O’Bama, Health Care & Your Rights
Here is one constitutional scholar’s take on proposed legislation:
This retired attorney, and constitutional law instructor, read the entire health care bill and has some comments, not about the bill, but about the effects on our Constitution. It’s a broader picture than just health care reform.
All of you, and those to whom you communicate, had better sit up and pay attention; once this sort of thing happens, it will be irreversible.
THE TRUTH ABOUT THE HEALTHCARE BILLS
Well, I have done it! I have read the entire text of proposed House Bill 3200: The Affordable Health Care Choices Act of 2009. I studied it with particular emphasis from my area of expertise constitutional law. I was frankly concerned that parts of the proposed law that were being discussed might be unconstitutional.
What I found was far worse than what I had heard or expected.
To begin with, much of what has been said about the law, and its implications, is in fact true, despite what the Democrats and the media are saying. The law does provide for rationing of health care, particularly where senior citizens and other classes of citizens are involved, free health care for illegal immigrants, free abortion services, and probably forced participation in abortions by members of the medical profession.
The Bill will also eventually force private insurance companies out of business and put everyone into a government run system. All decisions about personal health care will ultimately be made by federal bureaucrats, and most of them will not be health care professionals. Hospital admissions, payments to physicians, and allocations of necessary medical devices will be strictly controlled.
However, as scary as all of that is, it just scratches the surface. In fact, I have concluded that this legislation really has no intention of providing affordable health care choices. Instead it is a convenient cover for the most massive transfer of power to the Executive Branch of government that has ever occurred, or even been contemplated. If this law, or a similar one is adopted, major portions of the Constitution of the United States will effectively have been destroyed.
The first thing to go will be the masterfully crafted balance of power between the Executive, Legislative, and Judicial branches of the U.S. Government. The Congress will be transferring to the Obama Administration authority in a number of different areas over the lives of the American people and the businesses they own. The irony is that the Congress doesn’t have any authority to legislate in most of those areas to begin with! I defy anyone to read the text of the U.S. Constitution and find any authority granted to the members of Congress to regulate health care.
This legislation also provides for access by the appointees of the Obama administration of all of your personal healthcare information, your personal financial information, and the information of your employer, physician, and hospital. All of this is a direct violation of the specific provisions of the 4th Amendment to the Constitution protecting against unreasonable searches and seizures. You can also forget about the right to privacy. That will have been legislated into oblivion regardless of what the 3rd and 4th Amendments may provide.
If you decide not to have healthcare insurance, or if you have private insurance that is not deemed “acceptable” to the “Health Choices Administrator” (Czar) appointed by Obama, there will be a tax imposed on you. It is called a “tax” instead of a fine because of the intent to avoid application of the due process clause of the 5th Amendment. However, that doesn’t work because since there is nothing in the law that allows you to contest or appeal the imposition of the tax, it is definitely depriving someone of property without the “due process” of law.
So, there are three of those pesky amendments, that the far left hate so much out the original ten, in the Bill of Rights that are effectively nullified by this law. It doesn’t stop there though. The 9th Amendment that provides: “The enumeration in the Constitution, of certain rights, shall not be construed to deny or disparage others retained by the people;”
The 10th Amendment states: “The powers not delegated to the United States by the Constitution, nor prohibited by it to the States, are preserved to the States respectively, or to the people.” Under the provisions of this piece of Congressional handiwork neither the people nor the states are going to have any rights or powers at all in many areas that once were theirs to control.
I could write many more pages about this legislation, but I think you get the idea. This is not about health care; it is about seizing power and limiting rights. Article 6 of the Constitution requires the members of both houses of Congress to “be bound by oath or affirmation” to support the Constitution. If I was a member of Congress I would not be able to vote for this legislation or anything like it without feeling I was violating that sacred oath or affirmation. If I voted for it anyway I would hope the American people would hold me accountable.
For those who might doubt the nature of this threat I suggest they consult the source. Here is a link to the Constitution:
http://www.archives.gov/exhibits/charters/constitution_transcript.html
http://www.archives.gov/exhibits/charters/constitution_transcript.html
And another to the Bill of Rights:
http://www.archives.gov/exhibits/charters/bill_of_rights_transcript.html
http://www.archives.gov/exhibits/charters/bill_of_rights_transcript.html;
There you can see exactly what we are about to have taken from us.
Michael Connelly
Retired attorney,
Constitutional Law Instructor
Carrollton , Texas
mrobertc@hotmail.com
http://us.mc571.mail.yahoo.com/mc/compose?to=mrobertc@hotmail.com
Michael Connelly: Author of
“The Mortarmen” www.trafford.com/04-2710Â http://www.trafford.com/04-2710 >
and
“Riders in the Sky: The Ghosts and Legends of Philmont Scout Ranch”
I also teach law courses via the Internet through colleges and universities worldwide.
