Will High State Taxes Drive High Earner Out of State?

It’s a question that every community has to ask itself at some point. Should the wealthy members of society be taxed at a greater rate than those less wealthy? For some states, the answer is clearly yes. For others, state tax for higher earners comes at a cost. Wealthier residents have one less economically fruitful reason to stay in a state that takes away a greater percentage of their fortune than another. Whereas New York City and California, for instance, are happy to impose high state tax on the rich, other states such as Texas and Tennessee have no state income taxes at all. The question remains, which is the better option? 

The benefits

The benefits of taxing high earners are relatively clear. For starters, the state has more money to spend on the things it prioritises for the community. This may mean more revenue for health care and social security for example. Money to fund these kinds of social benefits has to be drawn from somewhere and it seems reasonable that those with higher incomes should contribute more. After all, the wealthy typically enjoy an abnormally high standard of living. In fact, for many of any given state’s richest inhabitants, increased taxation would barely be felt, such is the magnitude of the incomes enjoyed by top earners. If only others could be so fortunate. With growing national debt and the spectre of domestic and international crisis looming, can states really afford not to tax their higher earners? If the recent recession has taught us anything, surely it’s that the problem of unsustainable profit-seeking combined with federal deficit has to be addressed; and soon. One of the obvious steps to be made is to enforce tax laws that reflect the needs of the times we live in, where untaxed millionaires can no longer avoid contributing to state funds some of their own disproportionate wealth. In this way, governments can make steps towards the redistribution of wealth and the containing any disproportionate influence enjoyed solely as a consequence of their affluence. 

The downsides

The rich know how to stay rich. There is the possibility that by altering state tax, higher earners will simply alter their spending in response, an economic phenomenon known as the Laffer Curve. By changing investment and tax behaviours, revenues can even decrease as a result of upping taxes for the wealthy. In general terms this seems obvious; higher taxes means less money to spend and invest and a slowing of the economy, which in turn can mean additional costs, such as support for any resultant increase in unemployment or homelessness, as changes affect poorer members of society. It is important to stay on top of how taxes might affect you, preferably by being connected to tax preparation services. These kinds of taxes, targeted at higher income brackets, can end up hitting the middle classes – particular during periods of inflation. Furthermore, there is no guarantee government will use any additional money it receives to spend and invest efficiently. In fact, it can risk only acting as providing less incentive to careful government budgeting and cutting at a time when governments should be leading the way. The most obvious set-back is the reaction of the rich themselves. Not only can laws whereby the wealthy are taxed at a higher rate than the poor be seen by some to antagonise class differences – there is the very real possibility that richer inhabitants of the state will simply leave, and move to another area where they are taxed less. Lower taxes means more money, more potential profit and more investment opportunities, opportunities that may taken elsewhere should higher earners feel tax rates are too high in the state they currently reside in. 

What to do?

It certainly is a difficult question. Power comes with wealth, and with wealth should come both certain responsibilities. As is well known, federal debt in the US runs into the trillions, as does its annual spending. What the government takes in per year does not even come close to covering its costs, yet alone its debts. Something has to change, and fast. Some states have opted for increased revenues; taxing the rich to alleviate the economic problem. With movements like Occupy Wall Street gaining ground in America and internationally, it is no secret that the top 1% own between 40 and 50 percent of given wealth. These arguments seem convincing, and merit strong consideration. However, other states have argued that the rich already pay a significant amount of total taxes to federal governments, while lower classes sometimes pay nothing at all. Whether or not higher taxes on the rich can go some way to solving current economic difficulties is something that has to be worked out within each state – but undoubtedly, it’s a conversation each state needs to be taking seriously.

The Bankruptcy Battle - 4 Signs You Need To Declare Bankruptcy

Bankruptcy (Photo credit: LendingMemo)

Bad things can happen to good people. Personal financial difficulties often go hand-in-hand with challenging situations including illness, divorce or the loss of employment. Unfortunately, your creditors will often be unwilling to make payment arrangements that are affordable for you. Remember that no matter how large your debt, you still need to maintain your current living expenses. One of the most common reasons that people file bankruptcy is a loss of income. Not everyone who loses a job will file for bankruptcy. Here are 4 signs that you need to declare bankruptcy.

