Archive for August, 2008

Self Publishing and Self Realization and The Depression Word

Thursday, August 21st, 2008

I have just finished the edit for my next book, Practical Money Making-Surviving Recession, Layoffs, Credit Problems, Generating Passive Income Streams, Working Full Time or Part Time and Retirement.  As I start the post production process and the cover generation I realized that I used the “D” word in the book.

That’s right, I said it.  Depression.

Back in our great-grandfathers or for some of us, grandfathers day, in the 1920s, there was what they called the Great Depression.  The problem back then was that banks had over-extended themselves because of bad investments in the stock market and speculation.  In this day and age, we are hearing daily of more and more financial problems due to the housing bubble popping.

This is the time to start looking to how to make money during a depression.  It may not be another Great Depression but with inflation rising, interest rates flat, Home Equity loans frozen and the next shoe to drop will be credit card companies freezing lines, it is time to get income and expectations in line for the immediate future.

What will sell?  Well, I suspect my book will have brisk sales if I keep the price at the market friendly $15-20 range (it will probably go for $15 retail before online bookstore discounting) and people continue to look for extra ways to make money, invest their money and work to get out of debt. The price point for non-fiction is generally between $12-25 depending on the book and content.

Did I have some other self-realizations? Of course! Let me share my realizations with you, dear reader.

Look for businesses you can start or continue that will help people save money, something that they can do that will save their homes, put food on their plates.  This is going to be a rough ride for all of us and if the economic forecasts look true, it may be two to four years for the U.S. to get out of the slump.

In terms of investments, I would watch very carefully what I would be putting my money into because for at least the next few months, there is going to be turmoil with looming military conflicts on the Russian border, uncertainty over the Presidential elections and the bottom of the financial markets meltdown may not be over yet. I invite you to do your own financial research and come to your own conclusions.

Here is an important reminder to people starting a business in the coming months or years. People will still pay for something that they think they will need, so marketing will still have some affect. The reality is that they will not be able to go into debt anymore to buy the item they want so they will have to wait patiently and longingly like a kid looking at a new video game in a store window.

From what I understand, in some of the hotels in Macau, the island off of China, the big casinos do get a lot of people but a lot of them just come over with their bagged lunch and sit and look at the slot machines and gaming tables. That is shockingly similar to state line casinos here in the United States between California and Nevada. It means that just because there is something marketed attractively to a customer – and there is nothing that screams marketing like a slot machine – that doesn’t mean that they will have the money to use it.

Maybe they need to have lower cost slot machines or table limits at some of the casinos in Macau to accommodate their poorer players. Maybe the casino builders and owners are discovering that even high rollers and whales go through their own financial depression and not have enough money to go play at the casinos. Time will tell and for now, that is outside of my pay grade, folks.

The take away from this is that personal depression may result from financial depression but if you are aware of what is happening you can plan accordingly for it by adjusting your income expectations and turn your depression into a great self-realization impression!

Good luck to you and may you be profitable, happy, healthy and safe in all your ventures.

Part of all my book proceeds go to research finding a cure for Rett Syndrom and reversal of symptoms.

Kim Greenblatt

Questions or comments? Let me know about them! Thanks for taking the time to visit and for more information or to get back to the beginning of the blog, go here.

Kim Greenblatt, in his blog, profitable, dares to use the “D” word for the next few years financially-depression and changes it into a self-realization impression!

Make Sure That Your Business Plans All Come Together

Wednesday, August 20th, 2008

If you have taken the time to write your business plan, prepare for your business, consider what type of business you want, you have figured out what tax issues you have for the state you live in, and now what?

Well, if things are going well, you should have your contingency plan in place and you shouldn’t be taking any gambles that you don’t have to. So, you start looking at what is going on day to day and what you can do to improve it. Make sure that your credit is in good shape because if you plan on growing at any time in the future, you may need to borrow money.

If you have enough money of your own, great. Most people though, even with money, find that their businesses need more than they generally have.

