Remember: Banks Too Big To Fail? Part I

Not much is known by average American citizens about banking — other than depositing money, withdrawing money, obtaining a loan to buy a car or home improvements. But as you can imagine, there’s a whole lot more to banking than that.

Many people are afraid of banks and bankers, simply because there is so little known about them and how they operate. The “unknown” always leads to fear and concern, especially when the unknown is a mysterious person or a group of mysterious people. Certainly that applies to the entities and people who control the collection and distribution of pretty much all the cash on Earth.

Americans have watched the news the last decade in which financial scandal after scandal have been exposed in the banking community. And then there was the Bush 43 bailout of almost every bank in the U.S. that was underwritten by the American people. In most cases, that bailout helped to avoid a U.S. financial explosion initiated by unsafe bank investments in shaky and heretofore unexplored financial areas. Those were called “derivatives.” For the sake of time we will not go into that near-collapse or derivatives themselves.

What we DO know for certain is that most of the World banking operations are controlled (and many are owned) by a small number of people. Hints of that fact occasionally have appeared in media reports, but usually only when there’s some type of financial boondoggle that happens on a small scale. But did you know banking in the U.S. is controlled primarily by a very small group of powerful individuals and families? Not only that, but the mystical “Federal Reserve” is the principal entity used by the purveyors of U.S. finance on every level to direct and control all things pertaining to finance.

Today and tomorrow  we will take a look at those entities, families, and people who control each of our financial lives in two parts. You’ll be shocked, but you’ll be educated. It is important for all to know exactly what’s going on to the best of our ability. And that includes banking.

You may be tempted to let details here get boring to you. Don’t! Over the next decade, what you know about banking may save your retirement and protect your children and grandchildren. All these names we list are important. Some you’ve heard before, others not. But make some notes. You will hear ALL these names (at least of those still alive) throughout news reports in coming days and months.

8 Families ”Own” the U.S.

Let’s start with the Rockefellers. You may be surprised that they certainly are into banking, but there into much, much, more!

Companies under Rockefeller control include Exxon Mobil, Chevron Texaco, BP Amoco, Marathon Oil, Freeport McMoran, Quaker Oats, ASARCO, United, Delta, ITT, International Harvester, Xerox, Boeing, Westinghouse, Hewlett-Packard, Honeywell, International Paper, Pfizer, Motorola, Monsanto, Union Carbide and General Foods.

The Four Horsemen of Banking (Bank of America, JP Morgan Chase, Citigroup and Wells Fargo) own the Four Horsemen of Oil (Exxon Mobil, Royal Dutch/Shell, BP and Chevron Texaco); in conjunction with Deutsche Bank, BNP, Barclays and other European old money giants.

Their monopoly over the global economy does not end at the edge of the oil patch. According to company 10K filings to the SEC, the Four Horsemen of Banking are among the top ten stock holders of virtually every Fortune 500 corporation.

So who then are the stockholders in these money center banks? This information is guarded much more closely. Inquiries to bank regulatory agencies regarding stock ownership in the top 25 U.S. bank holding companies were given Freedom of Information Act status, before being denied on “national security” grounds. This is rather ironic, since many of the bank’s stockholders reside in Europe. One of the biggest entities that owns these bank holding companies is U.S. Trust Corporation – founded in 1853 and now owned by Bank of America. A recent U.S. Trust Corporate Director and Honorary Trustee was Walter Rothschild.

Other directors included Daniel Davison of JP Morgan Chase, Richard Tucker of Exxon Mobil, Daniel Roberts of Citigroup and Marshall Schwartz of Morgan Stanley. J. W. McCallister, an oil industry insider with House of Saud connections, wrote in The Grim Reaper that information he acquired from Saudi bankers cited 80% ownership of the New York Federal Reserve Bank — by far the most powerful Fed branch — by just eight families, four of which reside in the U.S.

They are the Goldman Sachs, Rockefellers, Lehmans and Kuhn Loebs of New York, the Rothschilds of Paris and London, the Warburgs of Hamburg, the Lazards of Paris, and the Israel Moses Seifs of Rome.

CPA Thomas D. Schauf confirms McCallister’s claims, adding that ten banks control all twelve Federal Reserve Bank branches. He names N.M. Rothschild of London, Rothschild Bank of Berlin, Warburg Bank of Hamburg, Warburg Bank of Amsterdam, Lehman Brothers of New York, Lazard Brothers of Paris, Kuhn Loeb Bank of New York, Israel Moses Seif Bank of Italy, Goldman Sachs of New York and JP Morgan Chase Bank of New York.

Schauf lists William Rockefeller, Paul Warburg, Jacob Schiff and James Stillman as individuals who own large shares of the Fed. The Schiffs are insiders at Kuhn Loeb. The Stillmans are Citigroup insiders, who married into the Rockefeller clan at the turn of the century. Eustace Mullins came to the same conclusions in his book The Secrets of the Federal Reserve, in which he displays charts connecting the Fed and its member banks to the families of Rothschild, Warburg, Rockefeller and the others.

The control that these banking families exert over the global economy cannot be overstated and is quite intentionally kept in secrecy. Their corporate media arm is quick to discredit any information exposing this private central banking group as “conspiracy theory.” Yet the facts remain.

Banking History

In 1903 Banker’s Trust was set up by the Eight Families. Benjamin Strong of Banker’s Trust was the first Governor of the New York Federal Reserve Bank. The 1913 creation of the Fed fused the power of the Eight Families to the military and diplomatic might of the U.S. government. If their overseas loans went unpaid, the powerful banks could now deploy U.S. Marines to collect the debts. Morgan, Chase and Citibank formed an international lending syndicate. The House of Morgan was cozy with the British House of Windsor and the Italian House of Savoy. The Kuhn Loebs, Warburgs, Lehmans, Lazards, Israel Moses Seifs and Goldman Sachs also had close ties to European royalty.

By 1895 Morgan controlled the flow of gold in and out of the U.S. The first American wave of mergers was still a baby and was being promoted by the bankers. In 1897 there were sixty-nine industrial mergers. By 1899 there were twelve-hundred. In 1904 John Moody – founder of Moody’s Investor Services – said it was impossible to talk of Rockefeller and Morgan interests as separate. Public distrust of the group spread.

Many considered them traitors working for European old money. Rockefeller’s Standard Oil, Andrew Carnegie’s U.S. Steel and Edward Harriman’s railroads were all financed by banker Jacob Schiff at Kuhn Loeb, who worked closely with the European Rothschilds. Several Western states banned the bankers. Preacher William Jennings Bryan was three-times the Democratic nominee for President from 1896 -1908. The central theme of his campaign was that America was falling into a trap of “financial servitude to British capital.” Teddy Roosevelt defeated Bryan in 1908, but was forced by this financial-fear wildfire to enact the Sherman Anti-Trust Act. He then went after the Standard Oil Trust.

That same year Mrs. Edward Harriman sold her shares in New York’s Guaranty Trust Bank to J.P. Morgan, creating Morgan Guaranty Trust. Judge Louis Brandeis convinced President Woodrow Wilson to call for an end to interbank bank directors. In 1914 the Clayton Anti-Trust Act was passed. Jack Morgan – J. Pierpont’s son and successor – responded by calling on Morgan clients Remington and Winchester to increase arms production. He argued that the US needed to enter WWI. Prodded by the Carnegie Foundation and others, Wilson followed through.