You Can Not Afford to Pay Your Bills

If you have found yourself in a situation where you are unable to fulfill your financial obligations, it might be a good time to consider declaring bankruptcy. According to Paddon & Yorke Inc, dealing with debt is very stressful. If you are being harassed by creditors who are unwilling to help you negotiate lower or deferred payments, filing bankruptcy papers will bring that harassment to an immediate end. While filing for personal bankruptcy may seem scary, there’s a lot of personal bankruptcy firms in Toronto who can help you. 

You Have Become Ill or Disabled

If you have medical expenses piling up and you are unable to pay them, it might be a good time to declare bankruptcy. This is a very common reason for filing, as explained above. Bankruptcy will help you to get a repayment plan that you can afford, or it may discharge your medical debt completely. And being ill or disabled automatically qualifies you for some government benefits, which may also aid in you reorganizing your finances in such a way that you can afford to work through the payments and get your money back on track. 

Are You Trying to Save Your Home?

If you are at risk of losing your home because you are trying to balance too much debt, this is a sign that you should consider bankruptcy. You can make new payment terms with your mortgage company as a part of the process, while your other debts are discharged. This will give you the financial ability to pay your mortgage and to stay in your home. Losing your house is usually a last-resort thing and means that you’re in some serious trouble, but it also gives you a lot of motivation to help fix your finances. In these situations, a little bit of healthy fear will go a long ways to helping you fix the way you spend and manage your money. 

Do You Live Paycheck to Paycheck?

While many people live paycheck to paycheck, some find it easier than others. If you have found yourself in a situation where you can no longer afford to pay your debts and need a fresh start, this is another sign that you might want to declare bankruptcy. While bankruptcy is not the best answer for everyone, it can help to alleviate financial strain on families struggling to meet day to day needs. Especially if you have a family, living paycheck to paycheck is not an ideal situation. Kids get sick, and other expenses come up that you can’t predict. Getting yourself to a stable financial situation is imperative.

If you have found yourself in any or all of the above situations, you should seriously consider declaring bankruptcy now. It will help you get your life back on track and give your a fresh financial start. Whether you have recently lost your job, faced an illness or injury or are recently divorced, there is no reason that a few bad years should ruin your life forever.

Six Tips to Survive the World of Sales and Get Paid More

It has been said that a good sales person could sell ice cubes to an Eskimo. This is essentially true, in that outstanding selling skills can apply to any sales transaction, even the most challenging ones. 

Sales is a competitive profession, but it can be highly rewarding, too, when helping customers get their needs met and getting paid well for it. Here are some tips to help move to the top of the sales ladder and get that raise in base pay or commission rate: 

Know Your Product

Most companies now offer specialised training for their sales staff. Take advantage of this opportunity to ask questions about what you’ll be selling and get as much background material as possible. 

The more complicated the product, the more information there will be to learn. Try to commit as much to memory as possible, so you can talk easily with your customers about it in a conversational way. 



Carry a binder or briefcase with brochures or fact sheets, usually provided by the employer, and be sure to have a few to leave behind with key clients. Become the expert in your area, beyond your own product. Know the competition, market trends and new developments. 

Talk With Your Clients, Not At Them

To create a winning sales pitch watch a truly good salesperson in action, and you’ll find him or her asking a lot of questions. Beware of being too quick to just offer information or debate when a customer raises a concern. 

Ask the customer what current needs are not being satisfied or what could be done better. Inquire about spending time with your customers outside of the sales pitch to find out what they do on a day-to-day basis. 

This can be extremely informative and help build rapport with your clients. Know how to craft an effective sales pitch so you can sell your product while telling the customers what they want to hear.

Offer Value

Value is the ratio of customer satisfaction to the price of goods or services. Think about what you can offer your customers that goes beyond just selling them something. Maybe it’s helping a busy bookstore owner pull in more business by setting up a reading group or bringing surgeon medical journal articles that are not even related to your product but help the practice nonetheless. 

Try to provide value in every sales encounter. Remember, good salesmanship is a marathon, not a sprint, and maintaining a helpful relationship with your customers will pay off in the end. 

Be Proactive

Check in on your clients from time to time, even if it’s not time for them to buy something. Make sure everything is going well, not just with your products, but with their lives in general. 

