those foreclosed homeowners are back were they started, renting a home. We must brake free from our homeownership cult, homeownership is not always the right choice.
Yes, the fall began with President Bush and is in a freefall with President Obama. It has been over the years that the most costly entitlements have been under Democrats and what is happening now is President Obama and the democratic congress responsibility. We have no means to afford a Healthcare Bill that will increase taxes in already battered American taxpayers. The squeeze the rich to increase entitlements has brought this nation to its knees and with no political answer to Social Security and Medicare. The continued printing of U.S. Dollars will only bring inflation and no solutions.
The short-term thinking of our “I want to get elected and/or continue in congress” at any cost have our society thinking, what will be of us, the millions of American that are not late in their mortgages, are not late with their credit card payments, that pay their taxes, that believe in God, that pray every day, that send their children to private school because the public system has failed, that do not depend in government.
What will be of us, when current politicians keep the “real American dream” under chains and destroy our future, piece by piece, legislation by legislation.
Yes, we have a voice. Yes, we have the power that democracy gives us. Yes, we need to protect our country. Yes, we need to protect our children. Yes, we need to protect our present and our future. Yes, we must vote against the politicians that are playing the politics game. We need leaders that will bring us back to the country that our forefathers dreamed for them and for us.
José F. Padró, CPA.
padrocpa@padrocpa.com
www.padrocpa.com
PADRO and Company, P.A.
The information at this Site has been provided by José F. Padró , CPA. for general information purposes. It does not constitute legal, accounting, tax or other professional advice or services and is presented without any representation or warranty as to the accuracy or completeness of the information.
Friday, November 13, 2009
My point of view on taxing the wealthiest Americans
So, I hear the wealthiest Americans are the culprit of all society problems in our U.S.A.
The reality is another ”the top 1% pay more income tax than the bottom 90%”.
Are we going to kill the chicken with the golden egg ?, apparently so.
These rich people, which only crime is to have educated themselves in order to be successful in our society are now the scapegoats and the only solution to cover all of our country problems.
Rich people together with the medium class and the poor must all be part of the solution. A gimmie mentality is not the spark that starts the engine. We need a spark that will take us to the other level, a SPARK that together with HOPE will take us there.
Wealthy people are solution and not the problem to restart our economy. If our government decide to tax them our recovery will be delayed and believe me RICH PEOPLE understand there is a social responsibility and they are willing to participate as always in the reconstruction of our Economy.
Short minded politicians the are now running our country, with some exceptions of course, have to find a solution that starts with stopping fraud, limiting government expenditures and we must vote into government people with the knowledge to solve our problems. We need representatives with a “Curriculum Vitae” that give us assurance that they have the education and knowledge to honor their constituency. A popular politician with little or no education should not be voted in to office. Grassroots politicians should help their state or local community by helping their respective base, but should not serve in the extremely complex Congress because they are not prepared for the challenge.
Our government was created by the people and for the people to serve all the people and taxing the wealthiest Americans might their easiest solution but not the most prudent one.
Please don’t kill the chicken with the golden egg.
We need to vote in politicians that represent us.
Our forefathers, that created our always evolving Constitution, were the best and brightest minds of our country at the time, joined to create one of the most alive and exiting document in the history of our Nation.
In Conclusion we must send the best and the brightest to represent all of us in Washington,D.C.
José F. Padró, CPA.
padrocpa@padrocpa.com
www.padrocpa.com
PADRO and Company, P.A.
The information at this Site has been provided by José F. Padró , CPA. for general information purposes. It does not constitute legal, accounting, tax or other professional advice or services and is presented without any representation or warranty as to the accuracy or completeness of the information.
The reality is another ”the top 1% pay more income tax than the bottom 90%”.
Are we going to kill the chicken with the golden egg ?, apparently so.
These rich people, which only crime is to have educated themselves in order to be successful in our society are now the scapegoats and the only solution to cover all of our country problems.
