Wednesday, April 9, 2014

The One Percenters!

Lots has been said about the One Percenters. The top one percent earned 17.67% (500K or more annually in pay. The greater disparity, however, is in total wealth (real estate, stocks, bonds, homes etc.) They also pay more taxes than the 90% of the tax payers. There are many that think that the rich should be taxed even more.

So how do I feel about the top one percent or even the top 10%? Mixed feelings! I’m all for those who have achieved the status of the rich, but I have a few caveats. I most admire the entrepreneur, who built a business from scratch, adding jobs and careers to America.The earned it because of the faith in an idea and the persistence to make it succeed.  Congratulations! You earned every penny. Bill Gates and Steve Jobs come to the top of my list. I have trouble with inherited wealth, at least for the second generation, who often develop the greedy habits of the rich and lazy. I have problems of all these people who display their wealth in obnoxious and show off actions and lifestyles. Another class I have few issues with are overpaid business executives, especially those who are paid millions, yet their performance is poor. In this matter you can blame the too cozy boards.

How much do you need.?How many homes does any one need? How many cars do they need? How much? How Much?

I particularly like what Bill Gates, Warren Buffet and a few others are doing. Gates has given 95% of his billions and Warren Buffet has given 100% of his wealth to be administered by the Gates Foundation. Bill Gates is dedicated to helping third world countries solve basic needs of the human being, like potable water and food. Their heirs are not left penniless, but most of it is for the good of the world. Mark Zuckenberg of Facebook fame pledged $100M to the Newark NJ schools. He also takes a salary of one dollar per year. Of course his billions are mostly in the stock of his company.

Gates and Buffet have also launched a quest to get others of the super rich to use their millions and billions for good causes. They are attempting to develop a whole new economy. An economy that does good and is not government. It is sort of a tax that they control how the money is spent and is focused. Buffet was asked if his quests to enroll others of the super rich class to give the majority of their “excess” wealth to the common good. He said not everyone signs up. He said that he was going to write a book about how to live on a half a billion dollars.

In away giving it away for the common good is better than an increased tax that disappears in the maize of government spending.

I’m not super rich or even rich,butI have been blessed with a comfortable life. However, I tend to live a minimal lifestyle. Yes, I do live on the ocean. I rent, I have a eight year old car, the clothes in my closet and an IRA and a small pension. I want my money to go to my passion of giving scholarships for the deserving young person. My brothers and I had successful business careers which we attribute the the values of our parents and the college degrees we obtained. We were the first generation in our family to graduate from college. I want to pay that forward. I have set up two scholarship funds in memory of my son and nephew and our parents with the San Diego Foundation and the Grant County, Indiana Foundation. I also stumbled onto another way to pay it forward by volunteering to evaluate and grade scholarship applications. I don't say this to brag about what a good person I am, but to urge others who have the means to give some of it away for future generations. Time is also money.

Think about it. You know you are not taking it with you. Pay it forward for the common good.

Sam Arnold

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