To find a college or university near you, go to Education To Go’s website at
www.ed2go.com http://www.ed2go.com/%.
September 23, 2009
Tags: bill of rights, constitution, health care, House Bill 3200, legislation, O'Bama, The Affordable Health Care Choices Act of 2009 Posted in: Politcal Stuff 
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Communication
There was a time when we called people on the telephone, but not all that frequently and only when we were at home. Telephones were connected to the wall, or located inside a small booth, and it cost money to use them. I can remember when I was a kid and my parent’s phone line was a “party” line. Of course that term has a whole new meaning today LOL. When we wanted to make a call, we had to pick up the handset and listen first to make sure there wasn’t some other “party” already on the line. I remember when we finally got a “private” line. It cost more, and we felt “important.” If we really wanted to communicate, we wrote letters.
Then, there came along this invention of a PORTABLE phone called a mobile phone. We could carry it with us wherever we went, but it was rather large and heavy and came equipped with a carry bag for the battery and such. Now, this was very handy, but the average person who owned one only used it in emergencies because it was very expensive to own and use. For those who couldn’t afford a mobile phone, there were beepers. They let us know someone was trying to contact us and relied on us to find a phone and contact them back. For those who had money to burn, they could get a hand-held unit without the bag and huge battery but it was the size (and weight) of a brick, and had a fixed antenna sticking out of the top. I wonder if there are any statistics for how many people lost eyes from that antenna?
More time passed and mobile phones became cell phones. They got smaller and cheaper and we gained the ability to send text messages over them, which eliminated the time required for the USPS to complete our “written” communications. It was almost instantaneous (as long as our intended “target” had their phone on, and available). These miracles of communication didn’t have games on them, or any of the other things we can access now, they were simply for communication.
Now we have Facebook and Twitter and LinkedIn, and Myspace, and it seems new “social networks” popping up all over the place. But is it really helping? Now we seem to need to spend more time searching out any communications meant for us across a broad spectrum of potential locations! Of course the cell phone has adapted right along so that now we have access to games, the internet, GPS and maps, etc. all in our portable “hand held devices.” That’s right! They’re not just “cell phones” anymore! So now, it seems if you don’t have a hand held device, communication has taken a step backward as we now have to waste time searching through a plethora of potential locations to see if anyone has tried to communicate with us.
So I wonder what and when the next (logical) step forward will occur. I’m sure that someone, somewhere is working on it as I type here. It will be a package of tiny microchips that we will have surgically installed in our heads. We can call this device a “brain chip.” The package will be hard-wired to our brains and allow us to instantly communicate with anyone else who has a package installed in THEIR head. I wonder how we’ll be able to keep our private thoughts private, but nevermind that for the moment. Maybe it would start out like the old “party lines” and we’d have to check and see what anyone else was thinking before we tried to think. The government can track our mobile devices, so I would imagine they’d be able to track our brain chips as well.
I think of the up side to this in that we won’t have to pay phone bills each month, we will no longer need phones installed at home or anywhere else, and we won’t have to worry about disturbing others when our chip vibrates or rings in a meeting or at the movies. Most importantly, the debate over the existence of telepathy will become moot 
I’m sure that AT&T, Qwest, all the Bells and the other phone service providers are fighting this development. But you know, it’s hard to stop progress!
OK, I think maybe I’ll stop here Perhaps I’ll take this and expand a bit and put it on my Blog (another communication tool). If you have any thoughts on all this, just send me a mind message… oh, wait, we haven’t progressed to that yet. SO just communicate your thoughts to me – somehow!
September 6, 2009
Tags: cell phone, communicate, communication, hand held device, mobile phone, phone, telephone Posted in: Family Stuff, Humor No Comments
The Kennedy Dynasty (Senator Edward Kennedy)
I want you to know, before you read further, that I am originally from Massachusetts and learned a whole lot about the Kennedy’s first hand while growing up there. I’m deeply & sincerely happy that his Senate seat is now (FINALLY) vacant (of him).
I hope that the GOOD people of Massachusetts will fill that seat with someone OTHER THAN a socialist, liberal, career politician.
I HOPE his replacement will NOT BE a murderer, liar, cheater, womanizer and drunkard!
I HOPE his replacement WILL BE someone who WILL SUPPORT AND DEFEND our Constitution and the Bill of Rights!
I hope his replacement WILL BE a LAW ABIDING CITIZEN!
I hope his replacement WILL have the strength and perseverance to attempt to UN-DO all of the damage that was done by his/her predecessor!
