May 17, 2012

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A Breath of Fresh Air-Clean Energy in America

For years, America has relied on foreign oil and energy to maintain the economy and government. President Obama sees this as a threat to national security as well as detrimental to the economy. His plan to change that is to create a Clean Energy bill that proposes changes in all facets of the American standard of living and environment.

  • Creating The American Recovery and Reinvestment Act was a step in the direction towards healthier living. The Act allocates about $80 billion towards clean energy research, finding new energy sources, advancing vehicle and fuel technology, and building a better electric grid.
  • There are stricter energy efficient standards on everyday appliances, as well as efficiency and emissions standards for vehicles.

One state that has been the forefront for research in clean energy is California, containing 12, 000 clean energy companies and 500,000 green jobs. Bill Clinton is one of the biggest advocates for the Clean Energy bill and feels, in addition to retrofitting buildings particularly in poorer neighborhoods, he wants a federal loan set up to ensure this could happen. The opposition believes it may too much to ask in a struggling economy and too high a risk but Clinton disagrees. The environment can improve by changing the way things are done, focusing on cities like Nevada that has much potential to be self-sufficient. Just by adding windmills and placing solar panels in the ceilings of hotels there is a start. These projects open the door for more jobs, especially in urban areas where everyone can get involved including kids who need summer or after school jobs.

The real research towards finding better sources for energy happens through the Advanced Research Projects Agency for Energy. Forbes stated last month that the government granted the agency $45 billion to fund the research, education, and science of clean energy for the next three years. Obama hopes by 2020, America will be living clean and green.

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Recession in America-Will the Job Market ever recover?

Job losses in America have been ongoing for the past four years and no signs of improvement yet. The greatest high hit in December 2007 when millions of people became unemployed. Originally, it hit men harder than women since it began at the agricultural level. Factory and agricultural workers lost jobs when factories shut down or farmers were no longer needed. Also, people who didn’t have college degrees were hurt even more as jobs for them became nonexistent.

By 2009, the epidemic reached corporate levels with millions of people being laid off due to corporations “downsizing”. People who held Masters degrees and once worked as Engineers, IT workers, and especially those in banks now searched for any job available no matter how menial the work.

The recession began due to various factors.

  • The crash of the stock market hurt wealthy and middle class citizens since they held a majority of the stock. Due to this, thousands of Wall Street jobs disappeared, leaving those who once helped the flow of income stay constant, flounder on its own.
  • Government spending is a huge part of a recession. Misused funds can result in higher taxes and lower wages. Living standards suffer with loss of wages and salaries.

CNN Money reported that, between April 2008 and March 2009, a little over 7 million people were laid off from the low to high class. Analysts are saying 800,000 more jobs disappeared in this past year alone, raising the loss to 8 million. They don’t see a significant hike in jobs for at least three to five years, even though the economy is slowing making its way to a better place.

Why are jobs still scarce even with the upswing in economy? Businesses are uneasy of whether it will take a dive again so are postponing hiring thousands of workers. If it fails again, they would only have to fire more people and the vicious cycle will begin all over.

Filed Under: Economics Tagged With: , ,

Living Above our Means-Tax Cuts in America

A crisis in America that citizens are growing more passionate about is the Bush-era tax cuts that are set to expire this year. Obama wants to extend 80 percent of the tax cuts set in place by the previous Bush administration but with one major difference: raising the taxes on wealthier Americans. The Bush plan lowered the tax rates to 3 percent and created a lower 10 percent bracket. It also made it easier for the rich to stay rich by lowering tax rates on estates, even though personal exemptions and limited itemized deductions.

Obama plans to raise the estate taxes on the rich to 55 percent and increasing taxes on all families who earn over the $250,000 income bracket. His stance is there should be a better distribution of wealth among Americans. Those families under that income bracket won’t see a rise in taxes and less will be taken out of their checks also. One middle class woman interviewed was delighted to see the increase in her check simply because less money was taken out.

Fox Business news reported one negative some people are stating is a tax raise will hurt consumer spending and business owners will lose faith in the government. It is the company owners who feel the major squeeze as they have to release more cash they’ve been hoarding since the recession. On the plus side, only 3 percent of small business owners would see an increase. Then again, small businesses collectively earn about $400 billion.

Wall Street Journal says advisors to Democrats are unsure whether now is the right time to renew the tax cuts since the economy comeback seems to be slowing. Many believe it would hurt U.S citizens more than heal them. As decision time gets closer, the debate continues to rage across the nation.

Filed Under: Debt, Economics Tagged With: , ,

401k-The End of an Era

There is no doubt of the numerous economic problems Americans have faced over the past three years. One of the major factors affecting people is the loss of retirees 401k. In 2008, the crisis rose to astronomical proportions.

For those who don’t know, 401k is a type of savings account set up by Employers and the Government to assist Employees in their retirement plan. 401ks are kept tax free until the funds are withdrawn and workers choose a variety of mutual funds, mostly stocks and bonds.