Don’t be locked in your plans. The marketplace changes now faster than ever. If you need to, plan with your staff, partners or stockholders for changes to stay profitable. If you find that you are losing money, it is time to step back and see if there is something that you change in your business.

Make sure that your insurance and bonds are current if you have them or need them.

Ask your customers how you are doing. They won’t be bashful. If you are doing a great job, get their testimonials. If not, see what you can do to improve your business and you will watch everything come together!

If you employ staff, ask them for feedback and try not to take it personally otherwise they will lie to you. If you have a bad rapport with your staff, think about changing it. If there are people who are working for you who really aren’t working for you – meaning that they are lazy, not taking their work seriously, you need to think about replacing them. There are plenty of people looking for work right now and there are a lot of good workers out there.

So keep your plans in order, make sure you are acting on them and review them. Your plans for your business will help materialize what your business has planned for you!

Part of all my book proceeds go to research finding a cure for Rett Syndrom and reversal of symptoms.

Kim Greenblatt

Questions or comments? Let me know about them! Thanks for taking the time to visit and for more information or to get back to the beginning of the blog, go here.

Kim Greenblatt is reminding you at his blog, profitable, to have all your plans in order so they can come together for you!

Project Management and Cost Cutting

Tuesday, August 19th, 2008

For a lot of companies, there have been money management issues of Olympic proportions.  One of the best things that a project manager can do in terms of cost cutting is to review his or her project and take stock of any things that can be trimmed from the project in terms of cost.

Generally two things happen if there is a downcycle in a company with a project:

1.  The scope of the project gets reduced.

2.  The project gets cancelled completely.

If this is your only project and it looks like you won’t be reassigned to any new projects what can you do?

If the company wants to keep the project going, you will need to be able start finding major places to cut costs.  Plan on working at a lower level of spending than you were before.  It may not save the project but it may keep it going for awhile longer in the hopes that the economy will change, that there may be a cash infusion or something will happen to change circumstances. 

If the project is going to get cancelled, there isn’t much you can do about it except let your staff know as soon as management lets you know (and they give you permission to tell them).  Most employees keep their ear to the ground at a company and in these trying times can tell if there are money problems.

Try to make sure that your resume is current and the best of luck to you.  If you have been through these business cycles before, you can see that they follow the expansion and contractions of business spending in a country.  Ultimately, if people are living somewhere, things will get developed again.  Whether the project is for building a factory or writing the new web portal, eventually the work that will not get done now may end up getting done somewhere and sometime else.

It is up to you to make sure you are around it be able to do it though if you want to. If the work doesn’t come back, like the Olympics, if you have trained and have discipline, there is a chance for medal somewhere else later on.

Part of all my book proceeds go to research finding a cure for Rett Syndrom and reversal of symptoms.

Kim Greenblatt

Questions or comments? Let me know about them! Thanks for taking the time to visit and for more information or to get back to the beginning of the blog, go here.

Kim Greenblatt talks about Project Management and the two types of cost cutting in his blog, profitable.

He Who Pays The Piper Calls The Tune

Monday, August 18th, 2008

I received an interesting e-mail asking me about changing products to suit customer’s needs. I am all for it. The old cliche, “He Who Pays The Piper Calls The Tune”, should be the watchword of the future but sadly, some people just don’t get to pick the music they want to. Consider that if you buy a computer, the operating system that ships with it may have bugs. It is not a final product. That may not mean it is a bad product – far from it, but it is the voices of the people who pay for the machines and software that complain and they should get what they want.

Voting with your pocketbook is one of the greatest strengths in the international capitalistic market that we are in. Oil prices have dropped because people have dialed back on their driving in the United States and decided to save their money. When the want to spend money, they want to try and do it on their own terms. When it came to gasoline, however, it had to hit a market hurt point where people could just not afford to pay the high prices. Well, extra oil has been pumped and there is at least (for now) a little more out there. Basic economics of supply and demand kick in here.