Rich people together with the medium class and the poor must all be part of the solution. A gimmie mentality is not the spark that starts the engine. We need a spark that will take us to the other level, a SPARK that together with HOPE will take us there.
Wealthy people are solution and not the problem to restart our economy. If our government decide to tax them our recovery will be delayed and believe me RICH PEOPLE understand there is a social responsibility and they are willing to participate as always in the reconstruction of our Economy.
Short minded politicians the are now running our country, with some exceptions of course, have to find a solution that starts with stopping fraud, limiting government expenditures and we must vote into government people with the knowledge to solve our problems. We need representatives with a “Curriculum Vitae” that give us assurance that they have the education and knowledge to honor their constituency. A popular politician with little or no education should not be voted in to office. Grassroots politicians should help their state or local community by helping their respective base, but should not serve in the extremely complex Congress because they are not prepared for the challenge.
Our government was created by the people and for the people to serve all the people and taxing the wealthiest Americans might their easiest solution but not the most prudent one.
Please don’t kill the chicken with the golden egg.
We need to vote in politicians that represent us.
Our forefathers, that created our always evolving Constitution, were the best and brightest minds of our country at the time, joined to create one of the most alive and exiting document in the history of our Nation.
In Conclusion we must send the best and the brightest to represent all of us in Washington,D.C.
José F. Padró, CPA.
padrocpa@padrocpa.com
www.padrocpa.com
PADRO and Company, P.A.
The information at this Site has been provided by José F. Padró , CPA. for general information purposes. It does not constitute legal, accounting, tax or other professional advice or services and is presented without any representation or warranty as to the accuracy or completeness of the information.
Sunday, October 11, 2009
My Point of View of Florida Income Taxes and It's Equivalent Tax , the Real Estate Tax.
My Point of View of Florida Income Taxes and It's Equivalent Tax , the Real Estate Tax.
As Citizens of the State of Florida we have to understand that the State has
two principal tax revenue sources, the first is the Florida Sales tax and
the second is the Real estate taxes charged by the respective Counties of
course there are other methods of Tax funding but, these two are the topics
covered in this discussion.
Most of the States of the Union have a State Income Tax Revenue source in
addition to their Sales Tax Revenue Source. In our State of Florida we have
zero Income Taxes at the individual level and a small Corporate Income Tax. We must also understand that thousands of corporation have elected to
become S Corporations which are exempted for State Income Taxes.
The State of Florida government is tied to the funding sources permitted by
our constitution. So for me is evident that the Real estate Tax is the
substitution for other State Income Tax Revenue.
So those are the major funding sources in place created in our State in
addition to the so called FEES (taxes in disguise) . Our politicians must
understand that economies have contractions and budget and services must be
adjusted accordingly.
Real Estate values have decreased substantially the last couple of years, so
our income tax equivalent (Real Estate Taxes) have decreased. Florida
coffers have been depleted. It is not business as usual.
Services at the State and local levels will have to adapt to the
decrease in budgets due to decrease on tax revenues.
We want a government that we can not afford, our government structure was
created to serve us and not to hurt us. Almost every family, every
taxpayer, every small business is suffering in these economic times and we
have modified our budgets in this contraction.
If we still want a government that we can not afford, then higher taxes are
the solution. We need a government that we can afford and if that means
cutting services to accommodate the shortfall ,so let it be. We can not
mortgage the future of generations to come, it is truly irresponsible and
abuse of power
PADRO & Company, P.A.
Certified Public Accountants
TEL. 305-500-9361 FAX. 305-500-9492
2520 NW 97 Av. Street. Suite 120 Miami. FL. 33172
http://www.padrocpa.com
http://www.twitter.com/padrocpa
http://www.facebook.com/padrocpa
Any tax advice included in this written or electronic communication was not
intended or written to be used and it cannot be used by the taxpayer, for
the purpose of avoiding any penalties that may be imposed on the taxpayer by
any governmental taxing authority or agency.