Having said these things, let’s have a little review of the late “esteemed” Senator from Massachusetts that the press is calling a “Great American”:
The information below (and the pictures) were received by me in a forwarded Email. The headers had been stripped before I got it and I “think” I was in the 4th round of forwards. The only info I have to give credit for putting all this info in one place is : “From Steve.” I did change some of the verbiage a bit.
1. He was caught cheating at Harvard University when he attended there. He was expelled TWICE; once for cheating on a test, and once for paying a classmate to cheat for him.
2. While expelled, he enlisted in the US Army. He mistakenly signed up for 4 years instead of 2. His father, Joseph P. Kennedy, a Former Ambassador to England (this was AFTER a successful career in bootlegging liquor into the US from Canada during prohibition) pulled the necessary strings to have his enlistment shortened to 2 years. He also ensured that his son served in Europe, not Korea, where a war was raging. He didn’t consider this preferential treatment (like he accused President Bush of receiving).
3. Kennedy was assigned to Paris, France. He never advanced beyond the rank of Private, and returned to Harvard upon being discharged. (A Harvard student couldn’t make it past the rank of private?)
4. While attending law school at the University of Virginia, he was cited for reckless driving FOUR times! This included one citation for driving 90 MPH in a residential neighborhood, after dark, with his lights turned off. Yet, his driver’s license was never revoked. Coincidentally, he passed the bar exam in 1959.
5. In 1964, he was seriously injured in a plane crash and hospitalized for several months. Test results done by the hospital at the time he was admitted had shown he was legally intoxicated. Those test results remained a “state secret” until in the 1980s when the report was un-sealed. Is there some problem with Kennedy’s and aircraft?
6. On July 19, 1969, Kennedy attended a party on Chappaquiddick Island in Massachusetts. At about 11:00 PM, he borrowed his chauffeur’s car keys to his Oldsmobile limousine and offered to give a ride to Mary Jo Kopechne, a campaign worker. Leaving the island via an unlit bridge with no guard rail, Kennedy drove the car off the bridge, flipped the car, and landed upside down in Poucha Pond.
7. He escaped the car and swam to shore, then walked back to the party (passing several houses and the fire station). Two friends then returned to the scene of the accident with him. According to their later testimony, they told him what he (should have – lawyer?) already knew – that he was required by law to immediately report the accident to the authorities. Instead, Teddy made his way to his hotel, called his lawyer, and went to sleep. He called the police the next morning, but by then the wreck had already been discovered. Before dying, Kopechne had scratched at the upholstered floor above her head in the upside down car. The Kennedy family began (once again) calling in favors, ensuring that any inquiry would be contained. Kopechne’s corpse was whisked out of state to her family before any autopsy could be conducted. Further details are uncertain, but Kennedy stated after the accident that he had repeatedly dove under the water trying to rescue Kopechne, and that he didn’t call police because he was in a state of shock. It is widely assumed that Kennedy was actually drunk, and didn’t call police immediately in hopes his family could “fix” the problem over-night. Since the accident, his “political enemies” have referred to him as “the distinguished Senator from Chappaquiddick.” In a Massachusetts court, he pled guilty to leaving the scene of an accident, and received punishment of a SUSPENDED SENTENCE OF TWO MONTHS! Kopechne’s family received a small payout from the Kennedy’s insurance policy and never sued. There was later an effort to have Kopechne’s body exhumed and autopsied, but her family successfully fought against this in court, and Teddy’s family covered the cost of the attorney’s bills.
8. Kennedy had held his Senate seat for more than 40 years, but considering his longevity, his accomplishments are scarce. He authored or argued for legislation that ensured a variety of civil rights,k increased the minimum wage in 1981, made access to health care easier for the indigent, ensured funding meals-on-wheels for fixed income seniors, and widely held as the “standard bearer for liberalism.” In his very first Senate roll, he was the floor manager for the bill that turned U.S. immigration upside down and opened the flood gate for immigrants from 3rd world countries.
9. Since that time, he has been the prime instigator or author of every expansion of the increase in immigration, up to and including the latest attempt to grant amnesty to all illegal aliens presently in the U.S.
10. He gave a serious grilling to the last two Supreme Court nominees, as if he was the word of law and standard bearer for the nation in matters of “what’s right.” He was known around Washington DC as a public drunk, loud, boisterous, and very disrespectful to/of women.
This “gentleman” from the Commonwealth ( something he believed should be the case) of Massachusetts was in fact anything but! He was a pompous ass!
Please don’t let the press “black hole” the truth about this man and make him into something he absolutely wasn’t. He was a disgrace.