The House of Morgan financed half the U.S. war effort, and got commissions for lining up contractors like GE, Du Pont, US Steel, Kennecott and ASARCO. All were Morgan clients. The 1919 Paris Peace Conference was presided over by Morgan, which led both German and Allied reconstruction efforts.

House Banking Committee Chairman Louis McFadden (D-NY) said of the Great Depression, “It was no accident. It was a carefully contrived occurrence…The international bankers sought to bring about a condition of despair here so they might emerge as rulers of us all.” Sen. Gerald Nye (D-ND) chaired a munitions investigation in 1936. Nye concluded that the House of Morgan had plunged the U.S. into WWI to protect loans and create a booming arms industry.

In 1937 Interior Secretary Harold Ickes warned of the influence of “America’s 60 Families.” Supreme Court Justice William O. Douglas stated this, “Morgan influence…the most pernicious one in industry and finance today.” Jack Morgan responded by nudging the U.S. towards WWII. Morgan had close relations with the Iwasaki and Dan families – Japan’s two wealthiest clans – who have owned Mitsubishi and Mitsui, respectively, since the companies emerged from 17th Century shogunates.

When Japan invaded Manchuria, slaughtering Chinese peasants at Nanking, Morgan downplayed the incident. Morgan also had close relations with Italian fascist Benito Mussolini, while German Nazi Dr. Hjalmer Schacht was a Morgan Bank go-between during WWII. After the war Morgan representatives met with Schacht at the Bank of International Settlements (BIS) in Basel, Switzerland. The House of Rockefeller BIS is the most powerful bank in the world, a global central bank for the Eight Families who control the private central banks of almost all Western and developing nations.

The first President of BIS was Rockefeller banker Gates McGarrah — an official at Chase Manhattan and the Federal Reserve. McGarrah was the grandfather of former CIA director Richard Helms. The Rockefellers — like the Morgans — had close ties to London. David Icke writes in Children of the Matrix, that the Rockefellers and Morgans were just “gofers” for the European Rothschilds.

BIS is owned by the Federal Reserve, Bank of England, Bank of Italy, Bank of Canada, Swiss National Bank, Nederlandsche Bank, Bundesbank and Bank of France. Historian Carroll Quigley wrote in his epic book Tragedy and Hope that BIS was part of a plan, “to create a world system of financial control in private hands able to dominate the political system of each country and the economy of the world as a whole…to be controlled in a feudalistic fashion by the central banks of the world acting in concert by secret agreements.”

The US government had a historical distrust of BIS, lobbying unsuccessfully for its demise at the 1944 post-WWII Bretton Woods Conference. Instead the Eight Families’ power was exacerbated, with the Bretton Woods creation of the IMF and the World Bank.


I know, I know, this was a lot of “stuff” — information. I’ll bet you knew very little about the U.S. Banking system and its history. That’s something that every American should not only know, but understand.

As the World Currency system is in transition — yes, there are serious conversations about President Trump taking the U.S. currency back to its former gold-backed status — and you need to understand how that will impact you. The best way to be prepared for future events is know the history so as to make certain the future is the best it can be made.

The Federal Reserve as always been a mystery to most. What is it? How does it function? Who controls it?  Part II of this will complete the banking history but will put you right in the middle of exactly where we stand today and how it directly and indirectly impacts us all. And we’ll break down in layman’s terms the secrets of the Federal Reserve.


Money, Money, Money!

How good or how bad is the economy? That depends who you listen to.

Democrats have made it very clear their objectives (regarding taxpayer dollars) are to first take back the “crumbs:” as Pelosi calls the employee bonuses and the increase in working folks’ take-home pay because of tax cuts. Then they want to RAISE taxes — not back to Obama-levels — but even higher.

If you watch or listen to Mainstream Media, you must think we are either in the tank or headed that way. It matters not to the talking heads what this economy means to Mainstream AMERICANS — those who number among the working Middle Class. Who in the Middle Class cannot use an extra $1000, $1500, or $2000 bonus paid by employers? Who in the Middle Class cannot enjoy having a few extra hundred dollars a month in their payroll deposit? Yet Pelosi and company totally denigrate all of that money that has found its way into the pockets of Americans. Why? They feel that all that money does NOT belong to Americans. It belongs to the AMERICAN GOVERNMENT. Every dollar that goes to Americans means that dollar is taken from the government!


Large companies are bringing jobs of all kinds — especially manufacturing jobs — back to America. This comes after Obama told us that the “Obama Economy” was the “new” American economy and that manufacturing jobs were gone for ever. But:

  • Insulet Corporation manufactures insulin delivery systems. In 2017 the company announced it would be moving the production of its flagship product — the Omnipod, a tubeless, waterproof insulin pump — from China to a new facility in Acton, Massachusetts. Insulet cited the area’s skilled workforce and rising labor costs in China as reasons for the move. If Insulet meets earnings expectations for the next several years, the new facility could employ as many as 1,500 workers by 2021.
  • In a January 2018 meeting with President Donald Trump, Amgen CEO Robert Bradway announced that the firm was planning to add 1,600 manufacturing jobs in the U.S. The announcement came several years after the biopharma company cut approximately 15% of its workforce and closed two U.S. manufacturing facilities in 2014 as part of major cost-saving efforts. Most recently, Amgen announced in February 2018 that it would invest $300 million in a new U.S. biologics plant that would employ approximately 300 workers upon completion. An April 2018 recent press release from the company named West Greenwich, Rhode Island, as the site of the new facility.
  • In July 2017, the White House announced that Merck, along with pharmaceutical manufacturers Pfizer and Corning, have committed to making a joint investment of at least $4 billion in pharmaceutical glass manufacturing in the U.S. The partnership will focus on the manufacturing of advanced pharmaceutical glass packing, a technology used in the storage of injectable drugs, as well as vials and cartridges, and is projected to lead to the direct hiring of 4,000 U.S. employees across the three companies. Merck also recently reshored approximately 300 jobs as part of its efforts to consolidate its overseas  operations in the U.S. The company relocated the headquarters of its animal health division from Boxmeer, the Netherlands to its campus in Summit, New Jersey in 2013 as part of a larger restructuring effort.
  • On Jan. 3, 2017, Ford announced plans to cancel a new $1.6 billion plant planned in San Luis Potosi, Mexico. Opting not to relocate production outside of the country saved approximately 3,500 U.S. jobs, according to a Ford press release. Instead, 700 additional new jobs will be created from a $700 million expansion of a Michigan plant focused on building high-tech electric and autonomous vehicles along with the Lincoln Continental and Mustang. In June 2017, Ford announced that it would move its U.S. production of the Ford Focus to China in 2019 without causing a loss of U.S. jobs. Ford already makes the Focus in China for Chinese buyers. But by September 2018, Ford had changed its plans to import the small car to the U.S. from China due to the expense of import tariffs that the Trump administration implemented in July.
  • At Trump’s post-election victory rally in Grand Rapids, Mich., on Dec. 9, 2016, the spotlight wasn’t just on the President-elect. Dow Chemical’s Chairman and CEO Andrew Liveris announced the company was bringing jobs to the Great Lake State. The CEO took the stage to describe the company’s’ more than 100-year history in Midland. “We aren’t stopping there,” Liveris said at the rally. “Tonight, in honor of the President-elect and his being here to thank you all, we’ve made a decision.” Liveris described the new state-of-the-art center that will add several hundred jobs to the 7,000 Dow already provides in the community. “We’re going to use American hard work and American brains,” said Liveris. The center will bring 100 jobs to Midland, plus restore 100 lost to foreign operations.
  • It’s likely that the Jumbotron you’re watching at the stadium was made by Trans-Lux. The manufacturer of LED digital displays and lighting planned to eventually bring its Chinese production facilities back to the U.S. However, Trump’s promises of tariffs on products manufactured in other countries sped up the move, according to the company’s website. For the past two decades, the company has manufactured much of its products in Shenzhen in Southeast China. As China’s business economy grew, expenses for labor and shipping increased, triggering the company’s plan for an eventual move back to America. Trans-Lux announced it was “getting ahead of the curve” by shifting more of its production to the U.S. on Dec. 7, 2016. On Jan. 6, 2017, it announced its intent to move 100 percent of its manufacturing to the U.S. The company pledged to move the majority, if not all, of its China operations into a leased warehouse in Hazelwood, Mo. The move includes a $650,000 forgivable loan from the city of Hazelwood. Trans-Lux reported the facility will employ 90 people within four years. The company also stated that one of the two operations of the company’s Fair-Play division, housed in a 68,000-square-foot plant in Des Moines, Iowa, was also set to move to Hazelwood.
  • Although telecommunications company Sprint has its roots firmly planted in American soil, 84.94 percent of its shares belong to the Japanese company SoftBank. But that didn’t stop President-elect Donald Trump from negotiating returning jobs to American soil with Masayoshi Son, the billionaire chairman of Sprint and SoftBank’s CEO. After a private meeting on Dec. 7, 2016, the mogul pledged to create 50,000 new American jobs and invest $50 billion in the U.S. On Dec. 28, 2016, Sprint issued a news release announcing its commitment to bring back or create 5,000 American jobs in 2017. In January of 2017, Sprint announced the creation of 100 new jobs at subsidiary Virgin Mobile’s headquarters in Kansas City, Mo., by summer.