Herein lies the problem.

1. Mutual funds are tied to the stock market which, in 2008, took a hit when the economy dropped. Due to the fact, the money employees spent years saving began disappearing.

2. 401k holders have less control over their funds than those with IRA accounts. A 401K investor can only make mutual funds trades a few times a year, whereas there is more flexibility with an IRA account. Though a person makes more money with a 401, there is a tendency to invest conservatively. Higher risk means higher loss.

The real victims of this crisis are senior citizens or those months away from retiring. The money they thought would give them a comfortable life after retirement was gone. Years of savings were wiped out in a matter of weeks. Holders now put off retiring just to keep their fixed income and survive.
In 2010, the IRS revealed they would be decreasing contributions to 401k accounts making it even harder for workers over 50 years old to make a profit.

The US News and World Report states that, while the stock market is improving and returns are up, it’s still not high enough. The median Vanguard dropped 31% in 2008, but rose 33% in 2009. That’s just a 2% difference-not enough to match the extensive losses people experienced.

Unfortunately, it may be several years before some holders see their portfolios balance rise to it’s original state.

Filed Under: Economics Tagged With: , ,

Unemployment Numbers up and Down

Unemployment has been a huge problem in America for the past few years and despite governmental attempts at intervention the situation remains largely unchanged. Typically, over the holiday season the unemployment rate tends to rise because of seasonal hiring. Sadly for 21 states the holiday season has had no effect on the plunging unemployment rates. In fact, those 21 states actually saw an increase in the number of unemployed residents in November 2010.

Despite the increase in 21 states in November, the Labor Department did report a decline in unemployed residents in 15 states. The Labor department also reported that 14 states unemployment rate remained steady. Currently the overall national rate is up about .2 percent to 9.8 percent, which is relatively similar to what it was last year at this time.

The states that are struggling the worst with unemployment right now would include Georgia, Idaho and Colorado. Georgia’s unemployment rate was 9.8 percent and currently it’s 10.1 percent. Idaho is up to 9.4 percent from 9.1 percent. Colorado was 8.4 percent and currently it is 8.6 percent.

A number of states saw an improvement in their unemployment numbers recently. Those states would include Michigan, Pennsylvania, Alabama and South Carolina. Michigan was at 14.4 percent a year ago and now is at 12.4 percent. Pennsylvania is down from 8.8 percent to 8.6 percent. Alabama went from 10.9 percent a year ago to 9 percent this year. South Carolina went from 12.3 percent last year to 10.6 percent this year.

For some, these numbers are promising for others they are bleak. While analyst watch the numbers intently the unemployed worry about the longevity of their benefits and whether or not they will in fact find steady employment before their benefits run out. For those who have already been booted from unemployment benefits the news of unemployment numbers fluctuating is just another reminder of their struggle.

Filed Under: Economics Tagged With: , , , , , , ,

The New Tax Bill: Who Loses?

All is never fair when it comes to the games played in Washington and the new tax bill is no exception to that rule. There most definitely are some people on the losing end of the new tax bill. In fact, those on the losing end of the tax bill are plentiful. Let’s examine further who the tax bill hurts the most.

The one thing that we all know right now is that it is hard to get a job in current economy. The new tax bill guarantees unemployed workers in every state 99 weeks of unemployment benefits. While this may seem like welcome news, it hardly is considering the fact that long-term unemployment is at an all time high. In fact, right now about 10 percent of the people who are unemployed have been out of work and seeking employment for close to two years.

Another loser of the new tax bill, our national deficit. Extending the tax cuts only serves to increase our countries growing national deficit. President Obama has also taken a lashing from the new tax bill. The new tax bill has led many to view the President as weak for not sticking to his campaign promises regarding tax cuts for the wealthy. In addition to this, the democratic left now also appears as weak in the eyes of many for the same reasons.

Just who the really loses out when it comes to the new tax bill truly is a matter of opinion. One could argue the opposite of many of these points, but one things for sure the extension of the Bush tax cuts and the new tax bill have got everyone talking. Whether or not the tax cuts are a detriment to our economy, our president, our deficit or the masses of unemployed; only time will tell.

Filed Under: Economics, Government & Military Tagged With: , , , , , , ,

The Skinny On The New Tax Bill

So, the analyst are yapping away on the news channels. Your friends and co-workers are complaining about it. What does the new tax bill really mean for you? Does it spell disaster. or will it even affect you at all? The following is the skinny on the basics of the new tax bill, read on and decide for yourself whether or not the tax bill affects you.

The new tax bill has extended the tax cuts established by George W. Bush. That means everyone, the highest and lowest earners. The six federal income tax rates stay the same. Plus, itemized deductions are still permissible.

The AMT, or alternative minimum tax is something many of us gloss over on our tax forms. However, more than 20 million tax payers won’t have to pay this tax, which is commonly referred to as the wealth tax. The bill raises the amount of income exempt from the AMT tax to $47,450 for an individual, and $72,450 for couples. The bill also calls for the income exempt to be raised again for the 2011 tax year to $48,450 for individuals and $74,450 for couples.

