When US Congress passed the economic stimulus package towards the end of last year giving rebates to most tax payers, it tried to ensure that the illegal immigrants don’t get any of the cash. But in doing so lawmakers inadvertently penalized thousands of H1 B holders whose spouses (on H4) may not have the social security number.
US immigration law does not permit the spouse (on H4 visa) of H1 B holders in US to get SSN. According to US Department of Homeland Security, there are now between 600,000 to 800,000 H1B visa holders in US. Exactly how many of them married to spouses ineligible to work in this country is unclear.
US Govt. collects all the taxes and fee that it collects from its citizen and hence the Govt should have given rebates to these H1B holders who are filing their taxes jointly with their spouses who do not have SSN. It should be a level playing field.
While it is true that no law has ever been written that doesn’t find someone falling through the cracks, the Govt. officials should come up with some way to help H1B holders married to spouses who by virtue of their ineligibility to work cannot have a social security number. One quick way of finding a solution is to issue a SSN for the sole purpose of getting the tax rebate as part of this economic stimulus package.
Thursday, May 8, 2008
Monday, May 5, 2008
How to get rich
Most of our time progressively after we reach 10 years of age probably goes in thinking how to make more money. It is very apparent and there is no guilt to admit that every man or women want to make more money to leave a comfortable life with all the materialistic source of enjoyment at his or her beck and call. However, how many of us really get to see so much of money that helps us to forget the struggle of everyday life? How many of us want to become Ambanis or Buffet or Gates of the world. Potentially, all of us!!!
However, we know that everyone cannot become richer to be included in the Forbes list of super rich. But at the same time it is also true that with some discipline we will be able to amass a sizeable chunk, if not more. So what is that most of us need to do to get rich? It appears to me that there is only three ways of getting richer
1. Be an entrepreneur and have your own business
2. Invest in land
3. Invest in Shares and Stocks
Most of the super rich falls in first category except for the world’s richest man, Warren Buffet who falls in the third category. As availability of land is constant and the population will continue to rise it is a matter of just supply and demand that indicates that a good investment in land will reap a rich reward. However, it is equally true that you must have a good education to be successful in any of the three categories though there a plenty of examples in the first category that have made it to super rich grade without a good or any formal education. But statistically that figure is insignificant and most of us would do good to have a solid education under our belt.
Out of all the three categories I believe the best that an average person can do is to invest in business. It is not very complicated and only requires a knack of picking the right business that will grow over a period of time. You don’t need to invest as if there is no tomorrow. Invest small but regularly so that the time compounding will keep your nest egg growing without any effort from you. Pick up business that sells products used by the masses. Invest small amounts but start early to gain the effect of time compounding. Keep a long term horizon to ride the short term instability in the market. Buy low and keep it for ever. Don’t trade. Buy into business that will keep growing and in turn reward your pick and patience.
Just imagine a $100 investment in a good company done on a monthly basis for 25 years with only a conservative 8% compound rate of return will fetch you $88,361.25. You gained $58,261.25 or close to 200% on your investment of $30000 over a 25 years period. If you just bump your investment to $500 every month for 25 years and look at gaining the same conservative 8% return then your investment will fetch you a handsome $441,806.23. You gained $291,306.23 on an investment of $150,000. Time flies and your posterity will thank you to make them rich and who knows obnoxious richer.
Stock markets historically have been known to give 10-12% return if you just buy and hold for long term and by long term I mean more than 10 years. The investment of $100 or $500 with just 10% return over a 25 years period will give you $119,001.44 and $595,007.22 respectively. No where you can get this return unless you don’t fall in either the first or the second category listed above.
So start investing now and reap the benefits down the line. I will write the next column to achieve a Million Dollar wealth in your life time. Stay tuned.
However, we know that everyone cannot become richer to be included in the Forbes list of super rich. But at the same time it is also true that with some discipline we will be able to amass a sizeable chunk, if not more. So what is that most of us need to do to get rich? It appears to me that there is only three ways of getting richer
1. Be an entrepreneur and have your own business
2. Invest in land
3. Invest in Shares and Stocks
Most of the super rich falls in first category except for the world’s richest man, Warren Buffet who falls in the third category. As availability of land is constant and the population will continue to rise it is a matter of just supply and demand that indicates that a good investment in land will reap a rich reward. However, it is equally true that you must have a good education to be successful in any of the three categories though there a plenty of examples in the first category that have made it to super rich grade without a good or any formal education. But statistically that figure is insignificant and most of us would do good to have a solid education under our belt.
Out of all the three categories I believe the best that an average person can do is to invest in business. It is not very complicated and only requires a knack of picking the right business that will grow over a period of time. You don’t need to invest as if there is no tomorrow. Invest small but regularly so that the time compounding will keep your nest egg growing without any effort from you. Pick up business that sells products used by the masses. Invest small amounts but start early to gain the effect of time compounding. Keep a long term horizon to ride the short term instability in the market. Buy low and keep it for ever. Don’t trade. Buy into business that will keep growing and in turn reward your pick and patience.
Just imagine a $100 investment in a good company done on a monthly basis for 25 years with only a conservative 8% compound rate of return will fetch you $88,361.25. You gained $58,261.25 or close to 200% on your investment of $30000 over a 25 years period. If you just bump your investment to $500 every month for 25 years and look at gaining the same conservative 8% return then your investment will fetch you a handsome $441,806.23. You gained $291,306.23 on an investment of $150,000. Time flies and your posterity will thank you to make them rich and who knows obnoxious richer.
