Tax hawks cooling to Norquist – Dissension among the ranks of tax fighters.

Price gouging – The laws of supply and demand can be cruel at times. However, government attempts to stifle the natural market reactions usually leads to the inevitable shortages.

New Limits May Drive Away Used-Car Donations – This would be a law that makes a lot of sense, a rare thing in the fairy tale world of DC – limit the deduction for vehicle donations to the actual selling price rather than the inflated Blue Book figure. I’m just a big believer in the power of the market to set prices; so what a buyer actually pays for a vehicle is a much more reliable indicator of its true dollar value than some generic pricing guide.

Medicare to go broke by 2019, trustees say – There are a couple of key issues to consider when reading a story like this.

First is the erroneous use of the term “trust fund.” There is no such thing as a trust fund for any of the Medicare or Social Security taxes being paid in. All money taken in is spent immediately. In fact, as I’ve mentioned countless times, the kind of commingling of funds done by our rulers in regard to these supposed trust funds would put regular people in prison if they tried it with private sector insurance or retirement accounts. It’s always been a pet peeve of mine, and cause for low credibility towards anyone (in government or media) who refers to the existence of a trust fund when discussing Medicare or Social Security. Such people are either dishonest, stupid, or both.

The other big problem I have with stories like this is the implication that the bean counters in DC can predict with certainty such things as when the Medicare or Social Security system will go broke. Just as with their perpetual misses on predicting the annual budget deficit or surplus, those accountants can’t even get it close one year ahead of time, much less decades from now. Again, it’s another pet peeve of mine when any kind of financial figures are spouted by our rulers in DC and anyone takes them seriously instead of recognizing them as the WAGs (Wild Ass Guesses) that they are.

Maybe I’m being overly sensitive about the improper usage of the term “trust fund.” Perhaps it’s just more ignorance on the part of the media, like the story in our local paper a few weeks ago, where the reporter referred to a living trust as a trust fund. However, I am certain that the widespread pervasiveness of the “trust fund” concept among so many people is really an attempt to make taxpayers feel more financially secure than they really are and hide the fact that all of their tax payments are going right back out the door and not into any kind of bank account on their behalf.

I am constantly being asked which program is better, such as in the following email I received today:

My question is if your remark would apply to my new small business that I am starting. (least expensive basic version is sufficient)? The accountant that I talked to said that Quicken would be enough but I have had some people debate that. I actually an familiar with QuickBooks but not Quicken. Thank you in advance for your reply.

PS: What is the least expensive way to acquire QuickBooks? I can’t believe the prices I am seeing!!

My response:

For a business, there is no contest. QuickBooks is far superior to Quicken for all of the reasons I spelled out here.

The absolute lowest prices I have seen are from eBay sellers. Next best is through the link on my website.

Next best is from the warehouse clubs (Costco, Sam’s). If you buy the Basic version, it will be much less expensive than the fancier ones, and will work just fine for you.

Good luck.