Oregon: The Best Tax Preparing State

Oregon: Land of many well-prepared tax preparers

A few years ago, Congressional investigators issued a report that should've caused Oregonians to swell with pride. And irritation.

Oregon's tax returns, the investigators found, were more likely to be accurate than the rest of the country's -- about $250 more accurate as of 2001, the Government Accountability Office found.

Unfortunately, that meant 1.56 million individual Oregon taxpayers paid $390 million more in federal taxes than they would have if they lived elsewhere, the report said.

Oregon: We do our taxes right. And we pay for it.

Last year, I reviewed online tax prep sites. This year, I figured I'd help those wanting live person helping.

As you see, you're in good hands in Oregon.

Still, you can overpay for your service. Not everyone needs to pay a Certified Public Accountant by the hour to do their returns. [...]

It goes on to give some good definitions of what LTPs, LTCs, EAs and CPAs are and what they do.

His follow-up column was also instructive:

Selecting a tax professional? It's OK to be picky

[...] So, where to start looking for a tax pro? Ask a friend or someone whose judgment you trust whom he uses. If you shop around, interview more than one in person. You'll get a better feel for pedigree, fees, specialties and personality.

"Some tax pros are not great communicators," said Joseph Anthony, a licensed tax consultant with Joseph Anthony & Associates Inc. in Portland. "You should know going in what you should expect from your tax pro." [...]

It goes on to offer advice, including questions you should ask.

     

Who are the majority of today's Entrepreneurs?

Would you believe, it's mostly the older folks?

Buying a business after 50

[...] Americans 55 to 64 have launched more businesses than any other age group during the past decade, closely followed by those 45 to 54, reports the Kauffman Foundation, a nonprofit dedicated to entrepreneurship.

For some, the change has been forced upon them by the tough job market. Others are taking the leap to escape boredom, become their own boss, pursue a passion -- or simply in hopes of hitting it rich.

Whatever the motivation, entrepreneurs face a tough road. Half of businesses fail within the first five years, the U.S. Small Business Administration reports. Some research shows that boomerpreneurs have more staying power than younger folks, but the stakes are also higher: You have little time to recover from failure, you have higher living expenses to cover, you may have a family depending on your income, and though you've likely amassed more wealth, you're closer to the time when you need to tap those assets.

So how can you beat the odds if you want to join the boomerpreneur boom? MONEY put that question to small-business experts and dozens of fiftysomething entrepreneurs for their best advice.

This is the first of three articles on how to become a boomerpreneur. This one will help you to see if you've got what it takes to own your own business and how to put time on your side. You can also get tips for changing your lifestyle, knowing the real costs of starting up a business and financing with caution. [...]

Well it makes sense to me. Older folks have gained more experience managing finances, interacting with many different kinds of people, and generally understanding how the world works. Plus, they may have saved up some cash and other resources to live on, while they are growing their business. All that would give them an edge.

Read the full article, for embedded links and more.
     

The New Portable Credit Card Reader

Square's credit-card swiper hits Wal-Mart

NEW YORK (CNNMoney) -- After landing a massive cash infusion in June, mobile payments venture Square is taking a big step into the mainstream: Its mobile credit-card processing system is now on sale at Wal-Mart.

Square's card reader, aimed at small business owners and on-the-go merchants, is a smartphone add-on. It attaches to iPhone, iPad, and Android devices, and allows the owner to accept a credit card payment in return for a 2.75% transactional fee.

The aim is to bring down the barriers smaller business owners typically face when they want to accept credit card payments. [...]

Way cool. And good for small businesses.
     

How to be "poor" in America, and survive

And maybe even thrive. I've been listening to some tenants make excuses as to why they can't pay their full amount of rent. Really it's just excuse making, weasel words, to try to get some extra money for Christmas. I've lived on minimum wage before, because I HAD to, and I don't see why other people can't do the same when they must:

How to Live on Minimum Wage

It is possible to live on minimum wage.[1] For most people, however, it's not likely to be very much fun. Whether you're forced to live in this situation, or you want to know that it's an option, this article will show you how it can be done, assuming you bring home $1000 USD a month after taxes. [...]

It offers heaps of advice, and the advice is very good. The thing is, I've DONE most of this stuff, still do some of it. So why can't other people?

