Thursday, February 28, 2013

Only One Day

Americans are very smart. I mean from going into space and inventing Microsoft and Windows to Medical Research and Pharmaceuticals the rest of the world looks up to America. Then how come the two parties cannot come up with an agreement? Is it because the parties are so much against each other that they cannot accept a good solution by the other even if it is a good one? Is it possible that neither of the parties have a good solution? My head starts spinning when I try to figure out what went wrong and when.

I just feel for people who are looking for jobs and are on unemployment benefit. I feel for people who are raising children and I also feel for people who have big mortgages and are expense bound.

In college, in Economics we learned that the sooner we pay off any loan the better because in the long run we save on interest. It is only after coming to the US we were told that paying interest on home mortgage is tax deductible therefore we can buy a home on mortgage and reduce our taxes. However I feel very uncomfortable if I owe any money to anyone therefore I encouraged my husband to pay a little extra on the principle so we can pay off the loan as fast as possible. Our tax preparer told us that that is not a very smart way because we will pay more taxes. I calculated and it turned out that we pay more in interest than in taxes. At least by paying higher taxes we are contributing towards the country budget, by paying interest we are only making the already rich banks richer. We were told time and again that we can enjoy the cash if we take out home equity loans. I rather we save for a vacation than borrow against the roof on our heads.
Another factor that is hurting us whether it is a household or  the entire country is the way we take care of our health. I would pay doctors an extra bonus if majority of his or her patients are in the best possible shape. Companies have started giving bonuses to people who are willing to answer questions about their health and are willing to participate in improving their BMI, their blood pressure, their sugar levels etc. My brother thinks that it is an invasion of privacy, but I think that it encourages people to stay fit.
I think that teaching children to share their toys even clothes and teaching them to save money from early on will keep them from becoming high maintenance and even expense bound when they grow up. I am sure that there are other very simple factors in our lives that can save a family budget an may be in the long run the country as well.
 

14 comments:

Launna said...

I feel for the people that this will affect...

I think when we can learn to live without things that are wants and not needs, is when we will be out of debt. That was a difficult lesson for me to learn.

Shelly said...

You are a very wise woman. You should be teaching some classes~

yaya said...

The security of having a paid off house is much better than "how can I get out of paying taxes"...I would be out of a job if people would just take care of themselves. Most surgeries happen because of life style..total joints (many times..not all times..the result of obesity) gallbladder..bad diet..cancers (that depends. Sometimes it's just bad luck)I could go on. I just read an article about a family living on 14,000 a year. It can be done with careful planning and learning to live within our means..unlike our government.

Empty Nest Insider said...

It is a great idea to teach children about saving money at a young age. Your thoughts about not acquiring unnecessary debt are admirable.

Julie

Belle said...

I think you are right about paying off loans as soon as possible. The reason the government is in trouble is from borrowing trillions of dollars for war when they couldn't afford it. Now they want to cut programs for the poor. It's ridiculous. The world is run by ridiculous people.

Granny Annie said...

MUNIR FOR PRESIDENT!!! Don't be fooled by all the talking heads. This country is made up of millions and not just those in Hollywood or the media or talks show hosts. Most of us are too busy living day-to-day to get caught in the tall tales.

klahanie said...

Dear Munir,

A wise and thoughtful post. I think the politicians in America could learn from your ideals. Sadly, the ongoing deal seems to reward the incompetent fortunate and devastate the vulnerable unfortunate.

What a sad example they are for our children. The joy of sharing and caring as you note, is an ethos I embrace.

Be well, my friend and thank you for your thoughtful comment on my site. A peaceful weekend to you and your loved ones.

Gary

DWei said...

I really wish things were that simple after all. :(

Chatty Crone said...

My insurance is like that - and I frankly think it is an invasion of privacy too. lol

Nikki said...

This is a very smart post.

I agree that we need to teach children these things. I'm sure the situation in the US is the same as the UK when it comes to things like childhood obesity. We need to spend a lot more time preparing the younger generation so that they don't make the mistakes of the current generation - that is to say - to help them understand finance, learn how to keep themselves safe and healthy - learn the situation of the country they are in so that they can adapt and learn to cope and survive it.

I agree with you about the healthcare thing too, I think that it would inspire people and push them to be healthier. I do feel for you when it comes to healthcare, we are so so lucky to have the NHS here and it is so difficult for those without insurance over there. Sadly I think we'll lose the NHS if we're not careful but for now I think we should appreciate it.

Great post!

Optimistic Existentialist said...

I feel I learned so very much from this post :)

Arlee Bird said...

I think the goal of most governments is to make the citizens more dependent upon the state thus making them more subservient to the government thereby giving the government more control over its citizens. I don't like where this is going but according to ancient prophesies this is where it will go.

Lee
Writers Workshop
An A to Z Co-host blog

Cheryl said...

Yeah, the whole you'll save taxes thing doesn't make sense once you realize how much interest you have to pay to get the tax savings. It's ridiculous, isn't it? Pay more than a little extra. It gets paid off faster than you think if you keep at it. We are about to pay off a home in a couple of months. What a load off!

Rosemary Nickerson said...

Good, common sense advice!