I could go on an on listing several hundred companies who — because of tax cuts and the availability of skilled American workers — are moving into or back to the U.S. with their operations. Most all are investing billions of tax savings in expansion, new infrastructure projects, and in new employees and with pay hikes.

And one more note: consider Apple. Apple held $400-$600 Billion dollars of earnings offshore. Why? Because to move that money back into the U.S. meant massive tax obligation on that money. The repatriation deal negotiated by President Trump resulted in Apple (and other similar large companies in similar situations) to not only move that cash to the U.S., but to announce and initiate major investment in growth, expansion, and new manufacturing centers that have already started hiring tens of thousands of Americans. Remember this story:

During a PBS town hall that aired during the 2016 presidential campaign, Obama referenced Trump’s promise to bring back jobs to the United States when talking about manufacturing.

“Well, how exactly are you going to do that? What exactly are you going to do? There’s no answer to it,” Obama said.

“He just says, ‘Well, I’m going to negotiate a better deal.’ Well, what, how exactly are you going to negotiate that? What magic wand do you have? And usually the answer is, he doesn’t have an answer.”

During a speech a days later, the former president bashed one of Trump’s central arguments that international trade and immigration have hurt American voters. He called Trump’s pledge to roll back Wall Street regulations “crazy.”

“That will not help us win,” Obama said of Trump. “That is not going to make your lives better.” 

Many not just on the left, bashed Trump’s commonsense plans to jump-start the American economy and take it back to its hopeful past. But even establishment Republicans laughed at Trump’s promises and predictions. But as was said by Deon Sanders about such things, “It ain’t bragging if you can do it.” He wasn’t referenced the President but his own prowess at being one the greatest NFL receivers of all time.

So How is that Trump Economy doing, Mr. Obama?

The federal government collected record total tax revenues of $252,692,000,000 in October, the first month of fiscal 2019, according to the Monthly Treasury Statement.

This October’s record $252,692,000,000 in total tax collections was $11,414,590,000 more that the federal government collected in October 2017, which was the previous record for federal tax collections in October.

Although the total federal taxes collected this October set a record, the individual income taxes that the federal government collected in October did not set a record. This October, the Treasury collected $128,866,000,000 in individual income taxes. In October 2017, the Treasury collected $131,056,520,000.

Corporation income tax receipts, however, were significantly higher this October than they were in October 2017. This year, the Treasury collected $8,000,000,000 in corporation income taxes in October. Last year, it collected $3,823,060,000.

The $8 billion in corporation income tax revenues the Treasury collected this October is the largest amount since October 2015, when the Treasury collected $10,893,630,000 in corporation income taxes.

Excise taxes and customs duties also increased. In October 2017, the Treasury collected $7,651,250,000 (in constant October 2018 dollars) in excise taxes. This October it collected $14,715,000,000.

In October 2017, the Treasury collected $3,320,700,000 (in constant October 2018 dollars) in customs duties. This October, it collected $5,551,000,000.

Social Security and other payroll taxes also increased slightly rising from $86,137,330,000 last October to $86,553,000,000 this October.

Despite the record tax collections, the government still ran a deficit of $100,491,000,000 for the month—because it spent $353,183,000,000.

That last line is critical: the President does NOT control government spending — Congress does. President Trump initiated policy changes that did not need Congressional action. That is what initiated the massive revenue increases.

Did you notice that individual taxpayers actually paid lower income taxes than in October 2017? That was done by design: “lower taxes on the Middle Class” was Trump’s promise. Mainstream Media, however, lied to Americans and preached for almost two years that the Trump tax cuts reduced taxes for big corporations and raised taxes on the Middle Class. Exactly the opposite is true: taxes on individuals DROPPED $3 Billion in October 2018 while corporate taxes went sky-high — $4.2 Billion more than they paid in 2017!


  1. Trump made powerful economic projections;
  2. Obama poo-poo’ed every Trump projection;
  3. Trump’s GDP projections were “as high as 4%);
  4. Obama said “1% GDP was the ‘new norm’ for the U.S.;
  5. Trump’s economic projections have either played out just as his prediction or have actually exceeded his projections;
  6. Obama is STILL throwing dirt over the President’s economic policies, actually taking personal credit for Trump’s economy;
  7. GDP under Trump is above 3% with experts predicting as high as 5% “IF” the Fed does not raise rates so high as to kickstart inflation.

What will it take for the Left to finally let-up on the President and at least give him some credit for economic improvements. I know those Mainstream Media talking heads think what they tell us is what we will believe and think Americans do not perceive the truth. Sadly, many Americans allow just that to happen. But the truth will out!

Be alert and be cautious: do not swallow anything you hear from anyone in the media. Research and investigate for yourself. There are plenty of trustworthy sources for real news. Ferret them out.

And one more thing: just in case you haven’t heard, the economy is really doing well! And it will continue to do so as long as Democrats in the House do not get stupid with financial policies like trying to raise taxes and roll-back Middle Class tax cuts. Do they think Americans are so stupid as to not sort out the facts from the drivel from the Media?

They really believe that! Shhh…..don’t tell them you know better. They think they’re the only ones that can read a real financial report and understand it. They assume everybody is stupid!

That may be the truth…IN THEIR WORLD! But certainly not in yours.

Keep watching and searching at

U.S. Trade Wars: Real or Perceived?