As Citizens of the State of Florida we have to understand that the State has
two principal tax revenue sources, the first is the Florida Sales tax and
the second is the Real estate taxes charged by the respective Counties of
course there are other methods of Tax funding but, these two are the topics
covered in this discussion.
Most of the States of the Union have a State Income Tax Revenue source in
addition to their Sales Tax Revenue Source. In our State of Florida we have
zero Income Taxes at the individual level and a small Corporate Income Tax. We must also understand that thousands of corporation have elected to
become S Corporations which are exempted for State Income Taxes.
The State of Florida government is tied to the funding sources permitted by
our constitution. So for me is evident that the Real estate Tax is the
substitution for other State Income Tax Revenue.
So those are the major funding sources in place created in our State in
addition to the so called FEES (taxes in disguise) . Our politicians must
understand that economies have contractions and budget and services must be
adjusted accordingly.
Real Estate values have decreased substantially the last couple of years, so
our income tax equivalent (Real Estate Taxes) have decreased. Florida
coffers have been depleted. It is not business as usual.
Services at the State and local levels will have to adapt to the
decrease in budgets due to decrease on tax revenues.
We want a government that we can not afford, our government structure was
created to serve us and not to hurt us. Almost every family, every
taxpayer, every small business is suffering in these economic times and we
have modified our budgets in this contraction.
If we still want a government that we can not afford, then higher taxes are
the solution. We need a government that we can afford and if that means
cutting services to accommodate the shortfall ,so let it be. We can not
mortgage the future of generations to come, it is truly irresponsible and
abuse of power
PADRO & Company, P.A.
Certified Public Accountants
TEL. 305-500-9361 FAX. 305-500-9492
2520 NW 97 Av. Street. Suite 120 Miami. FL. 33172
http://www.padrocpa.com
http://www.twitter.com/padrocpa
http://www.facebook.com/padrocpa
Any tax advice included in this written or electronic communication was not
intended or written to be used and it cannot be used by the taxpayer, for
the purpose of avoiding any penalties that may be imposed on the taxpayer by
any governmental taxing authority or agency.
My Point of View on How Outsourcing is Affecting Social Security
My Point of View on How Outsourcing is Affecting Social Security.
Our Entitlement pyramid is crumbling and outsourcing is one of the culprits.
We are creating an inverse pyramid by having less employees contributing to
support the present time retirees.
The outsourcing business has a detrimental impact on U.S.
Employment, the U.S. Economy and the U.S. Treasury, because the
money is expended abroad and normally it does not come back.
The outsourcing business is growing day by day in America.
Employment (payroll) is the basis used in theory to calculate future
benefits.
When you outsource a job:
U.S. may have a unemployed american.
U.S. will not received Social Security taxes from this unemployed American.
U.S. will not receive Medicare Taxes from this unemployed american.
U.S. will not benefit from consumer spending from this unemployed american.
U.S. will have to cover the uninsured through medicaid because this
unemployed american.
U.S. will lose all the direct and indirect benefit of having that unemployed
american working.
U.S. is exporting its working capital.
U.S. must maintain quality in education so our jobs are not exported to help
other countries. We need the help ourselves.
Our social security program is in trouble Our Medicare program is in trouble
Our health insurance industry does no contain cost.
Our future retirees are in trouble.
Jose F Padro
2009
Any tax advice included in this written or electronic communication was not
intended or written to be used and it cannot be used by the taxpayer, for
the purpose of avoiding any penalties that may be imposed on the taxpayer by
any governmental taxing authority or agency.
Our Entitlement pyramid is crumbling and outsourcing is one of the culprits.
We are creating an inverse pyramid by having less employees contributing to
support the present time retirees.
The outsourcing business has a detrimental impact on U.S.
Employment, the U.S. Economy and the U.S. Treasury, because the
money is expended abroad and normally it does not come back.
The outsourcing business is growing day by day in America.