But what about if you are entertainment for somebody’s wedding? What if the groom, who is writing the check for your band, asks to sit in on the drums? What do you do? If you are a shrewd business person as well as musician, you ask the drummer to sit out a set and let the groom sit in.

Putting ego aside you will be part of a lot of pictures and possibly the band to be called for all the social functions for this family. One would think this is common sense in business but so many individuals and companies like to force upon their customers what they want them to have. In some businesses, it may make no difference but if it is something that you or I can modify, sure, let me try and change it up.

The companies that offer the most versatility will make more money in the long run because people will pay for what they want. People will find money to spend for things they want. Isn’t it a great idea then to give the customer exactly what they want if you can? Remember, if you don’t, there is another website, blog or store down the block waiting to fill in the niche for you!

Part of all my book proceeds go to research finding a cure for Rett Syndrom and reversal of symptoms.

Kim Greenblatt

Questions or comments? Let me know about them! Thanks for taking the time to visit and for more information or to get back to the beginning of the blog, go here.

Kim Greenblatt, in his blog, profitable, reminds people providing products or services that he (or she) who pays the piper, calls the tune.

Star Wars victorious over Tropic Thunder?

Sunday, August 17th, 2008

As much as I wanted to go see Tropic Thunder, I was too tired from working the other day.  It is on hold as much due to my exhaustion as to my son’s desire to see the Star Wars movie instead.  So, the upshot on this is pretty much the way I expected it to go.  Normally I see every movie but in this case because of work obligations and time schedules, I have to pick and choose my movies.  Because Tropic Thunder chose a mid week opening such as Wed to try and get more box office money (and I am guessing to get a jump on Clone Wars) they may have had their shot at the golden ticket and it may be over.

I still would like to see the movie but I am not going out of my way to and it may be that I might forget about it because of the dearth of other movies coming out that I want to see.  That is a problem with the movie blockbuster model.  You have to make your money fast before the next contender zooms up on you and tries to get all the buzz and movie ticket money.

From what I read, Tropic Thunder had a decent first night opening of six million dollars or something close to that.  Whether it is good to enough of a start, I am going to hold off judgment since I think that the Star Wars fans are going to bury anything that hits the movies this weekend. 

If you have a good brand like Star Wars, you create your own buzz with the fans and certainly with a thirty plus year pedigree of marketing and product, I think any movie, controversial or not will not fare well against the Clone Wars.    So how was Clone Wars?

It was action packed, non-stop fun and adventure.  I hope it does well in the box office! 

May the Force and making money be with you!

Kim Greenblatt

 

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Comments or questions? Post them below. Comments may be closed 7-10 days later so get your thoughts heard now!

Kim Greenblatt, in his blog, profitable, thinks that Clone Wars will be the Death Star for Tropic Thunder.

Was Your Trip To The Olympic Games Tax Deductible?

Saturday, August 16th, 2008

I received one email asking if a person went to China to see the Summer Games if their trip would be considered a tax deduction. No, it would not. The basic rule of thumb for business is that the travel has to be related to business. It has to be documented. The time, date and duration of the trip as well as the intent, are all required pieces of information that should be tracked. If you can, make notes as to the result of the meeting or business seminar. If the meeting resulted in you getting the sale, great.

In case you are audited by the IRS or your respective state tax agency, you will need to be able to substantiate the deductions that you are claiming.

Now, if as part of the trip you decided to go see a swimming event and were fortunate enough to get tickets, you could see the event but not write anything off. If the nature of your trip was predominantly to go to have a business meeting, no problem. The Olympics were a one day side trip.

If, however, you are one of the millions of people who have gone to China I hope that you are giving the IRS and the state agencies some credit. Do you think that they aren’t aware that the Olympics are going on?