With all of the talk about tariffs already in place with new ones being assessed against U.S. trade partners, do you know what this is really about? What are tariffs? How do they actually do? What are their results — positive or negative to us regular citizens in the U.S.? Today we answer these questions and give you facts. Just listen in!


How Broken Is It?

“Why reward bad behavior?” Senator John Cornyn (R-TX)  said. “It’s a colossal waste of everybody’s time,” said Sen. John Thune (R-S.D.).

These comments were made by Senators in the debate regarding the House approved budget deal that — once again — HAD to be passed to prevent another government shutdown. One would think these two Republican Senators were referencing all the senseless pork and unnecessary elements included in the bill under consideration. After all, this $500 Billion new law will increase the budget deficit by that exact amount. In other words, the U.S. will be forced to borrow every penny of that which means another half Trillion of debt piled on the already 20 Trillion we owe.

But no, these two GOP leaders were NOT griping about the huge spending in the budget deal. They were attacking Senator Rand Paul (R-KY) who demanded time on the floor to actually discuss the potentially disastrous deficit spending bill that Republicans promised Americans they would NOT do IF Americans in the 2016 election gave the GOP the White House, the House of Representatives, AND the Senate. The American voters did just that. And members of Congress — at least the majority of the House and the majority of the Senate who are Republicans — caved and once again went back on their promise to Americans.

Paul simply wanted to take time to discuss the bill and debate amendments necessary to edit this financial monstrosity under consideration at the time that is now law. Senators Cornyn and Thune were complaining about the time such discussions would waste. NO amendments were debated because none were allowed. After all, it is not acceptable for Americans to expect the well paid Congressionals who are supposed to vote the way their constituents voted in the past election. And those constituents were promised that Republicans — including Thune and Cornyn — were committed to reduce government spending and reverse the cycle of deficit spending that Democrats have consistently pushed on Americans over the last 8 years. Apparently Thune, Cornyn, and a majority of other Republicans feel their obligations to voting constituents does not include doing what they promised during their campaigns. Remember “Send us back to Washington and we’ll repeal Obamacare and slash the budget deficit?” Nothing but lip service.

What’s Next?

The debt limit and DACA — two ADDITIONAL hot topics from the 2016 campaign that carry with them promises given by campaigners that “should” bring the results of fulfilling those promises. Sadly, I doubt that is going to happen.

The debt limit certainly must be raised in a few weeks, regardless of what doing so will do to our children, grandchildren, and their children. Do not be fooled for a moment thinking that $20 Trillion is all the U.S. owes. Congressional members do not discuss their “unfunded” liabilities that total an additional $100 to $200 Trillion dollars. Those include Social Security, Medicare, federal government pensions, and pensions that the federal government “agreed” to guarantee — primarily those of members of “chosen” labor unions. Even though Americans for decades watch as billions of dollars are deducted from paychecks, and even thought those deductions that are earmarked for deposit in a trust fund to hold along with employer matching contributions, Congress decades ago began robbing that trust fund, to borrow those dollars to use for pet project spending. They simply pay those obligations when they come due by borrowing more money. Is that not the most egregious  thing you have ever heard? “Oh, we’ll just apply for and get another credit card and use the new credit card to pay what’s due on this old card.”

I don’t want to scare you, but there is not $200 Trillion dollars in circulation in total on the planet Earth!

What Then?

Sadly for our children and grandchildren there is little good that can happen from this practice. America can keep borrowing money from the Chinese for only so long. When China calls the loans due, America has no way of paying. “What can those we owe do to us?” There is some difference in this situation than a normal similar situation in everyday America. When one defaults on a loan on a car or a mortgage, the bank just seizes the car or the house, sells it, and uses the sale proceeds to payoff the loan. China could indeed declare us in default and make demand for the money, or they could seize the asset pledged to get that loan. But what asset does the U.S. put up for collateral for all those Treasury Notes we give to the Chinese as collateral? The only “there” there to protect the Chinese is the good faith and trust of the United States of America. And how good is that as collateral today?

Until Richard Nixon took the nation off the gold and silver backed currency system, U.S. creditors had something tangible that could be used as REAL collateral for our loans. When that happened, the U.S. dollar became a “fiat currency” — a currency like almost every country in the World that relies on the broad and often non-existent assets that country possesses. Imagine a scenario in which every dollar bill you hold has a dollar worth of gold or silver sitting in a federal vault at Fort Knox. Wouldn’t that make you feel better about that $20 Trillion in debt we now owe along with those unfunded liabilities? But now when the nation runs out of money, someone simply fires up the printing press, prints more dollars and Treasury Notes, sells them for real money, and goes further and further in debt.

But who pays those debts? American citizens, that’s who. It certainly is not our government. The only money it has is the money we pay in taxes. And of course you know we NEVER pay enough in taxes for the government’s needs — or so we are told. That’s how “deficit spending” happens. When the government needs $100 for Social Security, Medicare, foreign aid, rent, or anything at all, there’s not enough on deposit to pay it all. So they simply “create” more money and stick the American taxpayers with the obligation to repay it.

Meanwhile, Congress just spent another $500 billion that we do not have and will not have. They justified it by stating “The military is broke, we need to give more money to under privileged people, (even to illegals who are not supposed to be here in the first place) Congressional and federal employee pay raises, food stamps, and other social programs, so we must borrow that amount of money.”


Is there a way out of all this? Nope. The only way that would/could ever happen is if Congress would stop spending money it does not have — PERIOD! Though thousands of legislators have been elected through the years to do just that, once they get to Washington they cave to the political greed, corruption, and power and simply fall in line. Just like immigrants mean nothing more to Democrats than their votes, these “virgin” legislators are nothing more than a vote to be counted on by the Establishment D.C. swamp creatures. And when it is time to take a vote on spending money — even when everyone knows there is no money in the  bank for the government to spend — all the Establishment House and Senate members pressure all those “virgins” necessary to get enough votes.

I’ll make one of my famous projections here in closing: IF Congress does not immediately develop a process to begin cutting actual government spending and continue with such a process, within 5 years the American economy will crash. Imagine a scenario in which there is no food, no medicine, no transportation, no schools, no utilities at all — all because we have no money, no credit, no ability to make money or pay any person or entity to provide any of these services that we have taken for granted for so long.

It’s happening today! THEY CANNOT EVEN GET TOILET PAPER TODAY IN VENEZUELA! Everything I stated in the sentence above is happening right now in Venezuela, even though their country is rich with oil. There is NO way to get oil out of the ground, processed, and to the marketplace.

5 years is our “grace period.” The rapidly growing giant in the East is gobbling up all that it can to become Earth’s lone Superpower: China. They have already successfully postured their economic structure — both internally and internationally — to be able to quickly un-tether themselves from any goods and services dependency on the U.S. Yes it is true that there is virtually no Middle Class in China and that the Communist Party still controls life there. But those at the top of the heap understand what it is to make the hard decisions necessary to survive. America’s leadership of 535 individuals cannot wait every week to leave their place of work — the Capitol — to take another taxpayer paid vacation.

Nero fiddled while Rome burned. Congress took vacation while America drowned in debt Congress initiated.