Employment (payroll) is the basis used in theory to calculate future
benefits.
When you outsource a job:
U.S. may have a unemployed american.
U.S. will not received Social Security taxes from this unemployed American.
U.S. will not receive Medicare Taxes from this unemployed american.
U.S. will not benefit from consumer spending from this unemployed american.
U.S. will have to cover the uninsured through medicaid because this
unemployed american.
U.S. will lose all the direct and indirect benefit of having that unemployed
american working.
U.S. is exporting its working capital.
U.S. must maintain quality in education so our jobs are not exported to help
other countries. We need the help ourselves.
Our social security program is in trouble Our Medicare program is in trouble
Our health insurance industry does no contain cost.
Our future retirees are in trouble.
Jose F Padro
2009
Any tax advice included in this written or electronic communication was not
intended or written to be used and it cannot be used by the taxpayer, for
the purpose of avoiding any penalties that may be imposed on the taxpayer by
any governmental taxing authority or agency.
Wednesday, September 23, 2009
Workers Compensation Law
This information was gathered from my readings in the internet. I have compiled what I consider the best narrative explanation summary of the Workers Compensation Law. I f you have any questions or situation related to this matter, please consult legal counsel.
The State of Florida in an effort to raise funds created a whistle-blower website that was launched in June 2009 and has raised over $500,000 in penalties since inception to companies not carrying workmen compensation coverage. Two stop work orders have been issued for two employers in Palm Beach County and eight in Miami-Dade County.
Workers' compensation is a state program requiring employers to have an insurance policy covering employees for work-related injuries. Should an employee be injured on the job, the employer or the insurance company will provide payments for medical care and lost wages due to the injury. Though the employer (not the employee) pays the insurance premium, the cost of workers' compensation is ultimately passed to the consumer in the form of higher prices for goods and services.
Workers' compensation is a state program requiring employers to have an insurance policy covering employees for work-related injuries. Should an employee be injured on the job, the employer or the insurance company will provide payments for medical care and lost wages due to the injury. Though the employer (not the employee) pays the insurance premium, the cost of workers' compensation is ultimately passed to the consumer in the form of higher prices for goods and services.
If the employer or the insurance carrier refuses to pay for medical care, lost wages or other matters, an injured employee should call the Division of Workers' Compensation The Division of Workers' Compensation will attempt to remedy the problem through an informal resolution process. However, if that does not work, the employee will have to file a claim for benefits. If an injured worker has not yet consulted an attorney, it would be wise to do so at this point. Properly filing a claim can be complicated and mistakes may threaten a worker's right to benefits.
If both parties refuse to settle the dispute, a hearing will be held before a judge of compensation claims. At the hearing, both sides present their cases and the judge has 30 days to render a decision. The judge has the authority to require the losing party to pay the winner's court costs, including attorneys' fees. Appeal of the compensation judge's decision must be directed to the First District Court of Appeal in Tallahassee.
Employers are prohibited from discharging or threatening any employee for asserting a valid claim for workers' compensation benefits. However, employers are not required to hold an injured employee's position until they can return to work.
A final point: filing a false claim for workers' compensation benefits is a third degree felony and has serious consequences.
José F. Padró, CPA.
padrocpa@padrocpa.com
http://www.padrocpa.com/
PADRO and Company, P.A.
The information at this Site has been provided by José F. Padró , CPA. for general information purposes. It does not constitute legal, accounting, tax or other professional advice or services and is presented without any representation or warranty as to the accuracy or completeness of the information.
The State of Florida in an effort to raise funds created a whistle-blower website that was launched in June 2009 and has raised over $500,000 in penalties since inception to companies not carrying workmen compensation coverage. Two stop work orders have been issued for two employers in Palm Beach County and eight in Miami-Dade County.
Workers' compensation is a state program requiring employers to have an insurance policy covering employees for work-related injuries. Should an employee be injured on the job, the employer or the insurance company will provide payments for medical care and lost wages due to the injury. Though the employer (not the employee) pays the insurance premium, the cost of workers' compensation is ultimately passed to the consumer in the form of higher prices for goods and services.
