Have you ever received a threatening message? Here’s one to take a look at. www.roadwaytoprosperity.com  

Straight Talk from Al Jacobs

 

AN OMINOUS WARNING

 

The letter I just received from Property Profile in Glendora, CA is harsh. The notice on the envelope says “WARNING: $2,000 fine, 5 years imprisonment, or both for any person interfering or obstructing with delivery of this letter U.S. Mail TTT.18.Code”

 The message inside is equally unsettling. “RECORDED DEED NOTICE – Why you need a copy of your Current Grant Deed and Property Assessment Profile? Property Profile recommends that all CA homeowners obtain a copy of their Current Grant Deed and Property Assessment Profile. These documents can provide evidence that the property at [address], was in fact transferred and has interest to the individual(s) [name].”

 And finally, as expected, the pitch: “To obtain a copy of your Property Assessment Profile and Complimentary Grant Deed, Please detach and return in the enclosed envelope with your processing fee of $86.00. You will receive your documents and report within 21 business days. Se habla español.”

 For those of you who aren’t aware, all Grant Deeds are recorded documents whose existence can be verified free of charge. As for a Property Assessment Profile, it can be any scrap of paper the issuing firm chooses it to be. Needless to say, what a subscriber will pay $86 to receive is something of no particular value and which Property Profile produces for next to nothing. Since the law requires the sender to disclose that a grant deed can be obtained from the County Recorder – and they do so in a box at the top of the notice – they can’t be charged with petty theft. As for what they might be accused of, you’re welcome to make that decision.

 A final comment: You may have noticed some literary and punctuation errors in the text. This is normal when composed by someone whose native language is not English – which is certainly the case. No doubt the persons likely to be duped by this scam are immigrant homeowners, with little or no sophistication or understanding of the workings of our society and who are easily intimidated. It’s sad, though not unusual, that first generation residents – documented or otherwise – are systematically preyed upon by members of their own community.

  

Al Jacobs, a professional investor for nearly a half-

century, issues weekly financial articles in which he

shares his financial knowledge and experience.

You may view them on http://www.roadwaytoprosperity.com

 

Straight Talk from Al Jacobs

 

THE JOY OF PAYING TAXES

 

The headline is certainly provocative: “One nation, undertaxed.” The creator of this article is Edward Kleinbard, law professor at the University of Southern California. Having been named as one of several 2016 International Tax Persons of the year by the nonpartisan policy organization Tax Analysts, and author of We Are Better Than This: How Government Should Spend Our Money, he’s no stranger to taxation. Whether or not he’s a friend of the taxpayer is another matter.

 

There are those among us who believe taxes should be minimized. This is an outgrowth of a belief the earner of income is a better judge of who should decide how the earned income should be spent than some self-anointed government agency. Evidently Professor Kleinbard does not share this belief, and he does not equivocate on this view. He bluntly states: “There is no law of economics that says record-low tax revenues are the prerequisite to a thriving economy. What we really need, like it or not, are more tax revenues to fulfill our promises to support our fellow citizens.”

 

The impetus of this article was clearly recent federal tax legislation, publicized as generating massive tax cuts, but in reality involving modest reductions. As one example, the prior top income tax rate was 39.6%, applicable to income above $480,000. This rate is now reduced to 37% and raised to income above $600,000. Professor Kleinbard contends the top rate should be no less than 40% and assessed on income as low as $250,000. His justification: “The new tax act’s reduction was an irrational gift to the most affluent Americans that undermined the principal of shared sacrifice.” Perhaps my understanding of the English language is defective, but I cannot understand how seizing the property of one group of citizens and bestowing it arbitrarily on another group constitutes “the principal of shared sacrifice.” Shared sacrifice would seem to be a voluntary gesture; the Professor’s method strikes me as what it actually is: confiscation.

 

A final thought: Since the advent of the income tax in 1913, which levied a 1% tax on net personal income over $3,000 and a 6% surtax above $500,000, overall taxes have gone only one way – up. It doesn’t matter who the president is or which political party controls, because it’s not a contest involving the right and left, or between liberals and conservatives. Rather, it’s the perennial struggle between those on the outside paying the money versus those on the inside collecting it. Those in charge always win.

 

 

 

Al Jacobs, a professional investor for nearly a half-

century, issues weekly financial articles in which he

shares his financial knowledge and experience.

