SBA More Stringent on the Little Guy Than on Multibillion Dollar Failures?

I read an article the other day that struck me as unfair, and almost anti small business, because of it’s obvious inequalities between the small business owner, which the SBA (Small Business Administration) was set up to help, and the large, “too big to fail” multibillion dollar juggernauts that seems to be given a free pass and forgiven within a year or causing the greatest economic collapse of perhaps our entire lifetime (let’s hope).

I don’t know about you, but as a taxpayer I am outraged that this already seems to have blown over. I remember thinking that they deserved a lot more grilling than they got about their practices, mostly lending practices, which is what got us in this mess, and how they invested in instruments that were high risk, but it seemed that as soon as the spotlight was off, things went back to normal.

Let me explain myself. Have you been reading about how most of the SAME companies that needed taxpayer bailout just a short year and a half ago are now back to giving millions and millions of dollars in bonuses to their employees and top executives? That’s unacceptable when the companies and the small business men that rely on consumers, have to suffer and cut back and not give bonuses, and this whole mess was the banking system’s fault. Shouldn’t they be the ones cutting back on bonuses?

It especially struck me that there seems to be a much larger burden on the small business owner to prove how they are going to return to profitability before they get “bailed out” for severe financial hardship, while these big companies seem to skate by, providing little solid proof or plan of how they plan to turn things around – safely and sustainably.

Warren Buffett even vented his frustrations recently by saying these fat cat banks and financial institution heads should put some of their own money on the line with their business plans, then let’s see how careful they’ll be. We are all suffering now because of the careless greed of people at the top who just wanted to inflate their numbers, get bigger bonus checks, and further their companies without any considerations for how the chips could fall.

Colleges Even Cutting Back – on Financial Aid!

Well, when you hear about the credit crunch, which has been hounding the US economy just as badly as the predecessor to the great fall in financials such as the housing market going bust, and the massive foreclosures and job cuts and downsizing, you don’t generally about other, non private sectors of the economy cutting back as well which are actually going toward the development and improvement of our workforce – meaning our colleges and their students.

But guess what? The credit crisis has even hit colleges hard in their pocketbooks, and they are responding by cutting back once more generous financial aid. Yeah, that’s right, as if college weren’t hard enough to finance for the majority of students who had to finance much of their college education, schools are now being forced to also peel back on some of the financing in the form of student aid, which is very unfortunate.

Not only is it unfortunate because it cuts out some of the students that may have otherwise been able to go to college thanks to financial aid programs, but it may also make students resort to college student credit cards, which as we all know, can be a dangerous thing when you’re in college and always seem to be broke, when a credit card seems like your best option for keeping food on the table and a roof over your head.

Some schools are even dropping loans all together from their financial aid packages, making it even harder for would be students to enroll. This is because of all the financial turmoil in the market, and the government is not able to endow these schools as generously as they could before, forcing some schools to finance in house, and making it much more risky for them from a business stand point.

This is one of the last areas the government should think about scaling back on. This is scary to me. After all, college students are the answer for tomorrow, they are the adults of tomorrow that will be running things when we all get older, and here we are, limiting even further who can and cannot go to college. It just doesn’t seem like it’s a very “land of opportunity” mentality to me, and that’s what we’re supposed to be here in the US, is it not?

When You Have a Bad Experience, Fill Out the Survey

I recently had sort of a bad experience with a bank, and because I’m naturally a nice person and not willing to stir the pot or get people in trouble, I hemmed and hawed about whether to be totally honest about how the experience left me feeling, or sugar coating it, or not doing it at all, when I got a customer satisfaction survey in my email about my whole experience.

I really don’t like to give negative feedback, but sometimes when you are faced with something that can really let a company know how your experience was, and you might prevent the experience from happening to someone else, then it really may be worth your time to vent your frustrations. I gotta say, I was very relieved after filling it out. I felt that I was misled about some things with the process I went through, and then was forced to make a snap decision when we came down the final hours, not knowing for sure if this was going to truly benefit us in the long run or not.

The hardest part about providing feedback like this, is that the person who helped us out and initiated the whole loan process for us was a genuinely nice person. However, in the end, I felt that we were not adequately notified of the final terms of the loan, nor were we aware that we were being charged points to get a lower rate, until we literally had the closing company sitting at our dining room table explaining things to us.