Rand Paul got it right: “As an expected vote approached in the Senate to pass the bill with a $500 Billion pricetag, Rand Paul began to throw up roadblocks, demanding a vote on his amendment that would demonstrate how the two-year budget deal breaks past pledges to rein in federal spending. GOP leaders refused to allow him to offer the amendment, arguing that if Paul got an amendment vote, many other senators might want one, too. Paul, in turn, refused to allow the vote to go forward, making use of Senate rules that allow individual senators to slow down proceedings that require the consent of all.

‘I can’t in all good honesty, in all good faith, just look the other way because my party is now complicit in the deficits,’ Paul said on the Senate floor as evening pushed into night. Paul objected after a visibly irritated McConnell tried to move to a vote. Then Paul launched into a lengthy floor speech deriding bipartisan complicity on deficit spending while the country goes ‘on and on and on, finding new wars to fight that make no sense.'”

This may be the Armageddon Nancy Pelosi warned us to watch out for.

And this one ain’t the Democrats’ fault.

2018 State of the Union

Expectations are high in anticipation of the content of President Trump’s first State of the Union Address. It is expected he will recount the positives from the first year of his presidency and detail some of his plans for 2018. Those certainly will begin with the immediate concern: Immigration. But many feel his SOTU 2018 proposals will lean heavily toward infrastructure improvements that are far beyond being a dire need.

Meanwhile politicians on the Left and several on the Right have dug in their heels at President Trump’s projected project spending for DACA that includes $25 Billion for border security including the wall. Shortly dollar projections needed for infrastructure improvement will be revealed. Leaked details explain the plan’s funding will come from a balanced partnership between state and local investment assisted by federal funding. Two people briefed on it said it would likely recommend dividing $200 billion in federal funding over 10 years into four pools of funds. The administration is structuring the plan to encourage $1.35 trillion in state, local and private financing to build and repair the nation’s bridges, highways, waterworks and other infrastructure, one source said. Many Republicans want to use private-sector investment to finance infrastructure projects to avoid increasing the national debt. Democrats believe that government money is necessary to produce such a large package.

Under the Trump plan being shaped, the largest share of the federal money – $100 billion – is expected to go toward cost-sharing projects with local governments, similar to grants. The goal would be to reduce the ratio of federal funding, which often now is 80 percent, by awarding funds only to projects that are able to provide more local funding or leverage private investment. $50 billion would be earmarked for rural projects. Those funds would help governors on projects like roads, broadband access and replacing aging lead pipes. Including a pool for rural infrastructure could also reduce concerns among some Republican senators who fear rural areas may be unable to attract private investments. Twenty-five billion dollars would go toward existing federal infrastructure loan programs that seek to spur private investment.

The final $25 billion would be designated for so-called transformative projects – an effort being dubbed “American Spirit” projects. They could include high-speed trains or the Gateway Tunnel, the stalled proposal to build a new rail connection between New York City and New Jersey. The plan may not deliver any additional federal money than in years past. The proposal could take $200 billion from existing spending plans – although the administration has not yet committed to whether it would come from existing programs or whether the money would be found elsewhere.

We will see and hear specific details of the President’s infrastructure program. It is hoped that Congressional leaders from both sides of the aisle can for the first time under President Trump find common ground for this desperately needed rebuilding of the nation’s infrastructure so poorly treated in previous administrations.

President Obama famously promised massive infrastructure improvements in 2008-2009 as part of his $792 Billion stimulus program. That’s “Billion” with a “B.” In case you forgot, how was that $792 Billion spent under Obama?

  • $36.9 billion for Aid to People Affected by Economic Downturn

  • $48.4 billion for Education

  • $324 million for Accountability

  • $58.4 billion for Aid to State and Local Governments

  • $41.4 billion for Energy

  • $13.1 billion for Science and Technology

  • $18.8 billion for Health Care

  • $870 million for Business

  • $98.3 billion for Transportation and Infrastructure

  • $2.1 billion for Miscellaneous Recovery Act Programs

  • $3 billion for Cash for Clunkers

  • $48.3 billion for Infrastructure (named the “Mainstreet Act”)

  • $26.7 billion for Public Service Jobs

  • $79 billion for Emergency Relief for Families

  • $34 billion for the Extension of Unemployment Benefits

  • $30 billion for Small Businesses in Obama’s Second Round of Stimulus Spending

  • $50 billion for Infrastructure Spending

$196,600,000,000 — that’s $196.6 Billion — was budgeted and funded specifically for infrastructure programs listed above in the Obama Stimulus Program. But only $23.76 Billion was actually spent for infrastructure programs. Where did the rest go? Nobody’s talking.

So What?

Sadly the story above is not an unusual one to come out of Washington D.C. Congress is infamous for wasting taxpayer money. Politicians love to make promises for pet projects and pork programs to attract support from voters. President Obama was masterful at creating programs that voters longed for. He was much more proficient than many of predecessors at getting those projects funded. But sadly his stimulus program left much undone but with all the money spent — all at the expense of taxpayers. That was nothing new.


So will President Trump be different? I’m pretty certain he will. His business past and his ability to plan and implement plans specifically for infrastructure projects gives him a significant advantage over most other politicians. In his private building projects he was famous for beating budgets and completing projects ahead of schedule: saving money and saving time.

If his infrastructure plan looks anything like has been leaked, it will not only be different than most in the past, it if implemented and successful will probably initiate a new type of planning and budgeting. Though any economical success story initiated in D.C. should be welcomed by all, those on the Left will excoriate any such plan. Why? Because it will come from Donald Trump. Forget about any historical success or budgeting plan that makes sense. The only thing that matters to Dems is if it is something proposed by this President, they hate it.

In the shadow of President Obama’s famous Stimulus boondoggle program sometimes called “The Obama Pork-ulus,” any infrastructure or other financial program that meets or beats a Congressional budget line-item projection should be championed. If this plan does work as it is rolled out, American politicians may rail against it. But taxpayers. basking in the first financial triumph of Donald Trump — Tax Reform — will welcome it. And headed into the mid-terms in which the Dems so desperately need to fend off the conservative tide creeping into D.C., another Trump win will create pandemonium on the Left.

But one thing is certain: another financial success for this President will further increase his base of support among voters. If that happens, getting therapy appointments on E. Street in Washington will be impossible for a while. Democrats will have them all.

The Cost of the New Tax Bill

Reducing taxes, rebates, deductions, and write-offs all mean one thing and one thing only: increases to the Budget deficit.

Ever hear of “trickle-down economics?” That is the term given the bill used in the 80’s by President Reagan and Congress to implement massive tax cuts for Americans. The claims by the Reagan Administration were identical to claims we hear from the Trump Administration: tax cuts will mean more consumer spending which interprets into more revenue for companies, which interprets into corporate expansion, which interprets into employee and infrastructure investment, which interprets into more government revenue, etc. Democrats categorically deny the truth in that. And they cry that ANY tax relief for Americans must come from increased federal government borrowing — or deficit increase.

That was the story in the Obama years. And they really worried about the deficit increase, too, right?Hmmmmm…… The deficit doubled in 8 years on their watch. And it started two months after Obama’s inauguration: infrastructure shovel-ready jobs and $800 Billion of American taxpayer money to seed it all. Those shovel-ready jobs, energy company startup loans and loan guarantees, and loans and guarantees to bunches of other companies and individuals handpicked for their “eligibility” by the Obama Administration results? All the money is gone…scant results….$10 Billion of new debt. And these are the folks who want to tell us about government financing. I think not.

Enter Donald Trump.