One tenant told me she couldn't pay all her rent, because she needed money for food. Why can't she do this:

[...] # Find the free stuff. In towns of any size, there are resources available for the impoverished, from free dinners at churches to food giveaways to soup kitchens. Look around for the free stuff and use it – it’s there for everyone to utilize. When you must spend money, be as frugal as possible. Ramen is very cheap, filling, and full of carbs, for example.

# Be Humble. Pride often keeps people from walking into a soup kitchen. Don’t let it. That kind of pride is an obstacle ground into you by a life in a consumerist society. People who are there to help you want to help you stand on your own two feet – give them that opportunity. Look for every opportunity to help you with your situation, from consulting to WIC to Medicaid to welfare. If you don’t know where to start, start off by asking a pastor or a clergyman for help. [...]

This town is full of charities offering such help. There is a soup kitchen offering free meals within walking distance. But she would rather try to to make ME feel like a parasite for asking her to pay what she agreed to when she moved it. And eating in a soup kitchen won't leave her with spending money to buy junk at Walmart.

I'm tempted to print the whole article for her, but she would probably say she's too depressed to read it, and then complain that I hurt her feelings by asking her to. Never mind how I feel when people try to use me as their bank by asking for credit.

I'm not in the loan business. Why can't people give more thought to managing their finances, and living within their means? I've done it, and I don't see why other people can't learn to do it too. Our accountant says that our business is one of the few among her clients that is not using credit to keep their heads above water. When you have to live on credit, you aren't living within your means. I can understand it as a temporary measure in an emergency, but it's not meant to be a way of life.
     

A challenge to four statements that Obama repeats at almost every campaign rally

These statements really do need to be debunked. Neal Boortz has done so, and I'm reprinting them here in their entirety:

AT LEAST KNOW WHO YOU'RE VOTING FOR -- A CHALLENGE

The election is now eight days way. If you've made up your mind for Obama; or if you're trying to noodle through some of the things he's been saying on the campaign trail, this should help. I've taken four statements that The Chosen One repeats at almost every campaign rally. Now these statements are pretty powerful ... if unchallenged ... and we know that the MoveOn Media isn't exactly what we would call "eager" to challenge God's Candidate on any of these issues.

So, here we go again .. this simple talk show host (right wing, hate-filled shock jock, I believe they call us) is going to use some basic logic and the ability to actually read newspapers to catch you up to speed on just what the Big BO is saying here. Now if you're educated in our wonderful government schools you may find this challenging. Stick with it. In spite of what the government has done to you, you can generate some new brain cells that will help you deal with this stuff. It would also help if you got your campaign news from somewhere other than Saturday Night Live.

Here we go, front and center with Barack Obama!

"I'm going to cut taxes for 95% of Americans."

This Obama promise has already been pretty much debunked in the media. The problem is that it hasn't been debunked on the Black Entertainment Television network or on Inside Edition or Entertainment Tonight. Until these television outlets bring forth the facts most of Obama's supporters won't know the truth.

And what is the truth? The truth is that almost one-half of working Americans eligible to vote don't pay federal income taxes in the first place. This brings forth the interesting question of how do you cut taxes for people who don't pay taxes. What Obama has done here is change the definition of "tax cut."

It used to be that when the government walked up to someone who had just received their paycheck and said 'Gimme some of that," and the government then gave that money to someone else who had not earned it; that was called welfare. Now apparently you can't get welfare if you're working ... so we'll just call it income seizure and redistribution. Under Obama a couple earning, for example, $70,000 and owing no federal income taxes at all will get several checks from Obama's federal taxpayer-funded treasury. These checks will be called "tax cuts."

So .. for those who don't pay taxes, here are some of the "tax cut" checks you'll be getting from The Chosen One. I'm taking some literary license here and replacing the words "tax credit" with the word "payment." That literary flourish brings us much closer to the truth. Here are your goodies; come and get 'em:

• A $500 "make work pay" payment.
• A $4,000 payment for college tuition.
• A payment equal to 10% of your mortgage interest
• A payment equal to 50% of the amount of money you put into a savings account up to $1000.
• A payment equal to 50% of the amount of money you pay for child care up to $6000.
• A payment of up to $7,000 if you purchase a "clean car." By that Obama means an environmentally correct car.
• Plus ... an expansion of the earned income tax credit .. increased payments on top of your earnings if the government doesn't feel you are earning enough.