It really enraged me when I thought about it, that I was forced to make a snap decision, knowing that a couple thousand dollars more had been added to our loan balance, and that the bank had made thousands off of us in closing costs and fees and points, and we are totally worthy of paying this bill every month. I realized that is how the banks make so much money through refinancing, at the expense of the consumer.

I guess I felt like I had just had enough, and wasn’t going to take it without offering my true, unapologetic feedback on how I felt about the whole experience. There really is something to be said for filling out these surveys truthfully and honestly, it took a load off my mind to express this since I never formally complained, except to the guy at the closing table, and it wasn’t his fault at all, it was really the fault of the bank and their terms and lack of communication up front.

Filling out customer satisfaction surveys serves more than the purpose of the company figuring out what they can do better, it serves as a place for you to be honest and truthful about how you were left feeling about your experience.

Are We Just Prolonging the Inevitable with the Economy?

When you talk about the economy, there is bound to be discussion on the many infusions that the government has put into the infrastructure that supports the American economy. There is also a lot of praise for helping to stop the US from spiraling out of control into a full on depression, circa early 1900’s, where unemployment was at record highs and destitution became the new way of life for the majority of Americans.

This time, the government hoped to step in to stave off that type of scenario, and it looks like the prevented total and utter destruction fo the American economic infrastructure, but are they really just prolonging the inevitable massive collapse that is a natural byproduct of the spending beyond means and easy credit that happened for so many years?

Many people are thinking so, and they’re starting to come out of the wood work now. One politician who has been vocal about criticizing government’s actions and has been calling for reform for years, and one I happen to like and value some of his ideas, but not all, is Ron Paul. He may seem like somewhat of a curmudgeon, but this guy is bright, and he really does have some ideas that make sense not only about the economy but also about a lot of other socioeconomic issues.

He echoes the sentiment of some very prominent economists when he says that the government is going to have to stop stepping in and artificially propping up the economy with cash infusions and programs, and let us just dwindle down even further, before a true, excruciating recovery can really take place. He thinks that by throwing money at programs and businesses (mostly big corporations, another major problem I have with these programs, they are throwing money at the very institutions whose poor judgment got us into this mess in the first place).

However, since these banks and institutions, including the car industry were “too big to fail” they did not see how they had a choice in the matter, and kept throwing money at the problem.

So, are we just prolonging the inevitable? Should the government just stop putting money into the hands of banks and other big businesses and just let the chips fall where they may? What do you think? Should they take a more laissez fare approach and stop meddling, or do we still need them to step in and make business decisions for the nation?

Haiti’s Problems Make Us Re-Examine Our Own Financial Bumps

I will admit, I tend to obsess over my finances. I think constantly about how we can pay off debt, how my husband and I can maximize our tax benefits, how we can make more money, and how we can secure a future that is free of the financial uncertainty that I have seen so many retired people go through. After all, I’ve seen lots of people, including family and friends, open themselves up for financial ruin after retirement because they didn’t properly prepare, that I’m probably over cautious about this happening for us.

I think about it too much, that’s the conclusion I came to when I heard about Haiti, and continue to hear about the devastation and utter ruin it’s people are experiencing now. Not only the earthquake though, it’s so apparent that Haiti’s citizens live in squalor and go without things we take for granted on a daily basis, their daily existence a constant question and their dailly needs and comforts always in jeopardy. I realize how good I have it, and how good the majority of us have it here to be honest. I know we have our fair share of homelessness and poverty here in America, but overall, compared to third world countries, we have a lot less.

I hope that we can all pull together in some way, no matter how small a donation we can make individually, and help these people out. It’s a wonder to me that even in the grips of the worst economic recession in decades, we have pulled together and donate millions of dollars and hours of aid to help people in need. To me, anyone who says Americans are selfish really don’t know what they’re talking about, or they ignore the good points like this when everyone seems to pull together and forget about their own problems to help people who are in much more desperate straits who don’t have the means for the help they need.