Stock markets historically have been known to give 10-12% return if you just buy and hold for long term and by long term I mean more than 10 years. The investment of $100 or $500 with just 10% return over a 25 years period will give you $119,001.44 and $595,007.22 respectively. No where you can get this return unless you don’t fall in either the first or the second category listed above.
So start investing now and reap the benefits down the line. I will write the next column to achieve a Million Dollar wealth in your life time. Stay tuned.
Hypocrisy of Indian Health Minister
The Indian Health Minister Mr. Ramdoss has been over the last 6 months or so pushing hard on film actors for a complete ban on showing alcohol and tobacco consumption in Indian films. Apparently, Mr. Minister has reasoning that young people get affected by what is shown in the films. It appears that our Minister is way out of touch with ground realities. There is a common fallacy that showing such acts including violence in the film will have the youngsters follow them and finally succumb to the ill effects of such vice. However, if Mr. Ramdoss has a genuine desire for the well being of the younger generations then he must push for a legislation and enact laws that will make the consumption of alcohol and tobacco illegal.
Actors are professionals. They portray a character and may be just drinking colored water or soda etc to mimic the color of alcohol. They might just inhale some smoke in the mouth and exhale while playing the character. Why to point out to actors and restrict their ability to portray the characters. Most films reflect the state of affairs of the society. It is very unfair to ask the actors not to show such things when it is a fact that leaders goes to the alcohol and tobacco industries to get the funds to fight elections to get inside the hallowed walls of parliament or state assemblies every 5 years.
Why Mr. Ramdoss does not ask for alcohol and tobacco audits from political parties? Why he does not help to enact laws that will make it mandatory for the politicians to declare their alcohol and tobacco consumption / relationship with these industries under the oath? Why Mr. Minister does not enact law to ban the consumption of pan masala in Govt. offices? It’s a nightmare to see the effect of paan and paan masala when you take a flight of stares in most of the central and state govt. offices.
Asking the actors to stop showing any alcohol / tobacco consumption in the films while allowing the politicians to keep getting the donation from such industries at best can be termed as sheer Hypocrisy, Mr.Minsiter. If you have even an iota of being successful in curbing this menace then a few things that needs to be done are
1. bring extremely tough laws
2. punitive measures must be deterrent
3. raise the awareness at the kindergaden and primary school levels
4. schools to sensitize and educate students against ill effects
5. parents have to be role model for their kids
6. politicians have to be role models for the citizens
7. employer need to screen prospective employee against such use
8. All public places must be at once declared an alcohol and tobacco free zone
9. Police must get appropriate empowerment to prosecute who breaks the law
Think of countries like US where the politicians are getting together to enact laws that ban smoking even at homes. What the heck, think of China as to how the Govt. there are pushing to make it smoke free country because of the upcoming Olympics. It is only with a good measure of anti alcohol / tobacco/paan/paan-masala laws and very effective and sustained campaign to raise the awareness of ill effects of such products including the politicians and the political parties leading from the front will eventually have any impact on reducing or eliminating alcohol and tobacco consumption in India.
Till that time stop being hypocrite and allow the actors to portray the reality of the society through films.
Actors are professionals. They portray a character and may be just drinking colored water or soda etc to mimic the color of alcohol. They might just inhale some smoke in the mouth and exhale while playing the character. Why to point out to actors and restrict their ability to portray the characters. Most films reflect the state of affairs of the society. It is very unfair to ask the actors not to show such things when it is a fact that leaders goes to the alcohol and tobacco industries to get the funds to fight elections to get inside the hallowed walls of parliament or state assemblies every 5 years.
Why Mr. Ramdoss does not ask for alcohol and tobacco audits from political parties? Why he does not help to enact laws that will make it mandatory for the politicians to declare their alcohol and tobacco consumption / relationship with these industries under the oath? Why Mr. Minister does not enact law to ban the consumption of pan masala in Govt. offices? It’s a nightmare to see the effect of paan and paan masala when you take a flight of stares in most of the central and state govt. offices.
Asking the actors to stop showing any alcohol / tobacco consumption in the films while allowing the politicians to keep getting the donation from such industries at best can be termed as sheer Hypocrisy, Mr.Minsiter. If you have even an iota of being successful in curbing this menace then a few things that needs to be done are
1. bring extremely tough laws
2. punitive measures must be deterrent
3. raise the awareness at the kindergaden and primary school levels
4. schools to sensitize and educate students against ill effects
5. parents have to be role model for their kids
6. politicians have to be role models for the citizens
7. employer need to screen prospective employee against such use
8. All public places must be at once declared an alcohol and tobacco free zone
9. Police must get appropriate empowerment to prosecute who breaks the law
Think of countries like US where the politicians are getting together to enact laws that ban smoking even at homes. What the heck, think of China as to how the Govt. there are pushing to make it smoke free country because of the upcoming Olympics. It is only with a good measure of anti alcohol / tobacco/paan/paan-masala laws and very effective and sustained campaign to raise the awareness of ill effects of such products including the politicians and the political parties leading from the front will eventually have any impact on reducing or eliminating alcohol and tobacco consumption in India.
Till that time stop being hypocrite and allow the actors to portray the reality of the society through films.
Subscribe to:
Posts (Atom)
Posts
