Are you guys hunkering down money wise?

[DocHeb]

That has long been the case, and that is why so many truly wealthy people live down there.

Truly wealthy people live in Florida since there is no income tax.

 

[SnowRidge]

Truly wealthy people live in Florida since there is no income tax.

There are plenty of other states with no income tax. None provide the asset protection of owning an expensive home in Florida. Even large estates qualify, with no dollar limit. The state has talked about changing the law. Some lawmakers see it as an embarrassment, citing among other things people like OJ moving there for asset protection reasons. To my knowledge, nothing has changed.

 

[dooleysm]

There are plenty of other states with no income tax. None provide the asset protection of owning an expensive home in Florida. Even large estates qualify, with no dollar limit. The state has talked about changing the law. Some lawmakers see it as an embarrassment, citing among other things people like OJ moving there for asset protection reasons. To my knowledge, nothing has changed.

I'd say the year-round warm weather is a big part of the reason too.

 

[chrpmaster]

Just as an example I have a friend who works for a small company. Because the stock market tanked the pension fund lost value and the owners have to make up the difference. If the owners don't have the cash they have to borrow the money. Problem is that the bank doesn't want the lend money right now. So what do they do? Worst case is they have to declare bankruptcy. Then even though the company has work all those folks are out of jobs. So it looks like to me you could have a fully operational company taken down by the economy.

Chris

If it is a defined benefit pension plan the company has several years to make up any shortfall. Lots of much bigger companies have carried short falls in their pensions for decades.

 

[riptides]

If it is a defined benefit pension plan the company has several years to make up any shortfall. Lots of much bigger companies have carried short falls in their pensions for decades.

Ain't THAT the truth. And another lesser known fact, some corporations actually raid the pension plans for executive compensation packages. Which ARE still going on NOW. Incredible that some are getting millions in this current economic climate.

Someone should have frozen that loop hole along with the short sale.....

Argh!

 

[MossRoad]

Welcome to Florida... Heaven's waiting room.

 

[kenmac]

I'd say the year-round warm weather is a big part of the reason too.

That depends on what part of FL. you live. My dad lives in FL. & it gets cold there. But, when it's hot,,,,,,, It's real hot !

 

[LMTC]

Ain't THAT the truth. And another lesser known fact, some corporations actually raid the pension plans for executive compensation packages. Which ARE still going on NOW. Incredible that some are getting millions in this current economic climate.

Someone should have frozen that loop hole along with the short sale.....

Argh!

Not saying it isn't so, but it's not a fact I've seen. Can you direct us to some documentation of a corporation raiding money that was in a pension plan for executive compensation packages? Thanks.

 

[riptides]

Not saying it isn't so, but it's not a fact I've seen. Can you direct us to some documentation of a corporation raiding money that was in a pension plan for executive compensation packages? Thanks.

Here is a good one, the SEC web site can also give you details if you have enough time to dig.

Package

 

[Reg]

Yes, if your source of income is secure you are probably OK.
Understanding how secure your source of income is has become difficult.
How the state of the economy affects your employer's income or very existence could be very difficult to predict.

I used to grin at references to certain areas of the country as having "Yard sale based economies".
The current "financial crisis" seems to be a result of a "credit crisis".
My interpretation of the doublespeak is that too many people already have too much debt, but the lending institutions (polite euphemism for the larger and more formal loan sharks) can't keep their ponzi schemes going without more new loans (debt) and they are having a LOT of trouble selling off the old bad loans. The politicos are telling us that if credit seizes up the economy grinds to a halt, so is this a "debt based economy" ?

My limited understanding of biz 101 is that you need start up loans to get going, you pay those back out of profits, you DON'T stay in debt for payroll and fast moving inventory - capital equipment and premises maybe, but not day to day operating costs.

Olde tyme saying; "Ya can't borrow yer way out of debt".

Me ?
House paid off a few years early by rounding up my monthly payments to reduce capital in the early years.
NEVER re-financed, so I didn't get to "invest" in the stock market crash of '87, I havn't built a new wing on the house either.
Credit card mostly.
Although I carry quite a bit of cash around I've learned to CARRY it around without THROWING it around (-:
The credit card is cleared every month.
That is one, just ONE credit card.
BTW, tractor-CA$H
Implements-CA$H
Motorcycle-CA$H
Truck-CA$H
Trailers(3)-CA$H
Get the pattern ?