Joe
September 1, 2009
Tags: chappaquiddick, edward kennedy, kopechne, mary jo, massachusetts, senator, ted kennedy, teddy kennedy Posted in: Politcal Stuff No Comments
Saving Money the EASY way!
I went into Walmart the other afternoon to buy a few items. Of course there was the greeter in the foyer to welcome me to Walmart. Once I got inside, there was a table set up with two representatives from Comcast trying to sell telephone service and bundles with their cable TV and internet service. I typically ignore those salespeople and give them a wide berth.
This time however, I walked in a straight line right past the table and sure enough, one of them approached me about their offer. I was very happy to listen to what they had to say and smiled when the issue of price came up. I looked at the young woman straight in the eye and asked if they could meet or beat my present provider. She informed me that their offer was very competitive.
First of all, I’m a little dismayed by the fact that we consumers are being ripped off on the cost of high speed internet service (cable AND DSL). From what I’ve read, the providers could very easily (and more importantly, INEXPENSIVELY) provide high speed service of 50-75 Meg+ at very little cost over what the cost is to provide the present levels of service in the 7-12 Meg range. Anyway, that’s another subject…
SO, I asked what was their offer and was informed they had a special @ ~$20.00/month that included local and long distance service (to the US & Canada only). I said that sounded pretty good but that I already had that service for $20.00/year. She looked at me a little skeptically until I said that I use the Magic Jack. At that point, she turned away without a word and made to approach another innocent passerby. <smile>I switched over to Magic Jack about 4 months ago, and have never looked back! Previous to this, I was with Qwest for both local & long distance. Before that, I had local service with Qwest and long distance with AT&T. The thing that really bothered me with both of those scenarios is that my monthly bill was always twice what my monthly service was supposed to cost me! Well, I’m sure you all know why THAT is! We have to pay 16 different taxes to communicate with anyone in this country! It’s really ridiculous that in some months, the total of taxes was equal to what the cost of the service was!
Anyway, at this point, there ARE no taxes to use Magic Jack. I’m sure that this is a limited time “good deal” as the government(s) (fed/state/local) will sooner or later find some way to tax that as well. I can’t wait to see the size, scope and cost of the Govt agency that will need to be created to monitor all traffic over the internet! It will bankrupt us!
Anyway, so moving on from here, I’ve been thinking of other ways that I might be able to save a few dollars each month. I presently pay for cable and high speed internet service from Comcast. The cable bill runs right around $60 and the internet is another $50. Mind you, I don’t have any pay channels in that cost either. That’s just the basic tier of channels with the next level added, digital service (now required) and a couple of boxes so I can have service in more than one room.
I see the ads on TV and hear them on the radio about how Dish Network offers this and Direct TV offers that. No matter which way you slice it, the costs all come out about the same, and don’t forget all those extra charges for the dozen or so taxing authorities that get tacked on top!
So I got to thinking, If I can get such cheap phone service with Magic Jack using my already paid for high speed internet connection, why can’t I get TV service the same way? Well, you know, it was an epiphany! Almost everything that I watch on TV now, I can also watch through the internet. Why am I paying for cable TV?!
If you look over to the left in the side bar of my site, you’ll see an ad for internet TV service. Now if you read the disclaimer, they don’t actually provide the broadcasts, they just round everything up and put it in a nice easy to use bundle for you! <smile> And the beautiful thing is, it’s a software download to your computer, a ONE TIME CHARGE for the software, and NO TAXES!
What a deal! I don’t have to do any of the leg work to search for the channels, it’s already done for me! The channels are mostly all digital HD, and I can get foreign channels as well! And did I mention it’s a ONE TIME COST? There’s no recurring monthly bill! I’m liking this idea more and more!
So anyway, my potential cost savings idea at the moment is to cancel my cable TV service, and buy internet TV software where I’ll have access to upwards of 3,500 channels of digital HD programming to select from! I’ve done a little research into the matter and my personal selection of a company/provider to go with is the link over in the side bar. In case you don’t want to take your eyes away from my font, here’s the link: Satellite Direct TV.
Hey, if you’re already using a service like this, or even using THIS service, how about dropping a comment and letting everyone know your thoughts/experiences?! I’ll get back to this subject again later and let you all know what I’ve found out.
Joe
P.S. Get a Magic Jack! You’ll never look back!
August 30, 2009
Tags: cable, Comcast, high speed, internet, local, long distance, Magic Jack, money, phone, Qwest, saving, service, telephone, TV, Walmart Posted in: Financial Stuff One Comment
Civilian observations vs military realities.
Being retired Navy, this really hits home. It was forwarded to me by my brother and aside from the published words from the local paper, I can not provide credits for quotes. My condolences to the family of Capt Fresques on their tragic loss. Thank you to all those who have served or are still serving.