When disaster strikes, a people’s true strength shines through, and that is when you see why people are so resilient, and why there is still good in the world and you shouldn’t sweat the small stuff as much as you do. Of course, I know I say this and I’ll probably continue on to my worry wart ways after this is forgotten, but I like to know that there are moments of clarity lingering on the horizon that give perspective and a sense of gratitude for the blessings in one’s life.

American’s Job Satisfaction Lowest in 30 Years

As I sit here, thinking about my job, and how at the moment I’m not exactly thrilled with it, even though I know I should be ecstatic just to have a job in the current economic climate we find ourselves in, I remember that I’m not alone. In fact, almost half of the Americans surveyed have indicated that their job satisfaction is low right now, and it’s the lowest it’s been in about 30 years.

Even though many things have improved over the years like working conditions, and many people have gotten considerable bumps in pay, increases to benefits (not that there haven’t been decreases too) and other fringe benefits like flexible work scheduled, there still is a general feeling of malaise toward one’s job here that is the pervasive feeling across America.

I think I may know the answer why, actually more than one answer, as I think that it is part of my own personal problem with my job right now as well. Because so many Americans have been laid off and lost their jobs, the rest of us that are left have had to pick up the slack, big time. In an effort to increase productivity and decrease work force, many companies have left the ones that are left with mounds of work, and, you guessed it, overworked and underpaid, the old cliche!

Not only that, but malaise toward one’s job also has a lot to do with the psychology of knowing that there really isn’t all that much out there if you did want to jump ship and try something new or just get a better gig. Just this alone kind of has a reverse psychology effect on us, and we tend to not like our jobs even more, even if we really would have had no intention of leaving it had the economy been better at the time.

I think another reason for dissatisfaction on the job is that many companies have cut back on the nice to have’s so that they can increase their profitability and cut costs. These nice to haves might be generous holiday or performance bonuses, parties, luncheons, freebies, fringe benefits, and regular health and dental benefits. When these little things start to fall by the wayside, employee satisfaction definitely suffers, and I think that all these factors combined created the perfect storm for widespread job dissatisfaction.

“I Do” – the Cheap Way

Well, my long time live in love has proposed, and we have decided to do what we always knew we would, which is to get married in Las Vegas. We are minimum fuss types of people, and Vegas seems to be the way to go to get the job done, so to speak, for a good price and for minimum hassle. Minimum hassle and “to do” is my middle name, and my fiance’s as wellk, so this type of wedding fits us to a tee.

This type of marriage is probably gaining in popularity with the state of the economy as well. We are seeing a lot of people questioning their previously expensive wedding aspirations, since they have lost jobs, gotten hours reduced, seen their 401ks shrink with the tanking of the stock market, and are in generally worse straits than they have been in years. I thought when I first started looking at the wedding chapels on the internet, I half expected to see a lot of gaudiness, neon lights and general bad taste.

Not to be an elitist, but I didn’t want the typical gaudy, drive thru type of wedding that so many people picture when they picture a Vegas marriage. I wanted something tasteful and classy, that I could remember and show off the pictures with pride, not with coy embarrassment or the pretend sort of brash brush off that I knew that’s what it was like and that’s what we “were going for” – a cheesy, neon wedding. No, I wanted something more tasteful – more ME. And Vegas actually has that to offer to it’s patrons who want to get married there.

I found a couple of very tasteful chapels, but more so, for more money of course, there are some higher end hotels that offer a full package, ranging from a couple grand to many thousands of dollars to tie the knot in their chapels, and to also usually have some sort of access to amenities and services such as limousine transportation to the court house to get the marriage license, and things like boutaniers and champagne.

There are also a lot of all inclusive packages that include the minister fee and also the photo packages and DVD’s of your wedding. Really, they will handle everything for you, and all you have to do is cough up the cash. It’s minimum hassle, and you can still have the “wedding of your dreams” but without all the hoopla and twenty grand that you’d spend on a wedding at home. Great deal!

Most Americans Feel Stimulus Isn’t Working

Boy oh boy, if this huge stimulus just plain doesn’t work to jolt our economy back to where it needs to be, or at least starts it back on the right path to recovery, I think that the presidential administration is going to have a lot of unhappy citizen on their hands. But what people have to understand is that no matter what administration was in office right now, they would find this a significant challenge to overcome, and they basically would have to be feeling around in the dark for a solution as well. No one knows EXACTLY what this economy needs, and they have done their best to come up with a plan that they feel will best address the biggest issues we need to overcome as a nation right now.