You may view them on http://www.roadwaytoprosperity.com

Straight Talk from Al Jacobs

 

 

THE INHUMANITY OF GAS

 

The report is surreal: “Dozens killed in poison gas attack on Damascus suburb. Rescue workers found 42 who suffocated in their homes.” The U.S. State Department issues a statement: “These reports are horrifying and demand an immediate response by the international community.” Trump tweets Assad of “… a big price to pay.”

 

During a prior war, the United Kingdom, in November 1943, conducted a series of aerial bombings to residential areas of Berlin, igniting fires and leaving 4,000 killed, 10,000 injured and 450,000 made homeless. The crews of the 440 Avro Lancasters were afterward commended for their brave service and devotion to duty.

 

I recall the U.S Army Air Corps firebombing of Tokyo in March 1945, where our B-29 raid resulted in the destruction of 16 square miles of the city. The raid, conducted by then-Major General Curtis LeMay, dropped a half-million cylinders of napalm and white phosphorus which turned the city into a firestorm and an estimated 100,000 civilian deaths. As LeMay later said, “Killing Japanese didn’t bother me very much.” He later served as commander of the Strategic Air Command and afterward promoted to Chief of Staff of the U.S. Air Force.

 

A momentous day in history occurred on August 6, 1945, when the B-29 bomber Enola Gay, flown by Colonel Paul W. Tibbets, dropped an atomic bomb on the city of Hiroshima, Japan. The city was mostly destroyed and tens of thousands of its inhabitants died. Those that survived suffered from every conceivable malady, with radiation sickness causing lingering illness and death over the years. The creators of this new weapon were lauded for their ingenuity; Colonel Tibbits received a promotion to brigadier general. After his retirement he became president of Executive Jet Aviation.

 

On June 19, 1879, General William Tecumseh Sherman, addressing the graduation class of Michigan Military Academy, said: “You don’t know the horrible aspects of war. I’ve been through two wars and I know. I’ve seen cities and homes in ashes. I’ve seen thousands of men lying on the ground, their dead faces looking up at the skies. I tell you, war is Hell!”

 

And with that, I’ll pose a question for which I have no answer. What is it about a wartime gassing that is somehow less commendable than a wartime firebombing or a wartime atomic attack?

 

Al Jacobs, a professional investor for nearly a half-

century, issues weekly financial articles in which he

shares his financial knowledge and experience.

 

                        You may view them on http://www.roadwaytoprosperity.com

Straight Talk from Al Jacobs

 

THREE TIPS FOR THE ASPIRING HOMEOWNER

 

Home ownership, a vital element in the American dream, is a blessing.  It also contains the seeds of financial misfortune. To help aspiring homeowners avoid a few common errors, I want to pass on three tips.

 

1.  Pick the right area. The most overused phrase in real estate is: “The three most important factors in real estate are location, location, and location,” but rarely does advice follow its utterance. This means, in practical terms, you select your home in an area exhibiting pride of ownership, few if any slum properties, an absence of nearby vacant commercial spaces, neighborhood schools with high performance ratings, and a community with a low crime rate. What you cannot note by inspection is available from many sources. And as to the house itself, though it’s nice to get a pretty one, location is the main concern. I’ve always operated on the premise the worst house in the best neighborhood beats the best house in the worst neighborhood.

 

2.  Don’t stretch beyond your means. Normally tenants tend to rent less expensive residences than they can afford, whereas homebuyers reach for the moon – and beyond. Perhaps it’s a psychological acknowledgement of intentions: temporary vs. permanent. I advocate you not commit to obligations which may strain your limits. It’s more sensible you obligate yourself to less than you think you can handle. Simply put: Choose a cheaper home than you can afford.

 

3.  Be slow to remodel.  Now that you’re in your home, you see the things you want to change.  To this I say, do what you must for simple habitability, but otherwise, go slowly.  It’s preferable you live in a structure awhile to get a feel of what you really want.  A home will grow on you with time, and ideas concocted during your first week of occupancy often seem outlandish by the third month.  It’s best you spend the first six months in planning, measuring, sketching, collecting prices, inspecting other homes and models, and enthusiastically fantasizing.  At the end of that time you may be ready to proceed.

 

A final thought: If you purchase your home in a favorable location, you may expect it to appreciate nicely over the years. For many persons this can be the basis of a prosperity which makes your senior years far more livable than otherwise.

 

 

Al Jacobs, a professional investor for nearly a half-

century, issues weekly financial articles in which he

shares his financial knowledge and experience.

You may view them on http://www.roadwaytoprosperity.com