There you go ... Obama's "tax cuts." Sounds pretty good, doesn't it. Well, I guess it is, if you're not too successful it IS pretty good. Remember, the harder you work the lower these payments get. Barack Obama's tax plans are all about punishing success and rewarding failure. He understands that if it weren't for failures, Democrats would be scrounging in the alleys for votes.

It's rather ironic that the Obama campaign will go to the mat with critics over the definition of "socialist," but feel absolutely free to change the definition of "tax cut" to anything that suits them.

"95% of small businesses won't pay any more taxes."

Once people started hearing that the very people that Obama wanted to raise taxes on are the people we depend on for jobs, The BO campaign had to come up with a line to neuter the "small business" argument. Barack Obama knows he's in trouble if the voters find out that 70% of all extant jobs are in the small business sector and that 80% of all new jobs are coming from small businesses. So, Obama comes up with this line about 95% of small businesses not paying any more taxes under his plan.

Here's the trick. Let me illustrate reality with a simple comparison. Let's say that we have 1000 small businesses. About 950 of them, that would be 95%, employ one or two people each for a total employment figure of 1,200. Now let's assume that the other 50 businesses employ anywhere from 20 people to hundreds of people for a total of about 250,000 workers. If someone comes along and says 95% of small businesses won't be affected by his tax increases, how do you feel? You know that the tax increase is going to slam those businesses that employ 250,000 workers, while leaving the 95% of businesses that employ just 1,200 people alone. Quite a deal, huh. Aren't you impressed?

The point here is that it's not the percentage of small businesses your tax increases hit, it's the percentage of small business employees. Unfortunately that nuance is lost on the majority of voters educated by the government, and the MoveOn Media sure isn't going to take the time to explain it to you. Obama's tax increases are going to hit the small business owners who employ the most people. They are the ones that make the most money. These business owners are going to respond to the tax increases one of two ways. They'll increase prices -- which hit all of us -- or they'll cut expenses. Their number one expense? Personnel. Vote for Obama, say TTFN to your job. Makes perfect sense to me, but then I was government educated too.

"John McCain voted with George Bush 90% of the time."

First of all, George Bush doesn't cast votes in the U.S. Senate, though McCain and Obama do. The best way to judge how they vote is to see how often they vote with their respective parties. You might want to get those nuisance resolutions proclaiming the need for a colonoscopy every once in a while out of the way. That would leave some key votes for you to consider. The Congressional Research Service did the work. They looked at votes for Obama and McCain on KEY issues. The results? Barack Obama voted with Democrats 97% of the time. John McCain voted with the Republicans 79% of the time. Now .. just sit on your hands and wait for the MoveOn Media to report that one. Sit on your hands, but for God's sake don't hold your breath.

"John McCain wants to tax your health insurance benefits."

He's right, but here's the rest of the story. Let's say that you and your brother work for different companies. Your company provides you with health insurance. Your brother has to buy his own. Your boss gets a tax deduction for the cost of your health insurance. Your brother does not get a tax deduction for the cost of his health insurance. In effect, he is paying much more than you are for the same policy. Not fair. There's a reason for this. For decades government has wanted to coerce you into getting insurance through your employer. This gets you acclimated to the idea of someone else -- someone besides yourself -- is responsible for your health care. The end result is that the government, in effect, subsidizes the cost of your health insurance, but not your brother's. Now McCain has this idea of a $5,000 tax credit for every family to pay for their own health insurance policy. To make this work everyone has to start from the same starting line. Remember, you're subsidized, your brother is not. So McCain takes away the tax deduction your employer gets for your health insurance. There ... now we're all of equal standing when the $5,000 tax credits start coming out.

Now that wasn't too hard, was it?

Now .. just in case you've read something here, heard something on my show or gathered some information from some other source that might cause you to switch your vote from Obama to McCain ... just remember. You're a racist. There is only one reason NOT to vote for Barack Obama, and that's if you're a robe-wearing, cross-burning Klansman. Just so you know. You're going to have that on your conscience.