WOW!!! WHAT A LETTER…….
AMEN to this!!! This is outstanding… —--
Luke AFB is west of Phoenix and is rapidly being surrounded by civilization that complains about the noise from the base and its planes, forgetting that it (the base) was there long before they were. A certain Lieutenant Colonel at Luke AFB deserves a big pat on the back. Apparently, an individual who lives somewhere near Luke AFB wrote the local paper complaining about a group of F-16s that disturbed his/her day at the mall.
When that individual read the response from a Luke AFB officer, it must have stung quite a bit… I sure hope it did!
The complaint: ‘A wake-up call from Luke’s jets’
“Question of the day for Luke Air Force Base:
Whom do we thank for the morning air show? Last Wednesday, at precisely 9:11 A.M, a tight formation of four F-16 jets made a low pass over Arrowhead Mall, continuing west over Bell Road at approximately 500 feet. Imagine our good fortune! Do the Tom Cruise wanna-bes feel we need this wake-up call, or were they trying to impress the cashiers at Mervyns early bird special?
Any response would be appreciated.”
The response:
Regarding ‘A wake-up call from Luke’s jets’ On June 15, at precisely 9:12 a.m., a perfectly timed four- ship fly-by of F-16s from the 63rd Fighter Squadron at Luke Air Force Base flew over the grave of Capt. Jeremy Fresques. Capt Fresques was an Air Force officer who was previously stationed at Luke Air Force Base and was killed in Iraq on May 30, Memorial Day.
At 9 a.m. on June 15, his family and friends gathered at Sunland Memorial Park in Sun City to mourn the loss of a husband, son and friend. Based on the letter writer’s recount of the fly by, and because of the jet noise, I’m sure you didn’t hear the 21-gun salute, the playing of taps, or my words to the widow and parents of Capt. Fresques as I gave them their son’s flag on behalf of the President of the United States and all those veterans and servicemen and women who understand the sacrifices they have endured…
A four-ship fly-by is a display of respect the Air Force gives to those who give their lives in defense of freedom. We are professional aviators and take our jobs seriously, and on June 15 what the letter writer witnessed was four officers lining up to pay their ultimate respects.
The letter writer asks, ‘Whom do we thank for the morning air show?’ The 56th Fighter Wing will make the call for you, and forward your thanks to the widow and parents of Capt Fresques, and thank them for you, for it was in their honor that my pilots flew the most honorable formation of their lives.
Only 2 defining forces have ever offered to die for you…. Jesus Christ and the American Soldier.
One died for your soul, the other for your freedom.
Lt. Col. Grant L. Rosensteel, Jr.
USAF
March 6, 2009
Tags: air show, civilian, F-16s, fly-by, Grant l rosensteel jr, luke afb, military, veterans Posted in: Military Stuff 4 Comments
Unbelievable Financial Opportunity! In TWO ways!
I retired from the Navy (quite) a few years back and I didn’t want to work for the government anymore. I DID want to work with and help people. My brother owned a mortgage company at the time and since I had a lot of experience with training, I went to work with/for him to help him build his business. It was the peak of the refinance boom and loans were easy to find. Not only did I train new loan officers, but I did many loans myself. It was a real joy to help someone get into their first home. It was also very pleasing to me to help people consolidate debt and free up money for other things. I knew of the bad side of refinancing, and always tried to look out for my client’s best interests financially. Of course, we all know what happened after that… it’s STILL happening! Many of those people I thought I was helping are now in a much worse situation. It wasn’t PLANNED to happen this way, but was one of the risks I always warned my clients about. And just to be on the record, I was an honest and fair lender and NEVER took advantage of my clients for my own personal financial benefit.
So now, after many years working in the mortgage industry, I have decided I’d rather help people get OUT of debt rather than continue to add more. Don’t get me wrong, there’s nothing wrong with a mortgage, and in fact they are a necessary part of home ownership in this country and the world! Without them, very few people would be able to own a home. The problem is; the bank gives you the mortgage loan and treats it as a bank loan. You accept the mortgage loan and treat it as a consumer loan. Wouldn’t it be better if you treated it the same way as the bank? If they’re going to make a huge profit treating it as such, it stands to reason that you can make a huge profit (saving interest costs) if YOU treat it as such! We can go into the math if you wish, but for now we’ll save that for another time.