Stay on top of weddings, graduations, new baby arrivals, and life’s unfortunate incidents, too, such as illnesses, loss of family members, or downsizing in the workplace. Your clients will remember you as someone who cared more than just about selling, and if you ever get made redundant, you will have a network of people who can offer references and potential future business.

Work for a Good Company

This may sound like an odd sales tip, but people who are happy in their work tend to do a better job, and doing a better job is rewarding personally and financially. Strong salespeople are always in demand, so take some time to find an employer that is the right match for you. 

A smart employer will offer fair remuneration, benefits, training, and mentors to help hone your skills.

Don’t Be Afraid to Be Competitive

Sales is a business where you are almost always competing against someone else. This is not the time to be a shrinking violet. If you work for a good company and believe in your product, you can stand toe-to-toe with the competition with pride. 

Don’t forget to ask for the business. You don’t have to be pushy or forceful, simply ask the customer in a way that feels genuine for you if he or she will be making a purchase or would like a follow up in the near future.

If you maintain a standard of excellence about your work and find an employer to do the same, you will do more than survive in sales. You can thrive and become the model all other salespeople emulate.

Ways to Avert a Financial Meltdown When You Lose Your Job

Getting the devastating news that you are losing your job is never easy. The bills keep coming whether you have a job or not. There's rent to be paid and groceries to feed the family. The first thing to remember is not to panic. There are some smart ways to cope with losing a job that will keep your heart rate down and the family off the street while you look for that next career opportunity.

Apply for Unemployment Insurance Benefits

The Labor Department can be your best friend when you lose a job. Checking out the website of your State's Labor Department or visiting their office is the first thing you need to do to get the checks coming as soon as possible. Companies actually pay into this fund as a mandatory expense designed to protect workers when they are laid off. You owe this money, but you must apply for it to get it.

Make a New Budget

Calculate the money you have in savings and the unemployment funds you are awarded. Then add up your monthly bills, leaving out all unnecessary purchases. Necessities are the only bills you should consider paying.

Turning off cable and other luxury items should be a top priority. Staying away from the mall and other places where it is easy to spend money is also an effective way to keep your cash in hand. Eat at home and stretch your food dollars.

Downgrading your cell phone coverage is another option that some people find painful. When the goal is to make it through a challenging financial period, it is easy to put things into perspective. Paying for the most basic cell phone coverage still gives you the ability to call without all the bells and whistles.

Borrow Money if Necessary

Keeping a roof over your head and the utilities on is not something to be taken lightly. Borrow money if you have to in order to keep your home base safe and secure. Even if you don't have rich relatives, you can still borrow money from several sources. Life insurance policies often have a cash value associated with them that can be withdrawn. The older the policy, the more likely there will be an accessible cash amount.

You can often borrow using your car as a collateral. This type of loan is called a title loan and does not require excellent credit since it is based on the car's value. The reason this is a popular loan is because you can obtain cash within a couple of days with few strings attached. You can even drive your car while you are paying off the loan. TitleMax is a reputable source for a car title loan. 

Summary

Losing a job can be challenging. It is critical that you immediately apply for unemployment insurance and make a new budget, restricting spending for anything but absolute necessities. Borrowing is also an option if you need the money to keep the rent paid or groceries on the table.

Author Bio:
Belinda Collins is a financial writer and has published hundreds of articles on personal finance and business.

Use Price Action Strategies And Signals And Know The Best Time To Trade

Forex trading involves the trading of currencies on different trading platforms. Many factors affect the currency market. And, you want to trade currencies, you need to adopt a host of analysis and strategies to strike the best deal and reap maximum benefit. These strategies help in assessing the market well. 

With these strategies, you can gain a competitive edge over other traders in the global market. Learning these strategies will contribute to your success in trading. By following the simple three methodologies, you can interpret the data well and trade at the appropriate time. Trading a new market can be intimidating at first. That’s why you should try a MT4 demo account from Hantec Markets first – a safe environment to practice and experiment before you commit.

Data at your fingertips

The term price action trading implies to the methodology of laying down all data required for trading on a price chart. There is no scope of confusing data in this procedure. These charts capture data related to global data during the stipulated time. The resistance and support zone, as well as the ranging market, is also depicted in the chart. 



The movement of price in the market, the actions of the brokers in the specific period the time is reflected in the chart. Global development and other economic updates affect the market, but as a trader, you need not analyze those. This news is automatically reflected in the price action chart.