The sentiment right now is that over fifty percent of Americans that were polled feel that either the stimulus package which poured billions of dollars into the economy in one way or another, is not doing what it should be to the economy, or even that it is making the economy worse. If it’s making the economy worse, well then we are in really bad shape, but I don’t really share that opinion. I think that it is helping, but it is a very slow process unfortunately.

The sentiment amongst the constituents that it’s not working is certainly not helping move the economy along and help along consumer confidence, in and of itself either. Many people even went so far as to say that the almost 800 billion dollars of stimulus money would have been better utilized by returning it to the taxpayers and letting the economy self correct that way by letting people use it to spend and boost the economy, rather than letting the government spend more of that money. Hmm, that actually sounds like a great idea to me, as all that money still must be quite a tidy sum even when divided millions of ways!

Whatever your feeling about the stimuls and whether it’s working, it’s important to keep in mind that it was not designed as a cure all, and that the government is not financial experts, and even if they were, they still wouldn’t know exactly what to do for this situation. We just have to have faith that this great financial system is going to self correct eventually, although it’s hard, that’s what we gotta do for now, is sit and wait it out

But Hundreds of Thousands More to Lose Jobs…

In an addendum to my last “upbeat” report about how I was feeling about the job losses/unemployment report that was last communicated by the federal government’s data gathering, I wanted to state that I don’t want to sound too much like Pollyanna without a good dose of reality. To be realistic, there are thousands more jobs that will still be lost before the year 2009 is out. I know, this is not good news, and certainly my heart goes out to the families that will surely suffer in one form or another because of this. But, my optimism also tells me that other jobs are simultaneously being created.

Take for example my job in particular. I work for a very large company, in a department that doesn’t have too many people, so we’ve been relatively sheltered from any layoff news so far. I thank my lucky stars, God, the spirits, the heavens, or fate, whichever it may be for that, don’t get wrong. But I’m already noticing that our department as a whole is taking on increasing work loads. Is this the result of layoffs in other departments? I don’t know to be honest, but I can tell you that there are a lot of burnt out, overworked people, and that there may be other hirings going on because of that.

You see how things work out sometimes? It’s all cyclical. It’s all happened before, and it will surely happen again, to quote my new favorite show “Battlestar Galactica”. But the triumph of the human spirit will surely shine through every time, and that’s what makes us such a unique society. We always regroup, learn from our mistakes, and learn and move on, and eventually become stronger because we have learned from those mistakes. It all serves some higher purpose, I have to believe, otherwise this would be pointless.

Idea to Increase Small Business Insurance Contributions

This idea that Obama has about increasing the amount that small businesses pay in health insurance premiums for their employees, I’m afraid to say, is not such a good one. Many small businesses already run a pretty tight ship, and making it mandatory that they pay for more health insurance for their employees is definitely going to put some of them in hot water when it comes to how they have to rearrange their budgets in order to meet with these new stringent requirements the Obama administrations wants to set forth in order to help insure more Americans.

I think Obama’s desire to improve the standard of healthcare in the US is a very well intentioned one, but I also think that it needs a whole lot of work, because the way they have it now, I just foresee this really putting the small business owner under the gun. Do you know how expensive it is even for large, more resourced corporations to pay for their employee’s insurance benefits? Well, imagine putting those same types of proportioned burdens on the small business, and I think we may see a gradual dying off of small business, which is part of what makes American such a land of opportunity, and along with it part of the spirit of capitalism will die with it too.

For this reason and several others, mostly the astronomical costs that will incur from this great new plan (I am being a tad facetious), Obama’s health plan is meeting with a lot of opposition from the GOP, namely because of the costs, but also because of the component of punishing the small business owner and making them pay significantly more for health benefits than the larger corporations do. Obama has cited some study that says this must happen, but the details on this study are hazy at best.

I’ve talked to several people in the health profession, and they are deadset against this health reform, saying that it will only make things worse, and I have to believe that since they work in the industry, they kind of know what they are talking about, so I’ve definitely given