“Have an Emergency Fund”, they said.

Why do the sage financial planners have no influence over Washington D.C.?

Any financial planner worth their two-cents will tell you to build up an emergency fund, for, well, emergencies. One never knows when a person may lose a job or become ill and can’t work. There are myriad reasons why an astute planner will do their best to put aside at least a couple of months worth of wages to deal with unforeseen circumstances.

It’s prudent advice to follow. Unfortunately, it’s also true that some people are unable to put aside extras as they are living paycheck to paycheck. But if one can, it’s advisable.

And then there’s the government.

Now before I say anymore, I want to say that I was for a stimulus package to help Americans through this unprecedented pandemic. People lost real wages, businesses were shuttered–through no fault of their own. It is prudent for the collective–the government–to aid the country through such difficult times.

And so what has the government done? Passed more than a 2 trillion dollar stimulus with another nearly have trillion currently on the way to help small businesses. Fine. I’m a fiscal conservative. These are big numbers. I may not agree with all the targets of these stimulus packages, but fine. I’m okay with them.

But–and here’s the point–the government has NOT been following the sage advice of financial planners at all. Conversely, it has acted like a free-spending teenager with their parent’s unlimited credit card for decades now. When the American people needed it the most, the government did not turn to their “emergency fund” or their “rainy day” fund, because they didn’t have one. They had no insight or political fortitude to get their own financial house in order, and so all they can do is plop it mom & dad’s credit card. Deficit spending has driven the US debt into farcical territory. Oh, gone are the days of the “fiscal conservative” George W. Bush who racked up a “massive” 400 billion deficit in his last year in office. That amount was unprecedented. Too large to believe.

That, my friend, is mere pocket change compared the the spending which followed in the Obama years and now the Trump years.

2020 will dwarf them all.

BUT-there is a reason for 2020. The people needed it, and the government responded. Now because the established Washingtonites didn’t have their financial house in order, they have created a financial bubble which does not seem sustainable. Hey, I’m not an economist. I don’t dare say I have a crystal ball. But the financial planners tell us to PLAN.

There is no planning in Washington. They have let down the American people. Now as our debt will balloon beyond 25 trillion, we need to ask the question: What have they done to us?

Record Revenues! Record Debt! Why is $3.25 trillion not enough?

The numbers for fiscal year 2015 for the US Government are staggering. It has collected an all-time record of 3.25 trillion dollars. This is far and away the largest amount any government in history has ever collected from its people. Let’s look at that number again:


The American people and American corporations are paying more money to the government than ever before, and what do they get for it?  More debt.

That’s right. Even record revenues isn’t enough to stave off the ever-growing lust for spending coming out of Washington. Party politics matter not. Everyone gets in on the spending.

The Democrats tout the Obama administration for reducing the deficits in Washington by record levels. But I’m sorry, it’s hard to get excited about the deficit reduction when you look at it logically.

George W. Bush’s last full year in office was 2008. The budget deficit for that year reached an all-time high, a monstrous figure slightly beyond the $450 billion range. Ballooning the debt a half a trillion dollars a year seemed unfathomable. How naive we were!

The following years, 2009, 2010, 2011, 2012 all had budget deficits of three times that amount – each year in excess of $1.2 trillion. What? What just happened? To be fair, the bulk of the 2009 budget should be put on Bush’s lap because he signed the fiscal budget for Obama’s first year.

And now, in 2015, as the Democrats are lauding the reduction of deficits, where are we? We’re back down to that 2008 figure! So in eight years, we’ve set unbelievable deficit records and have ended by patting ourselves on the back for bringing the figure down to the highest in history prior to 2009 – and that when our treasury is collecting money at record levels! Sorry, I don’t see a whole to get excited about.

The Republicans are no better. They have controlled Congress for most of Obama’s presidency. All spending bills originate in the House of Representatives. The Republicans are the ones who always go on about reducing the size of government and reigning in spending, but they too can’t help themselves. They pass untold programs and bills which feed their narrow constituencies or back-scratch their cronies.

Should a country with a revenue of 3.25 trillion be able to live within its means?


And now in this ultra-politicized presidential campaign season, the politicians are promising the world – free this – free that.

The reality is, as the deficits of the past nine years pile up on each other, we find ourselves worrying about crossing the $20 trillion debt threshold with no ending in sight.

Think of it. A country in debt $20,000,000,000,000.

Get your freebies while you can because pay-back day is coming.