Crying on the Left

(Watch this video: 2 minutes)

House Minority Leader Nancy Pelosi throwing cold water in the faces of  2 million Americans — a number growing daily — who over 100 U.S. companies so far have announced giving immediate bonuses to because of the new tax law. According to Pelosi: “Crumbs.” She makes no mention that a huge number of these companies in addition to the bonuses are giving pay raises to their rank and file employees — many raising their minimum wage starting point for new adds to $15/per hour.

So what’s the beef? These Americans are thrilled to receive not only such a bonus, but in many cases a pay raise that they will begin seeing in their first February 2018 paycheck — just weeks away. That’s not a good thing? Not according to Pelosi — it’s just “crumbs.”

Let’s face it: in Pelosi’s world, a $1000 bonus and an extra $2,000 a year of “walking around” money is insignificant. But there are very few average Americans — you know those “Middle Class” Americans who Democrats claim they are in Congress specifically to guard against the wicked Conservatives — who feel such bonuses, pay raises, and tax reductions are insignificant.

Here’s the Rub

The real reason those on the Left are so angry about what is happening just two weeks into the life of the new tax law is that all those dollars taxpayers are about to see in pay raises, bonuses and tax decreases is money that was “theirs” last year! Of course that money was never really theirs. But they think it was…and they act like it is.

There are two really big conundrums they are about to face and explain to the American people:

  1. Taxpayers in 2018 — ALL of 2018 — will have more money to keep when they cash their paychecks. And this begins in a couple of weeks while Pelosi and Company are still hoping for the Armageddon she predicted. (The only Armageddon she might see is the war on the Left in November);
  2. The other is when voters awaken to the realization that NOT A SINGLE DEMOCRAT IN THE HOUSE OR SENATE VOTED FOR THE TAX CUTS. How can any politician spin that fact — even as good at spinning are Democrat leaders in the House and Senate — into being good for Americans? Democrats did not give them bonuses, pay raises, or tax cuts. Donald Trump and the G.O.P. did. That’s a hard pill for Democrats to swallow.


Here’s the irony of all this: while the Left has painted corporations and the wealthy as the evildoers who make too much money on the backs of their employees. In addition to the conundrums listed above, they are facing this reality: although they screamed for companies to take responsibility for making too much money, (they point to Wall Street) these companies passing out bonuses and pay raises are NOT taking it from their corporate profits. THEY ARE KEEPING IT TO GIVE TO EMPLOYEES INSTEAD OF SENDING IT TO WASHINGTON D.C. AS TAXES!

Remember when President Obama famously chided company owners saying this: (paraphrased) “You cannot say you’ve built that company or created your income. You didn’t do it. You had to have roads and streets and infrastructure to do it. You didn’t do it. Everybody else built your company.”

That’s the difference between Liberalism and Conservatism.

For me: I’ll take Free Market Capitalism from Conservative ideals over Socialism from Liberals like Obama, Reid, Pelosi, Schumer and Company anytime.

And as the shades go up and the Light of Truth shines, I’m pretty sure the majority of Americans will see and understand which guys are really wearing the white hats.


Do the Tax Cuts Help You?

If you listen to the Liberal Left (including Nancy Pelosi who termed the new tax law as “Armageddon”) you probably believe that only rich Americans will see their taxes cut. Not true.

While it is true that not every American will see their taxes reduced, almost ALL Americans will. The Left in their all-consuming quest to denigrate every potential legislative win for this Administration have already shown how rabid they are about disproving the truths in the new tax law. So why don’t we expose THEIR lies with the TRUTH. That’s a novel approach, right?

Do the American Middle Class receive a tax cut under the new tax law or as Pelosi and othe liberals claim see their tax burden rise?  The Pew Research Center — a truly non-partisan group — state that 71% of Americans fall in the “Middle Class” with an income range of $24,000 to $73,000 for a single person. Keep those numbers in mind when examining the numbers below.

Let’s look at a bunch of different income levels for Americans and give tax reduction facts. There are many lines with tax detail here so don’t be discouraged. Find your income range for factual tax information under the new law:

      • Average salary: $20,570; Current tax: $1,059; New Tax: $857; tax cut: 19.1%
      • Average salary: $21,680; Current tax: $1,226; New Tax : $971; tax cut: 20.8%
      • Average salary: $24,410; Current tax: $1,635; New Tax: $1,299; tax cut: 20.6%
      • Average salary: $25,580; Current tax: $1,811; New Tax: $1,439; tax cut: 20.5%
      • Average salary: $26,790; Current tax: $1,992; New Tax: $1,584; tax cut: 20.5%
      • Average salary: $29,900; Current tax: $2,459; New Tax: $1,958; tax cut: 20.4%
      • Average salary: $31,740; Current tax: $2,735; New Tax: $2,178; tax cut: 20.3%
      • Average salary: $34,580; Current tax: $3,161; New Tax: $2,519; tax cut: 20.3%
      • Average salary: $36,560; Current tax: $3,458; New Tax: $2,757; tax cut: 20.3%
      • Average salary: $37,890; Current tax: $3,645; New Tax: $2,916; tax cut: 20.0%
      • Average salary: $39,900; Current tax: $3,895; New Tax: $3,158; tax cut: 18.9%
      • Average salary: $44,480; Current tax: $4,646; New Tax: $3,707; tax cut: 17.0%
      • Average salary: $47,390; Current tax: $4,825; New Tax: $4,056; tax cut: 15.9%
      • Average salary: $49,770; Current tax: $5,121; New Tax: $4,342; tax cut: 15.2%
      • Average salary: $50,520; Current tax: $5,214; New Tax: $4,432; tax cut: 15.0%
      • Average salary: $53,180; Current tax: $5,753; New Tax: $4,999; tax cut: 13.1%
      • Average salary: $53,990; Current tax: $5,919; New Tax: $5,177; tax cut: 12.5%
      • Average salary: $56,650; Current tax: $6,465; New Tax: $5,763; tax cut: 10.9%
      • Average salary: $59,870; Current tax: $7,126; New Tax: $6,471; tax cut: 9.2%
      • Average salary: $64,890; Current tax: $8,156; New Tax: $7,575; tax cut: 7.1%
      • Average salary: $64,890; Current tax: $8,156; New Tax: $7,575; tax cut: 7.1%
      • Average salary: $66,540; Current tax: $8,495; New Tax: $7,938; tax cut: 6.6%
      • Average salary: $67,760; Current tax: $8,745; New Tax: $8,207; tax cut: 6.2%
      • Average salary: $73,440; Current tax: $9,905; New Tax: $9,296; tax cut: 6.1%
      • Average salary: $76,730; Current tax: $10,571; New Tax: $9,883; tax cut: 6.5%
      • Average salary: $79,340; Current tax: $11,100; New Tax: $10,348; tax cut: 6.8%
      • Average salary: $81,490; Current tax: $11,533; New Tax: $10,730; tax cut: 7.0%
      • Average salary: $85,180; Current tax: $12,262; New Tax: $11,371; tax cut: 7.3%
      • Average salary: $87,220; Current tax: $12,665; New Tax: $11,726; tax cut: 7.4%
      • Average salary: $89,730; Current tax: $13,161; New Tax: $12,162; tax cut: 7.6%
      • Average salary: $91,620; Current tax: $13,534; New Tax: $12,491; tax cut: 7.7%
      • Average salary: $98,620; Current tax: $14,917; New Tax: $13,708; tax cut: 8.1%
      • Average salary: $100,560; Current tax: $15,301; New Tax: $14,045; tax cut: 8.2%
      • Average salary: $102,260; Current tax: $15,637; New Tax: $14,370; tax cut: 8.1%
      • Average salary: $104,610; Current tax: $16,101; New Tax: $14,887; tax cut: 7.5%
      • Average salary: $105,600; Current tax: $16,296; New Tax: $15,105; tax cut: 7.3%
      • Average salary: $108,880; Current tax: $16,944; New Tax: $15,826; tax cut: 6.6%
      • Average salary: $112,010; Current tax: $17,563; New Tax: $16,514; tax cut: 6.0%
      • Average salary: $114,120; Current tax: $17,980; New Tax: $16,978; tax cut: 5.6%
      • Average salary: $116,320; Current tax: $18,414; New Tax: $17,461; tax cut: 5.2%
      • Average salary: $120,270; Current tax: $19,252; New Tax: $18,330; tax cut: 4.8%
      • Average salary: $123,100; Current tax: $19,879; New Tax: $18,952; tax cut: 4.7%
      • Average salary: $139,880; Current tax: $23,591; New Tax: $22,641; tax cut: 4.0%
      • Average salary: $144,140; Current tax: $24,534; New Tax: $23,577; tax cut: 3.9%
      • Average salary$152,770; Current tax$26,439; New Tax: $25,474; tax cut: 3.6%
      • Average salary$152,770; Current tax$26,439; New Tax: $25,474; tax cut: 3.6%
      • Average salary: $173,860; Current tax: $31,056; New Tax: $30,111; tax cut: 3.0%
      • Average salary: $194,350; Current tax: $35,541; New Tax: $35,457; tax cut: 0.2%
      • Average salary: $200,810; Current tax: $36,956; New Tax: $37,351; tax cut: -1.1%
      • Average salary: $228,780; Current tax: $43,078; New Tax: $45,549; tax cut: -5.7%
      • Average salary: $269,600; Current tax: $52,973; New Tax: $58,623; tax cut: -10.7%
    • The estimated federal tax savings are for a single, childless taxpayer who owns a house valued at three times their salary. Statistics verified by BUSINESS INSIDER.