Pin bar strategy

You can follow a few trading patterns to succeed in the Forex market. Pin bar setup is one such price action pattern used for trading. These bars can be generally located in the resistance, and support zones provide accurate structures. 

They indicate the trend and the rejections, as well. These bars can also be used in the context of the trending market. Depending on the movement of price, these bars can be categorized as a bearish or bullish pin bar.

Indicates the market trend

Another strategy or pattern used for Forex trading is fakey strategy. This generally indicates the rejections in the global market. There are times in the foreign exchange market when the market seems to move in one direction only and then turns reverse. These conditions lure amateurs a lot as the experienced traders push the price in the opposite direction. 

Depending on the fakey setup, you can really take some bold steps in the Forex market. The last one is Inside Bar Setup. This can be used as a continuation signal as well as a turning point one. This setup is best used in weekly and daily price charts. It denotes the combination and also the recent trend of the market.

Spot the favorable time

Forex market is dynamic; the information or the trend that it leaves behind is also referred to as footprints. These footprints, also known as clues, help in determining the pattern of the market. Well, these clues are also known as signals of price action trading. 

The best time to enter the market depends on these signals. Along with this signal, another factor is a hot point that also decides this time. This point is also called confluence, which is the intersection of more than two levels. Traders generally look for areas where two or more level conglomerate. These can be assessed with the use of different tools.

These setups and strategies make Forex trading easy and reduce complications. If you have mastered the use of these strategies, then the trading will be really easy for you. When the market is bound by range, then trading in the consolidated is the best option. Following these strategies, you can trade according to the trend of the market. 

From the daily chart, you can spot the time which is most favorable for trading. A daily chart gives the actual depiction of the foreign exchange market. Knowing the basics of price action strategies is essential for successful trading.

Author Bio: Neil Hyden writes blogs on Forex trading. He writes a great deal on strategies and signals used in price action trading and elucidates how it helps in trading as a whole.

Top Tips to Start a New Business

All of us love to lead a comfortable life in all aspects, and most of us used to adopt various tips and techniques to make it smooth by all means. 

People all around us love to start their own businesses rather than work as an employee for others throughout our life. To achieve this target, people plan many tactics in their minds to start a new business. 

But the business world is highly competitive in nature, and ‘Survival of the fittest is the most suitable phrase which can be used to symbolize the happenings in the business sector.

While selecting a new business, you should be very careful and should always make sure that it is going to be profitable in the future. 

If you pay close attention and care to every aspect of your new business, it will surely emerge successfully, and you will come out with flying colors. You need to plan everything from the initial investment, to the marketing, to the packaging of goods you will be selling. For instance, even just a simple idea like using custom stand up pouches for your products can really be useful for the modern entrepreneur.

In each phase of your business, you should be very careful, and even a small flaw from your end will lead to business collapse. There are various tips you can follow to start a new business, and some of the noted ones are mentioned below.

Find the appropriate arena: This is the first and foremost tip you should follow while starting a business of your own. You should try to do what you love. 

First, you should find a business sector which is loved by you. Always remember that you will spend your future with this business, and it should be lovable to you. 

If you are doing business with love and passion, then it will surely bring about success in your life, and you will literally enjoy each and every moment of your business.

Prepare a business plan: This is another tip you should follow while starting a business. You should first create a business plan, and this will surely help you to conduct the business in a much more effective manner. 

You should possess a clear idea about the things which you are going to do, and thus you will climb the stairs of success in a quick way.

Find the startup money: Money plays a crucial role in all areas of our life. If you need to conduct your business effectively, then you should find the proper sum of money which is required to run the business. If you fail to do so, it will drastically affect the effectiveness of your business.

Adopt proper marketing tips: If you want to conduct your business successfully, you should adopt proper marketing techniques. In this arena of science and technology, you should adopt new and innovative ways of marketing. Social Media Marketing is the best way to proclaim your products and services.

Find the right employees: This is another topmost tip that will help you to run the business effectively. Employees play a crucial role in determining the fate of any company, and so you should select them with utmost care. 

You should make sure that the employees are highly sincere in their attitudes, and this is one of the key factors you should consider. Also, your employees should be capable of finishing the work on time, and they should be well proficient in your business area.

All the business ideas mentioned above are highly effective, and they will help you to find success in the business sector efficiently.