The American worker also gets a break with the new tax bill. Social security payroll tax will be 2 percent less for one year. The bill also extends the increase in the child tax credit and reduced-earnings threshold.

For the 2011 and 2012 tax year the estate tax will be reinstated. However, the bill calls for an increased exemption level of $5,000,000. The bill also calls for a lowered top rate of 33 percent. The bill also allows everyone to keep the low investment tax rate for the next two years.

Most notably, the bill actually mentions the unemployed. The tax bill allows the unemployed to get a 13 month extension. This guarantees 99 weeks of benefits

Filed Under: Economics, Government & Military Tagged With: , , , , , , ,

Turn a Temp Job Permanent

So you landed a seasonal job, the money is good, the work is tolerable. What do you do when the season ends? How can you make that temporary job permanent? One thing is for sure, turning a temporary seasonal job into permanent employment isn’t an easy endeavor, but it is not impossible. In fact, this year employers have reported that they do in fact expect to hire nearly half of their seasonal employees on a permanent basis. The following is expert advice on how to turn your temporary employment into a permanent job.

Do your job and do it well. Make sure you follow instructions to the letter. Take the initiative and get things done correctly and efficiently. Pay attention when you are being trained, or taught a new task, so you don’t do something incorrectly, or have to ask unnecessary questions.

Always show up for work on time. Avoid having to leave work early if at all possible. Spend your work time wisely. Don’t waste your employers money, by wasting their time, avoid goofing off or socializing when you are on the clock.

Be flexible. Make sure you give your employer all your availability. Try and make your schedule as flexible as possible. Don’t be afraid to volunteer for over time or extra hours when they are available.

Be a team player. Help others with their job if you can. Get along with your co-workers. Take an active interest in your company and your job. Make sure your employer is aware of your desire to be hired on permanently and make sure they know you intend to stay with the company long-term. Show a desire to advance within the company beyond your current position.

Don’t be afraid to admit to yourself and to others if a job isn’t your forte. Temporary employment gives you the ideal opportunity to test drive an employer, company and even a new career. Leaving on good terms if you don’t like a job is better for your long-term career aspects.

Filed Under: Economics Tagged With: , , , , , , ,

Shorten Your Resume Highlight Your Skills

So your unemployed and looking to revamp your resume? You know you need to stand out among the masses of unemployed people, but how do you do that without making your resume to lengthy? With an estimated 5 qualified candidates applying for every open position in todays competitive job market it can be tricky making a resume that highlights your best attributes without being overkill. Knowing what to cut out of your resume and what to leave in is essential to getting hired. The following 3 tips will help you thin your resume without thinnign your job prospects.

3. Cut out jobs from more than 10 years ago if you have enough relevant experience from the past decade. If you don’t have enough relevant experience within the past decade it is okay to go back 15 years. Going back any further may make your skills seem outdated.

2. Focus on skills that are relevant to the career path you are pursuing. There is no need to put jobs or job skills on your resume if you won’t be using them. If you need to add jobs unrelated to your field of employment to fill time gaps, keep the details of them brief. Only list the employer name, timeframe in which you were employed and any skills relevant to your career path. If no skills were relevant, list just the basics.

1. If jobs you had in the past overlapped get rid of jobs that were short-term. There is no need to list employers you worked for short-term if leaving them off does not leave an employment gap on your resume. Only list short-term jobs if they were an internship or provided clinical experience needed for your current career path. This is particularly necessary if you are just entering the workforce

Filed Under: Economics Tagged With: , , , , , , ,

The SBA Makes Getting Loans Easier

Where does a small business, or blossoming new business go when they need a loan? Well in recent years the answer to that question was bleak. The economy has left many banks unable, or reluctant to loan even the most qualified candidates any money. That may have all changed, the Small Business Administration recently announced two new lending initiatives designed to get loan money in the hands of small business owners quick.

The Small Business Administration wants to streamline the process of applying for loans under $250,000. The SBA has first shortened the application for loans under $250,000 to just two pages. Secondly, they made it possible for applications to be approved within minutes of applying. At longest applicants will be informed of their loan approval or denial within 10 days.

The idea behind the Small Business Administrations new loan process is to get money in the hands of companies that need it quickly. Quicker access to funds will allow small businesses to grow and give them the ability to hire and pay new and current employees. Naturally, this helping hand to small businesses could mean a big boost to the suffering economy and job market.

The fact is, small businesses have the ability to heavily impact their local economies, but they are often limited by financial barriers. As of recent it has been difficult because banks have been hesitant to lend despite the fact that credit availability has eased the worldwide financial crisis. In fact, during the fist half of 2010 most of the businesses that applied for credit were denied, or offered very little. With access to funds being made easier small businesses with growth potential will be more likely to expand and thrive. More than 630 banks are working with the Small Business Association on this new initiative.

Filed Under: Economics Tagged With: , , , , , , ,
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