Workers' compensation is a state program requiring employers to have an insurance policy covering employees for work-related injuries. Should an employee be injured on the job, the employer or the insurance company will provide payments for medical care and lost wages due to the injury. Though the employer (not the employee) pays the insurance premium, the cost of workers' compensation is ultimately passed to the consumer in the form of higher prices for goods and services.
If the employer or the insurance carrier refuses to pay for medical care, lost wages or other matters, an injured employee should call the Division of Workers' Compensation The Division of Workers' Compensation will attempt to remedy the problem through an informal resolution process. However, if that does not work, the employee will have to file a claim for benefits. If an injured worker has not yet consulted an attorney, it would be wise to do so at this point. Properly filing a claim can be complicated and mistakes may threaten a worker's right to benefits.
If both parties refuse to settle the dispute, a hearing will be held before a judge of compensation claims. At the hearing, both sides present their cases and the judge has 30 days to render a decision. The judge has the authority to require the losing party to pay the winner's court costs, including attorneys' fees. Appeal of the compensation judge's decision must be directed to the First District Court of Appeal in Tallahassee.
Employers are prohibited from discharging or threatening any employee for asserting a valid claim for workers' compensation benefits. However, employers are not required to hold an injured employee's position until they can return to work.
A final point: filing a false claim for workers' compensation benefits is a third degree felony and has serious consequences.
José F. Padró, CPA.
padrocpa@padrocpa.com
http://www.padrocpa.com/
PADRO and Company, P.A.
The information at this Site has been provided by José F. Padró , CPA. for general information purposes. It does not constitute legal, accounting, tax or other professional advice or services and is presented without any representation or warranty as to the accuracy or completeness of the information.
Sunday, September 13, 2009
Should I invest in my Traditional IRA, this year of so much uncertainty ?
My answer is YES,YES, YES, the best provision of a Traditional IRA which is the tax-deductibility of contributions is a good reason to consider making your investment this year. Today’s shaky state of our economy and the instability of the financial markets is a consideration, your retirement plan should be based on long-term investing goals and must continue.
While in the Traditional IRA, transactions in the account, including interest, dividends, and capital gains, are not subject to tax, withdrawals from the account, are subject to federal income tax and 10% early retirement penalty, some exceptions apply.
Please remember that you have until April 15,2010 to make your IRA Contributions for the tax year ended December 31, 2009.
Perhaps in times of economic uncertainty, the Traditional IRA funds might be placed in a more conservative investment vehicle not so reliant on the volatility of the stock markets. Be sure to consult a trusted financial advisor for information based on your individual needs.
José F. Padró, CPA.
padrocpa@padrocpa.com
www.padrocpa.com
PADRO and Company, P.A.
The information at this Site has been provided by José F. Padró , CPA. for general information purposes. It does not constitute legal, accounting, tax or other professional advice or services and is presented without any representation or warranty as to the accuracy or completeness of the information.
While in the Traditional IRA, transactions in the account, including interest, dividends, and capital gains, are not subject to tax, withdrawals from the account, are subject to federal income tax and 10% early retirement penalty, some exceptions apply.
Please remember that you have until April 15,2010 to make your IRA Contributions for the tax year ended December 31, 2009.
Perhaps in times of economic uncertainty, the Traditional IRA funds might be placed in a more conservative investment vehicle not so reliant on the volatility of the stock markets. Be sure to consult a trusted financial advisor for information based on your individual needs.
José F. Padró, CPA.
padrocpa@padrocpa.com
www.padrocpa.com
PADRO and Company, P.A.
The information at this Site has been provided by José F. Padró , CPA. for general information purposes. It does not constitute legal, accounting, tax or other professional advice or services and is presented without any representation or warranty as to the accuracy or completeness of the information.
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