What do you think the chances are that they will go ahead and really burrow to see if you actually had a business trip or were just trying to run a fast one on them if you are claiming a trip to China from July thru August? If you thought that your chances were pretty good, you win the gold medal for avoiding audits. Please let common sense prevail. It will save you hassles in the long run.

For more information check out the Internal Revenue Service website and search on business deductions. You might find Publication 463, Travel, Entertainment, Gift and Car Expenses, to be of some interest. I also touch on some good ideas in my tax book, “Bad Tax Idea, Good Tax Idea“. Tax laws change so it pays to stay current on what can be deducted for your business expenses. Consult a tax professional if you don’t like doing the research yourself.

If you are parents or a relative of an Olympic contender, congratulations to you and your relative! Think of the trip as an adventure, supporting your loved one and I hope you are having (or had) the time of your life! To all my domestic and international readers, please keep the spirit of competition on a friendly level and thanks for reading.

Kim Greenblatt

To get back to the main blog page please click here.

Comments or questions? Post them below. Comments may be closed 7-10 days later so get your thoughts heard now!

You are reading Kim Greenblatt’s profitable blog as he answers the question, are trips to the Olympic Games a tax deduction?

Do We Need Therapy When We Do Our Taxes or Just Forgiveness?

Friday, August 15th, 2008

When I prepared taxes for one lady several years ago, she was in need of getting relief from having some credit card debt removed. She received from the credit card companies some 1099-Cs. She was worried because the forgiven debt was going to look like income.

“What should I do?” she asked.

“Taxpayers may qualify for one of several exclusions that allow them to reduce taxable income from canceled debts.” I said. ” If the exclusions apply, they must file an IRS form 982 in addition to the 1099-C. The exclusions include debts discharged during bankruptcy and debts of consumers who are insolvent (meaning their liabilities exceed their assets) prior to the cancellation of the debt. However, the exclusion applies only up to the amount by which consumers are insolvent.”

“What does that mean?”

“It means in your case that you don’t have to worry because you had $3,000 in debts that were forgiven and liabilities exceeded assets by $1,800, then the $1,800 would be excluded as income. “The remaining $1,200 would be reported under other income.”

When everything settled for that particular year after reviewing everything she presented to me, she ended up getting a refund.

“I’m seeing a therapist, Kim.” she said looking at me really really intently. “Do you think I should continue it?”

“If you feel you are getting value from it, sure.”

When she left that year she said, “I am going to keep my eye on you, Kim.”

Yikes. Tax preparer stalkers! “Thanks!”

She came back in better financial shape having listened to me over the next few years and is in a happy relationship.

The moral of this story? There is no moral, just keep me away from people who get extra creepy and say they want to keep an eye on me. Well, that, and it pays to be current in your tax knowledge.

Getting forgiveness for credit card debt is great but remember that it will be reported as income from the credit card company so you should review with a tax professional what exactly your tax liability (if any) might be at tax time. Try to do it early so you can have money to pay for the taxes if you owe or so you can gleefully anticipate a refund.

And make sure that you don’t tell your tax pro that you are going to stalk him or her!

Part of all my book proceeds go to research finding a cure for Rett Syndrom and reversal of symptoms.

Kim Greenblatt

Questions or comments? Let me know about them! Thanks for taking the time to visit and for more information or to get back to the beginning of the blog, go here.

You are reading from Kim Greenblatt’s blog, profitable on tax preparation, credit card debt, and people who say they are watching you!

Kim Greenblatt Asks If You Teach Your Children About Money While They Are Young

Thursday, August 14th, 2008

Where do kids learn their first values about money? From mom and dad. Or from your baby’s mom, or your baby’s dad. Whoever. The people that will introduce a strong sense of monetary education into your kids at first will be you. What kind of example are you being for them?

Are you a saver? Have you shown them that they need to start saving money, even if it is with a piggy bank and just small change once a week?

Are you a spender? Do you buy everything you want, when you want it regardless of the cost? Do you end up charging up your credit cards in order to do that? Not a good idea. Do you want to have another generation of kids piling up debt?