As an Independent Agent for United First Financial, I get to do what I’ve always wanted to do! I can really HELP people financially! United First Financial offers a truly unique and comprehensive system that allows normal everyday people to control their money like the bank controls their money. It educates you, the consumer, on banking principles that have existed for a very long time, so that instead of paying the bank, you can pay yourself! When I was introduced to the company and system, I couldn’t believe it! I did weeks of intensive research to try to find something wrong with it. Try as I might, I could find nothing! It was ALL TRUE and documented/verifiable! This was NOT A THEORY, but a mathematically proven system from a 100% reputable company! I was so impressed with the information I found about the company and the product that I HAD to go to work for them! When you see how great this system is, you’ll want to share it with everyone you know! I have!
It’s called the Money Merge Account system, and what it does is allow YOU to take complete control of YOUR finances, so that YOUR money is always working for YOU instead of the BANK! Doesn’t THAT sound like a nice approach to handling your finances?! It’s like a financial GPS system the always keeps you right on track and won’t let you get lost. It’s TRUE! If you qualify for the system, it will put every penny of your assets to work for you either canceling interest (on loans/debt), or earning interest for you! And the absolute best part of the system is that you DON’T have to refinance, you DON’T have to change your required monthly mortgage payment, and it has little to no effect on your monthly budget or spending habits! I know, it sounds too good to be true, but I assure you… it IS absolutely true! Another incredible thing? If you’re NOT qualified for the system, United First Financial WILL NOT SELL the Money Merge Account TO YOU! How’s THAT for honesty in business?
Folks, you have to check this out! As an Independent Agent, I will be more than happy to show you what the Money Merge Account can do for you, absolutely free! That’s right, it won’t cost you a dime to find out how many thousands or hundreds of thousands of dollars you can save over the next 8-12 years!
I will do a FREE, COMPLETE, Financial Analysis of your unique situation for you and show you exactly what your potential savings are. And to do this, I don’t need to pull your credit, I don’t need your Social Security Number, and I don’t need any other personal information from you! All I need is for you to provide me reasonably accurate financial details like income, assets, and debt details (mortgage, loans, credit cards, etc.). I will plug those details into the system and produce a 5 page comprehensive financial analysis report that will show you everything you need to know and more!
So what’s the second opportunity that I alluded to? Well, that’s the BEST part! Once you see this, you’re going to want to share it with your family and friends! United First Financial is always looking for good people to be Independent Agents and represent them. You could make a very nice income, full or part time doing exactly what I do; Show people how they can eliminate their mortgage and all consumer debt in 1/3 to 1/2 the time, saving potentially hundreds of thousands of dollars, and start to build real wealth! How hard is that? The answer is, IT’s NOT hard at all!
Get YOUR FREE Financial Analysis done now and see what I’m telling you about! Seeing IS believing!
Joe Brady
February 26, 2009
Tags: bank, financial analysis, financial opportunity, loan, money merge account, mortgage, refinance, united first financial Posted in: Financial Stuff 2 Comments
Grandkids are GREAT! You can hand them back :-)
I recently returned from a road trip to Tennessee to visit my parents and brother simultaneous to my son, his wife and their 2 kids going there to visit also. Since the youngest grandchild is only 5 weeks old, it was really nice to have a chance to hold him and carry around a new baby again It was nice to be together with a group of family as well.
My newest grandson is really a very handsome baby, and every bit a mirror of his dad. Reminiscing to when he was a baby, the resemblance is positively amazing! Except my son looked like ET and HIS son doesn’t! LOL Guess there is some of his wife in there as well Ok, enough on that.
My dad is 80 and getting on in years. I’m hoping he still has a few left in him as he’s not really in THAT bad a shape, but it was a great opportunity to get a 4 generation photo of the male side of the family. Up until now, that has been impossible as the men on my side of the family have a history of departing at a young age. Maybe now the mold is broken?! Lets hope! I am sooooo happy being a Grandpa!
My grandson is/was a very good baby and though he cried a bit, he adapted to the large (noisy) group of adults quite well! I enjoyed holding him in my arms while he slept and bottle fed, and by gosh, I think he even recognized me! I was spellbound when he looked up at me and smiled with his big inquisitive blue eyes!
But, the REAL joy was when he needed a diaper change. I called my son over and said “son? there’s work here for you to do!” Of course he grimaced and his wife smiled, and the rest of the family had a real hearty laugh! I guess my daughter-in-law was very pleased to have escaped the “chore” for a change (literally). Of course she hasn’t had much rest these past few months and it was also very nice to give her a break and let her get some much needed rest.
So, after some 40+ hours of driving for a two day visit, I’m back home, all caught up on MY rest, and in a very positive and happy mood! I hope that we can go out and visit them some time this summer and stay for more than a few days. It’s always great to be with my kids AND their kids! Sometimes, family is a purely wonderful thing!
Joe Brady
February 26, 2009
Tags: family, generation, grandkids, grandpa, grandson, son Posted in: Family Stuff 2 Comments
My mortgage saves me BIG money in taxes!