Why the Democrat Dis-information?

Dems cannot afford to allow Americans to believe President Trump and the GOP are doing anything to benefit Americans. Anything Republicans do must always be perceived to be for the wealthy at the expense of the American Middle Class. Why? Democrats have convinced (through their constant daily anti-conservative rhetoric) middle class Americans, minorities and immigrants that Democrats are the only ones who care for them. The exact opposite of that is true. But for Democrats to ever succeed politically they MUST control minority votes. And in the past they have mastered doing so.

Example: compare the income class factual tax information above for each income range of the American middle class. There is no political posturing in those numbers. Yet Democrat leaders shout from the housetops of the theft of middle class income through tax breaks for the wealthy under the new tax law.

Remember this fundamental of the Democrats: the only reason they “champion” lower income and minority segments of the population is for their votes. If that is not true explain why else would they ALL in unison lie about these tax cuts? They think these Americans are too uneducated, too intellectually inferior to understand. And God help those relegated to that “basket of deplorables!”


I urge you to copy and paste the link to this post into a group email to your friends and associates. They too are smart enough to understand the truth just as you do, right? Give them the chance! Paste the link in a Post on your Facebook page.

We need to let everyone we know two things about this: The Democrats from top to bottom are lying about the tax law; and beginning in February all middle class Americans will see their take-home pay increase because of the law. How long ago was the last paycheck take-home increase you saw?

One more thing to hash out in your mind: these cuts (if Congress will leave them alone and make them permanent) will result in government tax revenue growth beyond the amount needed to cover the cost of these tax cuts and to a level that will justify MORE tax relief. How? More of what we are witnessing today: confidence by individuals and companies sufficient for them to spend more because they have more, increase hiring, make new infrastructure investment, expansion to new locations and markets, and give workers salary increases.

With all this you can believe “The Best is Yet to Come!”





Tax Reform is Here

First time in a long time it looks like we have real tax reform….or do we?

Whatever your opinion about the proposed tax reform, if what is proposed or not is dependent on which interpretation you believe. On one hand, Democrats make these claims: the GOP tax proposed tax reform bill will increase taxes on the middle class, take health insurance away from 15 million Americans, will increase taxes on the poor, will cut Medicare and Medicaid, and will explode the deficit, and will make the rich richer. Let’s look at those claims one by one:

The Republican Tax Reform Bill will……
  1. Increase taxes on the Middle Class. False. The standard deduction — used by around two-thirds of households — would be nearly doubled to $12,000 for individuals and $24,000 for married couples. The final package would also double the basic per-child tax credit for families making up to $400,000 a year from $1,000 to $2,000.
  2. Take Health Insurance away from 15 million Americans. False. The repeal of the mandate could result in an estimated 15 million more people without insurance within 10 years, but not because health insurance will be “TAKEN” from them, but because they don’t need or want the insurance and choose to not have it.  The penalty they have paid for not having insurance will be money that goes directly back into their pockets under the GOP tax reform bill. That may potentially lead to federal savings of $338 billion over 10 years.
  3. Will increase taxes on the poor. False. The poor do not pay any taxes at all currently. That should not change. In addition, the bill includes a $2000 direct tax credit for childcare of which $1400 is a direct credit to those who are poor. (That means an actual “refund” — which is a misnomer since they would not pay any taxes from which to receive a literal “refund”)
  4. Will cut Medicare and Medicaid. False. There is NO mention of either Medicare or Medicaid funding changes in the bill. The same block grants from the federal government to states for Medicaid will remain in place. Medicare funding by payroll deductions that has been in place for decades will continue. The reason for this claim by Democrats is the same reason they always raise Medicare and Medicaid (and Social Security) cuts when Republicans promote tax cuts — to scare Americans into believing the Government is more capable of taking care of Americans than Americans themselves, and should therefore surrender hard-earned cash as taxes to the government to fund these and other programs.
  5. Will explode the deficit. False. It should not shock me about the deficit cries from the Left, but it always does. Why? If Democrats were concerned about the ballooning federal deficit, they would not have allowed the previous President in his 8 years in office to double the debt from massive deficits — actually at his departure from the White House eclipsing the total debt amassed by every American president COMBINED since George Washington! Experts do say the deficit will naturally go up for a while, but that will be a temporary thing. The reason? If the U.S. economy continues its climb as it has since Obama’s departure, the natural increase in revenue to the government will more than take care of any deficit. And forecasts based on the financial sector performances in the last year are that government revenue will far surpass the cost of tax reductions.
  6. Will make the rich get richer. False. Let’s be honest: the wealthiest Americans under this plan will receive a slight tax decrease — from 39% to 37%. But think about that for a moment. Who deserves tax cuts — just the middle class? Those wealthiest 30% of Americans pay more than 70% of ALL the taxes paid. Should they not get a break, too? And why are the wealthy better off than others? Most wealthy people build their own wealth by starting businesses and building their value over years. In doing so they EMPLOY PEOPLE WHO ENJOY THE FRUITS OF THOSE BUSINESSES AT THE SAME TIME THE WEALTHY DO.