I love America. I love the fact that capitalism is all over the globe. What I don’t love is the mass marketing and media shoving ads from the internet, from tv shows, from the radio from magazines trying to tell my kids what they “need” to have. They can get by on a lot less than they think they can and yes, like any devoted parent I want what is best for them but I would be doing my son a disservice by giving him everything he wants. In Arianna’s case, Arianna has Rett Syndrome, I am doing all that I can to make her life comfortable and help her develop her communication skills.

There is a difference between teaching children to be frugal and cheap. Frugal is where you save a little bit of money from each weekly allowance, paper route, usher job at the theater, etc. You put that into a savings account for something big later on. You get your children use to saving for emergencies and a rainy day. Cheap is not leaving a tip to a waiter or waitress at a restaurant who gave you great service. If they give you lousy service, you can teach your children at that point the value of good service by still leaving a tip, just a small one. They may not say anything but they will get the message.

Teach them about money to avoid gambling schemes as well.

Special needs kids can get the message too. They need to learn – and some learn it quite well and quickly – the need to price shop, to learn the difference in value with some items and to see through marketing at times.

If you are reading my blogs, I am sure you are teaching your kids the value of money. While you are at it, you may want to look into getting them a Roth IRA if they are working a part time job as well.
It doesn’t hurt to start their retirement while they are young.

If they have questions about money, please encourage them. Any ideas about making money also should be encouraged. If they want to start a part time business, do what you can to help them. You never know. They may become the next garage start-up billionaire.

Part of all my book proceeds go to research finding a cure for Rett Syndrom and reversal of symptoms.

Kim Greenblatt

Questions or comments? Let me know about them! Thanks for taking the time to visit and for more information or to get back to the beginning of the blog, go here.

You are reading from Kim Greenblatt’s blog, profitable, on teaching your kids about money, taxes and money management while they are young!

How are your tax preparation plans coming?

Wednesday, August 13th, 2008

Pretty funny to hear that in August isn’t it?  Not really.  Maybe you need to scrounge around for those receipts for your donations. Maybe times were tough and you had to cash out your 401k or IRA. Regardless of what is going on in your life, you should always have a pulse on your money and your taxes – no matter what country you are living in.

For those of my readers here in the United States, quarterly taxes are due in usually on 4/15 for the first quarterly payment, 6/15 for the second payment, 9/15 for the third payment and 1/15 of the next year for the fourth payment. You can save yourself a lot of grief and financial hardship by paying any taxes that you owe if you won a lottery, received a bonus or had a great quarter and you are self employed. Remember that the United States tax system is a pay as you go system and that you are responsible for payments and penalties if they are late or there is an underpayment.

If you live in a state where you have an obligation for state taxes, perhaps you may want to check out this page or this one. Both are the same, just presented a little differently.

If you are running a business, make sure that you have all your receipts if you are doing your own taxes or put them aside for your tax preparer. If you can, update your books with purchases, sales and keep them current. It will make things easier at tax time when you prepare your statements of income, balance sheet and any supporting paperwork.

If you have any other licensing requirements for your business, make sure they are current. The chances are that they are also a tax deduction so save the receipts showing that you made the payments.

If you are planning any major lifestyle changes (like adopting a child or getting married), be sure to save receipts for anything to do with the adoption. If you are planning on getting married, congratulations and may I strongly suggest you read this page in my site? Not planning your taxes nor talking over your income and spending habits is not the best way to start off a honeymoon and yet it is one of the most common issues I find with people when I help them with their tax preparation.

Maybe you are uncomfortable with my advice? You can find other information but remember that when it comes to tax preparation you can ask ten different tax pros and get ten different answers. Fortunately, if you ask me a question I try to give you just one answer – the right one!

Don’t be afraid of asking questions now. If you wait until later in the year it may be too late to undo any damage that is done. Your best bet is to contact tax professionals or start doing your own research now. It will save you a lot of aggrevation after December 31, when for a lot of things, it is too late to adjust the situation for taxes.