I understand that most of us need to have a mortgage in order to be able to buy a house. We simply haven’t the willpower or wherewithal to come up with the kind of cash required to buy the house that we “need” (read: want). So, since we “have” to have a mortgage, Uncle Sam allows us to write that interest off of our taxable income. Isn’t that great?
Well, as long as you “HAVE” to have a mortgage, it IS a good thing! However, Let’s look at the real situation, shall we?
In a previous post, I talked about the homeowner with a $200,000.00 mortgage @ 6%, over 30 years. Now, that monthly P&I payment was $1,199.10, and the total interest paid during the first 12 months (we’ll say they purchased on January 1st so had the whole 12 months of interest to deduct) was $11,933.19. Are we square on this so far? OK, so if our homeowner makes decent money and is in the 15% tax bracket, having that deduction just SAVED him $1,789.98 or $1,800.00 on his Federal tax bill. Not too shabby.
What if he makes really decent income and is in the 30% tax bracket? Well, in that case, he really needs to buy a bigger home with a bigger mortgage, so he’ll have a bigger deduction!! But no, ok, that interest deduction just saved him $3,579.96 on Federal taxes! Wow, that’s a pretty substantial tax savings. OK, so lets do a little math here. By saving that $3,580.00 on taxes, it brings his effective interest paid to the bank down to 70% of what was actually paid or $8,353.25 for the year. If you work that number back, it would give an effective mortgage loan rate of ~3.52%! That’s EXCELLENT, right?
WRONG! You can’t apply that tax savings as interest saved because our homeowner really DID pay the $11,933.19 to the bank as interest. That money is gone. The bank has it. However, it IS a tax savings to our homeowner. It’s money he DIDN’T have to pay Uncle Sam!
Now, just so we’re all on the same page here…
Our homeowner PAID the bank $11,933.19 to SAVE $3,580.00 in taxes to the feds. So, over the 30 years, if everything stays the same, he will have paid the bank $231,677.03 in order to save $107,400.00 in taxes…
Ummmmm yeah… that’s the real math… Helllllooooo… Does this make sense to you?
So you see, yes a mortgage may be necessary to buy that home. BUT, the tax advantage isn’t really a tax “advantage” at all. It’s the government giving the average Joe a break to help the housing industry sell more homes. The quicker you can pay that mortgage off, the more REAL money you will save in interest paid to the bank! On that $200,000.00 loan, over 30 years (if you don’t move or refinance), you will pay the lender $231,677.03 in INTEREST! Plus of course the original $200,000.00 you borrowed.
Check out an amortization table and see how much YOU could save if you paid down YOUR mortgage!
I know, it’s hard to stick with it. Things come up, or go down, that “prevent” us from sending in that extra principal with our payment. We can get easily sidetracked because we only deal with that bill once a month, and it’s only 1 out of the many other bills we have to pay at the same time.
We can create an excel spreadsheet to help us, but face it, that’s a LOT of work, and would take MUCH MORE time each month (with changes and updates) than it takes to just pay the bills! There’s software out there that’s supposed to help, but most of it’s not flexible enough or comprehensive enough to deal with real life. That’s NO LONGER TRUE!
If you want to see something that is flexible, comprehensive, all inclusive, easy to use, web based, and UNPARALLELED, you really need to check out the Money Merge Account system! Visit this site and read up on the Money Merge Account! You will be VERY glad that you did!
Joseph Brady
January 31, 2009
Tags: amortization, homeowner, homes, house, interest, mortgage, P&I, principal, refinance, tax, taxes Posted in: Financial Stuff 2 Comments
I LOVE my Mortgage!
It’s true! Without it, I wouldn’t be living in this big, beautiful house! But you know what I’d love even more? If I didn’t have any mortgage at all! But hey, lets be realistic, there’s no WAY I could buy a house anywhere NEAR this nice without a mortgage… We NEED a mortgage in order to buy a home, right? Well, in 1928, 98% of all homeowners OWNED their homes. Only 2% of homeowners had a mortgage. Today, 98% of homeowners have a mortgage and only 2% own their homes outright.
Most folks today do need a mortgage to purchase a home. However, statistically, 75% of home owners are living above their means. That means they are paying for more house than they really (need or) can afford. Up until a couple of years ago (when the housing crisis started), it wasn’t a big deal. The house was appreciating in value (at a more or less ridiculous rate) and if it got to be too tight on the budget, you could sell it and take/make a nice profit. But Ut-oh… the housing market went flat and then it started to crash! Now, we owe more on the house than what we can sell it for and we’re stuck.