There are several things that are really made apparent to me in all the hoopla about this tax reform push by President Trump and the GOP. First, why would any member of Congress oppose tax cuts? Think about this: whose money is it? Not theirs. In fact through the IRS, hard working Americans watch as a large portion of their income is actually confiscated by the government. Taxpayers do not voluntarily write checks to Uncle Sam. Taxes are deducted from paychecks or paid by employers and individuals because they are forced to by law. IT’S OUR MONEY…NOT THEIRS!

When Democrats and Republicans alike scream about increasing deficits, they do so to mask what is really going on. They deflect from the facts about deficits. Certainly you know that budget deficits are a product of the government spending more money than what it takes in. There are two ways to increase the bottom line of companies, your household, AND the federal government. The first is what we are watching right now in 2017: the increase of tax revenue, corporate profits, and the income for many companies and individuals. Increasing money coming in is the first way to improve the bottom line. The second is to cut spending.

Any time cutting federal spending is mentioned, Democrats immediately start scaring Americans by saying Republicans because they want spending cuts will cut Medicare and Medicaid, Social Security, Welfare, Disability, insurance for children (CHIPS), etc. They never talk about the one real thing that needs to happen immediately and will balance the budget more effectively and quicker than raising taxes, which is what all Democrats want and tell Americans needs to happen: cutting “GOVERNMENT” spending. How could they do that without cutting services for Americans? Let’s look.

I reported this November 28th this year: “An $85 million loan for a hotel complex in Kabul, a billion dollars in missing equipment for Iraqi forces and a $30,000 grant to stage ‘Doggie Hamlet’ are just a few examples of the ‘Federal Fumbles’ a Republican senator has flagged in a new report on wasteful government spending. The 86-page report from Sen. James Lankford identified $437.6 billion in ‘wasteful and inefficient’ federal spending. ‘We’ve got every variety — from very small to very, very large areas of waste and areas where the federal government just dropped the ball,’ the Oklahoma lawmaker and fiscal hawk reported today.”

$437.6 billion dollars of identified wasted spending by Congress in 2016. This tax reform plan is a 10 year plan. If Congress would follow through on this plan, and while doing so, simply stop the stupid spending every year that always total $400 billion or more, in that 10 year period, the United States bottom line would increase almost $5 trillion dollars!

One other note: I am sick and tired of hearing those on the Left complain about Wall Street banks and investment houses making all these major profits in the stock market this year. Yes, those Wall Street folks are making money, but they don’t own all that stock that is being bought and sold making billions of dollars in doing so. It’s the stock market! That means that stockholders are receiving those profits. Who are those stockholders? Insurance companies investing premiums, 401k’s, Simple IRA’s, Pension funds, Employee retirement funds, and mutual funds. Who owns those? AMERICANS LIKE YOU AND ME! Almost all those stock market profits flow through to you and me. And Democrats don’t like that. Why? Because it’s money they do not control!

It takes more than the three branches of the federal government to make America work and prosper. It takes American people who work hard, pay their fair share in taxes to take care of America’s needs and the needs of those who are unable to take care of themselves. And don’t forget: members of those three branches of government all work for us!



It’s that time of year when Congress gets to work to create a federal budget.  With a new President, all eyes will be watching to see how the Legislature responds to the proposed budget presented by President Trump.  The fur is already flying from the Left, so this week as the House gets down to crafting a budget it appears they will see different strategy for spending Americans’ tax dollars than has been normal in the past.

Almost all Americans watch in disbelief every year as the arguments escalate during the budget process, especially now that our federal debt is approaching $20 trillion, not counting unfunded liability, which many place as high as $75 trillion.  (that is comprised of Medicare, Social Security, government employee retirement benefits, etc.)   We all ask, “Why can’t the government treat their operating budget the same way we treat ours?”  Great question….never a good answer.  It is mystifying how any family, business, or government can possibly look favorably on a budget that always spends more money than  its total income, and does so purposely.  Yet every year Americans watch it happen.  Some economists have somehow found a way to endorse an annual budget deficit.  But all I can think about is how difficult deciding who to pay and who not to pay each month can be.  I guess the fact that Congress does not have to worry about running out of money allows them to sleep at night.  When the Treasury runs dry and they need some more money, they simply borrow some more.  After all, it’s no big deal to them — you and I will pay it back….along with our children, grandchildren, and great grandchildren.

President Trump’s budget proposal when released last week was met with loud boos — certainly from Democrats but there were some Republicans who chimed in.  Why?  Spending government money has for a long time been the holy grail of federal public service.  The mantra is, “get elected, go to Washington, find money to spend whether we need to spend it or not.”  Government budget cuts are actually unheard of, except “fake cuts.”  “Fake cuts?”  You bet.  Haven’t you already heard that President Trump has “cut the budget” for 2017?  First, a President cannot cut or increase a budget.  Congress determines the budget.  The President simply offers a budget.  Yes, there are actual budget cuts in his proposal.  But some of his suggested cuts are not cuts at all.  In fact many are not.  How is that so?  Because of magical budgeting that our government has done for many years:  Baseline Budgeting.

Here’s how Baseline Budgeting works:  last year’s budget items are the starting point.  But for next year, each item has an automatic INCREASE built in.  The baseline budgeting increase is a formula based on this:  the last year’s amount for that particular item is multiplied by the annual inflation rate times that year’s U.S. population growth rate.  Let’s say the 2016 budget amount was $1.00.  For 2017, that same item’s budget amount would be $1.00 x 1.7% (inflation rate) x .73% (population increase amount), or about $1.01.  That doesn’t seem to be much of an increase, but just remember in normal financial years, the U.S. inflation rate runs 3-6%.  The point is in the budget, there is a built in increase for each budget item.  So when cries come complaining about budget cuts, they almost always are untrue, because the complaint is actually about a cut in the automatic INCREASE and not an actual cut from last year’s amount.  I will not accuse government officials of trying to hide money from us, but honestly that is the only explanation I have for using baseline budgeting.  Why not just use actual numbers unless they want to keep spending increases quiet?

In the budget noise every year have you ever heard anyone talking about spending less than our income so we can pay down the $20 trillion debt?  Me either.  One encouragement to me having Donald Trump in the White House is that as a businessman, he understands real budgeting and real cash flow.  He knows firsthand that you cannot borrow your way to financial success, and doing so will literally bankrupt you.  That hold trues for the U.S.  Our debt is not nearly as desirable to debt holders as in previous years.  Don’t be surprised as we begin to see the desire for U.S. Treasury bonds gets less and less.  The Chinese hold most of our debt.  And if/when they feel we will be unable to honor that debt repayment, they’ll head for the hills.  Then what happens:  Bankruptcy.

The Trump budget proposal makes some significant and serious cuts in various government departments and programs.  Without questions those cuts will affect many people.  And that is unfortunate.  While all the arguments fly on Capitol Hill in the next weeks remember that we need to hold our national politicians accountable for spending.  Real budgeting is necessary to get real numbers to enable those officials to make good decisions.  Cuts must happen in D.C. just like they must happen at your house and mine.  Can you see a way to spend about 20% more than you make every year?  The only way that could be sustainable is if there is a favorite uncle in your life that plugs that 20% hole for you.  There aren’t a lot of those uncles around.  And even though the U.S. has an uncle — “Uncle Sam” — all his money comes from your pockets and mine.  Somebody is going to have to pull in the horns and bite some bullets and stop spending.  And it’s got to start this year.