Part of all my book proceeds go to research finding a cure for Rett Syndrom and reversal of symptoms.

Kim Greenblatt

Questions or comments? Let me know about them! Thanks for taking the time to visit and for more information or to get back to the beginning of the blog, go here.

You are reading from Kim Greenblatt’s blog, profitable on tax preparation and paying quarterly taxes if you owe them now before it is too late!

Tropic Thunder Timothy Shriver, Chairman of Special Olympics and boycotts

Tuesday, August 12th, 2008

In the Rett Syndrome community as well as in other special needs communities, there is some buzz about Timothy Shriver’s op ed piece in the Washington Post.  Evidently in the upcoming film, Tropic Thunder, there will be exchanges where the actors talk about playing characters who have special needs and are called “retarded”.

Not having seen the movie nor read the script, I cannot say myself what is being said but I can say one thing.  It looks like there may be some decision to boycott the film by the National Down Syndrome Congress and the national ARC (if I have my information correct).  All politically correct heated debate put aside, how does this relate to business and being profitable?

Well, if enough groups get together to boycott a film, it won’t be seen.  It depends on the spending money of the groups as well as the total bad publicity – or perception of bad publicity that will be out there.   Remember the OJ book where he told how he might have killed his late wife?  

 In the previews, it shows Morton Downey Jr having undergone surgery to transform from a white man into a black man for acting.  Okay, was that a concession to also show how edgy and funny they are? I dunno yet. If this is part of the satire, I get it. That will help in the movie’s overall box office.

Readers of my blog know that I have an open mind and a sense of humor so I am going to refrain from saying anything until I see the movie myself.  I am not a hypocrite.  If it is funny, it is funny.

The problem is, I agree with Timothy Shriver that the movie is going after a group of people who can’t defend themselves.  I’ve had the same issue with Carlos Mencia.  Surprisingly, or maybe not so, I haven’t had this problem with South Park because they are truly equal opportunity offenders. 

I also don’t know what kind of agenda Mr. Shriver has and maybe he is mad because he didn’t get a shot at reviewing the movie. Again, I don’t know and it is beyond my paygrade, folks.

So, back to the business angle…

How much economic pull will this have on the movie if there is a boycott?  It is hard to tell because it may backfire and make the movie a big hit because it has been boycotted by all sorts of special needs groups.  People may go see it to see what the fuss was all about.  Remember, controversy gets people interested in seeing something.

If enough people don’t see it though or it dries up quickly, it maybe because it was a horrible movie, period. Maybe the satire is above people’s heads. I dunno.  Lately, when a lot of comedies are just over-packing their movie with lowest common denominator jokes hoping some will stick they are finding that people can get that stuff for free over the internet and they run away.  If the movie can generate $10 worth of laughs per person multiplied by 100 million people, with or without the special needs jokes it will be a hit, even if there is a boycott.

Stuff like this happens all the time. It use to be to become a hit in the United Kingdom you use to say something bad about the royal family to get banned from the radio and you would be a hit.

An interesting fact is that I was probably going to see the movie without all the attention being called to it. In the previews it looks like they are three clueless actors. In the roles they are playing you are expecting to hear nonsense come out of their mouths. My hope is that they don’t dwell on the special needs humor as one aspect of it.

Should we just ignore the protests and see what happens with this movie? You need to come to the decision yourself. As for me, I will see the movie for myself and make my own decisions afterwards.

Part of all my book proceeds go to research finding a cure for Rett Syndrom and reversal of symptoms.

Kim Greenblatt

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Questions or comments? Let me know about them! Thanks for taking the time to visit and for more information or to get back to the beginning of the blog, go here.

You are reading from Kim Greenblatt’s blog, profitable on special needs, money and the Timothy Shriver op end piece about boycotting Tropic Thunder.