And then to make things even more interesting, the housing industry crash dragged the rest of the economy down with it. Of course the major oil producing countries in the middle east helped things along… Nothing like cutting off your nose to spite your face… So now people were losing their jobs but they still had that big house and bigger mortgage payment.
Mortgage lenders had a hay-day while the housing market was booming. They screamed and cried when they had a ready buyer and they couldn’t get them qualified for a loan because of things like; bad credit, insufficient income, debt ratios that were well above where they should be, and other “little” problems. So, they came out with “special” loan programs that would allow these buyers to get a mortgage loan. It didn’t matter to the lender, because right after they closed the loan, they would bundle it up with thousands of others and sell it to an investor. Of course the investors were selling these bundles to each other as well. (remember the kids game: Hot Potato?) Anyway, as long as YOU weren’t holding the bundle when it went up in flames… no harm done. I know, this is all old news…
Many people were using their home like an ATM. They would refinance every year or two and take the equity they’d earned out, to spend on other things. Sometimes it was to pay off accumulated debts (of course after they paid those off, they would go right back out and start accumulating more). But it was OK, because the interest rate was lower than their previous rate, so their payment went down or stayed about the same, even though they owed more money! Life was GOOD!
But there’s a little thing that those mortgage lenders never explained. Think of it as return on investment, or unmentioned yield/capitol return… You see, there’s this thing called APR. It’s the “effective” interest rate you pay on the loan if you make every payment on time over the scheduled life of that loan. It factors in the cost of doing the loan in addition to the interest costs over the life of the loan.
So lets say you did a 30 year fixed rate loan at 6% for $200,000.00 and had that loan for 2 years and then refinance out of it. The average closing costs to do that original loan would have been ~ $6,000.00, your monthly P&I payment would be $1,199.10 and the APR on that loan would be ~6.13%. After your 24th payment, you have paid $23,714.90 in interest (only $5,063.50 in principal). When you do the refinance the original lender gets all of their money back as that loan will be paid in full. So, in total, they actually made the interest + the closing costs or $29,714.90.  If you add that to the principal you paid over the 24 months, you paid a total of $34,778.40. Now we’ll divide that by the 24 months to find out that your “effective” monthly P&I payment was: $1,449.10. That now gives you a REAL APR of ~ 7.87%! You THOUGHT you had a 6% loan but in reality, the total of costs and interest you paid over that 2 years made your “effective” rate almost 8%! Such a good deal huh? And to top it off, you no longer have the equity in your home because you gave it up when you refinanced, and the NEW lender is hoping you’ll go ahead and do this again in another 2 years!
I’ll get more into mortgages on another post  You see, mortgages are GOOD! They give us a tax write off! Ha ha haha! Just wait, I’ll get into that as well
Joseph Brady
January 31, 2009
Tags: amortization, homeowner, homes, house, interest, mortgage, P&I, principal, refinance, tax, taxes Posted in: Financial Stuff 4 Comments
Debt? What debt?
OK then, lets talk about debt! I know, I know… it’s all we see and hear anymore on the TV, in newsprint, and if you come right down to it, it’s on our minds, right? There’s the national debt, there’s consumer debt, there’s business debt. So, what are we DOING about it? What are YOU doing about it? Lets start with the national debt, shall we?
Well, the government has decided that Debt is a GOOD thing, so they’re doing all they can to create as much of it as possible! Just in the past 2-3 months, the government has increased the national debt by what, a couple of trillion dollars? And they’re not done yet?! The way things are going, by the end of this year the national debt will have DOUBLED from what it was in June 2008! Think about it… Every American would have had to pay almost $48,000.00 to eliminate the debt as it was in June 2008. By the end of this year, we will owe TWICE that amount!
Maybe we can consider it like a “mortgage” on a “vacation home” (that we don’t really own). It’s really a mortgage that our kids and grandkids will inherit, and God knows how they will pay for it! It’s one of those special “Deferred Payment” mortgages… The interest keeps getting added, but we don’t pay down any of the principle to the outstanding balance so it just keeps growing and growing. But it gets BETTER! Since the interest owed is being added to the principle balance, we get to pay interest on the interest we owe as well! Compounded interest! Einstein said compound interest is the eighth wonder of the world! I’d have to agree!
So, what is the answer? Well… I wish I knew 
No matter what answer is considered, it’s going to be very painful to SOME one. Who can best bear the pain right now? Should we dump it all on some, or maybe some on all?
I’ll be posting more of my thoughts on this matter in the not too distant future! Count on that!
Joseph Brady
January 31, 2009
Tags: business, compounded, consumer, debt, government, interest, mortgage, national Posted in: Financial Stuff, Politcal Stuff One Comment
