Post & Comment {10.15.19}

This is a new feature I added over the summer where I respond with a brief comment to something I've seen in the news or online.  The headline question I've highlighted.

On Filing Taxes.

Today is the actual "Tax Day".  Today is when we finally put tax season 2018 to bed as it's the day that folks who filed extensions back in April need to finally "fess" up to Uncle Sam.  In this day and age it involves pretty much anybody who's receiving a K-1.  What I'd do is establish two actual tax days.  The first would be in April for anybody filing a 1040ez.  The rest of America I'd give till October 15th.  Nobody, however, is going to listen to me on this so we'll just have to continue muddling along.

The President will be impeached.

Unlikely at this time but the odds may have moved a bit against him in the past week over his erratic decisions in Syria.  

On Hong Kong.

I believe there's only one way that story ends and it will likely be in tears.

On the market's rebound.

Stocks have staged a recovery from early October lows.  This mover has taken us back to the upper middle of the trading range we've been stuck in for months.  Probability would suggest we're going to need something more to power us through the resistance that's been in place a few percentage points higher.  Maybe earnings season will provide that.

On Illinois pension issues.

By one measure the total combined pension debt in Illinois is 203 billion.  My back of the hat calculation makes that about $15,750 for each resident in the state.  The city of Chicago enacted a series of tax hikes in recent years and still saw its pension liabilities rise from $23 billion dollars to $30 billion.  This is another story that likely ends in tears as eventually a combination of inability to find new tax revenue and taxpayer revolt is going to force a change in the system.  From my perch it's only a matter of time.  If you are a state or municipal employee in this state you need to understand this and calculate a likely reduction in future pension benefits or obligations into your financial planning.  This is especially true if you're under 40 right now.

Back Thursday unless events dictate otherwise.